{"id":311,"date":"2022-04-30T12:22:45","date_gmt":"2022-04-30T12:22:45","guid":{"rendered":"https:\/\/www.viewshub.com\/theloop\/?p=311"},"modified":"2022-04-30T12:22:45","modified_gmt":"2022-04-30T12:22:45","slug":"how-flat-should-organisational-structures-be","status":"publish","type":"post","link":"https:\/\/www.viewshub.com\/theloop\/2022\/04\/30\/how-flat-should-organisational-structures-be\/","title":{"rendered":"How flat should organisational structures be?"},"content":{"rendered":"\n<p>In March, the results of Google\u2019s annual employee survey, known as Googlegeist, were issued to its employees. These were promptly leaked to\u00a0<a rel=\"noreferrer noopener\" href=\"https:\/\/viewshub.us2.list-manage.com\/track\/click?u=67e12412deaa066ecc462ab82&amp;id=2ef910b9b2&amp;e=eab417387e\" target=\"_blank\">Business Insider<\/a>, with the headline statistics centring on employee dissatisfaction with their pay in comparison to other tech companies. However, one further notable point of dissatisfaction was revealed to be bureaucracy at Google, with fewer than half of employees (46 per cent) responding positively to a question about whether their work is slowed by unnecessary hierarchy or bureaucracy.<br><br>In response,\u00a0<a rel=\"noreferrer noopener\" href=\"https:\/\/viewshub.us2.list-manage.com\/track\/click?u=67e12412deaa066ecc462ab82&amp;id=9f53617e78&amp;e=eab417387e\" target=\"_blank\">Senior Vice President Prabhakar Raghavan<\/a>\u00a0said that \u201cwe need to bring more attention to busting bureaucracy and ensuring we can act quickly when needed\u201d, while the CEO of Google\u2019s Cloud division Thomas Kurian said that \u201cbarriers to decision-making\u201d remain.<br><br><strong>Is there merit to \u2018flatter\u2019 organisations?<\/strong><br><br>The idea of flatter organisational structures is not new. Back in 2011, influential business thinker Gary Hamel spoke of the need to \u2018<a rel=\"noreferrer noopener\" href=\"https:\/\/viewshub.us2.list-manage.com\/track\/click?u=67e12412deaa066ecc462ab82&amp;id=2e283397a4&amp;e=eab417387e\" target=\"_blank\">fire all the managers<\/a>\u2019 in a bid to greatly improve the efficiency of businesses. Such an approach to removing layers of bureaucracy was elaborated upon in Brian Robertson\u2019s 2014 book\u00a0<em>Holacracy<\/em>, and\u00a0<a rel=\"noreferrer noopener\" href=\"https:\/\/viewshub.us2.list-manage.com\/track\/click?u=67e12412deaa066ecc462ab82&amp;id=d97360635d&amp;e=eab417387e\" target=\"_blank\">Professor Julian Birkinshaw<\/a>\u00a0of the London Business School (see this month\u2019s In My Opinion) feels that such self-organisation has always been seen as a desirable way of working.<br><br>Removing layers of bureaucracy and decision-making at a company like Google could be of benefit. Google\u2019s\u00a0<a rel=\"noreferrer noopener\" href=\"https:\/\/viewshub.us2.list-manage.com\/track\/click?u=67e12412deaa066ecc462ab82&amp;id=c7340f3e84&amp;e=eab417387e\" target=\"_blank\">very centralised structure and chain of command<\/a>\u00a0is seen by some to make it less agile when it comes to responding to market changes.<br><br><strong>Can we really dispense with management?<\/strong><br><br>Despite flat organisations being the current trend, not everyone is keen to jump on the bandwagon.\u00a0<a rel=\"noreferrer noopener\" href=\"https:\/\/viewshub.us2.list-manage.com\/track\/click?u=67e12412deaa066ecc462ab82&amp;id=c7f427589d&amp;e=eab417387e\" target=\"_blank\">The Economist\u2019s Bartleby column<\/a>\u00a0feels that \u201corganisations embrace flat hierarchies at their peril\u201d, as getting rid of management simply results in informal hierarchies emerging, and that layers of bosses bring essential structure.\u00a0<a rel=\"noreferrer noopener\" href=\"https:\/\/viewshub.us2.list-manage.com\/track\/click?u=67e12412deaa066ecc462ab82&amp;id=524a4858f7&amp;e=eab417387e\" target=\"_blank\">Professor Steve Andriole<\/a>\u00a0feels that this essential structure is key for implementing performance metrics for employees, something even more crucial to have in the era of hybrid working. Even in startups, where flat structures are increasingly popular, managers should in place to prevent a chaotic work environment, and\u00a0<a rel=\"noreferrer noopener\" href=\"https:\/\/viewshub.us2.list-manage.com\/track\/click?u=67e12412deaa066ecc462ab82&amp;id=2b4711136d&amp;e=eab417387e\" target=\"_blank\">Saerom Lee<\/a>\u00a0of the Wharton School (see this month\u2019s interview) argues \u201cthere are many cases where startups fail simply due to the lack of management structure.\u201d<br><br>A compromise for those seeking less bureaucracy without forgoing all aspects of existing management may look to organisations with decentralised structures. Here, mid and lower-level managers have the majority of decision-making power meaning, according to\u00a0<a rel=\"noreferrer noopener\" href=\"https:\/\/viewshub.us2.list-manage.com\/track\/click?u=67e12412deaa066ecc462ab82&amp;id=0519156ee0&amp;e=eab417387e\" target=\"_blank\">Stephanie Burns<\/a>, those closest to ongoing projects are the ones with the most say.<\/p>\n\n\n\n<p>A decentralised structure means you don&#8217;t have a situation where 100 engineers are reporting to&nbsp;one&nbsp;manager. Instead,&nbsp;the 100 engineers are running their own empowered teams of, for example,&nbsp;5 to 10 engineers, each without necessarily needing too much command and control hierarchy to manage their performance. They are empowered to manage their own performance, and as long as everyone can access the information flows, and the relative performance of each sub-unit the need for command and control is reduced<br><br>The agility of decentralised organisational structures has been on show over the last couple of months, without many people realising it. The war in Ukraine has seen a large Russian force taking on the comparatively modest Ukrainian army, yet consistently coming out second best. New York Times columnist&nbsp;<a href=\"https:\/\/viewshub.us2.list-manage.com\/track\/click?u=67e12412deaa066ecc462ab82&amp;id=dee03d43ab&amp;e=eab417387e\" target=\"_blank\" rel=\"noreferrer noopener\">Thomas Friedman<\/a>&nbsp;argues that the centralised nature of Russian forces is a key reason behind why so many generals have been killed, and that Ukraine\u2019s units have not been impacted by Russian cyber-attacks due to the decentralised nature of their operations.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>One notable result of Google\u2019s annual \u2018Googlegeist\u2019 employee survey was a second consecutive year of negative feelings regarding hierarchy and bureaucracy, with just 46 per cent responding positively.<\/p>\n","protected":false},"author":2,"featured_media":305,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[4],"tags":[120,122,117,121],"_links":{"self":[{"href":"https:\/\/www.viewshub.com\/theloop\/wp-json\/wp\/v2\/posts\/311"}],"collection":[{"href":"https:\/\/www.viewshub.com\/theloop\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.viewshub.com\/theloop\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.viewshub.com\/theloop\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.viewshub.com\/theloop\/wp-json\/wp\/v2\/comments?post=311"}],"version-history":[{"count":1,"href":"https:\/\/www.viewshub.com\/theloop\/wp-json\/wp\/v2\/posts\/311\/revisions"}],"predecessor-version":[{"id":312,"href":"https:\/\/www.viewshub.com\/theloop\/wp-json\/wp\/v2\/posts\/311\/revisions\/312"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.viewshub.com\/theloop\/wp-json\/wp\/v2\/media\/305"}],"wp:attachment":[{"href":"https:\/\/www.viewshub.com\/theloop\/wp-json\/wp\/v2\/media?parent=311"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.viewshub.com\/theloop\/wp-json\/wp\/v2\/categories?post=311"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.viewshub.com\/theloop\/wp-json\/wp\/v2\/tags?post=311"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}