The term ‘Managerial Hierarchy’ stands for the arranged managerial positions in an organization. Management being direction of group activities towards certain common objectives has to be based on hierarchy of authority and gradation of responsibility as between managerial personnel and other workers employed in a business enterprise. All the human beings working in an organization can be divided into two groups: (i) managerial personnel and (ii) operating force or rank and file. The managerial personnel can further be sub-divided into various levels. When a new managerial cadre is created in the organization, it adds to a management level.
Since management essentially implies taking work from others as per the plan, there will have to be superior-subordinate relation, whereby the former exercises his authority to get the work done from the later as per specific directives. All the management functions of planning, organizing, directing, co-ordinating and controlling cannot be performed by an officer at the top; actually they have to be entrusted to different executive officers all along the enterprise. In short, authority has to be delegated and responsibility diversified in order to achieve optimum results. Broadly speaking-management is a three-tier activity; the top-tier centres round the determination of mission, objectives and policies, the middle-tier is concerned with the implementation of the policies and the lower-tier actively assists in the achievement of the goals. The following figure is quite illuminating in this respect
Participants