Each of the above organizational choices clearly offers advantages and disadvantages.
While some type of hierarchy exists at the heart of most organization designs, many organizations are finding that the typical pyramid shaped organization no longer meets their needs. They are looking for options that allow greater flexibility and responsiveness. Such organizations may legitimize informal relationships between various organizational parts and levels. They may rely more on teams as coordinating mechanisms and they may actively encourage collaboration and sharing across business units. Successful global organizations in the 21st century will balance hierarchical control (which remains critical in most organizations) on one hand, with less rigidity, more flexibility and emphasis on individual empowerment on the other.