Which of the following factors is most likely to increase vertical differentiation within an organization because it leads to the creation of many subunit hierarchies within the organization?
A) increasing level of formalization
B) increasing employee empowerment
C) increasing horizontal differentiation
D) increasing upward communication but decreasing downward communication

Question

Quizplus · Accepted Answer

Increasing horizontal differentiation, which involves the division of labor into unique organizational tasks or functions, naturally leads to the creation of more subunit hierarchies as organizations become more complex. This complexity necessitates additional layers of management to oversee the specialized units, thereby increasing vertical differentiation.

Which of the Following Factors Is Most Likely to Increase