Organizational Stucture

FLAT ORGANIZATIONAL
STRUCTURE
What is Flat Organizational Structure?
• a structure with few levels of middle
management between executives and
employees—or, in some cases, no middle
management at all.
• has significantly fewer management layers
than a traditional, heirarchical structure.
• usually used by startups and small
organizations
Strenghts of a Flat Organizational Structure

• Lower operating cost

• Improved communication
• Increased employee motivation and satisfaction
• Enables fast decision-making
• By the absence of middle management, power and
responsibility are divided evenly throughout the
organization.
 Weaknesses

• Unsuitable for large organizations

• Hinders employee retention
• Creates power struggles.
 Example
Valve’s Flat Organizational Structure
The gaming startup has placed an increasing emphasis
on the decision to go completely boss-less. Although the
company does technically have a founder and CEO, Gabe
Newell, his role is much more hands-off than that of the
average executive.

“Everybody is expected to essentially vote on what is most

important to our customers by the projects that they work
on,” explains Newell.
 Flat Organizational Structure Chart
MHELCKEY S. SABIO
CEO

Laila M. Mangaliman Stephanie Joy M. Colis Jonathan Solero Daisy Villa

DEVELOPER MARKETING MANAGER OFFICE MANAGER CREATIVE DIRECTOR

Princess Mae V. Bataan Althea L. Liagao Neil Vryan Yabes JAYR PANGAN
EXECUTIVE ASSISTANT FINANCE MANAGER CTO PRODUCTION MANAGER