What term describes an organization where lower-level managers have decision-making authority?

In an organization where lower-level managers have decision-making authority, the term that best describes this structure is an organic organization. Organic organizations are characterized by their flexibility, decentralization, and emphasis on open communication. In such organizations, power and decision-making are distributed more evenly across different levels, allowing for quicker responses to changes in the environment and more autonomy for lower-level management.

This structure contrasts with a mechanistic organization, where authority is centralized, and roles are more defined and rigid. In mechanistic organizations, decision-making typically rests with higher management, limiting the authority of lower-level managers.

A hierarchical organization refers to a traditional structure where there are multiple layers of management, and decision-making authority is concentrated at the top levels. This means that lower-level managers often have limited autonomy compared to those in an organic structure.

A flat organization, while also having fewer levels between staff and management, does not necessarily imply that lower-level managers have significant decision-making authority. Instead, it often means that there are fewer layers of management broadly, which could still represent a centralization of power.

Thus, the defining characteristic of an organic organization is that it empowers lower-level managers with decision-making authority, making it well-suited for dynamic and rapidly changing environments.