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Analysis of an issue - 'Flat' organizational structure

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by mehravikas » Fri Aug 28, 2009 11:36 pm
Corporations and other businesses should try to eliminate the many ranks and salary grades that classify employees according to their experience and expertise. A 'flat' organizational structure is more likely to encourage collegiality and cooperation among workers.

Discuss the extent to which you agree or disagree with the opinion stated above. Support your views with reasons and/or examples from your own experience, observations, or reading.


Whether corporations and other businesses should try to eliminate the many ranks and salary grades that classify employees according to their experience and expertise and whether a 'flat' organizational structure would encourage collegiality and cooperation among workers depends on a variety of factors. In my view, corporations should not promote a 'flat' organizational structure and in my response to the issue I shall present statements favouring a hierarchical structure and refuting a 'flat' structure.

The main reason for my view is that every organization depends on experience and expertise professionals who have specialized skills. For example, IBM specializes in telecom domains and banking domains. IBM employees a wide range of consultants who are considered "guru" in their knowledge of telecom, banking and various other domains. The skills those employees have are needed for most complex projects that take technology and innovations to the next level. Why would IBM or any other organization not promote such employees above others? After all because of those employees IBM leads in the IT innovations. A 'flat' organizational structure would mean that those employees are not compensated for the skills they have. Also, such employees set examples for others to be like them.

Another reason for my view is, a flat organizational structure unlike a hierarchical structure would not be able to create a healthy competition among employees. An increase in ranks and in salary is one of the key factors that help employees to perform consistently. On the other hand, an organization with a flat structure would not be able to provide a highly competent and motivated environment for its employees. There are times when competition gets ugly but most of the time employees gain from it. Overall, a hierarchical structure is a must for every organization to be in the business.

Some might argue, a hierarchical structure is indeed not so good for the organizations because managers are often biased when promoting employees. Yet it is essential to provide such a structure in the organization as it helps to attain organization goals. Others might cite that cooperation and collegiality among workers is hampered by such a hierarchical structure. However, it is best to have a healthy competition rather than have a de-motivated environment in the organization.

In sum, I agree that salary ranks and grades do create bitterness in the work environment but on the whole such policies and structure help employees to attain their goals. However, managers should not be biased towards promoting employees; on balance there should be a clean process to promote employees. Only those employees should be promoted who deserve to be promoted.
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Source: — GMAT Essays (AWA) |

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