Business management Levels
As we have already learnt that management does not refer to a single individual but it refers to a group of persons. In companies large number of persons are employed and placed at different paces to perform different managerial activities. To carry on these activities these employees are given necessary authority and responsibility.
This grant of authority results in creation of chain of authority. This chain is divided into three levels which result in creation of three levels of management. Top level management consists of chairman, board of Directors, Managing Director and General Manager.
It includes group of crucial persons essential for leading and directing the efforts of other people. The managers working at this level have maximum authority. Determining the objectives of the enterprise, the top level managers formulate the main objectives of the organization.
They form long term as well as short term objectives. Framing of plans and policies, the top level managers also frame the plans and policies to achieve the set objectives. The top level management assigns jobs to different individuals working at middle level.