What is a flat organization?

Flat organization eliminates as many medium management positions as possible to make executives direct contact with employees on Earth. This approach can work well in a small enterprise with a limited number of employees, where it is possible for executives to supervise operations. In larger companies, some medium management may need to be included in functionality, but individual departments and working groups may work with the horizontal management structure. Some businesses are doing well when they are organized because they can promote efficiency and responsibility.

One of the advantages for the area of ​​the organization is that it can streamline operations. For example, in the store, individual employees may be able to deal with considerable autonomy to quickly resolve customer complaints. Later at a meeting with the executive, they can be responsible for their actions. This may encourage employees to take an active role in decision -making and stand up for decisions they make. For customers, it may have for the aftermathblanket increased satisfaction and the feeling that society is responding to their needs. Instead of having to take decisions through a series of staff, teams can act quickly to develop projects after receiving the transition from the executive. Society can also help companies to solve problems quickly. For example, if the new product is defective, teams can start immediate analysis and development of problem solving.

Reduction of hierarchy can be cost effective. Flat organizations tend to cost less because they include fewer administrative workers who do not have to contribute directly to production and everyday work. In a smaller business, this could be an effective method of concentrating resources that would help grow. As it is expanding, it may be necessary to consider further rank of staff to handle management and delegation when they start to grow outside the control of individual executives.

Employees can in some cases be happier in a flat organization. They may feel that they are playing a direct and active role, and they have a reason to invest in the future of society. The staff layers can also support innovations and open discussion, as employees may have more free to speak when they have direct connections to managers. This can help companies identify shortcomings in products and services soon by selecting inputs from staff who could be able to see problems and feel comfortable to talk about them in a flat organization where they have more power as individuals.