In recent years, the changes in the business landscape instilled the evolution of companies’ organizational structures. Traditionally, most firms relied on hierarchical frameworks that prevailed in most industries. Within this format, an organization resembles a pyramid with front-line employees at its foundation and the CEO on top. Between them, there is a large number of middle managers who ensure the transmission of tasks and strategies from top to the bottom. Hierarchical organizations are distinguished by a well-defined, strict chain of command with specific protocols of coordination, subordination, and communication. However, this format’s inclination toward bureaucracy has prompted business leaders to develop a new type called “flat”. This framework eliminates the middle links of the chain either fully or to a considerable extent. This way, the engagement from both ends is increased as the leaders become closer to their followers. Simultaneously, employees are more involved in the internal processes and strategic planning of the firm.
I expect that the flat format will only increase its prevalence in the upcoming years. This approach to the organizational structure is highly beneficial for the team’s efficiency through reduced bureaucracy and facilitated workflow. Employees gain more knowledge regarding the industry, becoming truly invested in the firm’s operations and strategic vision. The flat organization also appears transparent and devoid of corporate intricacies. However, the hierarchical format will not be eliminated at any point. In spite of its evident disadvantages, this pyramid-like form is better suited for organizing large companies with several branches and multiple employees. Personally, I would prefer to be a part of a flat organization, as this format will allow me to develop more skills and gain better knowledge of the field. Nevertheless, I expect this approach to be more popular with start-ups and small, local companies. When the scale of the organization exceeds a certain level, the presence of a well-defined hierarchy becomes necessary.
Reference
Nouri, C. (2019). Hierarchical vs. flat organizational structure and benefits of each. Web.