The Ohio State U. Fisher College of Business, United States
This study explores the paradox of nonhierarchical organizations by examining the challenges and consequences of attempting to maintain a truly flat structure. While scholars have advocated for less hierarchy, citing its benefits for innovation, communication, and employee empowerment, this research argues that hierarchy is an inherent and persistent feature of human organizing. Through analysis of both formal and informal hierarchies, this study proposes that power differentiation often emerges naturally within organizations that aim for flat structures, undermining the efficacy of nonhierarchical ideals. Further, it introduces a psychological perspective, highlighting how the discrepancy between the claimed non-hierarchy and persisting actual hierarchy can damage employees’ justice perception. Unlike traditional hierarchical organizations where power dynamics are clearly defined, nonhierarchical organizations may lead to perceived inequity and dissatisfaction when power imbalances exist. Through the findings, this research may contribute to the understanding of why nonhierarchical structures often revert to hierarchical systems and the psychological toll this causes on employees. It proposes that, despite the appeal of flat organizations, hierarchy is likely to persist in practice, with significant implications for organizational behavior and employee morale.
