Organizational Hierarchy: Structure, Levels, and Span of Control
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Understanding Organizational Hierarchy
Hierarchy arises when managers struggle to coordinate and motivate their subordinates. Based on levels of hierarchy, the organization can be divided into:
- Vertical Organization: The hierarchy has many levels relative to the total size.
- Horizontal Organization: The hierarchy has few levels relative to the total size.
Relationship Between Size and Height of Vertical Hierarchy
Once a certain limit is exceeded, the growth of the hierarchy becomes less than proportional to the growth of the organization’s size. Due to this relationship, the chosen hierarchical structure is typically pyramidal, with a decreasing number of managers at each successive level. Choosing the right number of managers and hierarchical... Continue reading "Organizational Hierarchy: Structure, Levels, and Span of Control" »