Line Organisation. This is the oldest as well as the most common type of organisation. It i still used by many concerns especially the small ones. It is also known as the "Military System" as this type of organisation is usually found in the army. The characteristic feature of this type is that line of authority flows verticallty form the top most executive to the lowest subordinate throughout the entire organisational structure. The authority is greatest at the top and reduces through each successive level down the organisational scale. A variation of the pure line organisation is the departmental line organisation, under which the business enterprise is divided into several departments and the authority flows downward from the General Manger through the departmental managers to the lower subordinates. The departmental heads are independent of each other and enjoy equal status.
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