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Hierarchical organizations share similarities with the stereotypical large, bureaucratic corporation. As in the values matrix, they are defined by stability and control as well as internal focus and integration. They value standardization, control, and a well-defined structure for authority and decision making. Effective leaders in hierarchical cultures are those that can organize, coordinate, and monitor people and processes. Good examples of companies with hierarchical cultures are McDonald's (think standardization and efficiency) and government agencies like the Department of Motor Vehicles (think rules and bureaucracy). As well, having many layers of management like Ford Motor Company with their seventeen levels is typical of a hierarchical organizational structure. In Pakistan WAPDA and other Government organizations can be considered as hierarchical organizations as they have strict and well defined rules, many layers of management and high level of bureaucracy. As well, having many layers of management like Ford Motor Company with their seventeen levels is typical of a hierarchical organizational structure.

The earliest approach to organizing in the modern era was based on the work of a German sociologist, Max Weber, who studied government organizations in Europe during the early 1900s The major challenge faced by organizations at the turn of the twentieth century was to efficiently produce goods and services for an increasingly complex society. To accomplish this, Weber (1947) proposed seven characteristics that have become known as the classical attributes of bureaucracy: rules, specialization, meritocracy, hierarchy, separate ownership, impersonality, accountability. These characteristics were highly effective in accomplishing their purpose. They were adopted widely in organizations 'hose major challenge was to generate efficient, reliable, smith-flowing, predictable output. In fact, until the 1960s, almost every book on management and organizational studies made the assumption that Weber's hierarchy or bureaucracy was the ideal form of organization because it led to stable, efficient, highly consistent products and services. Because the environment was relatively stable, tasks and functions could be integrated and coordinated, uniformity in products and services was maintained, and workers and jobs were tinder control. Clear lines of decision-making authority, standardized rules and procedures, and control and accountability mechanisms were valued as the keys to success.

The organizational culture compatible with this form (and as assessed in the OCAI) is characterized by a formalized and structured place to work. Procedures govern what people do. Effective leaders are good coordinators and organizers. Maintaining a smooth running organization is important. The long term concerns of the organization are stability, predictability, and efficiency. Formal rules and policies hold the organization together.

2.4.2 Compete (Market)
This is a results-based organization that highlights completing work and getting things done. People are competitive and concentrated on goals. Leaders are hard drivers, producers, and competitors at the same time. They are demanding and have high expectations. The emphasis on winning keeps the organization together. Reputation and success are the most important. Lasting focus is on rival activities and reaching goals. Market penetration and stoc