Solved: Organization structure is more than just boxes and lines;

The choice of an effective organizational structure helps the company to have a well coordinated and effectively managed unit. There are various structural approaches. The organizational structural approaches have been listed below with their advantages and disadvantages.

Line organizational structure

This has direct and vertical relationships with various levels in the firm. It’s involvement is in fulfilling the primary goal of the organization.

Advantages

It promotes decision making that is fast.

It is usually easier to understand.

Disadvantages

It has an overload for important person.

There is neglect for specialists in the field of planning.

Staff organizational structure

It’s position related to direct chain of command is related to achievement of the goals of the organization.

It is necessary for the lime managers to perform and for the staff personnel to have functional authority.

Disadvantages

It has conflicts that are caused due to violation of principle of unity of command.

It has the tendency to maintain the authority as centralised relating to various higher levels in the organization.

Line organizational structure

In this case there is direct and vertical relationship for organisations and the assisting of line mangers I’d depended on the specialists.

Advantages

There is higher flexibility and specialisation for line and staff structure.

There is problem related to adjustment of the role when line managers are not ready to accept advice.

Disadvantages

There is problem or conflict between line and staff.

The coordination between staff and line might be difficult.

The decisions are temporary.

Project organizational structure

It is based on achieving important results with the help of team of specialists that belong to functional areas in the organization.

The focus is on resources and results for the project that is assigned.

The definition of work is based on specific goal and the nature of the work is not repetitive.

Disadvantages

There might be issues and conflict between the departmental manager and project manager.

There might be conflict of interest related to the point of exercising control.

Matrix organizational structure

The decision making is decentralised.

The product and project coordination is strong.

The use of resources is flexible.

Disadvantages

The administration cost is high.

There is strong focus on external relations.

The prospects of conflict is high.