Centralised Structure Definition

A centralised structure is one in which most or all decision-making authority is concentrated at the top of the organisation. This type of structure is common in large companies, where a small group of executives make decisions that affect the entire organisation. Centralised structures can be either tall (hierarchical) or flat (non-hierarchical).

Flat structures are less common than tall ones, but they are becoming more popular as organisations strive to increase agility and responsiveness. In a flat structure, authority is distributed more evenly throughout the organisation. This type of structure is often used in smaller companies, where everyone has a say in decisions that affect the business.