8 important Merits of Line Organisation

8 important Merits of Line Organisation

(1) Simple to Understand:

The role and responsibilities of line executives, rules of communication and coordination can be easily understood.

(2) Correct definition:

One principle of a sound organisation will be that the role, duties and functions of those at different posts should be dearly defined. In line organisation, there is no ambiguity about the hierarchy in the organization structure. Every member of the enterprise knows clearly for what and to whom he will be responsible.

(3) No shifting of responsibilities:

In line organisation, there is no scope for the line executive to transfer their responsibilities. They cannot hold anyone else responsible for the poor performance or non-performance of their duties. It is they who will be held responsible for it. Thus the responsibilities are very certain in this type of business organisation.

(4) Unity of command:

This principle demands that a particular subordinate should receive orders and instructions from only one superior. He must not be placed under dual control. It will not only save the employees a lot of trouble but will also ensure better compliance of orders and organisational discipline.

(5) Discipline:

Discipline is of vital importance to every organisation whether it is a business, educational or any other undertaking. Line organisation is very effective in the enforcement of discipline. There is no duplication of job, no overlapping of authority or clash of it.

(6) Economical:

This organisation does not require the employment of specialist and experts as advisory or staff assistants. The line executives are regarded as executives, as well as specialists.

As such, the extra expenditure in employment is saved. In other respects too, it is less elaborate and complicated than the other types of organisation structures.

(7) Clear Communications:

The line of formal communication is direct clear and well defined. There is greater understanding. This tends to increase the efficiency of performance.

(8) Flexibility:

In a large organisation decisions are taken promptly because a certain line executive is in charge of every activity. Because of this changes can be introduced easily. A single authority can effect changes more quickly. As circumstances change, suitable changes can be conceived and planned.