Which of the following statements describes the typical benefit of using a flat organizational structure for the internal audit activity, compared to a hierarchical structure?
Which of the following statements describes the typical benefit of using a flat organizational structure for the internal audit activity, compared to a hierarchical structure?
A flat organizational structure typically results in lower operating and support costs compared to a hierarchical structure. This is because there are fewer management levels, which reduces overhead costs related to maintaining multiple layers of administration. Additionally, simplified communication channels in a flat structure can enhance operational efficiency, thereby contributing to cost savings.
It should be A! C is pointless here
The typical benefit of using a flat organizational structure for the internal audit activity, compared to a hierarchical structure, is that it enables field auditors to report to and learn from senior auditors. In a flat structure, there are fewer levels of management, which allows for better communication and collaboration between auditors at different levels. Field auditors can receive guidance and mentorship directly from senior auditors, which promotes knowledge sharing and skill development. While a flat structure may not necessarily result in lower operating and support costs, it does promote a more dynamic and inclusive work environment. The flatter structure eliminates unnecessary hierarchy and allows employees to have a more direct impact on decision-making processes. This can create greater opportunities for advancement and professional growth, as employees have the chance to take on more responsibilities and showcase their abilities. Hence, seems like C is correct. Do you have any other thoughts in mind?
Share the source for your conclusions. I still think it will be about lowering the cost of operation and not learning from more senior members of IAA