Problems With a Hierarchical Organization Chart

Interestingly, as stated in the book using the Western railroad analogy, an organization's management needs grow faster than the size of the organization. I feel that organizations, especially large and rapidly growing ones, do need a heirarchical organization chart in order to both define the power structure and establish channels of communication. One of the problems that these management mechanisms can cause though is that it cause the organization as a whole to be too rigid. These are put in place and meant to be followed, but they cause an organization to lose perhaps one of the most important tools for success - flexibility. Perhaps a more cross-departmental, non-hierarchical communication system would allow an organization more flexibility and would allow it to be more efficient in the long run. A very large organization with a hierarchical organization chart may put itself into a situation where certain people only talk to certain people and never get a chance to speak to others at all levels, high and low, and in all other departments of the organization. Another thing that this type of structure can do is cause issues with the accuracy of the information being communicated. When people have to pass along information to different levels, information will undoubtedly get messed up from time to time, which can lead to serious problems.