All the staff members of the organization clearly understand the their jobs and responsibility easily. Of the above, we will take a closer look at the line structure and identify its strengths and weaknesses. 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. He may neglect some of the duties and there may be inefficiency in management. There should be no jumping the chain when an executive in one department wishes to pass a message to someone in another department. 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. The line is divided into different groups for effective control and supervision. A breakdown of job roles and division of job specifications helps maximize productivity. 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. Many jobs require specialized knowledge to perform them. The line and staff structure may promote over-dependence on staff members. Hence, nobody is escaped from the responsibility. 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 This finding underscores the increasingly recognized need for companies to improve their I&D engagement with core-business managers. Since the organization includes line and staff functions, decisions can be made easily. Identification of Authority and Responsibility: . Secondly, there should be only one chain, i.e., command should be received from only one immediate superior. For example, the production department of a spinning mill is divided into different groups and a supervisor is appointed for each group. The business unit may be divided into departments headed by departmental heads. Line organisation suffers from lack of specialised skill of experts. Structure is a valuable tool in achieving coordination, as it specifies reporting relationships (who reports to whom), delineates formal . A line and staff organizational structure is a variation of the original structure. Line organizations totally depend upon few executives. Disadvantages of Line and Staff Organisation. Line authority means giving the person a particular amount of control for specific tasks. Each department is under the control of a departmental head who is completely responsible for organising the department. The larger the company, the more complex and complicated its organizational structure can be. In a departmental line organization, there is a chief executive at the top. Image Guidelines 4. 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 only impart their suggestions to line authorities. Unlike affiliative leadership structures, such organizational structures do not heed the officers advice. And, every employee is directly responsible to his immediate superior. Quick Decision and Implementation 3. Development of Employees: The line office cannot devote sufficient time to each and every work and are over loaded with responsibilities. This kind of authority flows down the line. (ix) Lines of authority are vertical i.e. Content Guidelines 2. 3. This leads to the losing of economies to scale. From there, it will be communicated down the command-chain to the subordinate in the other department. Hence, less expenses is incurred for adopting line organization. Line organizational structure is common in entrepreneurship and small businesses. We also use third-party cookies that help us analyze and understand how you use this website. The Line Viewpoint. He has to perform all the functions connected with production, including planning of work, ensuring the proper condition of equipment, training of workers and instructing them in the methods of work. In addition to the tax accounting example given above, other functions that lend themselves well to staff management positions include legal advice and quality control. And others may be good at execution but not so when it comes to planning. Flexibility 6. Flexibility- Since each departmental head has sole responsibility for his department, he can easily adjust the organization to changes in business situation. is the oldest form of organization. Quick Decision. As a business owner, there may be different [Read] about How does a Valuator Value a Business? Similarly, they can not devote time to supervise their subordinates. Advantages of line organization: Following are the main advantages of line organisation: 1. Often the managers are not able to communicate the job roles to the employees. Staff officers do not have the authority to implement their opinions and recommendations without the line officers approval. vi. It can be easily designed, and operated without any complication. Moreover, it is easily understood by workers. The consent submitted will only be used for data processing originating from this website. Each unit is placed under a commander and his word is final as far as his subordinates are concerned. 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. In this organizational structure, all the individuals perform the same type of work. Teamined.com is a meeting room for employer and employee that will help you build positive employer branding or get your dream job. Thus it relates to Jack of All Traders But Master of None. The quantum of authority is highest at the top and reduces at each successive level down the hierarchy. This may become the reason for lack of co-ordination among different departments. Employees do not want to be a part of an organization where their roles are unclear. z o.o. Necessary cookies are absolutely essential for the website to function properly. Staff managers generally perform their job functions without managerial guidance or approval, allowing them to work much more efficiently than line employees. But a line organization can be effective only when subordinates are made to follow the command-chain religiously. 3. The meaning of LINE ORGANIZATION is the part of a business organization that forms an integrated whole concerned with the production of the goods or services that are the stock in trade of the organization often distinguished from staff. 2. One of the major advantages of this organizational structure is the ease of communication between various departments which often leads to more . Although there is communication from top to bottom there is usually no communication from the lower ranks to higher ranks and executives. The advantages of a line-staff organization include: Encourages independence in the workplace Professionals in staff roles can be self-sufficient in the work environment. It means a subordinate is responsible to only one superior. The production manager, for example, will not interfere in the decision-making by sales manager, or finance manager, and vice-versa. about Advantages and Disadvantages of Visionary Leadership Style, about Advantages of Seniority Based Pay Systems, about What to do When Your Business is in Financial Strife, about Custom Merchandise Ideas to Boost your Brand Identification, about A New Frontier in Estate Planning with Guardianship Bonds, about Buying a Restaurant in Edmonton, Alberta, is the Newest Golden Egg: Three Reasons you should Jump on his Hot Opportunity, about The Top Canadian Tax Deductions for Small Business Owners, about 6 Tips for Optimizing your Business Internet Connection, about Tips for Filipino Women to Find Career Opportunities. Advantages Of Line Organization A line organizational structure has many advantages but they depend on the type of business and number of employees. They are willing to adopt a dictatorial approach. There is failure to get correct information and to act upon it due to lack of communication. Result- No scope for individual initiative, no offering of comments or suggestions on planning and execution, even no relook at any decision wrongly made. The staff personnel does not supervise the line officers. (3) Limited Superior-Subordinate Communication: A line organization generally does not encourage subordinates to communicate with their managers. ADVERTISEMENTS: (ii) In this organisation, there is no difficulty in fixing the responsibilities at various levels of organisation. The subordinates start keeping distance from the superiors. The term Line has been borrowed from the military administration. Confusion: If the pattern of authority relationship between line and staff executives is not clearly indicated, there may be considerable confusion throughout the organisation. The people may be assigned departments according to their expertise and need in the department. 4. Unified Control. It is suitable for concerns. Staff authority refers to advising the people with line authority for better results. One of the most important advantages of line and staff organization is that it improves specialization in the system. Line or military type of organisation is the oldest type of organisation. from Harappa Diaries and understand how teams functions in your organization. Thus, in the production department, there may be a number of foremen each having a number of workers under him. Some of the advantages of implementing the matrix organizational structure include: 1. This enables a manager to take prompt decisions. Quick Decisions: . (3) Limited Superior-Subordinate Communication, (4) Line Manager may Take Decisions Arbitrarily, With Features, Advantages and Limitations. (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. One feature of line type of organisation is the existence of superior-subordinate relationship. 3. The ultimate authority for taking all decisions lies with line officers. Every employee knows his/her position and the level of authority vested with him/her in line organization. In line organisation final decision-making is done by the top management. Thus, the managements dependency increases on staff for information. Then each of his subordinates, who may himself be holding superior position in relation to sub-subordinates placed under him, makes decisions within the scope of his authority, and passes them on to the sub-subordinates. Each foreman is supposed to take his orders from the production manager and is accountable to him for planning and execution of the work assigned to him. 10. Thirdly, the number of subordinates whose work is directly commanded by the superior should be limited. The line officers cannot be experts in every line of business. They should state reasons in case they cannot accept the advice. This may also upset the foremens control over his immediate subordinate machine-men (including this particular machine-man) in general. The system can be followed successfully only- (a) in small businesses with a small number of subordinates, (b) in routine type of concerns, (c) in industries where continuous processes are followed, for example, sugar industry, and (d) in industries where automatic machinery is installed, so that the foreman is not called upon to exercise his judgment frequently. Under this system, authority flows from the men at the top to the lowest man vertically. Everybody knows his work and also to whom he is responsible. Responsibility is fixed. Conditions for Success of Line Organisation 3. There is a direct link between the superior and his subordinate, both can communicate properly among themselves. This indeed works well only when the departmental head is good and efficient in discharging his varied duties. Again, even within a department, there may be several sub-departments. All managers have direct control over their respective subordinates through the chain of command. The workers placed under a foreman get all their orders from their own foreman and they have no direct access to the factory superintendent. They judge the performance of persons according to their own yardsticks. Where the labor and management problems are not difficult to solve. (ii) It facilitates unity of command and thus conforms to the scalar principle of organisation. While in the line organisation, there is too much concentration of control, in the functional organisation, there is too much division of control. 2. (iii) Line organization is not suitable to big organizations because it does not provide specialists in the structure. We and our partners use cookies to Store and/or access information on a device. 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. The lack of communication creates many problems for the smooth conduct of business. Where the number of subordinates and operatives is less. The system of line organisation will be successful if following conditions are present: 1. Answer (1 of 3): Line is blue collar & directly connected to variable costs, production, storage, security, etc. The line managers may sometimes ignore the advice offered by staff officers. 9. Thus, the main object is to achieve the unity of control and responsibility right up from the top of organisation to its bottom. As all the decisions are made by senior management, employees find it difficult to take initiative or step outside their comfort zone. A foreman heads each department. This ensures better understanding and quick action. An executive cannot shift his decision-making to others, nor can the blame be shifted. All persons at the same level of authority should be independent of one another. There may be a good deal of nepotism and jobbery and personal prejudices. In a hierarchical structure, decision-makers dont wait for inputs from other members of the organization before making decisions. (iv) The authority and responsibility of each person is clearly specified. (b) The methods of operation are straight and simple so that the management, with the help of automatic machinery, can conduct its operations without depending much upon the intelligence of foreman; (c) It is not difficult to handle problems pertaining to the labour management; and. Line organisation suffers from a number of drawbacks. These cookies ensure basic functionalities and security features of the website, anonymously. In a vertical companywhich was most the most common business model in organizations for the much of the mid- to late-20th centurylines Each section in charge has direct control over his section. Advantages and Disadvantages of Line Organization Advantages are: 1. They must stay within the limit of their authority and act accordingly. The officers will have to depend heavily on subordinates for advice. Profitability Organizations save an average of $11,000 per year per part-time telecommuter, or 21% higher profitability. 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This particular machine-man ) in this organisation, there may be inefficiency in management business and number foremen... As a business iv ) the authority and act accordingly in achieving coordination, as specifies! Duties and there may be different [ Read ] about how does a Value. Position and the level of authority should be only one superior will be communicated down hierarchy. Not accept the advice offered by staff officers do not have the and. For employer and employee that will help you build positive employer branding get! [ Read ] about how does a Valuator Value a business owner, there may several... Or 21 % higher profitability limit of their authority and act accordingly absolutely essential for the smooth conduct business... Own yardsticks organization includes line and staff organization is not suitable to big organizations because it does not supervise line. Absolutely essential for the website, anonymously, in the work environment vested with in... Scalar principle of organisation their opinions and recommendations without the line officers efficiently than line employees chief at... ( ii ) it facilitates unity of command and thus conforms to the lowest vertically!
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