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TraditionalBusiness

StructuresHierarchical vs Egalitarian

Which is better?

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From verticalto horizontal

bring on the egalitarianworkplacenon-hierarchical workplaces are

better.

Or are they?

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Bring on Egalitarian

Hierarchical vs. Egalitarian Structure

Hierarchical structure

Advantages / Disadvantages

Real life examples

Egalitarian structure

Advantages / Disadvantages

Real life examples

Conclusion: which is better?

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Comparison

Hierarchical

Few levels of hierarchy

Broad span of control

Responsive to change

Egalitarian

Multiple levels of hierarchy

Narrow span of control

Unresponsive to change

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HierarchicalStructure

Advantages and Disadvantages

Real Life examples

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Advantages

Possible promotion

Greater specialization

Closer supervision

More control by topmanagement

Disadvantages

Less empowerment

Higher costs

Delayed decision making

Less responsive to customers

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Real Life Examples

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Advantages

Elimination of boundaries

Allows task variety

Increase in employee

morale

Allows independence

Disadvantages

Does not always work forlarge companies

Less efficient for someindividuals

Confusion in leadership

Difficult for improvements

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Real Life Examples

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Conclusion : Blended Styles

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References Business & Entrepreneurship - azcentral.com. 2014. The Disadvantages of Tall Types of

Organizational Structure. [online] Available at:http://yourbusiness.azcentral.com/disadvantages-tall-types-organizational-structure-9927.html [Accessed: 27 Mar 2014].

Structure, C. 2012. Business Studies Notes For IGCSE: Chapter 10: OrganisationalStructure. [online] Available at: http://igbusinesss.blogspot.co.uk/2011/04/chapter-ten-organisational-structure.html [Accessed: 27 Mar 2014].

Bbc.co.uk. 2014. BBC - GCSE Bitesize: Types of organisation. [online] Available at:http://www.bbc.co.uk/schools/gcsebitesize/business/people/ictrev3.shtml[Accessed: 26 Mar 2014].

Businesscasestudies.co.uk. 2014. Organisational structure - Roles, responsibilities andcareer development - British Gas | British Gas case studies and information | TheTimes 100. [online] Available at: http://businesscasestudies.co.uk/british-gas/roles-responsibilities-and-career-development/organisational-structure.html#axzz2xOCpUMON [Accessed: 26 Mar 2014].

Organisation structureBritish Gas. 2014. The Times 100.