Ikea

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Date Submitted: 02/28/2016 05:17 AM

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Structure is all around us, whether we refer to the concept in a material or non-material aspect. Buildings, the human body, companies – everything is determined by a particular structure. Organizations specifically need to be structured to a certain extent as this is what keeps an organization persistent (Cheney, Christensen, Zorn & Ganesh, 2010). Organizational structure refers to the ways individual and team works are coordinated within an organization. Moreover, structure is an important tool for providing a framework within which relationships are specified, various processes of communication and the culture of an organization.

Organizations can function within various structures, each obtaining its benefits and drawbacks. One of the recent models which different organizations have adopted is the relatively flat organizational structure. Flatter organizations work with less hierarchical levels which allow and also encourage the employees to work together as a team, communicate, and be initiative without waiting for an approval from a number of managers (Carpenter, Bauer & Erdogan, 2009). Furthermore, flat structures give all the employees the opportunity to take charge, be creative in the decision making process, and therefore feel significant in the company’s future success.

The number of organizations which work within the flat structures nowadays is growing and one of the most remarkable examples is IKEA – the world’s leading furniture manufacturer and retailer. In an interview with the manager of the Bulgarian branch of IKEA – Teo Muratidis, I gathered more information and data on the case of IKEA’s successfully working structure. The company’s structure is identical in every country its stores are located and operates within the same rules and frames. Since IKEA functions as a flattening organization, fewer managers than in a ‘tall’ structure are employed which in financial aspect if beneficial for the company as it is less costly. What...