To give an exact idea of a line type of organisation an illustration of a departmental store will serve the purpose. In a departmental line organization, there is a chief executive at the top. Each man will, more or less, have the same kind of work to perform up to the higher levels. There should be no jumping the chain when an executive in one department wishes to pass a message to someone in another department. 2. Expert Advice: The staff officers provide expert advice and guidance to line officers and by this, the enterprise as a whole gets benefit. There should be a single line of command. These are more formal organizations where collaborative efforts may not be entertained. It requires high capital to recruit experts for the training of staff. 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. Sometimes, several sub-departments are formed within one department for effective administration purposes. In a vertical companywhich was most the most common business model in organizations for the much of the mid- to late-20th centurylines Organizational structures significantly impact performance and outcomes. Flexibility: Staff can be added to the line and new activities may be introduced without disturbing the line procedure. Advantages of Line Organisation: ADVERTISEMENTS: Line organisation offers the following advantages: (a) It is simple to operate and easy to understand. 2. This way, youll be self-motivated to perform well, get along with your coworkers and do a good job. Required fields are marked *. Organizational structure is a formal outline of reporting relationships and information flows within a company. The subordinates start keeping distance from the superiors. In the line organization, managers have to perform a wide range of functions. Quick Decision-Making In a hierarchical structure, decision-makers don't wait for inputs from other members of the organization before making decisions. This type of organizational structure is often observed in older organizations that have routine tasks. Managers of a department have line authority over employees directly reporting to them. Every organization needs to make practical decisions timely for progress and success. (v) Staff take credit if the programme (as per the advice of the staff) is successful and blame the line if it is not successful. Under this type of line organization, the whole business organization is divided into several departments and each department is under the control of one individual who is known as Departmental Manager. Opportunities for Advancement. Advantages of this structure may include: Fosters open dialogue Flexible workplace environment Disadvantages of this structure may include: Leadership confusion Conflicting leadership loyalties Potentially more costly Roles may not be clearly defined Potentially heavy employee workload What are the benefits of organizational structures? According to referenceforbusiness.com, staff managers often play a support role to line managers. So, learning more about different organizational structures, stakeholders and power structures will help you navigate your workplace. Relief to Line Executives: The Staff officers look after the detailed analysis of each important managerial activity which is a big relief to the line officers. Quick decisions and their implementation help to get the benefit of business opportunities. An executive cannot shift his decision-making to others, nor can the blame be shifted. It is the oldest form of organization. Simplicity: Line organisation is simple to establish and can be easily understood by the employees. And others may be good at execution but not so when it. Analytical cookies are used to understand how visitors interact with the website. Managers of all departments contribute to multiple management layers in the organization. All other types of organization structure have mostly been either modifications of this organization. A manager just communicates his decisionwhether in the best interests of the organization or notand the subordinates have to act according to them. Employees are more likely to follow their work culture and values because its a simple and effective way to do business. They are bound to follow instructions from their superiors. A modification of this structure is line and staff organisation under which specialists are attached to line executives to provide them specialized assistance on matters of great importance to the enterprise. Existence of superior-subordinate relationship. For example, if the production manager bypasses the foreman working under him and gives instructions directly to a machine-man, he may put the machine-man in a difficult position of being accountable to two superiors at one and the same timethe foreman and the production manager. Thus it relates to Jack of All Traders But Master of None. According to , the most pressing challenges they face in human resource spectrum are: high degree of employee turnover, management risk (Omolaja ,2015), inadequate management knowledge, shortage of. Specialized employees help the line staff in processes by offering expert advice. Economical: . Teamined.com is a meeting room for employer and employee that will help you build positive employer branding or get your dream job. Advantages of Line Organization. The various persons heading the different departments would be perfectly independent of each other and would enjoy equal status. If the top executives are not capable, the enterprise will not be successful. Even though marked by lack of specialization, overburdening of competent managers, absence of communication between managers and subordinates, and subjective element in decision-making, line system of organization will suit businesses which are small in size, or where the work involved is of a routine nature, or machine-based. Line organization is simple to design, understand and operate. (d) Scope for favouritism There may be a good deal of nepotism and jobbery. All persons at the same level of authority should be independent of one another. He does not have to carry out orders of two or more managers, thus clearing any confusion about whose orders to give priority in performance. And others may be good at execution but not so when it comes to planning. The traditional chain of command makes decision-making more complex and does not allow for much flexibility. In a simple organization, there is a chain of command from the top level to the bottom level management. Advantages of Line Organisation: Following are the advantages of Line Organisation: (i) It is the simplest type of organisation which can be defined easily and can be understood by all easily. In this way, responsibility is easily fixed. Line organization structure is also known as a simple organization or military organization. Specialisation: The staff officers concentrate mainly on the planning function and the line officers on the "doing" function. Minimum number of employees are required to adopt line organization. In this model chart, the enterprise has three departments or shops namely, Foundry shop, Machine shop and Assembling shop. 2. Each unit is placed under a commander and his word is final as far as his subordinates are concerned. (iv) Advice given by the staff is not always sound. Moreover, it is easily understood by workers. Clearly defined rights and responsibilities of all managers and employees create conditions for quick decision-making. They judge the performance of persons according to their own yardsticks. (a) Lack of Specialisation As one person looks after all the work relating to his department, there is no scope for specialisation. A group of employees is controlled by one individual. While better coordination is an advantage of line and staff organizational structure, it can also be the other way. Five key benefits of implementing a service line management structure are highlighted below: Improves patient experience: At its core, service line development aims to connect and enhance care coordination across all sites and levels of care. Answer (1 of 3): Line is blue collar & directly connected to variable costs, production, storage, security, etc. There is also a lack of grooming the new persons for taking up important work. While many organizations follow a line organization system, a line and staff system is not suitable for small businesses. about A Comprehensive Guide to Enterprise Thin Client Systems. It can be easily established and easily understood by the workers. The ultimate authority for taking all decisions lies with line officers. All other types of organization structure have mostly been either modifications of this organization. This line system is not without disadvantages. Staff managers are placed in charge of vital issues that are best handled by a single, highly specialized individual, or in which a formal chain of command would simply hinder productivity and efficiency. Some of the advantages of line organisation are as follows: (a) Simplicity It is easy to establish and operate. 4. Line and staff organization is a little more complicated than the line system. Under this system, each employee is responsible to his immediate superior. The modern military organisations do not entirely rely on line organisation. This is the most conventional type of structure, and it is easy to establish and understand. In this type of organisation, the whole unit is divided into different departments that are convenient for control purposes. The adjustments in the organisation can be easily made to suit the changing conditions. According to Allen, Organizationally, the line is the chain of command that extends from the board of directors through the various delegations and re-delegation of authority and responsibility to the point where the primary activities of the enterprise are performed.. z o.o. What is Business Level Strategy? Every person in the organization is in the direct chain of command. Thus, it permits flexibility in operation. Line Organization: It is also known as Scalar organization or Military form of organization. Line organization enables the staff to work more toward the execution of tasks. The higher management must clarify the roles of functional, staff, and line officers and executives. Further, it promotes the unity of command. The line officers cannot be experts in every line of business. The general manager is in charge of all the departments and he can easily co-ordinate the work of various departments. This system of organization is also known as Scalar, Traditional or hierarchical form of organization. As a manager, hes the one who has to communicate the CEOs orders to the. planning. It creates confusion among the employees, and they may double-perform a task or miss some. about 5 Ways your Company can Achieve Regulatory Compliance. (iii) Line organization is not suitable to big organizations because it does not provide specialists in the structure. The departmental head has full authority to manage and control of that department. [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. Merits 4. The line officers may become autocratic and start deciding things without consulting their subordinates. What is Strategy Implementation and How To Implement it? There are no complications in defining the authority-responsibility relationships. Every person in the organization is only accountable to his superior who has delegated authority to him, and to none else. Specialization provides expert advice and proficiency in management. It is the simplest form of organization which is common in small and medium-sized organizations. 11. 2. A line organization is the oldest and traditional form of organizational structure. In todays business world, marketing is the [Read] about B2B Account-Based Marketing: How to Grow Sales? The hierarchy in management helps in achieving effective coordination. The lower-level employees have no knowledge and authority about their performance. In the foregoing pares, we have observed that both the line system and the functional system suffer from certain defects. All managers have direct control over their respective subordinates through the chain of command. It will hamper their effectiveness. A line function is one that directly advances an organization in its core work. (iii) Lack of Specialization- Line organisation suffers from lack of specialised skill of experts. Line managers compose the chain of command, and are responsible for directing, motivating and supervising employees at all levels of an organization. Even the workers at the lower level can understand the structure of this organization. Staff experts in specific areas are incorporated into the formal chain of command. Staff authority refers to advising the people with line authority for better results. If they are not able the enterprise will not be successful. Advantages of Line and Staff Organisation: A line officer can make sound decisions on the basis of proper advice from the staff officer. The hierarchy is different in each of them. Study with Quizlet and memorize flashcards containing terms like The process of rating an organization's practices, processes, and products against the best of the world is known as: A. webworking. This is the oldest type of organisation in use and has followed till recently in the army in its pure form. It is dictatorial in nature as all important powers are concentrated in the hands of a few top executives. military, vertical, scalar, departmental organization. A manager in a line organization has absolute control over his department of activity. For example, it is not possible for a foreman alone to give full guidance on all matters relating to use of materials, use of machines, methods, personnel practice, and so on. Maintain Discipline 4. about B2B Account-Based Marketing: How to Grow Sales? We also share information about your use of our site with our social media, advertising and analytics partners who may combine it with other information that youve provided to them or that theyve collected from your use of their services. The Commander- in-Chief is at the top with various other officers at the lower levels. (iii) Each subordinate receives orders only from one superior and is answerable to him only. How to Improve Line and Staff Organization? Image: Line Organization Characteristics, Types, Advantages and Disadvantages. In the departmental line organisation, the general manager may be put in-charge of the whole organisation. Among the advantages of a line structure, experts most often include: A line and staff organizational structure is a variation of the original structure. (iii) There is clear-cut identification of authority and responsibility relationship. The line organization structure is very simple to understand and simple to operate. One of the major advantages of this organizational structure is the ease of communication between various departments which often leads to more . Managers have to involve themselves in jobs of different nature. Due to the fact that decision-making authority is. This may become the reason for lack of co-ordination among different departments. For example, Sales Department. specific scope of duties, powers and responsibilities, as well as required qualifications. This may lead to wrong adjustments or wrong decision-making on the part of the executives. They are willing to adopt a dictatorial approach. Further promotion of the workers would depend upon the reports made about them by the foreman concerned. The viewpoints of both line and staff of this conflict are given below: A. . Advantages of the Divisional Organization Structure The key points in favor of the divisional structure involve placing decision making as close to the customer as possible. Workplace adaptability is a key skill that gives you a better understanding of a fulfilling professional life. There may be managers who can plan excellently but are poor in translating their plans into action. The line managers have the following to say about the staff people: (i) Staff authority undermines line authority and interferes in the work of line managers. (ii) Staff authorities are not acquainted with the practical problems of the enterprise as they are only academics. Economical Disadvantages are: 1. If a decision making process involves the consultation of a number of persons then there are likely to be delays in deciding things. In line organisation final decision-making is done by the top management. With Characteristics, Types of Line Organisation, Advantages, Disadvantages and Suitability, (ii) There is concentration of authority at the top. 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