As can be seen in Exhibit II many of the distinc tions of conventional structure disappear in the ad hocracy With power based on expertise instead of authority the line/staff distinction evaporates And with power distributed throughout the structure the distinction between the strategic apex and the rest of the structure also blurs In a project structure strategy is not formulated from above and then im plemcnted lower down rather it evolves by virtue of the multitude of decisions made for the projects themselves In other words the adhocracy is con tinually developing its strategy as it accepts and works out new projects the creative results of which can never be predicted And so everyone who gets involved in the project work and in the adhocracy that can mean virtually everyone becomes a strat egy maker To describe what happens to the distinction be tween operating core and administrative structure i need to introduce two basic types of adhocraey The operating adhocracy carries out innovative projects directly on behalf of its clients usually under contract as in a creative advertising agency