The Growing Popularity of Flat Organizations
For many years, most US corporations have focused on a hierarchal organization structure for their organization. The structure typically meant that an employee has a boss, that boss reports to their boss and so on until you reach the CEO at the top of the command. Today, many corporations are moving towards eliminating hierarchy amongst their organization and becoming a flat organization. In a flat origination, there are no bosses, everyone is equal and working together as a team. This creates an opportunity for employees to be able to work on projects more efficiently by removing barriers such as, time needed to get upper level approval. Ciplex, a marketing agency that adapted a flat structure, noticed that after the change, projects that would normally take six months, only took six weeks to finish. The company also noticed that employees are happier and have a greater focus on improving customer satisfaction. With more project being completed, more can be taken on, increasing both revenue and satisfaction. Yet, with the removal of upper management, it can often bring up some odd rules. At Valve Corp., a video game company, pay is voted on by peers and promotions are nonexistent. Ciplex, fired any employee who resisted the change, and now has a policy where employees vote off anyone they don’t like. My questions that have risen from this article are: What do you think about flat organizational structure? Do you think you would be able to sacrifice not having a boss for equality? Is a flat organization only realistic in certain companies or can it be universal?