Flat Structure: – It is such a structure that comprises few hierarchal levels along with broader span of control. There must be strategies in place to deal with the potential negatives which like to occur under this structure. Accordingly, there are few rules and not much bureaucracy in a Power Culture because whatever the Chief says, that's the law.Very early stage startups with charismatic leaders tend to be Power Cultures, but you'll find them in other types of organizations as well. Here are a few causes of workplace politics: It helps the managers to measure actual performance and guide it towards the achievement of predetermined goals. The advantages and disadvantages of a hierarchical organizational structure involve communication, innovation, and collaboration. Generally this type of power can be quite beneficial in a situation where businesses are threatened or in a crisis. Decentralization is an important tool for satisfying human needs of power, independence, status and prestige. Tweet Some of the major benefits derive from doing proper Manpower Planning are as follows:- Enable the determination of personnel needs of an organization It is an essential component of strategic planning It helps to ascertain and identify critical shortages of skilled staff and take corrective action by timely recruitment, etc so as […] This power is in use, for example, when an employee carries out an order under fear of losing their job or their annual bonus. Similarly, in a centralized government structure, the decision-making authority is concentrated at the top, and all other lower levels follow the directions coming from the top of the organization structure. Here, we present the pros and cons of delegating authority. For legitimate power to be respected in an organization, the manager should be able and have the experience, expertise and qualifications that the job requires. A person who holds expert power easy to get promoted to senior management. Concentration is the systematic and consistent reservation of authority in the central hands in the organization. Various advantages of human resource planning in HRM are as follows: As manpower planning is concerned with the optimum use of human resources, it can be of great benefit to the organisation, in particular and to the nation in general. 7 advantages and disadvantages of committees for administration and management. People who hold expert power get trust and respect about decisions and opinions from others. Advantages of Decentralisation: 1. With a very small amount of capital you can start the business. There is no fear of delegating too much authority to one individual. Subunit power in the organization is also related to the correlation between a subunit's resources--budget and instructional staffs--and work load over time. Advantages and Disadvantages Of Decentralisation Advantages of Decentralisation Motivation of Subordinates. When disruptions crash toward them, companies should know there are benefits of organizational change. ‘Centralization‘ means concentration of power of decision-making. Delegation of authority refers to the transfer of power. Decentralization is the break down of this style of organization, where the power is given to the small sectors of the business. ... committee helps to avoid the risk of concentration of too much authority in the individual and the danger of abuse of power. 2. A clear chain of command In the context of any organisation, be it a company, a charity, or a hobby group, the word "power" refers to management. Instead of spending a lot of time recognizing the fact that a problem does exist, it is best to take immediate action, dealing with conflict. Quick and wise decision possible Advantages of expert power Able to influence a person’s behavior in the organization due to the leader’s knowledge and skills related to work being performed. Easy to Form and Wind up – A sole proprietorship form of business is very easy to form. On the other hand, power-oriented organisations also have a positive side. It's going into the unknown and confronting new challenges. While some managers may be wary of it, it has its own advantages. A casual investigation of an organization may show that the organi­zation has a quite rational (autocratic) or demo­cratic power structure. Structure: A structure of form is created by specifying the duties and responsibilities and reporting relationships within a command hierarchy. 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