The Level Of The Hierarchy Consists Of Top Management Essay

The Level Of The Hierarchy Consists Of Top Management Essay

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Organizations, much like people, come in all shapes and sizes. While they may differ in values, beliefs, and purposes, the majority of businesses have similar organizational structures. The most common being a hierarchical structure. This structure is typically composed of at least three levels of management which include top management, middle management, and first-line management. Although all three types of managers contribute to planning, organizing, leading, and controlling the organization; they differ in the way they influence these functions. In addition, each level has different types of job positions and responsibilities which will now be discussed in detail.
The highest level of the hierarchy consists of top management. Top managers have titles such as president, chairperson, executive director, CEO, and executive vice president. These individuals are primarily responsible for setting organizational goals, defining strategies for achieving the goals, monitoring and interpreting the external environment, and making decisions that affect the entire organization (Daft, 2016). All these responsibilities go hand in hand. When setting goals, top managers’ focus on how they’d like the organization to perform in the future. These goals are primarily designed to strengthen the organization’s internal weaknesses or to minimize external threats. While these goals may be challenging, top managers must ensure they are realistic. In order to set goals, top managers must monitor the external environment so they may determine which factors present the biggest threats and opportunities for the organization. The external environment includes competitors, resources, technology, and economic conditions. Based on these findings, top manag...


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...l plans specify action steps towards achieving the expected results from departments, work groups, and individuals (Daft, 2016). The goals implemented by first-line managers are precise and measurable. For example, make 50 sales a week or reduce overtime by 5%. The operational plan is the manager’s tool for daily and weekly operations and it must be coordinated with the budget as resources must be allocated for specific functions.
In conclusion, all levels of management play an important role in the success of an organization. Top managers set the long-term goals, middle managers implement the overall strategies and policies, and first-line managers ensure rules and procedures are being followed to increase employee safety and efficiency. While each management level differs from another, they are interconnected and guide a company towards achieving its overall goal.

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