What is line organizational structure

what is line organizational structure

Line Organization | Characteristics | Types | Advantages | Disadvantages

Line organization structure is the oldest and simplest form of organization. In these organizations, a supervisor exercises direct supervision over a subordinate. Also, authority flows from the top-most person in the organization to the person in the lowest rung. A line-staff organizational structure attempts to render a large and complex enterprise more flexible without sacrificing managerial authority.

This is the oldest and simplest form of the organization and is popularly known as military organization. But it must be remembered that it has no direct relationship with the modern military establishment. Under this type of organization, each department control is vested with one individual who is known as Departmental Head. All the departmental heads are responsible to their immediate superior i.

General Manager. The General Manager is responsible to the Board of Directors who are elected by the shareholders of that what is line organizational structure organization.

It is simply used to indicate the straight flow of authority resembling the line of command in a combat unit. The departmental head has full authority to manage and control of that department. The direct relationship is prevailing between the what is line organizational structure and immediate superior.

Image: Departmental line organization chart. Source: accountlearning. In this model chart, the enterprise has three departments or shops namely, Foundry shop, Machine shop and Assembling shop. A foreman heads each department. Authority and instructions pass on from the General Manager to the Lne Superintendent and from the Plant Superintendent to the Foreman and from the Foreman to the workers.

Under this system, each employee is responsible to his immediate superior. This type of organization is highly suitable to the small size business organization. All the employees are performing the same type of work at one level. A whaf of employees is controlled by one individual. Likewise, organizationao groups are formed and placed under the control of an individual for the sake of convenience of control. 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.

The departmental manager is responsible or answerable to his immediate superior i. Sometimes, several sub-departments are formed within one department for effective administration purposes.

For example, Sales Department. Each sub-department is look after by one supervisor and adequate number of workers are working under them. The workers get instructions from the supervisor and the supervisor gets advice from the departmental head.

Hence, there is no contact between Sales Manager and the workers. Simplicity : This system is very simple and can operate very easily. It explains the tasks of every worker in an organization. Even the workers at the lower level can understand the structure of this organization.

Directness : Since the authority flows directly from the immediate superior, each employee knows to whom he is responsible. Fixed Responsibility : Under this system, the duties and responsibilities are clearly defined for each employee.

Therefore, they can proceed their work without any confusion or misunderstanding. Organizatinal this way, responsibility is easily fixed. Hence, nobody is escaped from the responsibility. Unity of Command : Since the workers are organizatiknal only to one superior, unity of command is made wuat.

Flexibility : This system is flexible in the sense that it is subject to quick adjustments to suit the changing conditions. Any change in the policy can be kine promptly in all the branches of the organization without any difficulty. Storage Discipline : The vertical arrangement of authority and the singleness of responsibility ensures excellent discipline. Economical : Of all the systems of organization, it seems to be more economical because it is less elaborate and less complicated.

Minimum number of employees how to install a lux tx500e thermostat required to adopt line organization. Moreover, whenever the adjustments are made on line organization, there is no need of additional employees. Hence, less expenses is incurred for adopting line organization.

Direct Communication : As this system enables direct contact between the superior and his subordinates, direct communication is made possible. This avoids all kinds of misinterpretations and ensures peak performance. Coordination : Since each department is controlled by one man, complete coordination throughout the department is assured.

Development of Executives : This system offers more opportunities to the executives for training and development. Quick Decision : Quick decisions are taken by the employees because of unification of authority and responsibility. This line system is how to keep spiders away from porch without disadvantages.

The following are the main drawbacks of this system:. Overloading : The success of this system largely depends upon the ability of the top executive. Hence, this system over loads him and consumes most of his energy with the details of the operation. Lack of Specialization : Since one man has to take decisions on various matters, this system does not foster specialization. Inadequate Communication organizationa Though this system ensures direct communication from the top level to the lower level, it provides no arrangement for communication from the bottom to the top level.

This may lead to wrong adjustments or wrong decision-making on the part of the executives. Lack of Initiative : Since there is utmost how to shave without razor bumps women of authority in the hands of the top management, the section how to find a company tax id will lose their initiative.

Instability : As the success of lone system mainly depends upon the ability of one or two persons, the whole organization shall upset and collapse if they leave the enterprise. How to apply for toefl exam, this is unstable. Scope for Favoritism : Chances for nepotism and favoritism are more under this system. Since one man controls the whole show, the subordinates have to dance according to his tune.

Red Tapism and Bureaucracy : Concentration of authority in the hands of a single man shall result in red tapism at all levels. However, this system can be suitably followed:. Table of Contents What is a Line Organization? Related Posts. Tags: organization.

Business Studies XII Content

Line organisation is the simplest and the oldest type of organisation. It is also known as scalar organisation or military type of organisation.

The adoption of a particular form of organisational structure largely depends upon the nature, scale and size of the business. The organisational structure is primarily concerned with the allocation of activities or tasks and delegation of authority. Line organisation is the simplest and the oldest type of organisation.

It is also known as scalar organisation or military type of organisation. In the words of J. An important characteristic of such type of organisation is superior-subordinate relationship. Superior delegates authority to another subordinate and so on, forming a line from the very top to the bottom of the organisation structure. Scalar principle and unity of command are strictly followed in line organisation.

This type of organisation resembles with the army administration or military type of organisation. As in case of military, commander-in-chief holds the top most position and has the entire control over the army of the country, which in turn is developed into main area commands under major-generals. Each area has brigade under brigadier-generals, each brigade is fabricated into regiments under its colonels, each regiment into battalions under majors, each battalion into companies under captains, each company sub-divided under its lieutenants and so on drawn to corporal with his squad.

In practice, such type of organisation rarely exists. In this type of organisation all the workers perform the same type of work. The departmental divisions are made only for the sake of convenience of supervision and management. Under this type of organisation, an organisation is divided into various departments headed by different departmental heads.

All the departments operate under the ultimate control of general manager. The orders flow directly from the general manager to all the departmental heads that in turn pass on to their respective subordinates.

Likewise, the subordinates, inturn, communicate the orders to the workers under them. The various departmental heads will be perfectly independent of each other and they will enjoy equal status the central idea, in the formation of such departments is not similarly or dis-similarity of functions or activities, but unity of control and line authority and responsibility from the top of the organisation to the bottom.

The line organisation can be successfully followed where a scale of operations is limited or business is on small scale basis, b work is simple and routine in nature, c business is being done in continuous type of industries like oil refining, sugar, spinning and weaving etc. Orders and instructions flow from top to the bottom, whereas requests and suggestions move from bottom to top.

The principle of unity of command is the most salient feature of this type of organisation. In simple words, the orders are received by the subordinates from one boss.

Duties and responsibilities are clearly defined for each individual with reference to the work assigned to him. As a result everybody knows to whom he is responsible and who are responsible to him.

Nobody can avoid responsibility. This type of organisation ensures better discipline in the enterprise.

Singleness of responsibilities facilitates discipline in the organisation. The workers at the lower levels will be more loyal and responsible to one single boss rather than to a number of bosses.

It is flexible in the sense that it is subject to quick adjustments to suit to changing conditions. In simple words, it is more adaptive to the changed circumstances. It helps to achieve effective co- ordination. All the activities pertaining to single department are controlled by one person.

As there will be direct communication between the superior and the subordinates at different levels it would be helpful in achieving promptness in performance. Every worker is accountable to one boss in the department under this type of organisation.

In this manner it is in accordance with the principle of unity of command. It is not complex and expensive. It is simple and economical in operation. It does not need any expert and specialised personnel. On account of its simple operation and unified control and responsibility, decisions can be taken promptly. The process of decision-making is further quickened as the decision is taken by one person.

Under this organisation, the department head is fully responsible for every activity in his department. He discharges his responsibilities in an efficient manner. He comes across many problems and obstacles in performing his duties. This provides him an ample opportunity to enhance his capabilities and organisational abilities and is greatly helpful in his overall development and performance.

The main disadvantage of this system is that it tends to overload the existing executive with too many responsibilities. The work may not be performed effectively on account of innumerable tasks before the single executive. Absence of managerial specialisation is the major drawback of this system.

On account of many functions and complexities it is very difficult for a single individual to control all the matters effectively. The executive may not be expert in all aspects of managerial activities. The burden of responsibilities on the shoulders of the manager can crush him under the heavy workload. There may be a good deal of favouritism and nepotism under this type of organization. This is because each departmental manager or head carries the functioning of his department in accordance with the ways and means suitable to him.

Under line organization, ultimate authority lies in the hands of top management and departmental managers or heads have little powers. This adversely affects their initiative and enthusiasm to motivate the subordinates working under them.

Under line organisation suggestions move from down to upwards the superiors usually do not pay attention to suggestions sent by lower ranks. This leads to inadequacy of communication from subordinates to superiors.

As the very name suggests, functional organisation implies that the organisation should be based on various functions. The principle of specialisation embodies the concept that both the workers and the supervisors can develop a higher degree of proficiency by separating the manual from the mental requirements. Taylor recommended that there should be functionalisation even at the shop level where workers have to produce goods.

He felt that the usual practice of putting one foreman incharge of some 40 to 50 workers should be avoided. Every worker in the organisation is directly connected with these foremen. The first four bosses operate from Planning Department, whereas the other four are known as Executive Functional Bosses. They function in the production department. He lays down the exact path or route to be followed by raw material transforming it into finished product. He prepares detailed instructions to be followed in doing the work as per the route laid down by the route clerk.

He determines the total time to be taken in the completion of a product and also works out the cost of production per unit and total cost. He prepares various work schedules and cost sheets in order to have proper control over time and cost incurred in producing goods. He is responsible for maintaining proper discipline in the organisation. In fact, he is the guardian of orderliness in the factory.

In the words of Kimball and Kimball Jr. He is helpful in resolving minor disputes regarding wages, holidays, working conditions and hours of work etc. He initiates a proper code of conduct in the organisation. He makes the availability of different machines and tools required by workers to carry out their work. He also provides various production designs, drawings, raw materials etc. He controls the speed of different machines operating in the organisation. He sometimes demonstrates the workers the proper speed with which the machines should operate.

He undertakes proper supervision over speed of machines. He is concerned with proper maintenance and repairs of machines for keeping them in working order. He checks and certifies the quality of work i. Achievement of pre-set standards is confirmed by the inspector.

He develops the feeling of quality consciousness among the workers. In order to carry out his job effectively, an inspector must possess proper knowledge and the technicalities involved in quality control. While developing the concept of Functional Foremanship, F.

Taylor suggested that it is unscientific to overload a foreman with entire responsibility of running a department. He advocated that direction of work should be decided by functions and not be mere authority. He thought that to be successful in performing his duties a foreman should possess various qualities viz. Spriegel has nicely explained Functional Organization. Functional organisation also operates at higher level of management.

The whole work in the organisation is divided in various departments. Similar type of work and transactions are put in one department under the control of a departmental manager or head. Various departments are also known as functional areas of management viz. The respective managers of these departments will be responsible for carrying out various activities of their departments in the organisation.

For example, marketing manager will be responsible for carrying out marketing activities and personnel manager will be responsible for looking after the personnel matters in all the departments of the organisation. The underlying idea of functional organisation at the top level of management is that a subordinate anywhere in the organization will be controlled and commanded directly by number of managers operating in different departments.

This system derives the benefits of specialisation. As every functional incharge is an expert in his area, he will guide using his specialisation and with the help of the subordinates, try to attain the specified objectives. This type of organisation ensures enhanced efficiency as the workers operate under the expert and competent personnel and perform limited operations.

The functional foremen have to carry out the limited number of duties concerning their area of work.

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