Tall and flat organisations
Tall organisations
Advantages
- more opportunities for promotion which can lead to greater staff motivation
- staff gain more support from their line manager
- there is a higher degree of supervision as each line manager has a limited number of people they are responsible for
Disadvantages
- many levels of hierarchyA system triangular in shape; the higher up the triangle the fewer people there are, but they have more power, wealth or responsibility.
- span of control is narrow, and the chain of commandThe chain of command represents the path of authority through which orders and feedback are passed. is long, making communication slower as instructions take longer to travel through the levels of the organisation
- longer lines of communication can make the firm less responsive to change
- can be expensive to run due to high wage costs
Flat organisations
Advantages
- few levels of hierarchyA system triangular in shape; the higher up the triangle the fewer people there are, but they have more power, wealth or responsibility.
- lines of communication are short, making the firm responsive to change and decision-making quicker
- staff working in a flat management structure can be empowered to work independently and take on more responsibility
Disadvantages
- wide span of control means that tasks must be delegated, which can lead to employees feeling stressed and managers feeling overstretched
- less promotion opportunities within a flat structure, which may lead to the company losing staff to other organisations