An effective organizational design:
A)always follows a centralized structure.
B)keeps the number of employees to a minimum.
C)increases the cost structure.
D)economizes on bureaucratic costs.
E)maintains a tall hierarchical structure.

Question

Quizplus · Accepted Answer

An effective organizational design should economize on bureaucratic costs by streamlining processes and minimizing unnecessary layers of hierarchy. This increases efficiency and can also lead to a flatter organizational structure. Keeping the number of employees to a minimum may not necessarily be the best approach, as it may limit the organization's capacity for growth and innovation. A purely centralized or tall hierarchical structure may also not be ideal, as it can stifle creativity and limit communication and collaboration within the organization.

An Effective Organizational Design