Association of Chartered Certified Accountants (ACCA) Certification Practice Test

A major benefit of a large number of steps on the promotional ladder in a tall organization is:

1. It simplifies job roles

2. It assists in training and career planning

3. It reduces employee motivation

4. It creates confusion about advancement

The correct answer is: It assists in training and career planning

A tall organizational structure typically features many hierarchical levels or steps in its promotional ladder. This structure offers the significant advantage of assisting in training and career planning. When there are multiple steps available for promotion, employees can experience clearer pathways for advancement within the company. This clarity allows them to set specific career goals and identify the skills and competencies needed for progression. Additionally, the organization can effectively design training programs tailored to help employees acquire the required qualifications for each subsequent level. Having numerous promotional steps also encourages employees to engage in professional development, as they can see the direct correlation between their efforts, training, and potential promotions. This structured approach creates an environment conducive to individual growth and enhances overall workforce competency, as staff are motivated to develop their skills in alignment with their career aspirations. In contrast, a limited number of steps might lead to confusion or discouragement, as employees may feel they have few opportunities for advancement. Thus, the ability to plan one's career and receive targeted training becomes a vital benefit of a tall organizational structure, reinforcing its value in employee development.