Big Tech's great flattening is happening because it's out of options

Core Insights - Big Tech is increasingly eliminating middle management to streamline operations and reduce bureaucracy, a trend that has accelerated in the tech industry compared to other sectors [3][4][5] - The flattening of organizational structures allows for more direct oversight of employees by remaining managers, which could lead to both increased efficiency and potential burnout among those managers [5][6] - This strategy reflects a broader trend in tech companies to focus on high performers while minimizing the need for managerial oversight, as the presence of underachievers is seen as a hindrance to productivity [6][8] Industry Trends - The tech industry is experiencing a significant shift away from traditional middle management roles, with major companies like Microsoft, Intel, and Amazon leading the charge [4][5] - The push for efficiency is driven by competition from agile startups, which can operate more quickly without the layers of management that larger companies have [8] - The trend towards flattening organizations is part of a larger movement in Corporate America, where companies are reassessing the value of middle management roles [4][6] Implications for Management - The reduction of middle management may lead to a more empowered workforce, allowing top performers to excel without excessive oversight [6][7] - However, this approach may not be universally effective, as high-performing employees may not always be easy to manage, potentially leading to challenges in team dynamics [7] - Companies are willing to take risks with this strategy, as evidenced by statements from leaders like Amazon's CEO, who expressed a strong aversion to bureaucracy [5]