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Topic: Business
Number of pages / Number of words: 5 / 1158
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By empowering employees there was accelerated growth for each business team. Rapid decision making was essential in AES’s growth. They were able to adapt to a volatile market while their competitors were hindered by their taller organizational structures.

Initially, decentralization proved to be effective for AES...


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However, AES’s growth was too rapid for their organizational structure to remain effective. Both social and technical elements of AES eventually grew to be ineffective, it is the social element that was the major cause of necessary restructuring. The loosely managed structure removed much of the accountability for ineffective decisions...


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