Application of low hierarchy structures are becoming increasingly popular by enhancing job satisfaction and productivity of employees. On the other hand formation of hierarchy appears to be natural and beneficial in many cases. This study explores how low hierarchies could become and where the boundaries regarding job satisfaction lie as well as how these differ depending on formal position of employees. The inquiry is undertaken with a focus is on medium-sized companies in manufacturing industry in Germany where job satisfaction and productivity via such applications is vital.

Extensive qualitative data was collected with a single-case approach; analysis was conducted qualitatively likewise. The lower limits of hierarchy are discovered to lie in various aspects mainly relating to supervision, recognition of good performance and promotion opportunities and to differ significantly with formal position. The study is believed to be unique and assist in shedding light into the area of beneficial and practical low hierarchy applications.