ABSTRACT

These structures, with fewer levels of command, are designed to speed up communications between customers and decision makers ensuring that rapidly changing consumer needs, characteristic of today's market, can be dealt with more quickly and effectively. Though hierarchies are reduced, the best characteristics of bureaucracy are left in place to enable the organisation to continue ongoing administration and other routine tasks. Decision-making is devolved and, with fewer levels of control, there are fewer opportunities for promotion. 'Parallel organisations' such as profit centres, business units and project teams responsible for business development and special projects are set up.