In I.S. for example, if the group dedicated to clients in the Finance department are also specialists in general ledger systems, then it will be difficult for people in the Finance department to get anything but financial systems. It will also be difficult for anyone outside the Finance department to get needed financial systems. Jobs may be fragmented rather than whole. Two groups become responsible for the same line of business, and no one will feel accountable for the product line. A poor motivational climate is likely to occur.
Processes become fragmented, synergies are lost, and integrated results are unlikely.
In Service Bureaus, there is a tendency to define groups by tasks rather than by the services they offer. A full-service organization includes all of the functional building blocks. If any are missing, critical activities will not occur with reliability and quality. This does not mean that every building block must be staffed with permanent resources, whether or not demand exists. It simply means that someone must be accountable for every function, whether it be fulfilled by contractors or one's own staff.