You can build organization structures that consist of the following types of organization units:
Line– Use this type to describe the company's formal organization in terms of companies, departments, and groups. Each organization unit has a person in charge that must belong to the unit, and these units can be linked to one another in a hierarchical structure. Units of this type make up the Line organization.
Matrixor Project– Use these types to describe units that you do not want to confine to the Line organization, for example, units that are project- oriented or that are responsible to the Line organization, in addition to the project groups in which they work. You can build these units in a hierarchical structure of project groups that span the entire company.
You can create units in either an overview or a tree structure. To create a hierarchy of parent and child units, the tree structure will make it easier to view your hierarchy.