What Are Disadvantages Of Hierarchical Organisations?

ParvathyBms

Par 100 posts (V.I.P)
Disadvantages Of Hierarchical Organisations
 The organisation can be bureaucratic and respond slowly to changing customer needs and the market within which the organisation operates.
 Communication across various sections can be poor especially horizontal communication.
 Departments can make decisions which benefit them rather than the business as a whole especially if there is Inter-departmental rivalry.
 
In this type of structure bureaucracies slow things, final decision making, interaction, activity and then the company turns into a lumbering. I think bureaucracy is most harmful in active business environments that demand quick action.
 
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