The Traditional hierarchy The traditional take on organizational structure in a business is hierarchical, meaning power flows vertically and upward, and employees are departmentalized. All employees follow a chain of command (Huebsch, 2017). For an image of a traditional hierarchy, refer to Appendix E. Flatter Organizations Flatter organizations are usually illustrated with one box at the top of the organization. The top box usually represents the president or chief executive officer. Sometimes, the company president serves the dual role of president and CEO in a small company. The wider array of boxes beneath the president represent vice presidents or senior vice presidents. Many small companies use a flatter organizational structure because of a lack of manpower. Companies that use a flat organizational structure make greater use of employees' skills and knowledge. For an image of a traditional hierarchy, refer to Appendix F. Flat Organization A flat organization refers to ...
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