Disadvantages of Tall Organization

Flat Organizational Structures
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Disadvantages of Tall Organization

What are the drawbacks of a tall organization?

  Lawrence Nwaru
Head of Field Research, Nigeria
 

Drawbacks of a Tall Organization Structure

Although it can provide accelerated career options for subordinates, its drawbacks include a lower motivation level, increased competition and rivalry and dysfunctional team characteristics.

  David Wilson
Manager, Canada
 

Cost of a Tall Organization

It is not unusual for a tall organization to carry a higher cost of staffing, due to the many management layers.
Organizations should look at the impacts of a narrow span of control versus a wide span of control, in order to optimize the organization's ROI.
Theories about the optimum span of control go back to Graicunas, who in 1933 used assumptions about mental capacity and attention span to develop a set of practical heuristics. Lyndall Urwick (1956) developed a theory based on geographical dispersion and the need for face to face meetings.
In spite of numerous attempts since then, no all-embracing, comprehensive theory has been presented. This is because the optimum span of control depends on numerous variables including organizational structure, available technology, the functions being performed, and the competencies of the manager as well as the employees.

 

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