Glossary

Delayering

Apr 29, 2024

What is delayering?

Delayering is a company restructuring process where managers are no longer responsible for sections or functions, but rather for processes and products. 

The main aim of delayering is to improve decision-making, reduce bureaucracy and increase flexibility by reducing hierarchy levels within an organization.

Delayering of organizations can be achieved in several ways, including:

Reducing the number of management positions: This involves eliminating entire layers of management, such as middle management, and consolidating their responsibilities into fewer positions.
Flattening the organizational structure: This involves reducing the number of hierarchical levels in the organizational chart so that there are fewer management positions overall.
Combining roles: This involves merging two or more management roles into a single position so that one person is responsible for multiple areas.
Outsourcing: This involves outsourcing certain functions, such as IT or HR, to third-party providers, which reduces the need for internal management positions.

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