Isabelle, the CEO of Roll-On Pens, finds that vertical hierarchy exists in the organization. She plans to reduce the stress on this hierarchical structure and give more decision-making ability to the subordinates. In the context of tall and flat organizations, Isabelle is trying to create a(n) ___ organization.
A) bureaucratic
B) decentralized
C) informal
D) matrix
E) adaptive

Question

Quizplus · Accepted Answer

Isabelle is trying to reduce the vertical hierarchy and give more decision-making ability to the subordinates, which is the main characteristic of a decentralized organization. In a decentralized organization, decision-making is pushed down to lower-level employees and there is less emphasis on vertical hierarchy. Bureaucratic organizations are characterized by a rigid hierarchy and a focus on rules and regulations, informal organizations lack clear structures and often arise spontaneously, matrix organizations organize employees into teams that work on different projects simultaneously, and adaptive organizations are able to quickly adapt to changing environments.

Isabelle, the CEO of Roll-On Pens, Finds That Vertical Hierarchy