Span of control & Chain of command
- 1. What does an Organization need to know about Span of Control & Chain of Command while devising its Organizational Structure ? By “The Organization Consultants”
- 2. Introduction “Poor organizational design and structure results in a bewildering morass of contradictions: confusion within roles, lack of co-ordination among functions, failure to share ideas, and slow decision-making; bringing managers unnecessary complexity, stress and conflict.” Gill Corkindale (Harvard Business Review - February 11, 2011) An organizational structure describes how a company, department or team is built; and how its various components fit together. Factors to tweak and arrange in order to build an organizational structure are: Chain of Command Span of Control Centralization Specialization Formalization Departmentation
- 3. Aim To acquaint you with the importance of Span of Control with a cursory reference to Chain of Command Sequence Chain of Command Span of Control Types of Span of Control Deciding Factors – Span of Control Conclusion
- 4. Chain of Command An unbroken line of authority & responsibility that extends from top of the organization all the way down to the bottom. Chain of Command explains to every employee: What exactly do you do? Who reports to whom? Whom should you consult in case of issues/problems? ChainofCommand
- 5. Chain of Command Alternative Explanation Delegation and use of Authority & Responsibility At every Level from Top to Bottom Within an Organization Types
- 6. Span of Control Other terms used in lieu:- Span of management Span of supervision Span of responsibility Span of control refers to the number of subordinates a manager can effectively manage. The higher the ratio of subordinates to a manager, the wider the span of control.
- 7. Wide Span of Control Characteristics Results in Flat Organizational Structure Large number of employees or subordinates are managed by one manager
- 8. Wide Span of Control Merits Enables taking quick decisions and actions Fast and clear communication Direct contact with subordinates is possible Free from extra-strict supervision and control Flat organization is economical
- 9. Wide Span of Control Demerits Requires exceptional quality of managers Quality of performance may decline Highly qualified and well experienced staff is needed Tendency to overload manager makes him decision bottleneck Close and informal relations may not be possible Chances of manager’s loss of control
- 10. Narrow Span of Control Characteristics Results in Tall Organizational Structure Necessitates relatively larger number of managers Small number of employees report to one manager
- 11. Narrow Span of Control Merits Managerial efficiency is increased Fast communication between subordinates and managers More accountability More authorized structure Close supervisory control due to low span of managers
- 12. Narrow Span of Control Demerits Employees are less motivated Less benefit and rewards for lower employees Creates complexity in communication Excessive distance between lowest and top level Decision making is slow More management levels are un-economical & time consuming
- 13. Deciding Factors – Span of Control
- 14. Deciding Factors – Span of Control Capacity of Manager • Problems solving, decision making, communication skills & leadership traits • Manager possessing such capacity can manage more subordinates Capacity of Subordinates • Well trained & efficient subordinates do not need much help from their manager, but broad guidelines only Nature of Work • A routine / repetitive job does not require any special talent, as employees are well versed with it and vice versa Degree of Decentralization • Subordinates not having enough authority frequently consult the manager for clarifications • Higher the degree of decentralization, wider the span of control
- 15. Planning • Deliberate standing plans enable the employees to work without consulting the manager • Planning reduces the burden of a manager and he can have a wider span of control Staff Assistance • Staff can assist by collecting info, processing communications etc • Thus managers can save their time and the span of control can be wider Supervision from Others • Parallel supervision by staff personnel enables the manager to have a large number of subordinates under him Technique of Communication • Face to face communication with each subordinate consumes a lot of time • Written communication through staff personnel saves time Deciding Factors – Span of Control
- 16. Conclusion Span of Control Organization Structure Chain of Command FlatWide Short TallNarrow Long
- 17. Conclusion Effective Span of Control Better Supervision and Control Increased Efficiency Good Professional Relations Good Communication and Coordination Discipline and Mutual Trust
- 19. Bibliography https://hbr.org/2011/02/the-importance-of-organization http://businessjargons.com/factors-determining-span-of- management.html#ixzz4by9LOcdb https://blog.hubspot.com/marketing/illustrated-organizational- structures-guide