As a formal hierarchy is missing it can lead to conflicts 14 Too much

As a formal hierarchy is missing it can lead to

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As a formal hierarchy is missing, it can lead to conflicts. 14
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Too much dependence on technologies like the Internet, phone, etc. can cause problems. As there is no physical place for employees, it affects communication. It can lead to increased work stress among the employees. An intense competition exists among the supervisors, to get a high-performing employee. Team Structure Organizations with team structures can have both vertical as well as horizontal process flows. The most distinct feature of such an organizational structure is that different tasks and processes are allotted to specialized teams of personnel in such a way that a harmonious coordination is struck among the various teams. Merits It facilitates practical decision-making and implementation. Decisions are taken unanimously and not by an individual. It eliminates traditional scalar chains of command for getting approvals. The relationships and communication between employees improve. If one employee in the team fails to work, the other can take his place. It enables the heads to staff resources which complement each other. Demerits There is very less contact with teams of other functions. If teams undergo constant changes and alterations, it can affect work. Each team contributes on its own and may not be in alignment with the organizational goals. Team members need to be proactive and incorporate better project management. The need for an effective leader can be felt. As decisions are given by many people, they may take a long time. A Few More Organizational Structures Entrepreneurial Structure The authority of such organizations oftentimes is heavily centralized and lies with one person. It only comprises two to three vertical levels and the duties of the employees overlap. It is suitable for small or new organizations where the decision of one person matters the most. It also exhibits easy responsiveness and adaptability to change in the business environment. Horizontal Organization Structure It is also known as a flat structure. In this type, there is absolutely nil or very less interference from the senior management which allows the employees to conduct their tasks smoothly. Employees are also involved in the decision-making process. As it eliminates the need for middle management, it contributes towards giving a quick response to customer feedback. However, it 15
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may not be applicable and practical for big organizations. Vertical Organization Structure It relies on the middle management to monitor and control the work of the employees. These structures have well-defined roles and responsibilities for the employees. Hence, delegating tasks to the employees becomes easier. It requires a strong leader at the top of the hierarchy as he is the one to take all the decisions. As a hierarchy exists, it ensures that the work is done in a disciplined manner.
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