1. Reduction of time and costs of litigation 5 main Disadvantages of Functional Organisation. Generally Organizations start as line-only and the line managers having been given direct control over all activities, including administration. Since international trade is highly competitive, produces in any country tries to make good quality products at low rates. The main purpose of this management is to define realistic objectives and goals – this has to be in line with the vision of the company. According to this type of organization, the authority flows from top to bottom in a concern. Line and Staff Organization. Advantages/benefits: Following are some of the advantages that business organizations can derive from a successful application of business process reengineering (BPR): The main advantage of business process reengineering (BPR) is to identify any processes, sub-processes, costs and labor that are not required in an organization. This is a very good article on Line Organisation. Regardless of the location and religion. Stability in prices. 2. Explain main tools of operational research in decision making. There are three types of matrix organizational structures: 1. READ MORE on pmstudycircle.com The following are the advantages of the proprietorship firm. The leadership that seems strong and efficient is promoted. -These organizations are based on the autocratic system of management. Main Advantages and Disadvantages of ERP System The advantages presented by the ERP are: Optimization of business processes. Too many cross-relationships between persons and departments make the situation very vague. Consider how that data can push employees to achieve more, padding their own paychecks, as well as the company's bottom line. of the difference between team based and project based organization:. Some key advantages of an incorporated business include: Burnout 7. 2. 6) Line Organizational Structure. The main disadvantages of interviews are: they can be very time-consuming: setting up, interviewing, transcribing, analysing, feedback, reporting. 7. Line organization is the most oldest and simplest method of administrative organization. Topology generally determines the shape of the network. A disadvantage of a line-and-staff organization is conflict between line and staff personnel.This type of organization structure combines to show line or main … (10 marks) Q4. Advantages of process management. Disadvantages Table of ContentsThe Top 7 Disadvantages of Working from Home at a glance. Lack of Community and Team Work 2. This method is simple to understand and easy to operate. The organization tax, plus the filing and incidental fees, of a $100,000 corporation in New Jersey is $35; in New York $65; in Delaware, $25; in Maine, $67; and in … Reduces Wastage: When the trainees learn about the right use of the products they know how to use the machine effectively and minimize the wastage.So, training helps to reduce wastage. List of Disadvantages of Sole Proprietorship. Creating org chart with pictures using Creately. Confusion: If the pattern of authority relationship between line and staff executives is not clearly indicated, there may be considerable confusion throughout the organisation. Insurance provides benefits to an individual, family, businessman as well as a society. The main disadvantages of this approach are the need to manage multiple mobile LTE (or 5G) subscriptions and SIMs. In order to understand more about line, organization let’s look at some of the advantages and disadvantages of line organization- Lack of Office Equipment and Security Concerns 5. The following are the advantages of pool organizations. Advantages and Disadvantages of Insurance Advantages of Insurance. Any two adults can come together … This paper seeks to address these issues. The line of command is carried out from top to bottom. The various types of network topologies are as follows: Hierarchical topology. Advantages of Proprietor Business Type. Delayed Feedback: One of the major disadvantages of written communication is that it lacks in producing instant feedback.Sending to feedback time of a letter is prolonging because the receiver tries to answer the letter after he has read it. The main advantages of insurance can be described as follows: - Provides economic protections Economic Protection • Improve quality. Distractions and Lack of a Good Working Environment 6. Correct answer: c Your answer: One of the main disadvantages of the corporate form is the a. corporation must issue stock. Increase your productivity Computers increase your productivity and, with a good understanding of the software running on them, you become more productive at everything you do. Disadvantages of Line Organization Lack of Specialization. The officers will have to … 4. There is high chance of favoritism in line organization structure because one superior controls the whole organization. Question is ⇒ The main advantage of line organisation is its, Options are ⇒ (A) effective command and control, (B) defined responsibilities at all levels, (C) rigid discipline in the organisation, (D) ability of quick decision at all levels, (E) all of the above., Leave your comments or Download question paper. The job duties of lower-level staff are given the opportunity to improve decision-making. However the disadvantage of this type of communication is that it is not documented and in legal terms not legally binding. DISADVANTAGES:- 1.Dual command 2.Lacking of sound advice 3.Line and staff conflicts 4.Costly structure 5.Authority assumptions. • Emphasis on control can prompt rigidity of behaviour and defensive routines. In fact, it equalizes the prices of items all through the world (excluding transportation cost and duties). . Its authority flows from top to bottom. What are the special features of the line organization? There is a possibility that a member of a team may want to avoid the success of the whole team. 2. Personal and Business Assets One of the drawbacks of sole proprietorship is that the owner’s money is tied to his business in the sense that finances of the owner and the business are one and the same and that there is no legal separation between the two. Difficult to resolve political and organizational … d. professional management. A line organization can suffer from a lack of specialization. The staff officers feel ignored at the hands of line officers. Having line and staff within one's structure usually represents savings on personnel costs in an organization, in addition to the advantages described in the previous responses. One of union representation's greatest advantages can also be one of its main disadvantages: the ability to engage in economic strikes. In the structure, each person is supervised by the one directly above him. It is Encourages Carelessness: As the staff officer is not concerned with the execution of the plan, he may not take proper precautions and care before he advises the line officer. Disadvantages of Written Communication in Business. Increase in accounting taxes can be seen as another disadvantage. As we talk about discipline, line organization, is strict, whereas line and staff organization is loose. The main disadvantage of corporations, as compared with other forms of business organization, involves. Network topology refers to the arrangement of computers connected in a network through some physical medium such as cable, optical fiber etc. Confusion The lack of managerial specialization is the demerit of line organisation. Lack of Motivation 3. Advantages: Easy employment of experts. A functional manager oversees all aspects of a project and acts as the primary source of decision making. The third minor disadvantage is the expense of organizing a corporation. Divisional organizational structure chart drawn with Creately. The Main Focus Points When Analyzing a Balance Sheet. The disadvantages of this type of organisation are as follow: (i) The allocation of authority and responsibility of the staff with respect to the line supervisors may not be very clearly made which may result in confusion and create difficulties. (ii) Fractions and jealousies may develop among line and staff authorities. Advantages of a Merit Pay System. A line-and-staff system includes line departments, such as manufacturing and marketing, which are responsible from driving revenue for the company. c. It is suitable for small offices because it more drawers and cabinet are not required. Explain similarities between the line organization & line and staff organization. See What are the disadvantages of aluminium when compared with copper for the use as overhead line conductors? The decision to strike for improved wages or working conditions is a serious subject that requires a thorough analysis of the strike's likelihood for success before it is undertaken. Associative: This type of mapping overcomes the disadvantage of direct mapping by permitting each main memory block to be loaded into any line … The following are the main drawbacks of this system: 1. Line and staff organization has greater flexibility, in the sense that new specialized activities can be added to the line activities without disturbing the line procedure. Advantages and Disadvantages of Contract Teams. The main disadvantage of this system is that it tends to overload the existing executive with too many responsibilities. Accurate and timely access to reliable information. Name at least two advantages of corporate organization. Weak matrix organization. Risk to Productivity As the world is going through a big crisis, everyone had … 3) Line and staff style of organization relieves management of managerial overload for certain categories of duties and responsibilities which might otherwise be impossible to delegate to line subordinates at lower management levels within the Drawbacks or disadvantages of line and staff organization structure are as follows: 1. In line and staff organization structure, there is high chance of conflict between line and staff authorities due to misunderstanding. The main advantages of Strategic Alliances between companies are : A strategic alliance allows a business to get competitive advantage through access to a partner’s resources, including markets, technologies, capital and people. 1. 2. d. It is flexible method; addiction or deduction files do not create trouble etc. The advantages and disadvantages of the three main types of business organizations: Solo proprietorship; Partnership and limited liability partnership; and Corporation. Fordism, a specific stage of economic development in the 20th century. 20.2 Using different codes of conduct suggest the most important principles an organisation should have in place. b. corporations are subject to more governmental regulations. Another limitation under this structure is there is no scope of two-way... Favoritism. Fordism is a term widely used to describe (1) the system of mass production that was pioneered by the Ford Motor Company or (2) the typical postwar mode of economic growth and its associated political and social order in … ADVANTAGES OF TRAINING Improves The Performance: Training improves the performance of the employees.It helps them to become more skilled and more productive. Problem Of Conflict. The staff departments, such as accounting and human resources, provide internal support for line departments. b. charter. Advantages of Decentralization. 7 main Disadvantages of Line and Staff Organisation (1) Line executives may start referring most of the problems to the staff officers. Easy formation: The formation of cooperative society is very simple as compared to the formation of other form of business organization. This is because each department … 1. The first answer there described some problems with aluminum. The primary disadvantage of the corporate form is the double taxation to shareholders of distributed earnings and dividends. Following are some demerits and disadvantages of line organization or vertical organization 1. Another disadvantage is that an organization may spend all of its time and efforts on a specific demographic only to find out it … Below is a list of the main advantages and benefits users get from using computers. • Reduce costs. Q3. A line-and-staff structure is a somewhat antiquated view of a large corporate culture. The Advantages of Incorporation. Help to plan. Next, suggest one (1) strategy that the medical staff members could use in order to mitigate the main disadvantages in question. Since they are to take decisions with regard to every aspect of business, the quality of decisions may suffer. Advice Ignored: As the staff officers lack authority to put their recommendations into practice, their advice may be ignored by the line executives. 5 Advantages and Disadvantages of the Matrix Organizational Structure November 23, 2020 When a business initiates a project, it can be crucial to have an organizational structure in place to define all the aspects of the project. The advantages of sole proprietorship as a business form include: ease of establishment, no required business taxes, and sole control of business decision-making. Main Disadvantages of Functional Organization Structure Organizational Chart Skills No Comment Rosie. Communication helps in minimizing cost and cost and conflict among the employees and also ensures maximizing production. , – This article identifies the advantages, disadvantages and reasons for use of SPM which organizations have experienced in practice, based on an extensive literature research and interviews at 17 prominent Dutch organizations. This type of organizational structure supports excellence in job and guarantees quality work. Fundamental analysts, when valuing a company or considering an investment opportunity, normally start by examining the balance sheet… they can be costly. To help, we've compiled a breakdown of the main advantages and disadvantages of incorporation. 2. It is easy to file letters and arrange files in drawers. The line officers cannot be experts in every line of business. The quantum of authority is highest at the top and reduces at each successive level down the hierarchy. Upon forming an institution, whether this is one for profit or not, the owners often consider several alternatives to forming their organizations. This type of matrix organizational structure is most similar to a traditional workplace hierarchy. 2. Under this, the line of authority flows vertically downward from top to bottom throughout the organization. DISADVANTAGES OF DEMOGRAPHIC SEGMENTATION • One of the main disadvantages of demographic segmentation is it can make an organization vulnerable to competitors. Laziness of the team members is one of the disadvantages of teamwork in the organization. Division of Work: There is division of work on basis of specialization of jobs in bureaucratic organizations.Each employee performs his specialized work in a predictable manner. Aug 13, 2012. Communication greatly helps in the planning and coordination of different activities in an organization.