"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 employees."
The success of an organization depends upon its employees and the way they perform. In most of the organizations employees are rewarded according to their efforts and performance during work. Depending on these factors employees are promoted in terms of designation and monetary benefits. According to me, ranks and salary grades are necessary in any organization for its growth.
We seldom have any organization where the structure is flat. Contribution made by the employees to the growth of the organization should be noticed and rewarded. In the modern world, people are very career oriented. They want to climb the corporate ladder and achieve success for which people are ready to put in their best efforts. But they do expect their efforts are recognized and they are awarded for the same. An organization for its success, need people who are skillful in their role and who also have an ample experience in their field of work. They cannot put an inexperienced person in a role where the person needs to make key decisions on behalf of the organization. An employee who is experienced has the ability to handle the work pressure well in his role as compared to an inexperienced employee. Corporation among employees might not be at its maximum level, but it's the responsibilities of the supervisors to make sure everything in the team is in order.
A flat organizational structure encourages collegiality and cooperation among employees to a large extent. But this structure is only suitable where the organization and business is small. In Multi National Corporations this structure cannot work. There are important decisions to be taken every time on behalf of the organization. This can be done only by employees with much experience in the field. Also a flat structure can cause grudges among employees since everyone is rewarded equally irrespective of efforts put in by employees. Employees performing very well might not give his 100 % since he is not getting the reward for the efforts put by them.
I would like to conclude by saying that ranks and grades are necessary to get the best out of employees and for the successful growth of the organization in the future.
The success of an organization depends upon its employees and the way they perform. In most of the organizations employees are rewarded according to their efforts and performance during work. Depending on these factors employees are promoted in terms of designation and monetary benefits. According to me, ranks and salary grades are necessary in any organization for its growth.
We seldom have any organization where the structure is flat. Contribution made by the employees to the growth of the organization should be noticed and rewarded. In the modern world, people are very career oriented. They want to climb the corporate ladder and achieve success for which people are ready to put in their best efforts. But they do expect their efforts are recognized and they are awarded for the same. An organization for its success, need people who are skillful in their role and who also have an ample experience in their field of work. They cannot put an inexperienced person in a role where the person needs to make key decisions on behalf of the organization. An employee who is experienced has the ability to handle the work pressure well in his role as compared to an inexperienced employee. Corporation among employees might not be at its maximum level, but it's the responsibilities of the supervisors to make sure everything in the team is in order.
A flat organizational structure encourages collegiality and cooperation among employees to a large extent. But this structure is only suitable where the organization and business is small. In Multi National Corporations this structure cannot work. There are important decisions to be taken every time on behalf of the organization. This can be done only by employees with much experience in the field. Also a flat structure can cause grudges among employees since everyone is rewarded equally irrespective of efforts put in by employees. Employees performing very well might not give his 100 % since he is not getting the reward for the efforts put by them.
I would like to conclude by saying that ranks and grades are necessary to get the best out of employees and for the successful growth of the organization in the future.
