Digitalization trends and organizational structure: bureaucracy, ambidexterity or post‑bureaucracy?

Abstract

Nowadays, the vast majority of forward-looking organizations is activating under the imperative of embracing digital transformation. This study aims to contribute to a more fine-grained understanding of the relationship between digitalization and organizing processes, with a particular emphasis on organizational structure. Espousing the bureaucratic, ambidextrous, and post-bureaucratic views of structure based on the individual dimensions of centralization, formalization, skill variety, interdependence and integration, we ask which structural arrangement is more suitable for leveraging the benefits of digitalization. Two consecutive studies were conducted drawing on samples of 117 digital natives and 141 older-generation managers employed by various organizations located in Norway. Our empirical findings provide consistent cross-study support for the relevance of post-bureaucratic structure in the context of digitalization. We highlight the contributions of our research to extant knowledge in the field and discuss specific implications for theory and practice.