Several indexes of prison climate were created by factor analyses of responses of 149 correctional personnel and 442 inmates to adapted Saylor surveys. Results suggested that flattening an organizational structure without decentralizing authority seems to have negative effects on staff supervisory relations and job satisfaction. Findings support theories that predict higher levels of job satisfaction when authority is delegated. In contrast, inmates reported a better quality of life in terms of personal well-being and living conditions and a more effective staff (responsive, accurately informed) under the flatter unit management structure, whether or not staff perceived adequate delegation of authority. Tables and 14 references (Author abstract modified)