There is a clear definition of authority and responsibility relationship. They are the doorstep people who do and make things happen for accomplishment of organizational objectives. Reduce energy Expenses - Under the triple bottom line method, the organizations are encouraged to use renewable energy. A group of employees is controlled by one individual. Each sub-department is look after by one supervisor and adequate number of workers are working under them. 3. As a small-business owner, Ingram regularly confronts modern issues in management, marketing, finance and business law. Staff management positions can allow companies to leverage the skills and expertise of specialists who may not fit well in the formal hierarchy of the organization. Specialized employees help the line staff in processes by offering expert advice. Simplicity: It is very simple to establish and operate. Sound Decisions: In this type, the decisions are made by experts and hence, there is a possibility of making sound managerial decisions. Development of Executives: This system offers more opportunities to the executives for training and development. WAs part of our website, we use cookies to provide you with services at the highest level, including in a manner tailored to individual needs. (adsbygoogle = window.adsbygoogle || []).push({}); Click to share on Twitter (Opens in new window), Click to share on Facebook (Opens in new window). It can be easily designed, and operated without any complication. There is scope for favouritism. Matthew is a Co-Founder at BusinessFinanceArticles.org. Thus, in the production department, there may be a number of foremen each having a number of workers under him. In the line organization, managers have to perform a wide range of functions. Unity of Command: Since the workers are responsible only to one superior, unity of command is made possible. But a line organization can be effective only when subordinates are made to follow the command-chain religiously. It is suitable for concerns. Each sub-ordinate gets instructions only from his/her immediate superior directly. Under this organisation, activities on any one level are the same. Span of control The functional staff does not have any direct input in organizational operations. There should be a single line of command. The people may be assigned departments according to their expertise and need in the department. Thus it relates to Jack of All Traders But Master of None. 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. The demerits of line organization are as under: (i) With growth, the line organization makes the superiors too overloaded with work. An employee has to involve in various types of works. Hierarchy of Authority Levels 7. In a line organization, the responsibility for the performance of tasks is fixed upon definite individuals. Responsibility is fixed. 2. A line function is one that directly advances an organization in its core work. He can take a decision according to the requirements of the situation. From there, it will be communicated down the command-chain to the subordinate in the other department. 2. The line officers cannot be experts in every line of business. (v) Prompt decision The unification of authority and responsibility ensures quick and prompt decisions. Some of the advantages of implementing the matrix organizational structure include: 1. Every person is in charge of all the persons under him and he himself is accountable to his superior only. Your email address will not be published. It is dictatorial in nature as all important powers are concentrated in the hands of a few top executives. (4) Line Manager may Take Decisions Arbitrarily: A line manager has authority to make decisions. He need not to waste time in getting instructions from above. In this type, a greater variety of responsible jobs are available and this provides more opportunities for advancement of capable workers. So it can be operated simply and clearly. Further, if an officer is impartial in the strict sense of the term, he may still judge people according to his own notions and, therefore, it is still possible that efficient people may be left behind and inefficient people may get higher and better posts. 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. Every company operates on the basis of a specific organizational structure, which forms the basis of its functioning. (a) Overloading The chief disadvantage of the system is that under it too much is expected of the person in authority. 6. Exhibit 10.4 illustrates a staff or functional authority organisational structure. All rights reserved. The staff does not have the authority to issue orders to contractors, but has a strong influence on the supervisor. For example, quality control officers may guide the production department in improving the stability of the product. 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. Authority and instructions pass on from the General Manager to the Plant Superintendent and from the Plant Superintendent to the Foreman and from the Foreman to the workers. (b) Fixed Responsibility Every member of the organisation knows his exact function, to whom he is responsible and who are responsible to him. 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. Line and staff organization is a little more complicated than the line system. He communicates his decisions and orders to his subordinates. Line personnel command the workers and give feedback. The chain of command goes from top to bottom. The line managers may sometimes ignore the advice offered by staff officers. But it must be remembered that it has no direct relationship with the modern military establishment. 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. Prof. Florence enunciates three principles which are necessary to realise the advantages of this system, and the non-observance of which would involve inefficiency. Advantages of Line and Staff Organization: - Line officers can mainly focus on the task as planning and checking is done by the employees. Line Organisation is the oldest form of organization. Similarly, each group of activities will be a complete unit by itself being adequate for performing the assigned tasks. Advantages of line organization: Following are the main advantages of line organisation: 1. This cookie is set by GDPR Cookie Consent plugin. They are expected to take numerous decisions and supervise the work of subordinates under them. They feel that their suggestions may not carry weight with their superiors so they avoid taking any type of initiative. They can rely on personal judgment and take a call. Subordinates have no freedom to do their job. Responsibility, on the other hand, flows upwards. There is no complexity in the organisation because every person is accountable to only one boss. Plagiarism Prevention 5. Simplicity: Line organisation is simple to establish and can be easily understood by the employees. For example, the sales department, shipping department and milling machine department in a plant, laid out on the basis of related function. Minimum number of employees are required to adopt line organization. The top-level management takes decisions without taking any suggestions and guidance from experts. It is the oldest form of organization. The line organisation has the following good points: Line organisation is simple to establish and can be easily understood by the employees. Even within a department, there may be several sub-departments or units. Line authority means giving the person a particular amount of control for specific tasks. Employees are fully aware of the boundaries of their jobs. Under this, the line of authority flows vertically downward from top to bottom throughout the organization. Simplicity: This system is very simple and can operate very easily. It improves coordination, encourages communication and helps management drive innovation. Continue with Recommended Cookies. For example, the person heading the IT department will have the education and skill necessary to shoulder this responsibility and successfully run his team. Functional authority means giving authority to an employee experienced in a particular area. Survey respondents answered the question, "Please choose the top three leadership Advantages of Line and Staff Organisation: Specialization: Line and staff organisation introduces specialization in a systematic manner. This may sometimes result in lack of co-operation and team spirit between the departments and line authorities and develops rivalry amongst. Line organization structure chart tends to simplify and clarify responsibility, authority, and accountability relationships. 4. (g) Co-ordination As all activities relating to one department are managed by one individual, there is a possibility for effective co-ordination. B. outsourcing. about A Comprehensive Guide to Enterprise Thin Client Systems. In the departmental line organisation, the general manager may be put in-charge of the whole organisation. Vertical Organizations A "vertical" company is known for having a large staff of middle managers between the CEO and the front line. (iii) There is unity of command. Definition, Types, Reasons, and Pros/Cons. Line and staff structure is adapted by medium to large organizations with several employees. (a) Pure Line Organisation: In pure line organisation, the activities at any one level are the same and all the individuals perform the same type of work and the divisions or departments are made for the sake of control and direction. We also use third-party cookies that help us analyze and understand how you use this website. . This type of organisation is in accordance with the principle of scalar chain. A line of credit is usually cheaper than using a credit card. Simplicity. And others may be good at execution but not so when it. Line organization has direct vertical relationship. Each person in the organization structure has authority over subordinates holding positions lower than him. Your email address will not be published. Under this method, authority flows in a vertical manner form top to bottom. (ix) Lines of authority are vertical i.e. Unity of Command: . . 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. Two types of managerial authority are granted by an organizational structure. Employees are expected to work on the same tasks without upskilling or learning about other aspects of the business. Each employee is taking decision according to the level of authority delegated by his/her immediate superior. If, therefore, something happens to an efficient manager, the future of the department and of the concern as a whole would be in jeopardy. If the managers treat the employees as a pendulum between them, they will most likely get tired of their job roles. Clear definition of authority-responsibility means that an employee can only be given orders by his manager, his immediate boss. There is no provision for growth and development. Line organization refers to that organization in which the authority flows from top to down in a vertical manner and not in a horizontal manner. It is also easy to explain to the workers. Quick Decision. Each staff is clear about his authority and . To view the purposes they believe they have legitimate interest for, or to object to this data processing use the vendor list link below. The allocation of work will also help in fixing responsibility of various individuals. APR what is it and how to calculate it for a loan? 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. 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. In this organizational structure, all the individuals perform the same type of work. Quick Decision and Implementation 3. By this method, specialisation is attained. Each manager knows what he is required to do. This may become the reason for lack of co-ordination among different departments. Analytical cookies are used to understand how visitors interact with the website. It gives complete control to the top hierarchy, exhibiting authoritative leadership. Moreover, whenever the adjustments are made on line organization, there is no need of additional employees. This avoids all kinds of misinterpretations and ensures peak performance. Outside of reporting to senior management, each task belongs to individual employees. Its important to understand organizational values and culture before you enter the workforce. Only one person is in charge of a department or division. Since they often have expertise in their industry, they can support the work of line employees without close supervision, which is common in line organizational structures. All organizations follow specific organizational structures to run the company smoothly. (iii) Each subordinate receives orders only from one superior and is answerable to him only. Flexibility: This system is flexible in the sense that it is subject to quick adjustments to suit the changing conditions. Line Organisation is suitable in the following cases: (i) Where the business is on a small scale and number of subordinates is less. Effective Communication: . In todays business world, marketing is the [Read] about B2B Account-Based Marketing: How to Grow Sales? All other types of organization structure have mostly been either modifications of this organization. The line and staff officers perform their functions smoothly through better coordination and cooperation. Advantages of a Line Organization Simple to work Economical and effective. It depends on the type of work, functions and industry the organization operates in. One of the major advantages of this organizational structure is the ease of communication between various departments which often leads to more . are made as it is in the case of a ladder. 2. line-staff organization, in management, approach in which authorities (e.g., managers) establish goals and directives that are then fulfilled by staff and other workers. In a simple organization, there is a chain of command from the top level to the bottom level management. 8. This authority enables him to instruct and direct his subordinates to perform the tasks and duties assigned to them. (ii) There is concentration of authority at the top. Thus, this system may encourage carelessness on the part of the staff officer. Characteristics of line organization are listed below. (ii) Unified control It makes for unity of control thus conforming to the scalar principle of organisation. For example, a production officer may allow the production supervisor to take care of another aspect outside his job description. ul. Besides the straightforward organization system, it also involves staff of different departments. (ii) Which do not have many subordinates and operatives; (iii) Which have straight and simple methods of operations; and. There may be a good deal of nepotism and jobbery and personal prejudices. Another disadvantage of line organization is that due to the presence of a single authority the scope of favoritism and biased towards some employees increases leading to dissatisfaction among other employees and a hostile working atmosphere within the company which in long run can be a disaster for the company. 6. Hence, there is greater flexibility in the organisation. Specialisation: The staff officers concentrate mainly on the planning function and the line officers on the "doing" function. Staff officers do not have the authority to implement their opinions and recommendations without the line officers approval. 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. There is failure to get correct information and to act upon it due to lack of communication. It enables the employees to utilize the opportunities and progress in their careers. Required fields are marked *. Subordinates can only Approach Immediate Superior: Workers placed under a foreman have no direct access to production manager. Since the departmental head has to look after all the activities of his department, he is over burdened with work. They judge the performance of persons according to their own yardsticks. Necessary cookies are absolutely essential for the website to function properly. Any change in the policy can be effected promptly in all the branches of the organization without any difficulty. These cookies track visitors across websites and collect information to provide customized ads. 3. In the pure organisation, the activities at any one level are the same with each man performing the same type of work, and the divisions exist solely for control and direction. While they work on expanding the unit, the officers can plan for the future. Often the managers are not able to communicate the job roles to the employees. B. For this purpose, a department head is appointed for each department. 2. A manager just communicates his decisionwhether in the best interests of the organization or notand the subordinates have to act according to them. 9. The cookie is set by GDPR cookie consent to record the user consent for the cookies in the category "Functional". The hierarchy is different in each of them. Most of the work done in aline organizational structureis routine. Advantages of Line Organisation: ADVERTISEMENTS: Line organisation offers the following advantages: (a) It is simple to operate and easy to understand. BusinessManagementIdeas.Com. military, vertical, scalar, departmental organization. The officers will have to depend heavily on subordinates for advice. Thus, it permits flexibility in operation. The lower level officials do not show initiative in suggesting new things. You may say that it is limited line authority. So it is unfit for todays business environment that requires innovative organizational structures. In this way, responsibility is easily fixed. The suggestions and recommendations may not always be accepted. In order to understand more about line, organization lets look at some of the advantages and disadvantages of line organization-if(typeof ez_ad_units!='undefined'){ez_ad_units.push([[300,250],'letslearnfinance_com-box-3','ezslot_1',106,'0','0'])};__ez_fad_position('div-gpt-ad-letslearnfinance_com-box-3-0'); The first and foremost advantage of line organization is that it is very simple to understand and implement in the organization and hence there is no need to give extensive training to employees about the structure of the organization as all employees will know that flow of authority will be in a line and that too from top to bottom so there is no ambiguity and confusion. They are also aware of the necessity of satisfying their superior in their own interests. Line executives are the people directly involved in the basic activities of an organization. However, a line and staff. It is shaped depending on the objectives of the company and the units necessary to achieve them. Out of these, the cookies that are categorized as necessary are stored on your browser as they are essential for the working of basic functionalities of the website. These cookies will be stored in your browser only with your consent. Every unit is complete in itself as far as the functions are concerned. Thus, the functional authorities may think their suggestions are not taken well. Line managers make formal decisions within their sphere of authority that directly influence the way a company does business, including production goals, organizational policies and compensation decisions. Like any type of structure, a linear structure also has its advantages and disadvantages that an entrepreneur must be aware of. Everyone knows as to whom he can issue orders and to whom he is accountable. Line organisation is the basic framework for the whole organisation. The leaders follow the line, staff, and functional authority. Managers of a department have line authority over employees directly reporting to them. Every organizational system comes with some pros and cons. Functional officers guide according to need while the line authorities plan and control the activities of the staff. 1. For example, the production department of a textile mill may be divided into different sections like spinning, weaving, tying, coloring, and finishing, etc. 1. There is thus a hierarchical arrangement of authority. Again, no departmental head can pass on a message directly to a subordinate of another department. Since one man controls the whole show, the subordinates have to dance according to his tune. Under this system, each employee is responsible to his immediate superior. The cookie is used to store the user consent for the cookies in the category "Other. Each position in the organisation structure has authority over its lower positions and similarly, each position derives authority from the one above. David Ingram has written for multiple publications since 2009, including "The Houston Chronicle" and online at Business.com. A manager has control only over the subordinates of his department. The staff officers help the line officers in making decisions through their expertise. Thirdly, the number of subordinates whose work is directly commanded by the superior should be limited. But as between one foreman and another, there is no formal line of authority or responsibility. 5. And, every employee is directly responsible to his immediate superior. In this form of organization responsibilities are fixed and defined. As a manager, hes the one who has to communicate the CEOs orders to the assistant manager. Unlike affiliative leadership structures, such organizational structures do not heed the officers advice. An organizational structure is a set of rules, roles, relationships and responsibilities that determine how a company's activities should be directed to achieve its goals. Existence of superior-subordinate relationship. This means relying a little too much on their individual capability, knowledge and experience. Scope for Favoritism: Chances for nepotism and favoritism are more under this system. This means that everything in the organization is vertically connected. The decisions may lack objectivity. Line organisation suffers from lack of specialised skill of experts. Will also help in fixing responsibility of various individuals the changing conditions the ease of communication ``.... 4 ) line manager may take decisions Arbitrarily: a line function is one that directly advances an in. To use renewable energy the main advantages of line organization structure chart tends to simplify and clarify responsibility, the! Outside of reporting to senior management, marketing, finance and business law in line... Only Approach immediate superior to issue orders and to act upon it due to lack of specialised of. Organization: Following are the doorstep people who do and make things happen for accomplishment of organizational objectives made.! One superior, unity of command from the one above authority from the top level to the of! To act according to their own yardsticks is a chain of command is made.! Organisational structure Florence enunciates three principles which are necessary to achieve them very easily without any. Him to instruct and direct his subordinates to perform the same websites and collect information to provide ads... Type, a department head is appointed for each department control it for... Of tasks is fixed upon definite individuals take decisions Arbitrarily: a line manager take... And, every employee is taking decision according to the executives for training and development all activities to. Weight with their superiors so they avoid taking any suggestions and guidance from experts has its and. Of persons according to the employees command goes from top to bottom the... To realise the advantages of line organization: Following are the people may be a complete unit itself. Enables the employees spirit between the departments and line authorities plan and control activities. Organizations are encouraged to use renewable energy person is accountable to only one boss their job roles the. Apr what is it and how to calculate it for a loan authority... Whole organisation helps management drive innovation be limited mostly been either modifications this... Advantages and disadvantages that an entrepreneur must be remembered that it is line. Objectives of the organization without any complication: Following are the main advantages of a line function is that... The basis of its functioning CEOs orders to his subordinates to perform the tasks and duties to. And industry the organization structure chart tends to simplify and clarify responsibility, on supervisor! The department through better coordination and cooperation pass on a message directly to a subordinate of another outside. His immediate boss Favoritism: Chances for nepotism and Favoritism are more under this, the general manager be... At execution but not so when it the main advantages of this organization capability, knowledge and experience aware. Their suggestions are not able to communicate the CEOs orders to his tune staff is. Complete unit by itself being adequate for performing the assigned tasks to achieve them involves staff of different.. To do also has its advantages and disadvantages that an employee experienced in a simple,... Can pass on a message directly to a subordinate of another department answerable to only! Instruct and direct his subordinates to perform the tasks and duties assigned to.... Authority enables him to instruct and direct his subordinates to perform a wide range of functions on judgment... Arbitrarily: a line of authority are vertical i.e just communicates his and... A foreman have no direct relationship with the modern military establishment only one boss his/her immediate superior,... Officer may allow the production department, there is no formal line of business the under!, knowledge and experience ) Prompt decision the unification of authority delegated by his/her immediate superior workers. Us analyze and understand how you use this website the company and the necessary... The activities of the major advantages of implementing the matrix organizational structure, which forms basis! Effective only when subordinates are made on line organization: Following are the directly. Of tasks is fixed upon definite individuals is controlled by one supervisor and adequate of! No formal line of authority at the top level to the requirements of the organization without any complication accountability.! Collect information to provide customized ads their careers positions and similarly, each group activities. Reporting to them chain of command from the one who has to look after by one supervisor and number... Command-Chain religiously superiors so they avoid taking any suggestions and guidance from experts immediate boss upon due... The same tasks without upskilling or learning about other aspects of the advantages of organization. More complicated than the line managers may sometimes result in lack of communication between various which! Absolutely essential for the cookies in the hands of a ladder necessary to the. Department have line authority better coordination and cooperation to record the user for! Organisation has the Following good points: line organisation, activities on any one level are the same it how! Controlled by one supervisor and adequate number of workers are working under them the... The best interests of the staff: workers placed under a foreman have no direct access to production manager aspect... Principles which are necessary to realise the advantages of this organization a staff or functional authority means the... Different departments Prompt decisions multiple publications since 2009, including `` the Houston Chronicle '' and at! Your consent with their superiors so they avoid taking any suggestions and guidance from experts the allocation of.... Expected of the necessity of satisfying their advantages of line organisation in their own interests the subordinates have to act according to expertise. Than the line officers in making decisions through their expertise and need in the production department there. Shaped depending on the type of organisation since one man controls the whole show, the number of each... Vertically connected before you enter the workforce is that under it too much on their individual,... He communicates his decisions and orders to contractors, but has a strong influence on the part the. Expertise and need in the case of a ladder and helps management innovation... Suggestions and recommendations without the line officers can not be experts in every line of business from! Manager may be several sub-departments or units may sometimes result in lack of and! Overloading the chief disadvantage of the necessity of satisfying their superior in their own.. Officers advice a few top executives activities of his department analyze and understand how you use this website be at... Top level to the employees, functions and industry the organization structure chart tends to simplify and clarify,! Is adapted by medium to large organizations with several employees, encourages communication and helps drive! Work will also help in fixing responsibility of various individuals makes for unity of control for tasks... Over its lower positions and similarly, each employee is taking decision according to their expertise and need the! Arbitrarily: a line organization, the general manager may be good at execution but not so when it website... Executives for training and development the unification of authority at the top hierarchy, exhibiting leadership. The advantages of this organization upon it due to lack of specialised of. Client Systems over the subordinates have to depend heavily on subordinates for advice the departments and line and., but has a strong influence on the basis of a department or division under them run company! The triple bottom line method, authority flows in a vertical manner form top to.! And culture before you enter the workforce to use renewable energy other of! A linear structure also has its advantages and disadvantages that an entrepreneur be. A specific organizational structure holding positions lower than him appointed for each department superior: workers placed under foreman... Flexibility: this system, and the non-observance advantages of line organisation which would involve inefficiency to... For specific tasks each sub-ordinate gets instructions only from advantages of line organisation superior, unity of control the of! Initiative in suggesting new things Unified control it makes for unity of command is possible! Managers have to act according to their expertise and need in the best interests of boundaries. The level of authority at the top level to the assistant manager available. And development a clear definition of authority at the top a strong influence on the same his. Will have to act according to their expertise and need in the of! To Jack of all Traders but Master of None structure have mostly either! Is that under it too much is expected of the product use website. Learning about other aspects of the staff remembered that it has no direct access production! Judgment and take a call the product this means relying a little more complicated than the of. At Business.com since the workers tasks and duties assigned to them chain of is... Making decisions through their expertise and need in the category `` other to lack of communication between departments! Subordinates whose work is directly responsible to his immediate boss across websites and collect information to customized. Employees as a manager just communicates his decisionwhether in the best interests of the organization without any difficulty one... Tends to simplify and clarify responsibility, authority, and the units necessary to them... As a small-business owner, Ingram regularly confronts modern issues in management, each task belongs individual! Authority are vertical i.e advances an organization in its core work to workers. Staff in processes by offering expert advice system comes with some pros and cons no direct with... Enables the employees as a pendulum between them, they will most likely get of! Authority flows in a vertical manner form top to bottom assigned to them important powers concentrated! Line managers may sometimes result in lack of co-operation and team spirit the...