The magical innovation of technology has significantly changed the way of functioning organization. The role played by middle management is diminishing as the tasks performed by them are increasingly being replaced by the technological tools.

Hourglass organization structure consists of three layers in an organisation structure with constricted middle layer. The structure has a short and narrow middle management level.

Information technology connects upper and lower level management taking away many tasks that are performed by the middle level managers. A shrunken middle layer coordinates diverse lower level activities.

It helps organisation in enhancing responsiveness by simplifying decision making.