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Management Levels Explained

There are typically three levels of management in an organization: top level, middle level, and lower level. [1] The top level consists of the board of directors and CEO, and focuses on planning, coordinating policies, and controlling activities. [2] The middle level includes department managers who execute top-level plans and coordinate activities within their departments. [3] The lower level includes supervisors who direct the work of operational employees and ensure tasks are completed properly.

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100% found this document useful (3 votes)
14K views2 pages

Management Levels Explained

There are typically three levels of management in an organization: top level, middle level, and lower level. [1] The top level consists of the board of directors and CEO, and focuses on planning, coordinating policies, and controlling activities. [2] The middle level includes department managers who execute top-level plans and coordinate activities within their departments. [3] The lower level includes supervisors who direct the work of operational employees and ensure tasks are completed properly.

Uploaded by

AbdulRehman
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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Download as PDF, TXT or read online on Scribd
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LEVELS

OF MANAGEMENT
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/ Administrative level 

2. Middle level/ Executory 

3. Low level/ Supervisory I Operative I First‐line managers 

Managers at all these levels perform different functions. The role of managers at all the three 
levels is discussed below: 

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: 

1. Top management lays down the objectives and broad policies of the enterprise. 
2. It  issues  necessary  instructions  for  preparation  of  department  budgets,  procedures, 
schedules etc.  
3. It prepares strategic plans & policies for the enterprise. 
4. It appoints the executive for middle level i.e. departmental managers. 
5. It controls & coordinates the activities of all the departments. 
6. It is also responsible for maintaining a contact with the outside world.  
7.  It provides guidance and direction. 
8.  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 given as: 


 
1. They executee the plans o
of the organization in acccordance with the policiies and direcctives 
of the top maanagement. 
2. They make pllans for the ssub‐units of the organiz ation. 
3. They participate in emplo
oyment proccess of lowe r level manaagement. 
4. They interpre
et and explaiin policies frrom top leveel managemeent to lowerr level. 
5. They are resp
ponsible for coordinatingg the activitiies within th
he division or departmen
nt. 
6. They evaluatee performannce of juniorr managers.
7. They send im
mportant reports and oth her data to toop level mannagement. 
 
3. Lower Leve
el of Management 
It  consistts  of  supervvisors,  forem
men  section n  officers,  superintendeents  etc.  Acccording  to  R.  C. 
Davis, suupervisory m managementt refers to th hose executtives whose  work has to o be largelyy with 
directionn  of  operatiive  employe ees.  In  othe
er  words,  thhey  are  con
ncerned  witth  direction n  and 
controllinng function o of managem ment. Their aactivities incllude: 

1. Assigning of j
A obs and taskks to variouss workers. 
2. They guide an nd instruct wworkers for dday to day a ctivities. 
3. They are respponsible for the quality aas well as quuantity of pro oduction. 
4. They  are  also  entrusted d  with  the  responsibilitty  of  mainttaining  good
d  relation  in
n  the 
organization. 
5. They communicate worke ers’ problem
ms, suggestioons and appeals etc. to tthe higher leevel. 
6. They help to solve the griievances of tthe workerss. 
7. They supervisse and guide e the sub‐ord dinates. 
8. They are resp ponsible for providing training to thee workers. 
9. They arrange necessary m materials, machines, toools etc. for geetting the thhings done.
10. They prepare e periodical rreports abou ut the perforrmance of th he workers. 
11. They ensure d discipline in the enterprrise. 
12. They motivatte workers. 
13. They are the image builders of the en nterprise because they aare in direct contact witth the 
workers. 
w
 

 
      P
Prof. A. R. So
omroo 
Dep partment of Education 
        Govt. EEmerson Colllege, Multaan 


 

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