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ACCA Applied Knowledge · Business and Technology · The formal and informal business organisation

A software consultancy forms flexible project teams of experts from different disciplines, who coordinate through informal communication. Which feature is most typical of this Mintzberg configuration?

The adhocracy suits complex, dynamic environments where innovation is needed. It relies on mutual adjustment among multidisciplinary expert teams with little formalisation. Rigid hierarchy, detailed rules and a large technostructure are features of the machine bureaucracy instead.

  1. ARigid hierarchy with detailed rules
  2. BSuitability to complex, dynamic environmentsCorrect
  3. CDependence on a large technostructure

Explanation

The adhocracy uses mutual adjustment among expert teams and has little formalisation. It suits complex, dynamic environments needing innovation. Rigid hierarchy and a large technostructure are characteristics of the machine bureaucracy.

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