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ACCA Strategic Professional · Strategic Business Leader · Enabling success: organising

Brevik Retail is considering flattening its structure by removing two management layers, which will roughly double the average span of control. Its staff are highly skilled, work on standardised tasks, and use a modern performance dashboard. Which statement best describes the likely implication?

The wider span is feasible because staff are skilled, tasks are standardised and dashboards support monitoring. Flattening should shorten communication lines and reduce management cost, though it relies on delegation. There is no fixed maximum span, and flattening does not lengthen the chain or require full centralisation.

  1. AThe wider span is feasible, and will probably shorten communication lines and lower management costsCorrect
  2. BThe wider span will inevitably cause control to fail because span should never exceed five
  3. CFlattening will lengthen the scalar chain and slow communication
  4. DFlattening requires greater centralisation of every decision

Explanation

Wider spans are workable where staff are skilled, tasks are standardised and monitoring information is good, so flattening can cut cost and speed communication. There is no universal limit of five. Flattening shortens, not lengthens, the scalar chain, and it normally pushes decisions downward, implying more delegation.

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