The term “Levels of Management’
refers to a line of demarcation between various managerial positions in an
organization. The number of levels in management increases when the size of the
business and work force increases and vice versa. The level of management
determines a chain of command, the amount of authority & status enjoyed by
any managerial position. The levels of management can be classified in three
broad categories:
1.
Top Level of Management
It consists of board of
directors, chief executive or managing director. The top management is the ultimate
source of authority and it manages goals and policies for an enterprise. It
devotes more time on planning and coordinating functions.
The role of the top management
can be summarized as follows -
a.
Top management lays down the objectives and broad policies of the
enterprise.
b.
It issues necessary instructions for preparation of department
budgets, procedures, schedules etc.
c.
It prepares strategic plans & policies for the enterprise.
d.
It appoints the executive for middle level i.e. departmental
managers.
e.
It controls & coordinates the activities of all the
departments.
f.
It is also responsible for maintaining a contact with the outside
world.
g.
It provides guidance and direction.
h.
The top management is also responsible towards the shareholders
for the performance of the enterprise.
2.
Middle Level of Management
The branch managers and
departmental managers constitute middle level. They are responsible to the top
management for the functioning of their department. They devote more time to
organizational and directional functions. In small organization, there is only
one layer of middle level of management but in big enterprises, there may be
senior and junior middle level management. Their role can be emphasized as -
a.
They execute the plans of the organization in accordance with the
policies and directives of the top management.
b.
They make plans for the sub-units of the organization.
c.
They participate in employment & training of lower level
management.
d.
They interpret and explain policies from top level management to
lower level.
e.
They are responsible for coordinating the activities within the
division or department.
f.
It also sends important reports and other important data to top
level management.
g.
They evaluate performance of junior managers.
h.
They are also responsible for inspiring lower level managers
towards better performance.
3.
Lower Level of Management
Lower level is also known as
supervisory / operative level of management. It consists of supervisors,
foreman, section officers, superintendent etc. According to R.C. Davis,
“Supervisory management refers to those executives whose work has to be largely
with personal oversight and direction of operative employees”. In other words,
they are concerned with direction and controlling function of management. Their
activities include -
a.
Assigning of jobs and tasks to various workers.
b.
They guide and instruct workers for day to day activities.
c.
They are responsible for the quality as well as quantity of
production.
d.
They are also entrusted with the responsibility of maintaining
good relation in the organization.
e.
They communicate workers problems, suggestions, and recommendatory
appeals etc to the higher level and higher level goals and objectives to the
workers.
f.
They help to solve the grievances of the workers.
g.
They supervise & guide the sub-ordinates.
h.
They are responsible for providing training to the workers.
i.
They arrange necessary materials, machines, tools etc for getting
the things done.
j.
They prepare periodical reports about the performance of the
workers.
k.
They ensure discipline in the enterprise.
l.
They motivate workers.
m.
They are the image builders of the enterprise because they are in
direct contact with the workers
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