The traditional pyramid shape no longer suits the needs of many businesses. A less hierarchical organization is emerging. Participative management has arrived.
Technology is one of the primary reasons for flat organizations.
As our workforce becomes more skilled it is critical that there be greater participation in decision making. The other trend, particularly in the high tech sectors is toward more compact firms where traditional decision making is not appropriate. There are some ramifications for employment law. The law provides that Managers are entitled to more severance pay than nonmanagerial employees. Lastly, Managers are more likely to be excluded from union bargaining units.