The limitation on the part of a manager to manage an infinite number of subordinate obviously results in the levels in the organization.
Span of Management and the
limitation on the part of a manager to manage an infinite number of subordinate
obviously results in the levels in the organization. Thus, an inverse
relationship generally exists between the span of management and number of
management levels. That is, if an organization has wide span, the resulting
structure will be flat, with few levels of management. Conversely, is an
organization has narrow span; the structure will be tall with many management
levels. Both the situations of wide as well as narrow spans and the resulting
flat and tall structures are shown in Figure. Company B: Flat structure caused
by wide spans of control for 64 operative employees.
As presented in the above
figures, in Company A, each supervisor’s span covers four subordinates, and
four department heads report to the chairman. There are a total of 21 managers,
arranged in four management levels. In contrast, in company B, each of the
eight supervisors exercise controls over eight subordinates. As a result, there
exists only three layers. In this case, by increasing the span from four to
eight, one layer of management is eliminated.
with levels Creation of too many levels has
certain problems related to the costs associated with communication and
managerial control. Costs: Levels are costly. Too many levels involve lot of expenditure. Additional
facilities in terms of secretarial staff have to be provided besides the pay
differentials in the compensation package. In many organizations substantial
expenditure has been saved by increasing the span. Communication: Successive layers of management act as communication filters
distorting the transmission of information. Experience shows that the greater
the number of management levels a message must pass through, the longer it will
take to reach its destination. More often, the information also looses clarity.
Thus, communication or organizational objectives, plans and policies become
difficult. Omissions and misinterpretations usually occur as information passes
through too many levels in the scalar chain. Managerial control: The distance between the top and bottom levels of an
organization also affects control. For example, even the best of the plans
which are definite and complete at the top level lose clarity as the plans are
sub-divided and elaborated at lower levels. Consequently, at the implementation
stage of the plan, control becomes difficult.
Tags : Management Concepts & Organisational Behaviour - Organisation Structure And Design
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