Question

Linear organization is also known as departmental (divisional) organization.

Answer 1

• In a linear organization, the entire business unit is classified into different departments.
• Then a department head is appointed for each section or area. This departmental head is answerable to the superior head of his area.
• The area head or say departmental head holds the supreme power for his department.
• In this type of organization, division is hot done according to the work but according to departments.
• Hence linear organization is also known as departmental (divisional) organization.