What is a functional management structure? What is it, what is connected with it, what scheme does it have? We will try to answer these questions, as well as others, in the course of this article.

The functional management structure is a type of structure that is formed based on the main directions in which a particular organization operates. In this case, the units will be combined into special blocks.

Many large and medium-sized enterprises and organizations use an approach called “functional” when forming divisions. What does it mean? This means that the functional management structure implies the use of functions in the areas in which the company operates. This may be sales of products, their production and similar actions. The blocks will be formed according to their functions, that is, they will have the same root names that are characteristic of the area of ​​activity.

The functional structure of management has some features: the separation of divisions located within the boundaries of blocks can only be carried out according to certain approaches. Let's give a simple example: the organization of workshops takes place with an eye on the products being manufactured. At the same time, the organization of sites will be dictated by the technologies used in the production of products.

Structure blocks

The functional structure of management assumes the presence of three blocks.

The first is production. It includes those divisions that are in one way or another related to the core products manufactured by the company. The connection can also be between services and their provision, and not only visible in the case of products. The production block also houses auxiliary units that provide all the services necessary for the functioning of the main units. Also in the production block are those divisions that service both auxiliary and main processes. Well, this chain is completed by experimental units. They are responsible for producing prototypes of certain products. The role of departments can be very different. Moreover, it will directly depend on the nature of the activities carried out by the organization. After all, prototypes are not created in every company. And the means that are used for auxiliary production are also not available in every company.

The second block is management. The functional structure of management in this case suggests that the block will contain service, information, pre-production (that is, preparatory), administrative and advisory departments and commissions. Let's look at this issue a little more specifically. Information departments include various kinds of archives and libraries. Service units will carry out their activities dealing with issues related to research in the field of marketing. Administrative commissions are nothing more than legal departments and accounting departments, planning services. But advisory commissions can be presented as committees working in the field of improving technology and the organization as a whole.

The third block, which is used by the functional management structure, is divisions related to the social sphere. Examples include certain children's institutions and health centers, various clubs and recreation centers, and so on.

Where is the functional organizational management structure used?

The question of the scope of application today has already been studied far and wide. There are 5 main areas where a functional organizational management structure is used. The first area is single-product enterprises. The second is enterprises that implement quite complex and long-term projects. They can also be innovative. The third area in which the functional structure of enterprise management is applied is large companies and firms that are concentrated on the production of a certain type of product, that is, which have their own specialization. The fourth area of ​​application of this management structure is the organization of design and research activities. Well, this list is completed by enterprises with a very narrow specialization.

What tasks does a functional control system solve?

In the course of using this structure, several challenges arise that management faces. Let's try to list them:

1) Difficulty in ensuring communications.

2) Leveling the load that falls on a particular unit.

3) Careful selection of personnel and specialists who will be allowed to work in functional departments.

4) Assistance in coordinating departments.

5) Prioritization, allocation of specialists.

6) Development and implementation of motivational, special mechanisms.

7) Prevention of separatist processes within units.

What are the advantages of a functional management structure?

1) Specialists are quite competent in the implementation of certain specific functions.

2) Line managers practically do not participate in solving special issues. It is also possible to expand the capabilities that line managers will have while reducing their workload. Managers will be able to engage in operational management of production processes by redirecting issues to other appropriate persons.

3) If necessary, experienced specialists participate in the role of consultants. As a result, there is no longer a need (or is noticeably reduced) to attract specialists with a broader work profile.

4) The risk of erroneous decisions will not be zero, but it will certainly be reduced to it.

5) When performing managerial functions, duplication will be excluded.

What are the disadvantages of a functional management structure?

1) It is quite difficult to maintain constant mutual connections established between services.

2) Decision making requires a lot of time, it is a long procedure.

3) Functional services often lack mutual understanding among themselves. Actions turn out to be uncoordinated, there is no unity in them. At the same time, the responsibility of performers, which they must bear for the work performed, is reduced. All this happens because different performers receive instructions not just from different managers - they receive them from several managers at the same time.

4) There is an excessive interest of certain departments in the implementation of tasks and goals.

5) Personal responsibility is reduced. No one wants to take responsibility for the final result.

6) The control required to monitor the process and its progress is quite complex. Moreover, this applies to individual projects and the entire region as a whole.

7) The organizational form reacts to changes with great difficulty; it has already frozen and is not developing.

Types of functional control system

One of the varieties is the linear-functional management structure. Its diagram is presented in the figures below.

The linear-functional structure is used to divide managerial labor. At the same time, functional units should advise and provide assistance on the development of certain issues, as well as prepare plans, programs, and decisions. The entire load associated with command and control is transferred to the linear units.

The linear-functional management structure, the diagram of which was shown earlier, has its advantages and disadvantages. In fact, they will become the subject of further analysis of the topic.

Managers belonging to functional units have a certain influence on production units, but only in a formal sense. In most cases, they cannot do anything on their own, that is, they are not able to give orders without confirmation from the relevant representatives. In general, the role of functional services has a direct connection with the scale at which activities are carried out. They are also related to the management structures of an organization or enterprise. All technical training falls to the functional services. They should work through the issues in advance and leave options for their solutions. In this case, questions may relate to the management of the production process.

What are the advantages of a linear-functional structure?

1) Decisions and plans are prepared more carefully and deeply. Therefore, they have greater efficiency. Plans may also be related to the specialization of individual employees.

2) Line managers are freed from resolving a number of issues, which, in turn, allows them to reduce their workload. These are issues related to logistics, financial calculations and their planning, as well as other issues.

3) The presence of a certain connection and a clear hierarchical ladder. An employee does not report to several managers, but only to one.

What disadvantages does the linear-functional structure have?

1) Each individual link does not want to work for the common good of the company or take on other people’s tasks. In most cases, a link works only on its own goals, performing a narrow range of functions.

2) There are no close relationships between departments. There is virtually no interaction between these components. This concerns the horizontal.

3) But vertical interaction, on the contrary, is very highly developed. Even much more than necessary.

Scheme

The functional management structure, an example of which was given almost at the very beginning of this article, has the diagram shown below.

It is characterized by the creation of certain divisions. Moreover, each of them will have specific tasks that must be performed.

An example of a linear-functional management structure can be demonstrated by the Federal Migration Service. Another diagram of this management structure is presented below.

Conclusion

The advantages and disadvantages of a functional management structure were discussed during the article. The concept was also defined and the blocks included in the functional management structure were described.

Every entrepreneur, when creating a company, must think about what will be inherent in his enterprise. It should be taken into account that each employee must understand in which department he works, what his tasks are and who his manager is. And the entrepreneur must monitor the results of the work not of each employee, but of those who are responsible for this or that work.

Management represents the composition, subordination and interrelation of different divisions, as well as individual officials who perform the management functions assigned to them.

They make up links and steps. A link is the functions of which are strictly defined and limited. A stage is a set of links that are at the same level in the management hierarchy.

There are several types of organizational structures. The subject of today's discussion is the linear-functional structure.

Among the advantages of such a system are the following:

Professional and business specializations are encouraged;

The manager’s responsibility for the final result of the organization’s management increases;

Increased productivity from a workforce of various types;

Conditions and opportunities for career growth are created;

It is not very difficult to monitor the activities of employees of all departments.

The linear-functional structure has the following disadvantages:

The head of the enterprise bears full responsibility for making a profit;

Coordination between departments becomes more difficult;

The process of making and implementing decisions slows down;

There is no flexibility in the structure, since the basis for functioning is a set of various rules and principles.

The linear-functional management structure is a mixture of linear and which has absorbed the advantages of the first and second. It is formed according to the chess principle of specialization and construction in the management process. Linear-functional is formed according to the types of activities where the divisions of the enterprise are created. And functional units are divided into even smaller ones that perform a specific range of tasks.

The linear-functional management structure is currently the most common and is used by small and medium-sized enterprises. Basically, such firms are engaged in the production of a limited range of products and operate under stable external conditions. Large organizations use a divisional approach to management.

The linear-functional structure is based on system-forming connections. These are the vertical ones, among which a distinction is made between linear (or basic) and functional (or additional). Through the former, subordinates are managed. The manager determines what tasks will be solved and by whom specifically. Through functional units at the highest level, they give instructions to lower ones.

Linear structures management are rare, mainly in small enterprises that produce homogeneous products using simple technology in the absence of broad cooperative ties, in a simple production structure. However, these structures are widely used as elements of complex structures at the level of linear units. With the help of clear lines of subordination and relatively short communication channels, the efficient functioning of the linear structure is ensured. However, the inevitable overload of information when expanding the scale of activity limits the scope of its application.

Linear management structure is a management structure in which the necessary division of the management system into its component parts is carried out on the basis of a production characteristic, taking into account the degree of concentration of production, technological features, breadth of product range and other characteristics.

Features of the linear management structure:

 prompt decision making;

 narrow sector of managerial influence;

 relatively simple, it contains unity of power, management, and responsibility for the entire range of tasks; quite flexible.

Disadvantages of a linear management structure:

 extremely wide range of functions performed;

 communications are overflowing with information; The possibility of concentration of homogeneous work throughout the company is eliminated.

The functional management structure is used in single-product enterprises. It can be found in enterprises implementing complex and long-term innovative projects, medium-sized and highly specialized enterprises, in research and development organizations.

Functional management structure- a management structure in which the heads of functional departments specialize in a certain area of ​​enterprise management and are responsible for the implementation of the corresponding functions.

Features of the functional management structure:

 variety of control influences;

 high demands and thoroughness in the development of individual tasks and works;

 relatively complex;

 high specialization of management, grouping of power, management, responsibility only for certain management functions;

 focused on achieving the current effect.

Disadvantages of a functional management structure:

 narrow specialization in work, power, rights, responsibility;

 low flexibility of strategy;

 weak dynamism of the structure; weak responsibility for complex decisions.

In its pure form, a functionally organized management structure is not very rational, since it is very difficult to subordinate a multitude of goals, tasks and activities that have different priorities to the unity of the organization’s goals.

34. Linear-functional and linear-staff management structures

The management mechanism of the organization is driven by the developed management structure.

Linear-functional management structures are based on the mine principle, according to which for each function - linear or headquarters - a hierarchy of services (mine) is formed, permeating the entire organization from top to bottom. The linear-functional structure is often called traditional or classical. This is explained by the fact that it is most often used to build any medium-sized organizations.

Linear-functional structure management is a management structure that combines both linear and functional principles of organizing the relationship between production and management elements of systems.

It is interesting that linear management links are called upon to command, and functional links are called upon to advise, help in developing specific issues and preparing appropriate decisions, programs, and plans.

Features of the linear-functional management structure: stable operation of the structure; works well in sustainable production environments; focused on price competition.

Disadvantages of a linear-functional management structure:

 different purposes of structural units; weak linkage and responsibility for solving a set of problems and achieving the company’s goals;

 complexity in operational management of the functions of a new project, new production, new organization of production.

The practice of using linear-functional structures indicates that they are most effective when the management apparatus uses a certain formalized algorithm, when solving typical problems and performing standard functions. They are completely unsuitable for conditions in which the internal and external parameters of the organization’s activities are constantly changing. Under these conditions, their use leads to irrational distribution of information flows and exceeding controllability standards, especially among senior managers. The main shortcomings of the linear-functional structure are eliminated by the creation of a headquarters management structure.

The management structure is also represented by a line-staff structure.

Headquarters management structure- a management structure, in which special services (headquarters) are formed at the level of senior managers to develop management decisions in the area of ​​competence of the relevant manager.

Advantages of this structure:

 release of senior management from auxiliary, secondary functions in the management process;

 high quality of decisions made.

Disadvantages of this structure:

 making most decisions, regardless of their importance, by one person - the top manager;

 slow decision-making, since problems are discussed throughout the hierarchical chain from bottom to top within each functional unit;

 determining the quality of decisions not so much by the competence of managers and specialists themselves (it can be high), but by the quality of the information received by them;

 development of “departmentalism” within the organization; reluctance of managers to take on greater responsibility over time.

Test

on the topic of:

Linear and functional management structures

Introduction

1 Linear management structure

2 Functional management structure

3 Linear-functional management structure

SITUATION

Bibliography

Introduction

Management structure is a set of stable connections between objects and subjects of management of an organization, implemented in specific organizational forms that ensure the integrity of management and its identity with itself, i.e. preservation of basic properties under various internal and external changes.

The management structure, which represents a certain ordering of tasks, roles, powers and responsibilities, creates the conditions for the enterprise to carry out its activities and achieve established goals.

The diversity of structures is enhanced when we take into account differences in the field of activity, in the nature and complexity of the products produced, in the size, degree of differentiation and territorial location of enterprises.

1 Linear management structure

Linear management structure (Fig. 1) is a structure in which management influences transmitted to other levels of production and management include administrative functions (organization) and procedures (decision making).

In addition to administrative functions, the manager can assume other functions necessary for the performance of work by a specific performer. At the same time, there may be no feedback informing the manager about the progress of the work. The manager in such a structure is called linear.

Administrative functions and procedures may be delegated to key managers at lower levels of the management structure. The contractor can also transfer part of his work to a lower level and act in relation to him as a line manager.

Rice. 1. Linear management structure

The linear structure is used in small firms with homogeneous and uncomplicated technology.

Advantages of a linear structure:

Ease of construction;

Receiving consistent assignments;

Flaws:

Effective only for small organizations;

Difficulty in coordinating production and management processes;

The need for a manager to have a breadth of knowledge and experience at the expense of specialized knowledge in individual functions.

A variation of the linear structure is the line-staff management structure, which is formed by creating specialized services (headquarters) under each line manager. For example, under a production manager, supply, assembly, packaging, transportation, etc. services are created, endowed with deliberative and executive rights.

With this type of management structure, the performance of highly specialized functions is intertwined with a system of subordination and responsibility for the direct implementation of tasks for the design, production of products and their delivery to consumers.

2. Functional management structure

Functional management structure is a structure in which management impacts are divided into linear and functional and each of these impacts is mandatory for execution. Functional connections implement a set of any general and specific management functions. The functional structure is a modernization of the linear-staff structure. The difference is that the staff of the headquarters of the functional structure is not endowed with deliberative and executive rights, but with the right of leadership and decision-making.

The functional structure is the most widespread form of organization of activities and occurs in almost all enterprises at one level or another of the structure. Creating a functional structure comes down to grouping personnel according to the broad tasks they perform (production, marketing, finance, etc.)

In this structure, the general manager and heads of departments (technical, economic, etc.) divide their influence on the performer by function. The general manager only coordinates the actions of department heads and performs a limited list of his functions (Fig. 2).

Each manager performs only part of the functions necessary for a specific performer to perform the work. At the same time, there may be no feedback informing managers about the progress of work. However, this is more of a disadvantage than an advantage. Managers in such a structure are called functional.

The contractor can also transfer part of his work to a lower level. Thus, one executive can be simultaneously subordinate to several functional managers.

Fig.2. Functional management structure

The chain of command comes from the president (CEO) and flows from top to bottom. Management of sales organization, financial issues, data processing and other functions that are specific to a particular enterprise is carried out by vice presidents. Managers report to them. And so on, down the hierarchical ladder, tasks are subject to further functional division in accordance with processes.

Functional organization aims to stimulate quality and creativity, as well as to strive for economies of scale in the production of goods or services.

However, maintaining interaction between different functions is a complex and often problematic task. The implementation of different functions involves different deadlines, goals and principles, which makes coordination and scheduling of activities difficult. In addition, functional orientation is associated with a preference for standardized tasks, the promotion of narrowly limited perspectives, and reporting on performance.

Advantages of a functional management structure:

Rapid growth in the professionalism of functional managers.

Disadvantages of the functional structure:

Violation of the principle of unity of command;

Responsibility is impersonal;

Difficulty coordinating the activities of all departments.

A variation of the functional structure is the functional-object management structure. This is the case when the most qualified and experienced specialists are allocated in the functional divisions of the management apparatus, who, in addition to their main functional responsibilities, are responsible for performing all work on a particular facility at a given enterprise (organization). These specialists assign work on the objects entrusted to them not only within the framework of their functions in their department, but also on all similar issues in other departments. They interact with all employees performing work on the site, being their managers. At the same time, in relation to the performance of work on other objects, they act as executors and must follow the instructions of other specialists - those responsible for other objects.

The functional structure is not suitable for organizations with a wide range of products, operating in an environment with rapidly changing consumer and technological needs, as well as for organizations operating on a broad international scale, simultaneously in several markets in countries with different legislation. The logic of this form is centrally coordinated specialization. It is difficult to trace the contribution of each resource element along the value chain to the final result and the overall profitability of the organization. In fact, the current trend toward disintegration (ie, buying rather than producing components, etc.) reflects the understanding of many firms that the necessary coordination of costs and resources is reflected in performance.

A functional organization can fail due to misapplication because the logic of this organization is one of centralized control that does not easily adapt to product diversification.

In its pure form, the functional structure is practically not used. It is used in close, organic combination with a linear structure operating along the top-down management hierarchy and based on the strict subordination of the lower management level to the higher one. With this structure, the performance of highly specialized functions is intertwined with a system of subordination and responsibility for the direct implementation of tasks for the design, production of products and their delivery to consumers.

3 Linear-functional management structure

Linear-functional structure (Fig. 3) is a structure in which management influences are divided into linear - mandatory for execution, and functional - recommendatory for execution.

In this structure, the general manager and heads of departments (technical, economic, etc.) divide their influence on performers by function. The general manager exercises linear influence on all participants in the structure, and functional managers provide technological assistance to the performers of the work performed.

The contractor can also transfer part of his work to a lower level and act in relation to him as a line or functional manager.

Advantages of a linear-functional management structure:

Attracting more competent specialists in a specific area to management;

Efficiency in solving non-standard situations;

Rapid growth in the professionalism of functional managers;

Receiving consistent assignments and orders;

Full personal responsibility for work results.

Disadvantages of a linear-functional management structure:

Difficulty coordinating the activities of all departments;

Heavy workload of the general manager and his staff on operational issues of production and management.

Rice. 3. Linear-functional management structure

The ongoing process of decentralization of management within the framework of a linear-functional structure leads to the fact that rights and responsibilities are more deeply divided between different bodies leading technical developments, purchasing raw materials, production, sales, etc. This process is most typical for enterprises where large quantities of homogeneous products are produced sustainably and where economies of scale are significant. One of the conditions for decentralization of the structure can be a situation when the market is a single whole and is characterized by a high degree of concentration of consumption.

At the same time, the expanding diversification of production, the sharp complication of internal and external relations, the dynamism of the introduction of technical innovations, and the fierce struggle for markets for products lead to serious difficulties and in many cases completely exclude the use of functional forms of management. As the size of corporations grows, the range of manufactured products and markets for their sales expand, functional management structures, due to the disunity of rights and responsibilities for individual functions, lose the ability to respond to changes. In the management process, conflicts arise over priorities, decision-making is delayed, communication lines are lengthened, and the implementation of control functions becomes difficult.

The departure from the use of strictly functional schemes for managing corporations in favor of a divisional structure organized by departments is quite clearly visible as the degree of diversification of production increases.

Test

Is it true that an increase in the concentration of production contributes to:

1) the optimal combination of large, medium and small enterprises;

2) development of monopolism;

3) reducing product shortages;

4) better use of fixed and working capital and labor.

Answer: 1 – no, each industry has its own optimal combination of large, medium and small enterprises; 2 – yes; 3 – no; 4 – yes.

Situation

What documents must be submitted for state registration of an enterprise?

1. Business plan for the first year of activity.

2. Certificate from the Ministry of Justice of the Russian Federation.

3. Application for registration.

5. Certificate from the tax office about the income of the founders.

6. Founders' agreement.

7. A document confirming payment of at least 50% of the authorized capital.

8. A document confirming payment of the authorized capital in the amount of 150 times the minimum wage per month;

9. Certificate of payment of state duty.

Answer: 1, 3, 4, 6, 7, 9.

Bibliography

1. Valuev S.A., Ignatieva A.V. Organizational management. – M.: Oil and Gas, 1993.

2. Vesnin V.R. Management for everyone. – M.: Lawyer, 1994.

3. Goncharov V.V. Guide for senior management personnel. – M.: MNIIPU, 1996.

4. Milner B.Z. Organization theory. – M.: INFRA-M, 1999.

5. Oganesyan A. Enterprise Economics (lecture notes). – M.: PRIOR Publishing House, 2001.

6. Rumyantseva Z.P., Solomatin N.A., Akberdin R.Z. Organisation management. – M.: INFRA-M, 1995.

7. Khodeev F.P. Management. – Rostov n/d: Phoenix Publishing House, 2002.

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Hierarchical organizational structures for managing operating enterprises

3. Linear-functional organizational management structure.

Hierarchical organizational structures for managing operational enterprises.

Rice.

Rice. 2. Linear-staff organizational structure of management.

Rice. 3. Functional organizational structure of management. Solid horizontal lines show horizontal control (mandatory) connections.

• linear units that carry out the main work in the organization;
• specialized service functional units.

Rice. 4. Linear-functional management structure.

Rice. 5. Line-staff management structure.

Fig.6. Divisional (divisional) management structures. Dashed horizontal lines show horizontal control (recommendation) connections.

1. by type of activity performed (operation of facilities, provision of additional services, construction, design);
2. by customer orientation (consumer specialization);
3. by territories served (regional specialization)