Line Organisation Vs Functional Organisation

Line Organisation Vs Functional Organisation

Line Organisation                                                                              Functional Organisation

The line of authority is vertical as it                 The line of authority is functional or
follows the principle of scalar chain                diagonal. The functional manager has
authority over his function wherever it is

Line managers are generalists.                          Functional managers are specialists in                                                                                              their   respective areas.

There is unity of command.                                Unity of command is not followed as                                                                                                  each subordinate gets instructions                                                                                                      from his line boss and the functional                                                                                                  bosses.

There is strict discipline.                                      There is loose discipline.

It is suitable for small scale operations.        It is suitable for large scale operations . where experts knowledge in certain
fields is a must.

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