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what is a tall organisational structure

by Nina Bayer Published 3 years ago Updated 2 years ago

Tall Organizational Structure

  • Characteristics of Tall Organizational Structure. A tall organisational structure is a hierarchical representation with many levels. ...
  • Advantages of Tall Organizational Structure. There are many advantages of tall organisational structure. ...
  • Disadvantages of Tall Organizational Structure. ...

A hierarchical or 'tall' structure has many leaders and layers of management, and businesses with this structure often use a 'top-down' approach with a long chain of command . In a hierarchical structure, managers will have a narrow span of control and a relatively small number of subordinates or staff.

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What are the features of a tall organisational structure?

What Is a Tall Organizational Structure?

  • Purpose. A tall organizational structure offers various levels of authorization for different actions taken by managers.
  • Hierarchy. A tall organizational structure consists of several layers of management. ...
  • Advantages. A tall organizational structure offers several advantages to companies. ...
  • Disadvantages. ...

What are examples of tall organisational structures?

Tall Organisational Structures

  • Introduction. In its simplest form a tall organisation has many levels of management and supervision. ...
  • Advantages Of A Tall Organisations. There is a narrow span of control i.e. ...
  • Disadvantages Of A Tall Organisation. The freedom and responsibility of employees (subordinates) is restricted.
  • Conclusion. ...

What is an example of a tall organizational structure?

Tall Organization Structures. Generally, the larger the company, the more complex its structure, for example, the United States military, with its many members and long chain of command is a very tall organization. In tall structures, several layers of management come between front-line employees and upper management.

What is a tall organisational structure?

What are different types of organizational structures?

  • Hierarchical structure. …
  • Functional structure. …
  • Matrix structure. …
  • Flat structure. …
  • Divisional structure. …
  • Network structure. …
  • Line structure. …
  • Team-based structure.

What is an example of a tall organizational structure?

Companies with tall organizational structures may arrange their departments by specific products. For example, a department store corporate office may have vice presidents and managers of housewares, sporting goods and women's clothing.

What is a tall and flat organizational structure?

A tall organization, or vertical organization, is one in which the CEO sits at the top of the chain of command, with various levels of management underneath. A flat organization, or horizontal organization, involves fewer levels of management and more employee autonomy in the decision-making process.

What are the benefits of a tall Organisational structure?

Tall organisationsmore opportunities for promotion which can lead to greater staff motivation.staff gain more support from their line manager.there is a higher degree of supervision as each line manager has a limited number of people they are responsible for.

Which company uses tall organizational structure?

Tesco has a tall structure. This is shown because the organisation is large and has multiple layers within the hierarchy.

Is McDonald's a tall or flat structure?

Tall and flat hierarchical structures: In the flat structure there are broader spans of control and few levels of command – that is few managerial levels and many staff. For example, the McDonald's restaurants all have a flat structure.

What is tall structure advantages and disadvantages?

Tall Organisational structureTall Organisational structureAdvantages Narrower spans of control Roles and responsibilities are clearly defined and everyone know their roleDisadvantages Longer lines of communication Subordinates feel less motivated as there are so many managersEvaluation1 more row•Apr 24, 2013

What is the disadvantage of tall structure?

A disadvantage of a tall organization is that if there are too many managers in the system, important decisions may take longer to reach through all organizational levels. The concerns of lower-level employees also may not reach decision-making employees and cause workplace stress.

Is Amazon a tall or flat organization?

Amazon is an example of an organization with a hierarchical structure, largely due to its size. As the largest internet retailer, the company currently employs approximately 560,000 people around the world. With the hierarchical structure, all of Amazon's employees report up to the founder and CEO, Jeff Bezos.

Does Apple have a tall structure?

Apple Inc. has followed a flat structure of organization. Basically this flat structure has encouraged employees to contribute to the decision making process by directly participating in it. For Example – Steve Jobs always welcomed different idea from his employees.

Is Walmart a tall or flat organization?

With about 2.2 million employees, Walmart has a tall hierarchy, with twenty-nine senior managers all reporting to the top executive level, illustrated in the figure that follows. The top of Walmart's organizational structure, which consists of ten additional layers.

Why is tall organizational structure important?

With several layers of management, the company is able to promote more employees to management positions. Employees who see potential growth opportunities tend to work harder as they strive for higher level positions .

What are the disadvantages of tall organizational structures?

With so many layers, tall organizational structures stifle the ability of employees to act when they see a potential issue or opportunity. Instead, the employee must contact his manager regarding the issue before taking action. If his manager is not authorized to make a decision, the manager must move up the chain of command until an approval is received. By this time, the opportunity may have passed, or the issue may have escalated. A disconnect between mid levels of management and employees can also develop. Managers who are several layers away from employees find difficulty in relating to them.

How do companies organize their operations?

Some choose a horizontal organizational structure where one manager oversees many employees. Others choose a tall organizational structure where each manager oversees only a few employees, incorporating many levels of management.

What is senior management?

Senior management is able to groom employees for future moves into senior management positions. As the employees progress up the corporate ladder, they acquire the experience necessary to make bigger decisions for the company. Finally, the company limits the span of control held by managers at each level.

Organized command

One advantage that a tall organizational structure has as a business format is within the command chain. The command authority from person to person is both clear and direct. For example, a CEO can command only those directly below them in the hierarchy. They cannot instruct lower-level employees, except through their managers or supervisors.

Evident responsibility

Because a tall organization has relatively strict hierarchies, responsibility for each employee type is relatively evident. Within this structure, each employee oversees other employees and assigns clear work duties. Tall structures don't have fluctuating responsibilities or periodical responsibility changes.

Clear promotion options

Since the tall organizational structure focuses on a hierarchal format, promotion options may appear more clear to employees. Each rank of employee is directly above another, so each employee understands that a promotion can lead them to the next rank up.

Greater supervision

In a tall organizational structure, each manager or supervisor typically only handles a few employees. They can more closely supervise their employees to ensure training and daily duties operate smoothly. For businesses that have quotas to meet, this type of structure may be very useful in order to manage as many employees as possible.

Typical business type

Small business owners typically use a flat business structure when organizing their companies. Flat organizational structures can help a business maintain clear communication, keep a safe budget and adhere to unique standards, such as lenient management. Owners of large businesses usually use tall organizational structures.

Difference in hierarchy

Flat organizational structures have smaller hierarchal setups than tall organizational structures. Flat organizations only have a few managers to help organize business affairs, so they have less overseeing power and a smaller chain of command within the system. They may have three levels of power at the most.

Customer communication

Flat organizational structures may have more customer communication than tall organizations. This is because flat organizations have more employees who communicate with customers due to a shorter hierarchal system.

What is the advantage of a tall, vertical hierarchical structure?

The greatest advantage to a tall, vertical hierarchical structure is the sense of order it furnishes within the workplace. Employees are given clear tasks to perform from upper management.

What are the two categories of organizational structure?

Organizational structure is often loosely divided into two categories: tall (or vertical) and flat (horizontal). Each type has its own advantages and disadvantages.

What are the disadvantages of horizontal organization?

The greatest disadvantage of the horizontal organizational structure also arises from its greatest benefit. The lack of vertical structure may promote collaboration and creativity, but if not controlled it can also create disorder. Employees may feel lost and confused about the scope of their responsibilities, becoming detached and unmotivated.

Why do startups have a flat hierarchy?

In general, startups and companies with fewer employees prefer a flat hierarchy or flat horizontal structure because it involves minimal management tiers. As a result, many (or all) employees report to a single supervisor. There’s little real hierarchy, and most employees function as equals.

What is vertical hierarchy?

A vertical hierarchy is the more traditional organizational structure. Generally adopted by larger, more established businesses, it’s characterized by a pyramid-like model that integrates levels of management spanning from low to high.

What is flat organization?

In flat organizations, employees usually have a large amount of autonomy, and their responsibilities are less rigid. In general, however, the supervisor still has the final say on company matters, wielding significant authority within the organization.

What is the role of CEO?

The CEO sits at the pinnacle, with each manager responsible for, and delegating tasks to, a small number of lower-ranking employees. Low-level managers are generally responsible for day-to-day activities, and senior managers handle more high-profile decisions and long-term strategy.

Why are tall hierarchical organizations so good?

The employees of the tall hierarchical organizations are well trained and supervised. As the managers are in charge of such a small number of employees to supervise and train, so, it becomes easier for them to give them the right guidance individually. Because of the small number, the percentage of promotions and career growth lines are also clear.

What is a tall hierarchy?

What Is A Tall Hierarchical Structure? The organization which constitutes of different hierarchy levels are known as the Tall Hierarchical Structure. Such organizations contain many managers but such managers are present there for a limited period of time and are in charge of a small group of their own. But, there are other organizations, which ...

Why are tall organizations so expensive?

The tall organizations face higher costs as compared to the other hierarchical structures. One of the reasons for such large expense is the huge number of managers and supervisors available in the company. Due to more heads present in the company, more time is taken all over to conclude a decision when it comes to decision making, which may be another reason behind the higher costs.

Why are tall hierarchical structures so complicated?

This is also a reason behind the lack of response which tends to be slower when it comes to market changes.

Why is decision making slowed down in hierarchical structures?

Due to the many layers of management available in the organization, there is a fine line present in the structure. But decision making is slowed down due to the need for approval from the higher management.

What is the highest position in an organization?

The President is the highest position in any such organizations. This position consists of the final authority. The lowest level of hierarchy includes the employees who do not have any managerial experience or authorities. Such employees are answerable to the first managerial position.

Is a tall hierarchical structure good for standardized jobs?

The best way is to visualize the organization first. But a tall hierarchical structure is not suitable for standardized or routine jobs.

What is organizational structure?

An organizational structure is a system of how certain activities are directed down in order to accomplish the goal or task of a certain organization. The organizational structure is a hierarchy which identifies the job and function of each level.

What are the advantages and disadvantages of organizational structure?

Advantages/ Disadvantages of using Organizational Structure. One advantage is that it keeps the company organized as it sets pre-defined roles which sets itself it’s own certain jobs, another advantage is that it shows who is in charge of who and which people you need to supervise over which keeps the employees working.

What is flat structure?

Flat Structure. One characteristic of a Flat Structure is that it has less than 4 levels of hierarchy which means that there is a wider span of control. This means that the people above are put on more pressure because of that wide span of control.

What are the characteristics of a flat structure?

Another characteristic of a Flat Structure is that it has a shorter line of communication since there is only 4 or less levels in the hierarchy, this makes it easier for the people above to get their message to the people at the bottom, this is good because it decreases the chance of a product failing or becoming worse.

What is an organisational structure?

Most businesses need some type of organisational structure in order to be successful. They allow businesses to designate roles and responsibilities and help employees to understand their place within the enterprise.

What are the types of organisational structures?

There are several different types of organisational structures that businesses may adopt.

How does an organisational structure affect performance?

A strong organisational structure will help businesses to perform their day-to-day functions at an optimum level. Not having an organisational structure in place can cause a chaotic working environment, as well as issues between colleagues and departments, which has a negative impact on clients, customers and revenue.

What is a divisional organisational structure?

This type of structure is best suited to businesses that have a large scope with bases of operation dispersed nationally or internationally.

What is a hierarchical organisational structure?

In a hierarchical structure, every employee within the business (aside from the one at the top) is subordinate to a manager or supervisor that exist in varying numbers from the bottom to the top. This is organised into a hierarchy, which if arranged into a diagram will resemble a pyramid.

What is a flat organisational structure?

A flat organisational structure, also referred to as a horizontal structure, has the opposite approach to a tall structure.

What is a tall organisational structure?

This is very similar to a hierarchical structure and will typically have a long chain of command, with an abundance of leaders. Each of the management levels will usually only be responsible for a small number of subordinate colleagues, which reduces as the chain progresses up to the top level.

What is tall organization structure?

A tall organization structure is one in which there are many levels of management. This creates a smaller span of control along with closer supervision and more advanced specializations. Because there are many levels within the organization, the opportunity for promotion is greater. The downside to a tall organization structure is that, ...

What are the advantages and disadvantages of tall organizational structures?

What Are Advantages and Disadvantages of Tall Organizational Structures? The advantages of tall organizational structures are more opportunities for advancement and more specialized managers; the disadvantages are higher costs and reduced empowerment. Organizational structures play a key role in effective communication and decision-making.

What are the downsides of a tall organization?

The downside to a tall organization structure is that, because there are so many employees, communication quality is poor. Decision-making also takes much longer and causes more complications. The cost of maintaining so many positions is also a major disadvantage. ADVERTISEMENT.

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Tall Organizational Structure: Basics

  • In general, tall organizations are extremely complex. This means that when there is a change in the market, these organizations may respond slower than normal because managers have a much smaller scope of control. A tall organizational structure means that management is broken down into several layers, with executives on top and normal employees on...
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Communication and Costs

  • As mentioned, one of the biggest drawbacks of the tall organizational structure is that it can cause difficulties in making and communicating important business decisions. In tall organizations, it's possible that a business decision will require approval by several people, and because of the hierarchical structure of these organizations, obtaining this approval can be very …
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Using The Tall Organizational Structure

  • The tall organizational structure is typically used for larger corporations. This can be beneficial if a company wants executives to focus on making major business decisions instead of using their energy on the various daily decisions that are important when running a business. It can also be easier to expand a business with the tall organizational structure, as there is no need to disrupt t…
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