Types of Organization

By
MANISHA VAGHELA

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 Flow of Presentation
• Introduction
• Definition
• Features
• Importance
• Types of organization
• Advantages & disadvantages
• Bibliography

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 Introducation
• Organisation is understood as a
dynamic process & a managerial
activity which is necessary for
bringing people together in the
pursuit of common objectives .this
may called the process of organising

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 Definition
1.) Organization is that structure that
assigns authority & responsibility amongst
individuals working together for the
accomplishment of a common objectives.

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2.)Organization is that arrangement
which assigns functions among
individuals in such a manner that
every person involved can contribute
his optimum for the accomplishment
of the objective.
Ex:-the man’s body is the best
example

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 Features
• Organization is an objective-
0riented activity.
• Organization delegates authority
and assigns duties.
• Organization depends on planning.
• Organization gives importance to
the human factor.
• Organization is flexible.
• Organization is a group activity.
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 Importance
• The success or failure of a business largely
depends on its organization.
• Maximum utilization of time & resources
becomes possible due to organization.
• Employees becomes more responsible.
• Organization makes control effective.
• Discipline & morale of personnel increase.
• Every activity gets equal justice.

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 Types
• Line organisation
• Functional organisation
• Committee organisation
• Line & staff organisation

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 Line Organisation
• Line organisation is an old & simple
type of organisation & has been used
by the military for years.aothority &
responsible to his immediteate superior.
• Advantages:-
1. It is simple.
2. It is stable
3. It makes for quick action.
4. Discipline is easily maintained.
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 Continue…..
• Disadvantages:-
1. The organisation is rigid and
inflexible.
2. There is lake of expert advice.
3. Key man are loaded to the breaking
point.

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 Functional organisation
• In line type of organisation department has
more importance than function.the
departmental heads have total responsibility.
This increases their burden of work & hampers
the growth of the busieness.
• Advantages:-
1. Specialisation
2. Decentralisatoin of authority
3. Audination is maintained
4. Work is reduced
5. Training to
6. Decision making

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 Continue….
• Disadvantages:-
1. It weakens the displinary controls
2. It is too complicated in opration.
3. It makes diffecult to fix
responsibility.
4. Unity of command is mainted

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 Committee organisation
• Organisation are not able to fully
satisfy the needs of mordern times
committee organisation develop as a
complemetary organisation in this
organisation the responsibility of any
special function or that of taking
decisions is vasted in a group of
individuals &not in a single person its
called committee.

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 Continue….
• Advantages:-
1. Since more individuals are included in
decision-making mature decisions are
possible.
2. Co-ordination is easily maintained as
decisions are taken after deliberations.
3. Burden of work of executives is reduced
to help of committee.
4. Research is encourged.

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 Continue….
• Disadvantages:-
1. As discussions take place
funcations & decisions among
members of the committee.
2. if the committee of adopt a political
stance .there is possibility of
groupism or internal conflict.

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 Line and staff organisation
• This types of organisation has been
developed for availing the merits of both
the line and functional organisation
however its basic structure remains as
that of line organisation.
• Advantages:-
1. Planning of specialisation.
2. Benefit of expert advice to the line
management.

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 Continue….
• Disadvantages:-
1. there may be confusion about the
relation of staff member.
2. The staff may be ineffective for lack
of authority to carry out its
recommendations.

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 Bibliography
Business organisation &
management. – Y.K. Bhushan
Sultan Chand & sons

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