Delayering

• What does delayering involve in an organization?

  Removing layers of management from hierarchy
• What does the organizational structure represent?

  How people and management are organized
• What does the organizational structure illustrate?

  The hierarchy, span of control, and roles
• What is a tall hierarchy?

  A structure with many management levels
• How many levels does a tall hierarchy typically have?

  Six levels in the example given
• Who is at the top of the marketing hierarchy?

  The CEO
• What is the goal of delayering?

  To reduce the height of tall structures
• Why are tall structures often viewed as inefficient?

  They slow down communication processes
• What is a key reason for targeting tall structures for delayering?

  High management costs due to many layers
• What is a potential benefit of successful delayering?

  Lower labor and management costs
• How can delayering improve decision-making?

  By speeding up communication within the business
• What effect can delayering have on employee innovation?

  It can stimulate employee innovation
• What is associated with wider spans of control?

  Fewer line managers in the hierarchy
• What does delayering emphasize in the workplace?

  Teamwork and employee empowerment
• What is a potential drawback of delayering?

  Initial costs can be significant
• What happens to the workload of remaining managers after delayering?

  Their workload may become excessive
• How can delayering impact organizational morale?

  It may lead to uncertainty among employees
• What is a risk of losing senior managers during delayering?

  Loss of expertise and experience
• What might happen if senior managers take their expertise to competitors?

  The business may lose valuable know-how
• What are the potential benefits of delayering in an organization?

  • Lower labor costs
  • Improved speed of decision-making
  • Easier communication
  • Stimulated employee innovation
  • Wider spans of control
  • Greater teamwork and empowerment
• What are the risks associated with delayering?

  • Significant initial costs
  • Excessive workload for remaining managers
  • Negative impact on organizational morale
  • Loss of expertise and experience