advantages of line organisation

Each employee is taking decision according to the level of authority delegated by his/her immediate superior. The line authorities and higher management make decisions after considering the suggestions of functional officers. These cookies will be stored in your browser only with your consent. He need not to waste time in getting instructions from above. 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. The General Manager is responsible to the Board of Directors who are elected by the shareholders of that business organization. So it is unfit for todays business environment that requires innovative organizational structures. 5. The following are the main drawbacks of this system: 1. The lower positions derive authority from the positions above them. 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. The line is divided into different groups for effective control and supervision. The line officers only have to perform the routine work and leave the rest to staff officers. The line managers may sometimes ignore the advice offered by staff officers. (i) Heavy Burden of Work- Since the departmental head has to look after all the activities of his department, he is over burdened with work. Advantages Of Line Organization A line organizational structure has many advantages but they depend on the type of business and number of employees. The departmental head has full authority to manage and control of that department. 2. 2. They may consult the functional managers for advice and work with staff to improve relationships within different departments to improve overall organization performance. The Line Viewpoint. Disclaimer 8. The operation of line organization is very simple. Where the process of production is continuous or special. 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. The functional staff does not have any direct input in organizational operations. 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. The general manager in turn is responsible to the board of directors elected by the shareholders of the business concern. Further, if superiors were to make a wrong decision, it would still be carried out, because the subordinates are afraid of pointing out that the decision is wrong. 3. The officers at downward positions derive authority from the top. The flow of orders, communication of suggestions and complaints etc. In a line organization, the responsibility for the performance of tasks is fixed upon definite individuals. Thus, the managements dependency increases on staff for information. His task is challenging and he is expected to discharge his responsibility in an efficient way. 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. The top management has the final say in all decisions and processes within the company. Development of Employees: The officers will have to depend heavily on subordinates for advice. Each staff is clear about his authority and . Thus, this system can be successfully practised where: (a) The business is carried on a small scale with a small number of subordinates and operatives. And, every employee is directly responsible to his immediate superior. There may be a good deal of nepotism and jobbery and personal prejudices. Expert Advice: The staff officers provide expert advice and guidance to line officers and by this, the enterprise as a whole gets benefit. 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. B. from top to bottom. This system of organization is also known as Scalar, Traditional or hierarchical form of organization. Line managers sit directly in the chain of command in a company's hierarchy, and are responsible for overseeing subordinates and reporting to their own managers. The advantages are noted below. Staff officers do not have the authority to implement their opinions and recommendations without the line officers approval. The lack of managerial specialisation is the demerit of line organisation. 5. (5) Co-ordination between different units is being achieved by co-operation between departmental heads or executives responsible to conduct different units. Of the above, we will take a closer look at the line structure and identify its strengths and weaknesses. The managerial growth also suffers because lower level persons are not involved in decision-making process. His message will first travel up the command-chain (called scalar chain by Fayol) and reach the manager who has authority over production department and the department in which the said subordinate works. Modern business is so complex that it is extremely difficult for one person to carry in his head all the necessary details about his work in his department. In line organisation only departmental head is required to take decisions and he will not waste time in deciding things. If you would like to change your settings or withdraw consent at any time, the link to do so is in our privacy policy accessible from our home page.. Moreover, whenever the adjustments are made on line organization, there is no need of additional employees. Line managers are vital to the success of any growing business. It can be easily define and explain to all staff. Further, the span of supervision theory says no executive in a line organization should be burdened with supervising more than a manageable number of subordinates. The general manager is in charge of all the departments and he can easily co-ordinate the work of various departments. Above all the departmental heads, there is a general manager to whom all the department heads are responsible. For example, the functional structure provides all authority to the manager. about How does a Valuator Value a Business? 4. Among the advantages of a line structure, experts most often include: A line-and-staff organizational structure features multiple layers of managers, assistant managers and supervisors, all of whom report to a single managing director. Characteristics of line organization are listed below. (iv) The authority and responsibility of each person is clearly specified. While in the line organisation, there is too much concentration of control, in the functional organisation, there is too much division of control. They are the doorstep people who do and make things happen for accomplishment of organizational objectives. Each section in charge has direct control over his section. Direct supervision and control also helps in maintaining strong discipline among the workers. Advantages of Line Organization The line organization has the following advantages: 1. It improves different coordinations among all employees and personnel. Each sub-ordinate gets instructions only from his/her immediate superior directly. In line organisation, the line of authority consists of an uninterrupted series of authority steps and forms a hierarchical arrangement. You have to be mindful of the levels of management when you want to communicate or exchange ideas. Line managers are required to both plan and execute the tasks and duties assigned to them. They judge the performance of persons according to their own likings. Its important to understand organizational values and culture before you enter the workforce. 2. Line organization is the oldest and simplest method of administrative organization. It increases employee turnover rates in such organizational structures where authority conflict arises. Each of these departments will report directly to the supervisor above them. Another way is by seeking . Advantages and Disadvantages of Line Organization Advantages are: 1. The line and staff officers perform their functions smoothly through better coordination and cooperation. Suitability 6. Similarly, a manager has to look after various departments and functions at a time. The line authority not only becomes the avenue of command to operating personnel, but also provides the channel of communication, coordination and accountability in enterprise. In other words, the directions are issued by the man in-charge of the whole organisation and are directly conveyed to the persons responsible for the execution of work. Every person in the organization is only accountable to his superior who has delegated authority to him, and to none else. Flexibility- Since each departmental head has sole responsibility for his department, he can easily adjust the organization to changes in business situation. The leaders follow the line, staff, and functional authority. Specific people in a department are allowed to utilize their expertise in the functioning of the organization. This cookie is set by GDPR Cookie Consent plugin. A line organizational structure helps build rapport between senior management and employees. (3) Limited Superior-Subordinate Communication: A line organization generally does not encourage subordinates to communicate with their managers. Line organizational structure is common in entrepreneurship and small businesses. Each position in the organisation structure has authority over its lower positions and similarly, each position derives authority from the one above. 4. One of the most important advantages of line and staff organization is that it improves specialization in the system. The term Line has been borrowed from the military administration. Conflict between Line and Staff: One more important disadvantage is the conflict between the line and staff officers. 6. 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