“CONS” OF TRADITIONAL APPROACHES TO ORGANIZING

“CONS” OF TRADITIONAL APPROACHES TO ORGANIZING

• Hierarchical structures can be a liability where
  • Customer preferences shifting from standardized to customized products
  • Product life-cycles growing shorter
  • Flexible manufacturing replacing mass production
  • Customers want to be treated as individuals
  • Pace of technological change accelerating
• Major drawbacks
  • Lack of responsive customer service
  • Slow to adapt to changing conditions

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