This presentation is all about new or emerging trends of flat organizational structure.

1. CHITKARA BUSINESS SCHOOL
REPORT
ON
NEW TREND OF FLAT ORGANIZATIONAL
STRUCTURE
UNDER THE GUIDANCE OF : SUBMITTED BY:
DR. NAMRATA SANDHU APOORVA SAINI
MANIRAT KAUR
DIVYA MALIK

2. ORGANISATIONAL
STRUCTURE
Organizational structure specifies which individuals
will work as subordinates to which superiors .
 Defines interpersonal relationship between them.
Division of labor.
Framework-Usually it takes the shape of pyramid.
Intentionally created.
Provides formal picture.
Converts resources (of management) into productive
enterprise.

3. CONT’D
Is it related to your behavior?
 How you form a group?
 How you sit in a group?
 How you react in any situation?
 How you respect situation?
 How much freedom you have?
 How much authority & responsibility you have?
 How much power you have?

4. EMERGING TREND- FLAT
ORGANISATIONAL
STRUCTURE
FEATURES:
 Few layers or just 1 layer of management.
 Decentralization.
 Wide span of control.
 Quick decision making- each person is closer to
the ultimate decision maker.
 Saves time & enhances coordination.
 Faster.
 More-resilient, flexible, responsive, innovative.

5. REASONS :
 Improves communication within the organization.
 Better team spirit.
 Lesser bureaucracy.
 Easier & quicker decision making.
 Lower costs.
 Encourages cooperation among employees.

6. SHORT STORY

7. Scene one
HI, I’m John.

8. I work in a business
that looks like this
That’s
me
just
here

9. I’ve an idea & I really want to publish it as
a white paper & put it on our website

10. First of all I’ve to ask from my
manager. Then he’ll ask from the
boss.

11. BOS
S
That’s him
up there

12. I have an idea & I really
want to publish it as a I asked the boss but
white paper & put it on a he doesn’t like that idea.
co’s website.

13. I’m so frustrated & I’m just going to resign my
job.

14. So finally, he gets demotivated which
reduces his work performance and he
is not satisfied with his job. There is no
coordination and team spirit.
This shows the effect of organization
structure on the behavior of the
employee.

15. SCENE TWO
Now he finds a new job in a Company which has
a flat organization structure.
The structure is as follows:-
Here up is the boss.

16. After conveying his idea to his boss, he publishes his white
paper which goes out to the co.’s networks & then white paper
gets global recognition .
He is a dictator but at the
same time he is more
likely to act as a
leader/facilitator.

17. So, in this way his level of performance
increases and ultimately his behavior also
towards the organization.
Therefore, organization structure leads to the
individual behavior.

18. Flat because consumers do not expect to wait but
want instant answers. So, companies should be flat
enough to be dynamic.
 Small shops, offices, news agents.
 Google believes in flat organizational structure.
 Gillette, Toyota.
 Saturn Corporations, a subsidiary of General
Motors(GM).

19. SATURN
CORPORATIONS, A
SUBSIDIARY OF GENERAL
MOTORS

20.  Adopted organizational structure as a set of
nested circles rather than pyramid.
 Center-self directed production cell called
Work Unit.
 These teams make decisions & form wider
circle called Work Unit Module.
 Representatives form decision circle of the
module.
 Leaders of modules form decision circle of
Business Team.
 Representatives of Business Team form
Manufacturing Action Council.
 At all levels, decision making is done on a
consensus basis.
 The President of Saturn finally,reports to the
GM headquarters.

21. Charter Team Member
Work Unit Module
Advisor CTM CTM
WU WORK
UNIT
MA MODUL
WORK
UNIT E
MODUL
WU E
WORK
MA UNIT
MODUL
E
WORK
UNIT RESO
MODULE URCE
S
CTM
Link to CTM
busines
s team
WORK UNIT MODULE

22. FIELDS WHERE NEW TREND
OF FLAT ORG. IS EMERGING
Education sector:
 Universities are transforming from teaching
organization to learning organization.
- Decreased govt. support.
- Rising cost of education.
- Technological changes.
- Growing number of working adults.
Travel agencies are being challenged.

23. THANK YOU…