Many organizations are flattening hierarchies to improve agility and efficiency, inspired by successful tech companies. This approach risks losing the essential leadership skills developed in mid-level management roles, such as strategy and people management. The absence of these roles creates a significant experience gap, as employees transition from individual contributors directly to higher positions without proper training. Organizations must address this challenge by redefining mid-level leadership experiences and implementing strategies to build executive talent. Intentional efforts can ensure leadership capacity is preserved while enjoying the benefits of a streamlined structure.
The challenge organizations face is understanding the unintended consequences of flattening hierarchies while ensuring they do not sacrifice long-term leadership capacity for short-term gains.
With intentional effort and a rethinking of how experience is gained, organizations can still build a formidable bench of executive talent despite eliminating mid-level management.
Organizations must redefine mid-level experience, recognizing that the typical career progression offered essential learning in people management and strategic skills now at risk.
Eliminating layers of middle management to chase agility may create an experience gap, as employees miss crucial managerial training that develops leadership capabilities.
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