advantages of line organisation

It is a traditional concept of management. 4. ul. In case, the manager of one department wishes to issue guidance or directions to a subordinate in another department, he will go up the line and convey the message to the top manager who will then pass it down the line in the other department. whereas Staff is white collared & directly connected to fixed costs, administration, legal matters etc. Main article photo: photo by Vlada Karpovich, source: pexels.com. Expensive: This type requires the appointment of a large number of experts involving heavy expenditure. An example of data being processed may be a unique identifier stored in a cookie. 3. Authority conflict is a common issue in organizational structures with multiple command officers like matrix and line and staff structures. Thus, the managements dependency increases on staff for information. They are only required to do as told to them by respective managers. (b) Fixed Responsibility Every member of the organisation knows his exact function, to whom he is responsible and who are responsible to him. It is the simplest form of organization which is common in small and medium-sized organizations. (4) There is no question as to responsibility or authority. Superior at each level makes decisions within the scope of his authority. Advantages of Functional Organizational Structure The executive or the team leader has the knowledge and experience of that particular field. This structure is suitable for large organizations but not the best choice for small businesses. But all managers may not be equally capable and committed to their work; those who pass the test, will accomplish their work as desired, but there may be some who may fail forcing the organization to think of giving them specialized training, or find replacement for them. 3. Every organization needs to make practical decisions timely for progress and success. Moreover, an employee knows to whom he/she is responsible and who are responsible to him/her. This may lead to wrong adjustments or wrong decision-making on the part of the executives. Fixed Responsibility 5. The line organisation has the following important merits not usually found in other types of organisation: (i) Simplicity It is the easiest to establish and simplest to explain to the employees. Manage Settings Line officers take their own decisions without looking to specialised personnel. For example, the owner of a small business acts as the leader or manager of inline systems. Save my name, email, and website in this browser for the next time I comment. A disadvantage of a line-and-staff organization is conflict between line and staff personnel. There are no supportive units for accounting, labour, etc. Figure 1: Basic Model of a Line Organization, Discourages Employees From Being Proactive. Their grouping into divisions is only to facilitate supervision and control. These cookies track visitors across websites and collect information to provide customized ads. (iii) There is unity of command. Moreover, whenever the adjustments are made on line organization, there is no need of additional employees. Line or military type of organisation is the oldest type of organisation. (c) Scope for Favouritism Since only one executive controls all the activities relating to his department, there is much scope for favouritism and nepotism. (ii) Where the work is of a routine nature and the methods of operation are simple. The workload of line officers would be reduced to some extent, It promotes the efficient functioning of the line officers The principles of unity of command are followed in the line and staff organization. It depends on the type of work, functions and industry the organization operates in. Each staff is clear about his authority and . Line and staff organization is a little more complicated than the line system. A manager in a line organization has absolute control over his department of activity. v. Prompt Decisions- As the superiors enjoy full authority, quick decisions are taken by them. Expert Advice: The staff officers provide expert advice and guidance to line officers and by this, the enterprise as a whole gets benefit. These cookies ensure basic functionalities and security features of the website, anonymously. Line-staff organization, in management, approach in which authorities Each man will, more or less, have the same kind of work to perform up to the higher levels. It may increase the employee turnover rate if the job roles are unclear. Thus, it permits flexibility in operation. It improves different coordinations among all employees and personnel. He/ she is fully responsible for running the department. He has earned a Bachelor of Arts in management from Walsh University. Enterprises are rapidly transitioning to thin [Read] about A Comprehensive Guide to Enterprise Thin Client Systems. This is the most conventional type of structure, and it is easy to establish and understand. To give an exact idea of a line type of organisation an illustration of a departmental store will serve the purpose. You also have the option to opt-out of these cookies. Every unit is complete in itself as far as the functions are concerned. (ii) Concentration of Authority- It is dictatorial in nature as all important powers are concentrated in the hands of a few top executives. The operation of line organization is very simple. Two types of managerial authority are granted by an organizational structure. It can be easily define and explain to all staff. The line organisation can be of two types, viz., (a) pure line organisation and (b) departmental line organisation. Merits of Line Organisation: The line organisation has the following good points: 1. The line officers only have to perform the routine work and leave the rest to staff officers. They are expected to take numerous decisions and supervise the work of subordinates under them. (b) It facilitates unity of control and the presence of scalar principle. All other types of organization structure have mostly been either modifications of this organization. The hierarchy is different in each of them. And others may be good at execution but not so when it comes to planning. Each person in the organization structure has authority over subordinates holding positions lower than him. It is not possible to achieve the advantages of specialisation in all fields. By providing staff managers with total authority in particular areas, line managers have more free time to focus on their main task: overseeing and facilitating the employees under their authority. (vii) There is a hierarchical arrangement of authority. APR what is it and how to calculate it for a loan? Features of Line Organisation 2. about The Concept of Cryptocurrency Staking and Passive Income Options, about Why Buying Restaurant Chairs in Bulk is a Smart Choice for your Business, about Top 5 Benefits of Identity Verification, about Choosing the Right Tampa Car Accident Lawyer for your Case, about Top Tips for the Best Event Staging: Things to Consider, about 6 Actionable Tips for Women to Ace Wealth Planning, about How To Get Out of Debt and Invest in Your Success, Mintzberg's Organizational Configurations. One of the most commonexamples of line organizationis small businesses with the owner overseeing daily operations. Under him, there are a number of departments each headed by a department manager. Merits of Line Organization: Simplicity: Line organization is simple to establish and can be easily understood by the employees. Flow of Authority from Top to Bottom; Accountability of Each Subordinate: The manager at each level makes decisions within the scope of authority delegated to him by his own boss. The production manager, for example, will not interfere in the decision-making by sales manager, or finance manager, and vice-versa. Line organization has direct vertical relationship. z o.o. The top-level manager can take decisions according to requirements without taking technical suggestions from experts and specialists. Some of the advantages of implementing the matrix organizational structure include: 1. They are responsible for sharing the information with the rest of the team. Thus, this system may encourage carelessness on the part of the staff officer. The decisions are implemented without comments even if these appear to be detrimental to the interests of the organisation. (b) Lack of specialization It suffers from lack of specialised skill of experts. the scale of the business and the size of the products produced; the ways in which goods and services are sold; the amount of capital, available resources, etc. But opting out of some of these cookies may affect your browsing experience. Heres a breakdown of the power in each. Unlike affiliative leadership structures, such organizational structures do not heed the officers advice. Line managers may create new line departments according to requirements. Because of this fixed responsibility, no person can escape his own responsibility. Ideally, it distributes the power, supports knowledge sharing, and encourages employee accountability. This is one of the reasons why there is inefficiency in the traditional organizational structure. Functional structure introduces a division into functional departments headed by specialists. Opportunities for Advancement. Simplicity: It is very simple to establish and operate. In spite of these drawbacks, the line organisation structure is very popular particularly in small organisations where there are less number of levels of authority and a small number of people. In line organisation, the line of authority consists of an uninterrupted series of authority steps and forms a hierarchical arrangement. Fixed responsibility: Duties and responsibilities are clearly defined for each individual with reference to the work assigned to him. All the departmental managers enjoy equal status and work independently. 7. As a result of this direction, guidance and restraint are easily achieved in this type of organisation. (iii) There is clear-cut identification of authority and responsibility relationship. The line office cannot devote sufficient time to each and every work and are over loaded with responsibilities. For example, at the lowest levels, all workers may perform a similar activity, but for control and supervision they may be divided into different groups, each placed under a foreman. Since the organization includes line and staff functions, decisions can be made easily. We also use third-party cookies that help us analyze and understand how you use this website. Managers have to involve themselves in jobs of different nature. 5. The clarity of authority and tasks within the company introduces discipline. The superior can exercise effective control and supervise over the persons under him. It ensures appropriate decision-making for the betterment of processes within the company. As there is clear definition of authority-responsibility of each employee, and because the unity of command is strictly observed, it becomes possible for managers to make quick decisions and get them implemented double-quick. 2. This line system is not without disadvantages. If they are not able the enterprise will not be successful. The simple organization is adjustable according to the changing business environment. (i) Heavy Burden of Work- Since the departmental head has to look after all the activities of his department, he is over burdened with work. The workers get instructions from the supervisor and the supervisor gets advice from the departmental head. This structure brings in specialized or supporting staff to aid line executives. Demerits 5. Experienced employees with specialized knowledge are given functional authority in the organization. (i) There are many levels of management depending upon the scale of business and decision-making ability of managers. Since the manager has to take all important decisions, he can make changes if new situation warrants. Like any type of structure, a linear structure also has its advantages and disadvantages that an entrepreneur must be aware of. The chain of command goes from top to bottom. They perform all types of works of creative and innovative nature. There may be managers who can plan excellently but are poor in translating their plans into action. It can be easily designed, and operated without any complication. Matthew was a floor manager at a local restaurant in Wales. Following this organizational system reduces the burden on line officers. This avoids all kinds of misinterpretations and ensures peak performance. So it is unfit for todays business environment that requires innovative organizational structures. This is the oldest type of organisation in use and has followed till recently in the army in its pure form. Every person is accountable to only one person i.e. 5. There may be a good deal of nepotism and jobbery and personal prejudices. The line and staff structure may promote over-dependence on staff members. [Read] about 6 Actionable Tips for Women to Ace Wealth Planning, We are constantly looking for that extra income [Read] about 8 Ways to Earn Passive Income, Debt can be a major source of stress and anxiety [Read] about How To Get Out of Debt and Invest in Your Success. vii. Similarly, a manager has to look after various departments and functions at a time. The matrix organizational structure is a hybrid combination of functional and project based organization structures. Organizational structure is a formal outline of reporting relationships and information flows within a company. 2. Content Guidelines 2. A group of employees is controlled by one individual. Staff and line are names given to different types of functions in organizations. Minimum number of employees are required to adopt line organization. What happens when a department manager wants to pass some message to a subordinate in another department? employees are accountable to one person the manager; possibility of quick interaction between employees and management; each employee or department is responsible for one issue; lack of specialization, which requires the top level to deal with all functions in the organization; many intermediate management links that prevent the employee from quickly contacting and getting answers from top management; low flexibility and adaptability to new or crisis situations. We and our partners use cookies to Store and/or access information on a device. This means relying a little too much on their individual capability, knowledge and experience. He lost his job after the pandemic and took initiative to make a team and start the project. This type of organizational structure is often observed in older organizations that have routine tasks. about The Truth Behind Cryptocurrency Transactions: Are Digital Transactions Secure? It is simply used to indicate the straight flow of authority resembling the line of command in a combat unit. (b) Overloading In this type, an executive is overloaded with work and hence he may not be in a position to direct and control the efforts of his subordinates properly. Continue with Recommended Cookies. However, it should be remembered that it works best in small and medium-sized companies. (vi) It is the oldest type of organization in use in which authority flows from the men at the top to the lowest man vertically, i.e., the directions are issued by the person incharge of the whole organization and are directly conveyed to the persons responsible for the execution of the work. Some of the advantages of line organisation are as follows: (a) Simplicity It is easy to establish and operate. First, a few definitions so you understand what I'm talking about. Line and staff organization is an expensive organizational structure. 6. Sound Decisions: In this type, the decisions are made by experts and hence, there is a possibility of making sound managerial decisions. Content Filtration 6. Result- No scope for individual initiative, no offering of comments or suggestions on planning and execution, even no relook at any decision wrongly made. However, this system can be suitably followed: Line Organization | Characteristics | Types | Advantages | Disadvantages, Project Organization | Types | Advantages | Disadvantages, Centralized & Decentralized organizations | Strength & Weaknesses, Centralization and decentralization of Organization, Functional Organization | Nature of functional foremanship, Functional Authority | Definition | Examples |, Western managers vs Eastern managers: difference in, Problems of supervision | solutions for effective, Important Role of CEO in Strategic Management, Committee | Meaning & Definition | Features, Under what circumstances Delegation of Authority is, Accountlearning | Contents for Management Studies |. The limits of authority of both line and staff should be prescribed clearly. Line and staff structure is adapted by medium to large organizations with several employees. This organisation is a vertical structure where one person delegates authority to his subordinate and who in turn delegates to his subordinate and so on. An advantage of a line-and-staff organization is the availability of technical specialists. Further it is easier to fix up the responsibility if there is any lapse anywhere in the performance of activities. Line structure and line and staff organizational structures are two basic organizational structures. Line and Staff structure provide three kinds of authority within the organization. The subordinates should get commands only through their immediate superiors. This will help to reduce the energy expenses and also it will preserve energy sources for future generations. Department Managers Function Independently of One Another: All department managers enjoy equal status and authority; also, they function independently of one another. 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The company introduces discipline each and every work and leave the rest of the most commonexamples line... The website, anonymously like matrix and line and staff organizational structures have routine tasks facilitate and... The employee turnover rate if the job roles are unclear of technical specialists no need additional! And innovative nature website in this browser for the betterment of processes within the.! Timely for progress and success aware of good at execution but not the best interests of the commonexamples. The organization includes line and staff structure may promote over-dependence on staff members specialists. It ensures appropriate decision-making for the next time I comment decision-making by sales manager, or finance manager or... And responsibilities are clearly defined for each individual with reference to the work of subordinates under them after departments.

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