What Happened After Zappos Got Rid of Workplace Hierarchy
recent research seems to indicate that flattening workplace hierarchy is not only much more complicated than it seems, but that people prefer a pecking order. One Stanford study found that egalitarian work structures were disorienting. Workers found hierarchical companies were more predictable, and therefore preferable, because it was easy to figure out who did what and how compensation should be doled out. Another Stanford paper, which looked at why hierarchical structures in the workplace have such staying power, concluded perhaps the obvious: Hierarchies work. They are practical and psychologically comforting.
http://www.theatlantic.com/business/archive/2016/01/zappos-holacracy-hierarchy/424173/