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Organisational Structures and Communication - Activity

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In an attempt to speed up plans to turn the company around, Mr Baker is trying to make Boots' organisation structure flatter. By removing layers from the firm's central staff, the length of their chain of command will be reduced. Cutting levels out from an organisation's hierarchy is a way of accelerating decision making speed.

Slimming down Boots' central team and leadership structure is one thing; getting the new message across to existing staff and keeping them motivated is quite another. The firm will need to use its formal channels of communication to keep staff informed. It will also need to remember that informal channels will be used as fears spread about where the cuts will end.

It may be possible that Boots might merely be removing levels from its pyramid or the re-organisation might lead to a new approach to working at its Nottingham HQ. Creating project teams from existing staff and decentralising its organisation, could have big benefits in terms of staff motivation, as workers often benefit from being given more responsibility. But whatever happens, Boots will have to be careful to listen out for and respond to feedback from its staff.