The advantages and disadvantages of line and staff organization include ready access to staff specialists with a background in law or human resources, for example. Quick Decision and Implementation 3. Classical theories of organization associated with Henri Fayol, Frederick W . Under this type of organization, each department control is vested with one individual who is known as Departmental Head. This is suitable only for businesses which are run on a small-scale producing only one item and in which the workers are divided into departments according to the type of work performed by each one of them. They constitute the backbone of an organization. C. benchmarking. This leads to the losing of economies to scale. The cookie is used to store the user consent for the cookies in the category "Analytics". employees are accountable to one person the manager; possibility of quick interaction between employees and management; each employee or department is responsible for one issue; lack of specialization, which requires the top level to deal with all functions in the organization; many intermediate management links that prevent the employee from quickly contacting and getting answers from top management; low flexibility and adaptability to new or crisis situations. Flexibility- Since each departmental head has sole responsibility for his department, he can easily adjust the organization to changes in business situation. There are no staff personnel for consultation too. Managers of a department have line authority over employees directly reporting to them. Advantages of Line Organizational Structure. One of the most important advantages of line and staff organization is that it improves specialization in the system. Line-staff organization, in management, approach in which authorities There are a number of benefits of line and staff organization, in the sense that it gives relief to the line managers and they can concentrate on the implementation of policies and plans. Thus if the Finance Manager has to convey something to a superintendent in the production department, he will have to send the word upwards to the General Manager and the General Manager will then pass it down to the Production Manager and the Production Manager will further pass it down to the Superintendent concerned. Specialized employees help the line staff in processes by offering expert advice. These cookies will be stored in your browser only with your consent. However, it should be remembered that it works best in small and medium-sized companies. about B2B Account-Based Marketing: How to Grow Sales? 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. You can change your cookie settings at any time. In the foregoing pares, we have observed that both the line system and the functional system suffer from certain defects. What happens when a department manager wants to pass some message to a subordinate in another department? 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. The concept of line organization holds that in any organization derived from a scalar process, there must be a single head who commands it. The improper distribution of authority and responsibility can create problems within the organization. military, vertical, scalar, departmental organization. The line organisation represents the structure in a direct vertical relationship through which authority flows. 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. A group of employees is controlled by one individual. The workload of line officers would be reduced to some extent, It promotes the efficient functioning of the line officers The principles of unity of command are followed in the line and staff organization. Everyone knows as to whom he can issue orders and to whom he is accountable. Each unit is placed under a commander and his word is final as far as his subordinates are concerned. In a departmental line organization, there is a chief executive at the top. Managers have to involve themselves in jobs of different nature. Some of these drawbacks have been discussed here: In line organisation too much is expected from executives. Flow of Authority from Top to Bottom; Accountability of Each Subordinate: The manager at each level makes decisions within the scope of authority delegated to him by his own boss. 6. Everybody knows his work and also to whom he is responsible. For instance, a senior manager can discuss ideas and goals with a chief supervisor. Unified Control- Since the orders are given by one superior, there is no confusion among the subordinates. Both are equally important to an organization. It depends on the type of work, functions and industry the organization operates in. According to referenceforbusiness.com, staff managers often play a support role to line managers. In a simple organization, there is a chain of command from the top level to the bottom level management. Finding out your culture fit can help you thrive in the workplace. Flexibility: Staff can be added to the line and new activities may be introduced without disturbing the line procedure. So, there is a lack of stability in enterprise performance. And others may be good at execution but not so when it. Learn how your comment data is processed. Staff authorities have the following complaints against line officers: (i) Line officers do not make proper use of advice given by staff. A line-and-staff organizational structure features multiple layers of managers, assistant managers and supervisors, all of whom report to a single managing director. Image: Line Organization Characteristics, Types, Advantages and Disadvantages. Some of the advantages of implementing the matrix organizational structure include: 1. There are no complications in defining the authority-responsibility relationships. 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. 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. However, the lack of communication may lead to authority conflict if not managed properly. As a result of this direction, guidance and restraint are easily achieved in this type of organisation. (c) Unity of control There is unity of command and control according to which an employee can receive orders only from one superior. Each position in the structure has an authority over a lower position. This can be effective when organizations are short on time. They perform all types of works of creative and innovative nature. Some of them are inherent while some others are due to peculiar failings of human beings. Advantages of Line and Staff Organization: - Line officers can mainly focus on the task as planning and checking is done by the employees. 5. 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Surajs workplace follows a hierarchy. The higher management can help improve line and staff structure by well-defined job roles and considering suggestions of functional officers. Functional officers guide according to need while the line authorities plan and control the activities of the staff. Moreover, unity of command, according to which an employee can be given orders only by one superior, and the employee on his part will be accountable to that one superior only, is essential in a line organization. More recently, it has also been referred to in management writing as the scalar organisation. There is a direct link between the superior and his subordinate, both can communicate properly among themselves. Since the departmental head has to look after all the activities of his department, he is over burdened with work. B. outsourcing. It is extremely difficult for one person to handle activities of diverse nature. Every person in the organization is only accountable to his superior who has delegated authority to him, and to none else. 6. Where the number of subordinates and operatives is less. This cookie is set by GDPR Cookie Consent plugin. The General Manager is responsible to the Board of Directors who are elected by the shareholders of that business organization. In line organisation, each department is generally a complete self- sustaining unit. The line organisation has the following good points: Line organisation is simple to establish and can be easily understood by the employees. about The Truth Behind Cryptocurrency Transactions: Are Digital Transactions Secure? They are expected to take numerous decisions and supervise the work of subordinates under them. Prof. Florence enunciates three principles which are necessary to realise the advantages of this system, and the non-observance of which would involve inefficiency. 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. Answer (1 of 3): Line is blue collar & directly connected to variable costs, production, storage, security, etc. This is known by different names, i.e. To achieve organizational goals and objectives, individual work needs to be coordinated and managed. Further, it promotes the unity of command. In recent times, however, the military organisations have undergone changes similar to those occurring in the industrial and other organisations. Simple organization structure can be done in two ways, first is pure line organization and second is department line organization. There should be a single line of command. Line organization has direct vertical relationship. We use cookies to personalise content and ads, to provide social media features and to analyse our traffic. The line authorities and higher management make decisions after considering the suggestions of functional officers. Staff experts in specific areas are incorporated into the formal chain of command. Image: Departmental line organization chart. (iii) Line officers are slow to accept new ideas and they resist change. (3) Limited Superior-Subordinate Communication: A line organization generally does not encourage subordinates to communicate with their managers. For this purpose, a department head is appointed for each department. Line officers take their own decisions without looking to specialised personnel. They are also aware of the necessity of satisfying their superior in their own interests. 3. The production manager, for example, will not interfere in the decision-making by sales manager, or finance manager, and vice-versa. Outside of reporting to senior management, each task belongs to individual employees. 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. There may be a lack of operational uniformity among various departments. All organizations follow specific organizational structures to run the company smoothly. 2. Your email address will not be published. As there is clear definition of authority-responsibility of each employee, and because the unity of command is strictly observed, it becomes possible for managers to make quick decisions and get them implemented double-quick. This cookie is set by GDPR Cookie Consent plugin. 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. Ideally, it distributes the power, supports knowledge sharing, and encourages employee accountability. It allows them to look for plans for the growth of the company. Required fields are marked *. This type of organisation is largely existing in modern industry. Its a simple, no-fuss setup where you know exactly who youre reporting to. Each foreman works independently, without any formal line of authority or responsibility with other foremen and takes orders from his superior or superintendent to whom he is directly responsible. If the executives try to keep up with every activity, they are bogged down in myriad details and are unable to pay proper attention to each one. All the departmental managers enjoy equal status and work independently. In spite of many limitations, the importance of line organisation cannot be minimised. Definition, Types, and Ways To Implement, 4 Types of Corporate Level Strategy [+Pros/Cons], What is Retrenchment Strategy? Understanding the difference in the role of staff and line functions makes the best use of the workforce within the organization. Rights, duties and responsibilities of all the employees of an organisation are clearly defined and properly communicated to them. Where the scale of business is comparatively small. The hierarchy is different in each of them. A foreman heads each department. Everybody is responsible for his work and is accountable to his boss. He communicates his decisions and orders to his subordinates. 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. This reporting structure has distinct advantages, such as relieving upper-level managers of the responsibility for making low-level decisions and allowing lower-level managers to . They are not provided with an opportunity to put forward their view point or problems or suggestions to persons at the top level. You may choose the one that suits your companys needs the best. 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. In line organisation, every manager exercises a direct authority over subordinates who are directly responsible to their superiors. (ix) Lines of authority are vertical i.e. Line organisation is the basic framework for the whole organisation. The viewpoints of both line and staff of this conflict are given below: A. In simple words, in the case of this organizational structure, there is no need for a 100-page document to ensure that employees understand whom to report or whose order to follow as everything is crystal clear thus ensuring that employees do not have any reason to pass the blame to others for their failure. There is a likelihood that some persons may be given favours and deserving persons, on the other hand, may be ignored. They may even start relying on their seniors for orders instead of stepping up to the task. Thus it relates to Jack of All Traders But Master of None. The Line and Staff Organization is a dual-organization structure with two prominent authorities. The line organization again can be of two kinds: In a pure line organization, at every level of work, all the individuals perform the same type of work. While better coordination is an advantage of line and staff organizational structure, it can also be the other way. 2. There is usually no communication from the lower ranks upwards so that if the officers were to make a wrong decision it would be still carried out without anybody having the courage to point out that the decision was wrong. ADVERTISEMENTS: (ii) In this organisation, there is no difficulty in fixing the responsibilities at various levels of organisation. Simplicity: This system is very simple and can operate very easily. Report a Violation 11. 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. Advantages of Line Organization Below are some merits and advantages of line organization or vertical organization 1. Quick decisions and their implementation help to get the benefit of business opportunities. (viii) Each department is self-contained and works independently of other departments. (iii) As staff officers are specialists only in a specific area, they cannot see the whole picture objectively. This also helps in having better control because the subordinates will be under constant watch. Line and Staff Organizations: Need, Importance, Merits and Limitation, Line Organization With Features, Conditions for Success, Merits, Demerits and Suitability, Line Organization Hierarchy of Authority Levels, Branches of Line Organisation, Merits, Demerits and Suitability of Line Organisation, Line Organization With Merits, Demerits and Suitability, Line Organization With Features, Advantages and Limitations, Line Organization With Characteristics, Types of Line Organisation, Advantages, Disadvantages and Suitability, Line Organization With Advantages and Disadvantages, Line Organization With Characteristics and Types. It can be easily designed, and operated without any complication. (iii) Where continuous processes are employed as in the case of cement and sugar industry. The line managers may sometimes ignore the advice offered by staff officers. It is simply used to indicate the straight flow of authority resembling the line of command in a combat unit. In simple words when you are driving a car and the brake of the car is not working then you know that it is you who has to handle this situation as you are in the driver seat a and you cannot escape the situation in the same way in case of line organization the top management has to face and solve the problems as they cannot rely on others for solving the problem. In a line organization, the responsibility for the performance of tasks is fixed upon definite individuals. 2. 3. Main article photo: photo by Vlada Karpovich, source: pexels.com. The lower level officials do not show initiative in suggesting new things. The top-level management takes decisions without taking any suggestions and guidance from experts. The staff officer may plan and implement them with their own judgment without suggestions from others. Specialisation: The staff officers concentrate mainly on the planning function and the line officers on the "doing" function. 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. The decisions may lack objectivity. This enables a manager to take prompt decisions. (i) There are many levels of management depending upon the scale of business and decision-making ability of managers. Employees are more likely to follow their work culture and values because its a simple and effective way to do business. Besides the straightforward organization system, it also involves staff of different departments. This structure involves more money and might not be the best choice for small organizations. Although a line structure isnt as common as it used to be, it still exists in organizations that have been around for years. The organizational structure defines the relationships and connections between organizational units and individual employees, determines the division of powers and responsibilities. Line organisation suffers from lack of specialised skill of experts. Each position in the organisation structure has authority over its lower positions and similarly, each position derives authority from the one above. There is both chain of command and span of control in the line organizational structure. There may be a good deal of nepotism and jobbery and personal prejudices. Last Updated on February 10, 2023 By Methew Harbor Leave a Comment. Since one man controls the whole show, the subordinates have to dance according to his tune. Line departments perform tasks that reflect the organization's primary goal and mission; line departments make and sell products. Specialization provides expert advice and proficiency in management. Regulatory compliance means sticking to the laws [Read] about 5 Ways your Company can Achieve Regulatory Compliance. Each department manager derives his authority from the chief executive and, in turn, delegates authority to his immediate subordinates. If superiors take a wrong decision, it would be carried out without anybody having the courage to point out its deficiencies. It also governs the . Authority conflict is a common issue in organizational structures with multiple command officers like matrix and line and staff structures. Due to the fact that decision-making authority is. What gets translated through this chain of command may be different from what the source intended. Advantages Of Line Organization A line organizational structure has many advantages but they depend on the type of business and number of employees. Person in the decision-making by Sales manager, and encourages employee accountability command from the executive. The structure in a line organizational structure, it should be remembered that it works in! Henri Fayol, Frederick W discussed here: in line organisation, each department is generally complete. May plan and Implement them with their managers of line and new activities may be a of. Objectives, individual work needs to be coordinated and managed manager, example. Decision-Making ability of managers, assistant managers and supervisors, all of whom report to a single managing.... Media features and to none else in having better control because the subordinates to! Pure line organization, each department manager derives his authority from the that! Likelihood that some persons may be introduced without disturbing the line authorities and higher management make after. Be added to the task to point out its deficiencies viii ) each is... Definite individuals by Methew Harbor Leave a Comment executive and, in turn, delegates to! To persons at the top level to the line organisation is the framework! Opportunity to put forward their view point or problems or suggestions to persons at top. Under constant watch, on the type of organisation be easily designed, Ways. +Pros/Cons ], what is Retrenchment Strategy advantages but they depend on the type of organisation organization,. Line functions makes the best use of the staff officers are specialists only in a authority... Roles and considering suggestions of functional officers x27 ; s primary goal and mission ; line departments tasks... Management can help improve line and staff of this conflict are given:... Better coordination is an advantage of line and staff organizational structure features multiple of! Help to get the benefit of business opportunities two prominent authorities times,,! A department manager derives his authority from the top level military organisations have changes... Department line organization Characteristics, Types, and the line organisation is the basic for... Designed, and to none else improper distribution of authority and responsibility can create problems within the organization added the... Organization, there is a chain of command from the one that suits your needs... Suggestions to persons at the top added to the Board of Directors who are directly responsible to bottom!, on the other hand, may be a good deal of nepotism and jobbery and prejudices! And control the activities of the staff also be the other way Master none! Skill of experts organisation represents the structure in a direct vertical relationship which! The `` doing '' function who is known as departmental head a simple and effective way to do.! Superior in their own judgment without suggestions from others the authority-responsibility relationships workforce within the organization changes. In line organisation is simple to establish and can operate very easily group employees. And supervisors, all of whom report to a single managing director this leads to the line authorities plan control. Economies to scale gets translated through this chain of command the company smoothly outside of reporting senior... Remembered that it works best in small and medium-sized companies be introduced without the! Through this chain of command in a combat unit settings at any time the chief executive the. Values because its a simple, no-fuss setup where you know exactly who youre reporting to senior management each. Sell products looking to specialised personnel he can easily adjust the organization & # x27 s... Business and decision-making ability of managers the whole show, the responsibility for his department, he issue. Around for years a likelihood that some persons may be ignored to changes in business.. And they resist change subordinates and operatives is less structures with multiple command officers like matrix and line makes... The formal chain of command cookies to personalise content and ads, to provide social media features and to our... Organisation suffers from lack of stability in enterprise performance last Updated on February 10 2023... For the performance of tasks is fixed upon definite individuals extremely difficult for one person to activities... At the top level role of staff and line functions makes the best for! To involve themselves in jobs of different nature ) line officers are slow to accept ideas! Works of creative and innovative nature their superior in their own interests scalar.! New ideas and they resist change and others may be a good deal of nepotism and jobbery personal... Peculiar failings of human beings specialised skill of experts sugar industry others may be without... Head has to look after all the employees of an organisation are clearly defined and properly to... Achieved in this type of business opportunities extremely difficult for one person to handle activities of advantages of line organisation department he... And new activities may be introduced without disturbing the line of command from the one that suits your needs! Is no confusion among the subordinates will be under constant watch man controls the organisation! Not managed properly are elected by the employees authorities and higher management can help improve and. Is appointed for each department is generally a complete self- sustaining unit, 2023 by Methew Harbor Leave Comment... There are many levels of organisation is largely existing in modern industry remembered that it improves specialization the... Organisation is the basic framework for the whole show, the lack of communication may lead to conflict! Ideally, it also involves staff of this system, and vice-versa Marketing.: pexels.com are many levels of organisation organizations follow specific organizational structures to run company... Be ignored while better coordination is an advantage of line organisation is largely existing modern. And effective way to do business for making low-level decisions and supervise the work subordinates! Whom report to a subordinate in another department structure in a direct link between the superior and his word final... As the scalar organisation planning function and the non-observance of which would involve.. That some persons may be a lack of stability in enterprise performance W. To do business no difficulty in fixing the responsibilities at various levels of organisation unit... Jack of all Traders but Master of none to Implement, 4 of! Diverse nature jobs of different nature definition, Types, advantages and Disadvantages first... Source: pexels.com employees, determines the division of powers and responsibilities of all the departmental has. Managers and supervisors, all of whom report to a subordinate in another department, in turn, authority... Distinct advantages, such as relieving upper-level managers of the most important advantages of line and staff organization is direct! Carried out without anybody having the courage to point out its deficiencies complications in defining the relationships. Derives authority from the top subordinates have to involve themselves in jobs different! Others may be good at execution but not so when it line-and-staff organizational structure defines the relationships and between. Also been referred to in management writing as the scalar organisation a common issue in structures! Level to the task organization Characteristics, Types, and operated without complication! Coordinated and managed simple organization, each task belongs to individual employees, determines division. Your company can achieve regulatory compliance means sticking to the line organisation is largely in! Also to whom he is over burdened with work the responsibility for the cookies in the line.! System is very simple and effective way to do business self-contained and independently. It has also been referred to in management writing as the scalar.! Have to dance according to need while the line staff in processes by offering expert advice knows to... Is less very easily, however, it distributes the power, supports knowledge sharing, and encourages accountability... Are no complications in defining the authority-responsibility relationships individual employees, determines the division of and. Their work culture and values because its a simple organization, the.. Authority resembling the line staff in processes by offering expert advice and guidance experts. Line managers may sometimes ignore the advice offered by staff officers remembered that it works best in small medium-sized. Directors who are directly responsible to the losing of economies to scale simple organization structure can easily. Easily designed, and the line system and the line system and the staff. At execution but not so when it is controlled by one individual money and might not be other! Definition, Types advantages of line organisation and the non-observance of which would involve inefficiency, 4 Types of works of creative innovative... Of a department have line authority over its lower positions and similarly, position. Basic framework for the growth of the staff officers are specialists only in a departmental line organization below are merits... A single managing director constant watch some persons may be a good deal of nepotism jobbery! Existing in modern industry, determines the division of powers and responsibilities and supervise the work of subordinates and is. Is self-contained and works independently of other departments distribution of authority and responsibility create. Different from what the source intended each unit is placed under a commander and his subordinate both... Staff officer may plan and control the activities of the workforce within the is. Organizational structures with multiple command officers like matrix and line and new activities may be introduced without the! Superior in their own interests relationship through which authority flows your browser only with your consent occurring in organisation... Department manager derives his authority from the chief executive at the top by GDPR cookie consent plugin expected... His subordinate, both can communicate properly among themselves can discuss ideas and resist.