“One of the misconceptions about lean thinking is that it automatically leads to flattening the organization. Many people think that layers of management are always a bad thing and start removing layers as a way to empower employees, speed up decision-making, and improve innovation. While there is no shortage of organizations that suffer from too many layers, it should be noted that flattening does not necessarily lead to improved performance. Many organizations that flattened their structures have experienced little more than burned out managers, frustrated employees, and high turnover.”
Sourced through Lessons in Lean
Michel Baudin‘s comments: For the second time in a week, I am clipping a post from Gregg’s blog but I can’t help it if I find his writings worth sharing. In my experience, “flattening the organization” is particularly harmful on the shop floor. I have heard managers brag about their structure being “lean” because they had only 1 supervisor for 100 operators. This isn’t what Toyota does in car assembly, where operators work in teams of 4 to 6 and you have a first-line manager for 4 to 6 teams. This means that the number of operators for a first-line manager ranges from 16 to 36, with a mean that is actually around 17. This low number is designed to allow the first-line managers to help operators in their professional development and to lead improvement projects. A supervisor with 100 direct reports can do neither.