Organization Hierarchy

YUVERANI, DESMOND, LIM (28/10/2023)

What is organizational hierarchy

Organization hierarchy is the order of members based on authority. It refers

to the ranks from entry-level employees to senior managers or executives.
Organizational hierarchies typically consists of multiple levels, and members
with more authority occupy higher positions. Thus, individuals at the top of
the management hierarchy have the most authority, while those at the bottom
have the least power.
Examples of Hierarchy in School
Organization of Functional Specialties - Specialists do the job. The company often breaks
workers into groups depending on the type of work they do or the abilities they possess.
Why are organization hierarchies important?
Giving or receiving instructions.

Allows employees to understand and follow the chain of command from top to
bottom.

Important decision

making points with reference to who has more legitimate authority

Managers and administrators need hierarchy in order to effectively carry out their
duties

It helps managers to hold employees accountable.