For him, the specialization of labor bannered by the Industrial Age, served as a reason of American business inefficiency and ineffectiveness. Individual tasks brought about by individual people or a group of people that form a department delimits their flexibility needed in optimizing the output of the whole company. Instead of focusing on the company's overall performance value on customer's viewpoint, they are more concerned on the productivity of a particular task of an individual person or a department.
Though we can say that the tasks assigned to the department is performed productively, it does not still discredit the fact that many of the tasks done by each department in the traditional corporation are useless and/or hampered by the delay of the preceding unit in the production flow. These factors contribute to the inefficiency and unwanted costs that haunted even the largest of American corporations. Hammer blamed the lack of concern for processes or "how the units (tasks) fit together into a whole." With this in mind, he formulated the process-centered model, a management paradigm that revolves around business processes.
Process centered management aims to divide a company by processes, not by function based departments.