All the authority and decision-making is concentrated in the owner manager who often directly supervises all the activities. for the management level. Tall and flat organisations The staff structures of a tall organisation and a flat organisation Tall organisations Advantages. When correctly used, it can lead to faster decisions, happier employees and satisfied customers, but when implemented the wrong way, it can cause job confusion and low levels of … The discipline in the organisation may be bad due to loose control. 5 Advantages and Disadvantages of the Matrix Organizational Structure November 23, 2020 When a business initiates a project, it can be crucial to have an organizational structure in place to define all the aspects of the project. Pros and Cons of Flat Organizational Structure PRO: Decision making. Much media attention has focused on holacracies, but actually holacracy is just one type of flat hierarchy that became popular due to its adoption by well-known companies operating in Silicon Valley and the wider technology sector.. What holacracies and other forms of flat hierarchies have in common is a smaller-than-normal layer of middle management. Below is a comparison between the two structures. Limitations or disadvantages of a flat organisation structure are as follows: There are chances of loose control because there are many subordinates under one manager. 1. It means that the company has to shed out less amount of money in terms of salaries, benefits etc. There are advantages to this -- it lowers the problems caused by unhealthy competition. In this article, we are going to review the advantages and disadvantages of each organizational structure: Functional, Projectized, and Matrix. Hierarchical Structure vs Flat Structure. Hierarchical Structure vs Flat Structure can only be understood when compared to the same metrics. The relations between the superiors and subordinates may be bad. Decision making is quite simple and easy in a flat organization. However, the flat structure also makes it harder for ambitious employees to find satisfaction. Simple Organisational Structure: The widely prevailing organisational structure found in respect of very small enterprises is a simple one. Advantages, Disadvantages and Impact. Advantages: The main advantages of the simple structure are the following: i. Horizontal (flat) structures and hierarchical (tall) structures. An organisational structure is how a business organises its staff to represent the different layers of management. The benefits of a flat organizational structure are. Cost-efficient – There are very few managerial layers in a flat organizational structure. Disadvantages of Flat Organisation Structure. 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