Levels of Management

Level of management

Levels of Management

In an industrial enterprise, every person who is designated as a manager or executive has to perform all the function of management.

However, the scope the nature and the importance of his function varies according to the level of management and the function until they operate.

The number of level of management is an enterprises increases with the size of business increases.

The level of management can be classified into three broad categories.

  1. Top level/ Administrative level
  2. Middle level/ Executory
  3. Low level/ Supervisory/ Operative/ First line manager

1. Top/Administrative level Management:-

It is the ultimate authority in the enterprise. It consists of a board of directors, chief executives or managing director. Top level management is alone responsible for the shareholder, to the government and the public.

It sets the objectives and formulates policies. It also evaluates the results of the efforts of all other managers.

The chief executives may be the general manager of the managing director. He issue instruction for the implementation of policies formulated by the board and takes all necessary steps to accomplish the objectives.

Thus the main functions of top-level management are the following:-

  • Determination of the objectives of an enterprise.
  • Formulation of business policy.
  • Designing an appropriate organizational framework.
  • Bringing together the resources to put plans into practice.
  • Exercising Supervision overall in the departments.


2. Middle-Level Management:-

The middle-level management comprises head or departments like production manager, marketing manager, financial manager, personal manager and etc.

They are placed between the top management and supervisory staffs. They are expected to agree with the ideas and policies of the top management with some suggestion for change they have to maintain relationships with the top level and supervisory staffs for smooth functioning.

Middle-level management is less creative but more co-ordinating because. It has to carry out the instruction of the top management and to the subordinate for better performance.

Functions of Middle-level management:-

  • Selection of efficient executive and staffs.
  • Introduction of proper production and operating routine.
  • Motivating personal for higher productivity and reusability them.
  • Collecting reports, Statical information and similar another record about the work done in their department and aberration to top management.


3.Low-Level Management/First Line Management:-

In the administrative teamwork, lower level management comprises Forman supervisor and sub departmental executive assistance by a number of workers and clerks to carry out actual operations in enterprises as per schedule.

Their authority is limited. They have to abide by the decision taken by a high level of management.

Although they are placed at the bottom their importance cannot underestimate the plan and policy of top-management will tail if the Forman and workers do not support.

They put into practice the instruction of the mid-management. That is provided with the material, tools, etc. required for a job.

The function of Low-Level Management:-

  • Directing supervision over the entire workforce in the factory in the office and the seller’s field.
  • Acting as a link between the higher management and workers.
  • Communicating higher management decision, policy, etc. to the workers.
  • Reporting actual performance of workman along with their difficulty, feeling, hopes and aspiration.
  • Maintaining discipline among workers.

Levels of management

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