Research into the usage of organizational structures in the Czech ...

Classification based on the division of powers 2
The organizational structures that are based on the breakdown of separation of powers,
based on where and how decision-making occurs. Within this division we distinguish three
possible variants of organizational structures: line, staff, and combined (as line staff).
Line organizational structure
The line organizational structure is one of the oldest species. A single accountable
manager characterizes it, clear, liner ties between subordinates and superiors. The chief
executive is equipped with comprehensive powers for his organizational unit.
The main advantages of the line organizational structures are: clear competencies
single links of subordination and superiority, clarity and relatively short string of information
links. The main disadvantage of this structure is its unsuitability for larger units.
This type is suitable for very small and simple companies. Within the growth of
company and increasing demands, however, the structure is unsatisfactory and must go to the
next stage, and to exercise more control steps.
Staff organizational structure
The staff organizational structure fulfills an advisory or preparatory function, in order
to ensure an informed decision for someone who has the power to decide the matter.
Important is that the staff has only advisory competence, no decision making powers. Its task
is to collect and process information, documents etc. Then presents the conclusion and
recommendations for the client request. It is assumed that the materials will be processed in
such way, that those who have competence in the matter, may accept or reject the proposal
without further studies, meetings or information retrieval.
Line staff organizational structure
The main asset of the line staff organizational structure is a functional leader who
tends to have high level of expertise. This type structure is characterized by different tasks in
the management of line and staff components. The task of the line component is complex
management of the department. A head of department shall have authority over all employees,
including the staff component. A leader creates the professional staff that is dedicated to a
specific problem (e.g. economics, foreign trade, legal issues, etc.) Staff workers are entrusted
with some managerial work, such as planning, regulating, controlling, motivating, etc.
However, the decision-making and participation in the decision happens only indirectly 3 .
But now, this structure is beginning to appear inadequate, because it seems
cumbersome, inflexible and highly assailable. The biggest problem is communication in
system, because in the vertical plane there is an overload of information channels. Therefore,
these organizational structures used primarily for specialized fields, which usually do not deal
in a company, such as enter to foreign markets.
2 According to: (Cejthamr a Dědina, 2010).
3 This type comes from the staff organizational structure. That means, what has been
written about decision-­‐making in the previous section, fits to this type as well.