3. organisation structure
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ORGANISATIONAL STRUCTURE
Systematic arrangement of people working in an
organization in order to achieve the predefined
goals.
It defines the authority and responsibility relations
between various positions.
It shows interrelationships and relative position of
each department.
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2
TYPES OF ORGANISATIONAL STRUCTURE
1. Line/ilitary/Scalar !rganisation
2. "unctional !rganisation
#. Line and Staff !rganisation
$. %ro&ect !rganisation
'. atri( !rganisation
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Line/ Military/ Scalar orgaisation
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)
Adantages
Si!"le and easy to #nderstand
It is $le%i&le' easy to e%"and
Ma(es clear diision o$ a#t)ority
Clear c)annel o$ co!!#nication' no con$#sion*
Strong in disci"line
Enco#rages s"eedy action
+isadantages
* Neglects s"ecialists* Oerloads a $e, (ey e%ec#ties*
* Li!ited to s!all organi-ations
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Cont.
Lac( o$ s"eciali-ation
More ,astage o$ reso#rces s#c) as !aterial and !an
)o#rs*
A""lications
* S!all organi-ations
* A#to!atic and contin#o#s "rocess ind#stries s#c) as
"a"er' s#gar' te%tile etc*
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FUNCTIONAL ORGANISATION
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Adantages
Ma(es #se o$ e%"erts
E%"ert g#idance red#ces ,astage' accidents etc*
No need o$ all ro#nd e%ec#ties*
#ality o$ ,or( is i!"roed
+isadantages
+i$$ic#lt to !aintain disci"line
All ro#nd e%ec#ties cannot &e deelo"ed*
Ma(es ind#strial relations)i"s !ore co!"le% 0or(ers are not gien o""ort#nity to #se t)eir
initiatie and drie*
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A""lications
T)e $#nctional organi-ation as s#c) is o&solete*
In !odi$ied $or! it is #sed in so!e !ost !odern and
adanced concerns*
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LINE AN+ STAFF ORGANISATION
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Adantages
E%"ert adice $ro! s"ecialist sta$$ e%ec#ties* Line e%ec#ties are relieed o$ so!e o$ t)eir loads and
can deote !ore attention to,ards "rod#ction*
Less ,astage o$ reso#rces*
I!"roed 1#ality o$ "rod#ction
T)ere is no con$#sion as e%ists in $#nctional
organi-ation*
+isadantages
* 2ig) salaries o$ sta$$ e%ec#ties increases "rod#ct
cost*
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Cont .
So!e ti!es sta$$ de"art!ent !ay in$ringe #"on t)erig)ts and res"onsi&ilities o$ line de"art!ents*
Frictions and 3ealo#sies !ay deelo" &et,een line and
sta$$ e%ec#ties*
Line e%ec#ties i$ t)ey de"ending too !#c) on sta$$e%ec#ties !ay loose t)eir initiatie and drie *
A""lication
* Line and sta$$ organi-ation is ery co!!on a!ong t)e!edi#! and larger enter"rises*
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PRO4ECT ORGANISATION
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PRO4ECT ORGANISATION
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PRO4ECT ORGANISATION
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MATRI5 ORGANISATION
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2$
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2'
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2)
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APPLICATIONS
Electronics
C)e!icals
Adertising Aeros"ace
6an(ing
Ins#rance
2os"itals
Constr#ction