"Many of our satisfaction and frustrations grow out of our 
      participation in groups and our strivings, with others 
      towards group goals".                                                                                                        
                                                                                                                             James C. Coleman
                 CHAPTER OUTLINE
  •   Introduction              •  Lower Level Management 
   
  •   Meaning of Levels of 
     Management 
  •  Top Level Management
  •  Middle Level Management   
           INTRODUCTION 
  Today, it is the time of big organization scale production.  In 
   this age of large scale production and throat cut 
   competition, the ownership and management of 
   organization are divorced.  The business is managed by 
   those who are not its owners.  In management set up of an 
   organization, we find different levels.  Levels of 
   management refer to a line of separation between different 
   positions held by different persons in an organization.  In 
   this context, managerial hierarchy is studied.  Managerial 
   hierarchy means the study of different positions held by 
   the employees and officers of an organization.  It is the 
   structure which makes clear position of all officers of the 
   organization.
      MEANING OF LEVELS OF MANAGEMENT 
  The term ‘levels of management refers to a line of separation 
   between different positions held by different persons in an 
   organization.
  Level of management depends upon the nature, size and 
   functions of an organization.  Levels of management also 
   expand with the expansion of organization.  There is a limit to 
   the number of subordinates a person can supervise.  Levels 
   of management are increased so as to achieve effective 
   supervision.  The levels of management of an organization 
   may be broadly be divided in to three parts namely, top 
   management, middle management and lower level or first line 
   management.
     1. TOP LEVEL MANAGEMENT 
    Top level management of a company consists of the board of directors 
          and the chief executive or the managing director.  Top 
          management is the ultimate source of authority and it establishes 
          goals and policies for the enterprise.  It devotes more time for 
          planning and co-ordination functions.
    The role of top management will be further clear by studying its 
          functions or activities:
    1.    It lays down the objectives of the enterprise.
    2.    It prepares strategic plans and policies for the enterprise.
    3.    It issues necessary instruction for the preparation of 
          departmental budgets, schedules, procedures, etc.
    4.    It appoints the executives for the middle level.
    5.    It controls the activities of all departments with the help of 
          reports, memoranda etc.
    6.    It builds and maintains relations with the outside public.
            MIDDLE LEVEL MANAGEMENT 
    Middle level management generally consists of heads of 
         functional departments they are responsible to the top 
         management for the functioning of their departments.  They 
         devote more time to the organization and direction function 
         of management.
    The role played by the middle level executives is stated below:
    1.   They execute the plans of the organization in accordance 
         with policies and directives of the top management.
    2.   They make plans for the sub-units of the organization.
    3.   They participate in the employment and training of the 
         lower-level management.
    4.   They attempt to achieve coordination between different 
         departments.