Each sub-department is look after by one supervisor and adequate number of workers are working under them. . Its a simple, no-fuss setup where you know exactly who youre reporting to. Matthew was a floor manager at a local restaurant in Wales. Everyone knows as to whom he can issue orders and to whom he is accountable. As against the advantages outlined above, the system suffers from the following weaknesses. To give an exact idea of a line type of organisation an illustration of a departmental store will serve the purpose. (v) There is limit on subordinates under one manager. There is no provision for growth and development. The top-down approach helps streamline communication. This is a very simple organizational structure to understand and manage due to the implementation of the scalar chain of command (formal line of authority which moves from highest to lowest rank in a straight line). A line manager is responsible of achieving the main objectives of the organization by executing main functions such as policy making, target setting and decision making. Advantages Of Line Organization A line organizational structure has many advantages but they depend on the type of business and number of employees. 5. This authority enables him to instruct and direct his subordinates to perform the tasks and duties assigned to them. There is thus a hierarchical arrangement of authority. A group of employees is controlled by one individual. (iv) Fixed responsibility Everybody in this type of organisation knows to whom he is responsible, and who are responsible to him. Some of the advantages of line organisation are as follows: (a) Simplicity It is easy to establish and operate. Organizational structures with no staff management positions must either place responsibility for specialized tasks on line managers' shoulders or use the services of consultants. Quick Decisions: . Some of these drawbacks have been discussed here: In line organisation too much is expected from executives. There is a direct link between superior and subordinates. It is the simplest of all types of organizations. Moreover, there are a number of suggestions which continuously occur to lower ranks, but these suggestions cannot be utilised because generally the higher officers look down upon the views of their subordinates. Everybody knows his work and also to whom he is responsible. Each department is under the control of a departmental manager who is responsible to the superior over him. Every company operates on the basis of a specific organizational structure, which forms the basis of its functioning. Similarly, each person derives authority from the superior above him. This greatly reduces the establishment cost. Specialisation: The staff officers concentrate mainly on the planning function and the line officers on the "doing" function. These cookies help provide information on metrics the number of visitors, bounce rate, traffic source, etc. If they are not able the enterprise will not be successful. This finding underscores the increasingly recognized need for companies to improve their I&D engagement with core-business managers. Each employee is answerable to only one boss, so there is accountability, and every employee knows what is expected of him or her. (b) Lack of specialization It suffers from lack of specialised skill of experts. Organizational structures significantly impact performance and outcomes. It is the oldest form of organization. Where the process of production is continuous or special. He is not obliged to seek advice or suggestion from his subordinates or any other person. So line organisation enables the fixation of authority and responsibility. from top to bottom. Line Organisation is the oldest form of organization. Since the departmental head has to look after all the activities of his department, he is over burdened with work. This avoids all kinds of misinterpretations and ensures peak performance. Likewise, several groups are formed and placed under the control of an individual for the sake of convenience of control. It is also easy to explain to the workers. Both are equally important to an organization. One feature of line type of organisation is the existence of superior-subordinate relationship. Lundy, It is characterised by direct lines of authority flowing from the top to the bottom of the organisational hierarchy and lines of responsibility flowing in an opposite but equally direct manner.. For example, the production department of a textile mill may be divided into different sections like spinning, weaving, tying, coloring, and finishing, etc. 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. Where the machinery is automatic and so there is no need for skill or intelligence. It is extremely difficult for one person to handle activities of diverse nature. [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. Your email address will not be published. This cookie is set by GDPR Cookie Consent plugin. The organizational structure defines the relationships and connections between organizational units and individual employees, determines the division of powers and responsibilities. In line organisation, each department is generally a complete self- sustaining unit. This is suitable only for businesses which are run on a small-scale producing only one item and in which the workers are divided into departments according to the type of work performed by each one of them. And because the army is known to be organized on the same pattern, it is also called military organization.. So, this type of organisation is characterised by direct lines of authority flowing from the top to the bottom of the organisational hierarchy and lines of responsibility flowing in an opposite, but equally direct, manner. One person should get orders from one supervisor only. 2. (1) It is simple in operation and definite in assigning authority to different persons in the organisation. Another benefit of line organization is that it is easier to make someone accountable and responsible for the task assigned to him or her so if any mistake happens one can easily pinpoint the person due to whom the mistake has happened and there is no scope for him or her putting blame on other persons of the company.if(typeof ez_ad_units!='undefined'){ez_ad_units.push([[250,250],'letslearnfinance_com-medrectangle-4','ezslot_2',107,'0','0'])};__ez_fad_position('div-gpt-ad-letslearnfinance_com-medrectangle-4-0'); if(typeof ez_ad_units!='undefined'){ez_ad_units.push([[300,250],'letslearnfinance_com-banner-1','ezslot_9',134,'0','0'])};__ez_fad_position('div-gpt-ad-letslearnfinance_com-banner-1-0');Since decisions are taken by the person at the top only the response time to any situation is quick and short besides there is a lot of flexibility due to the presence of a single authority which makes it easier to respond to any situations which may arise from time to time. It is primarily used in companies that deal with complex projects, problems, and programs which require input from a wide variety of skillsets that are often spread across the business. Simplicity: It is very simple to establish and operate. about How does a Valuator Value a Business? It represents a direct vertical relationship through which authority flows. An executive cannot shift his decision-making to others, nor can the blame be shifted. The subordinates do not convey their reactions or the reactions of workers to the superiors. Each section in charge has direct control over his section. For example, in the production department, there may be a number of foremen each in charge of a sub-department and controlling a certain number of workers. Simplicity: This system is very simple and can operate very easily. vi. For the three indicators of inclusionequality, openness, and belongingwe found particularly high levels of negative sentiment about equality and fairness of opportunity. Line Organisation is suitable in the following cases: (i) Where the business is on a small scale and number of subordinates is less. Thus, the line type of organisation forms a line from the very top to the bottom of the organisation structure. Every unit is complete in itself as far as the functions are concerned. Simple and Easy To Understand 2. Surajs workplace follows a hierarchy. Each organizational structure has its specific characteristics. Similarly, they can not devote time to supervise their subordinates. Your email address will not be published. Advantages of line organization: Following are the main advantages of line organisation: 1. Most of the work done in aline organizational structureis routine. Even the workers at the lower level can understand the structure of this organization. 2. Conforms to the scalar principle of organization. The chain of command goes from top to bottom. The top-level management takes decisions without taking any suggestions and guidance from experts. Line officers take their own decisions without looking to specialised personnel. Span of control It is the simplest form of organization which is common in small and medium-sized organizations. A breakdown of job roles and division of job specifications helps maximize productivity. Thus, for an inter-departmental message, there is a long and time consuming journey. If superiors take a wrong decision, it would be carried out without anybody having the courage to point out its deficiencies. Content Filtration 6. It requires high capital to recruit experts for the training of staff. Line executives are the people directly involved in the basic activities of an organization. Functional cookies help to perform certain functionalities like sharing the content of the website on social media platforms, collect feedbacks, and other third-party features. The concept of line organization holds that in any organization derived from a scalar process, there must be a single head who commands it. Line structure the simplest of all existing varieties of business management structures. Specialization provides expert advice and proficiency in management. Plagiarism Prevention 5. The biggest disadvantage of line organization is that since it is one man show the lack of specialization is clearly visible in such type of organization as each job requires different skills to complete the job effectively and efficiently and one man cannot learn all the skills alone so there will be always that lack of knowledge or specialization in case of line organization. Advice Ignored: As the staff officers lack authority to put their recommendations into practice, their advice may be ignored by the line executives. The higher management must clarify the roles of functional, staff, and line officers and executives. It is the units that perform all the functions that make up the companys business processes. The staff personnel does not supervise the line officers. Organizational structure is a formal outline of reporting relationships and information flows within a company. In a departmental line organization, there is a chief executive at the top. Quick Decision: Quick decisions are taken by the employees because of unification of authority and responsibility. Telegram ChannelJoin telegram channel https://t.me/skillicsFunctional Structure https://youtu.be/CkmjGWAv5t4Divisional Structurehttps://youtu.be/SxCT5cRuGPAM. We and our partners use data for Personalised ads and content, ad and content measurement, audience insights and product development. In a hierarchical structure, decision-makers dont wait for inputs from other members of the organization before making decisions. How to Improve Line and Staff Organization? Line organization structure chart tends to simplify and clarify responsibility, authority, and accountability relationships. (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. There are no better examples than those of history. There is scope for favouritism. Line organisation is the basic framework for the whole organisation. In this way, responsibility is easily fixed. As a manager, hes the one who has to communicate the CEOs orders to the. Quick Decision. Other uncategorized cookies are those that are being analyzed and have not been classified into a category as yet. Flexibility- Since each departmental head has sole responsibility for his department, he can easily adjust the organization to changes in business situation. They judge the performance of persons according to their own yardsticks. For example, at the lowest level of an organisation, workers may be performing a similar type of work, but for the sake of control and supervision, they may be divided into different groups and each group is placed under the control of a foreman. Identification of Authority and Responsibility: Line organisation helps in fixing authority and responsibility of each and every person in the organisation. Line or Military Organization: Structure, Features, Characteristics, Merits, Demerits, Suitability and Branches, With Features, Conditions for Success, Merits, Demerits and Suitability, Hierarchy of Authority Levels, Branches of Line Organisation, Merits, Demerits and Suitability of Line Organisation, Flow of Authority from Top to Bottom; Accountability of Each Subordinate, Department Managers Function Independently of One Another, Subordinates can only Approach Immediate Superior, (2) Clear Division of Authority and Responsibility, Line managers are required to both plan and execute the tasks and duties assigned to them. This is the simplest and oldest, known as chain of command or scalar principle. (b) Fixed Responsibility Every member of the organisation knows his exact function, to whom he is responsible and who are responsible to him. The line organisation has the following good points: Line organisation is simple to establish and can be easily understood by the employees. The production manager, for example, will not interfere in the decision-making by sales manager, or finance manager, and vice-versa. This may lead to wrong adjustments or wrong decision-making on the part of the executives. You also have the option to opt-out of these cookies. So it can be operated simply and clearly. if(typeof ez_ad_units!='undefined'){ez_ad_units.push([[300,250],'letslearnfinance_com-leader-1','ezslot_8',110,'0','0'])};__ez_fad_position('div-gpt-ad-letslearnfinance_com-leader-1-0');As one can see from the above that line organization has both advantages, as well as disadvantages, and any company thinking of applying this form of organization structure should carefully analyze both the aspects and then take the decision. Although a line structure isnt as common as it used to be, it still exists in organizations that have been around for years. This is one of the reasons why there is inefficiency in the traditional organizational structure. Advantages of Line and Staff Organization: - Line officers can mainly focus on the task as planning and checking is done by the employees. There may be a good deal of nepotism and jobbery and personal prejudices. This indeed works well only when the departmental head is good and efficient in discharging his varied duties. Under this, the whole enterprise is divided into different departments for achieving maximum amount of convenience in controlling the whole enterprise. (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. (i) There are many levels of management depending upon the scale of business and decision-making ability of managers. Heres a breakdown of the power in each. It requires more resources, including finance and infrastructure. Their boss is the foreman to whom they communicate their problems and suggestions and from whom they receive their orders. In smaller organizations, where the work is streamlined and tasks are assigned, its the most effective way to achieve your goals. Since authority and responsibility flow in an unbroken straight line, it is called line organisation. For example, the person heading the IT department will have the education and skill necessary to shoulder this responsibility and successfully run his team. 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 |. Continue with Recommended Cookies. Convenient sharing of resources in different divisions The matrix organizational structure's capacity to share highly-skilled resources is one of its most important benefits. There should be a single line of command. There is both chain of command and span of control in the line organizational structure. What is Line and Staff Organizational Structure? 3. (c) It enables clear cut definition of authority and responsibility. Line or military type of organisation is the oldest type of organisation. Answer (1 of 3): Line is blue collar & directly connected to variable costs, production, storage, security, etc. Functional officers guide according to need while the line authorities plan and control the activities of the staff. As a result of this direction, guidance and restraint are easily achieved in this type of organisation. It also governs the . This means relying a little too much on their individual capability, knowledge and experience. Their boss is the oldest type of organisation forms a line type of organisation forms a line organizational.... Personalised ads and content, ad and content measurement, audience insights and product development the! 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