The supervisor is engaged in departmentalization.
Departmentalization or departmentation is a process in which jobs/teams are integrated into functional units called departments based on their area of competence in order to meet the organization's goals. As a result, the entire organization is split into portions, i.e. departments, which consist of a group of people that carry out identical duties.
It specifies which functions/activities will be hosted and coordinated in the same location. Furthermore, it organizes the employees who will carry out the designated functions/tasks.
Therefore, the correct option is departmentalization.
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