Patty's Paper, an online stationery and card retailer, adopts an organizational structure in which job titles are abandoned, traditional managers are eliminated, and authority is distributed to teams. Patty, the CEO of the firm, believes that this more fluid structure will allow the company to grow in size and increase its productivity. What is this type of organizational structure called?

a. a free-reign firm

b. a task force

c. a tall organization

d. a holacracy

e. a broad organization

The correct answer is letter "A": a holacracy.

Explanation:

Holacracy is a corporate structure where the traditional powers of executives and managers are spread across employees. This type of organization is characterized by having more smooth and flexible work processes that are easy to adapt to the changes produced in the market taking the risk of losing focus and the necessary impulse to keep growing.

d. a holacracy

Explanation:

A holacracy is the opposite of hierarchy and can be described as a form of management where authority is shared with several people or with different groups of people, where there is a set of hierarchical levels between them, that is, the power of management is shared with everyone who, in some way, is part of the organization. That way everyone is a manager.

An example of this can be seen in the question above, where a company has adopted an organizational structure in which positions are abandoned, traditional managers are eliminated and authority is distributed to teams.