L evels of M anagement Management is a universal term used for certain functions performed by individuals in an enterprise who are bound together in a hierarchy of relationships. Every individual in the hierarchy is responsible for successful completion of a particular task. To be able to fulfill that responsibility he is assigned a certain amount of authority or the right to take a decision. This authority-responsibility relationship binds individuals as superiors and subordinates and gives rise to different levels in an organisation.
Generally speaking there are three levels in the hierarchy of an organisation. (i) Top Management: They consist of the senior-most executives of the organisation by whatever name they are called. They are usually referred to as the chairman, the chief executive officer, chief operating officer, president and vice-president. Top management is a team consisting of managers from different functional levels, heading finance, marketing etc.
For example chief finance officer, vice president (marketing). Their basic task is to integrate diverse elements coordinate activities of different departments according to the overall objectives of the organisation. These top level managers are responsible for the welfare and survival of the organisation. They analyse the business environment and its implications for the survival of the firm.
They formulate overall organisational goals and strategies for their achievement. They are responsible for all the activities of the business and for its impact on society. The job of the top manager is complex and stressful, demanding long hours commitment to the organisation. (ii) Middle Management: is the link between top and lower level managers.
They are subordinate to top managers and superior to the first line managers. They are usually known as division heads, for example production manager. Middle management is responsible for implementing and controlling plans and strategies developed by top management. At the same time they are responsible for all the activities of first line managers.
Their main task is to carry out the plans formulated by the top managers. For this they need to: (i) interpret the policies framed by top management, (ii) ensure that their department has the necessary personnel, (iii) assign necessary duties responsibilities them, (iv) motivate them to achieve desired objectives, and (v) co- operate with other departments for smooth functioning of the “You don’t learn management from books alone...” Managerial Levels organisation. At the same time they are responsible for all the activities of first line managers. (iii) Supervisory or Operational Management: Foremen supervisors comprise the lower level in the hierarchy of the organisation.
Supervisors directly oversee the efforts of the workforce. Their authority responsibility limited according to the plans drawn by top management. Supervisory management plays a very important role in the organisation since they interact with the actual work force and pass on instructions of the middle management to the workers. Through their efforts quality of output is maintained, wastage of materials is minimised and safety standards are maintained.
The quality of workmanship and the quantity of output depends on the hard work, discipline and loyalty of the workers.