Lack of clarity in authority-responsibility structure will create confusion in the organisation. A structure where span of control for each managerial position is 4 appears as follows: To illustrate, if organisations A and B, both have 256 workers and the span of control for each managerial position is 2 for company A and 4 for company B, there will be 9 levels in company A requiring 128 supervisors at the lowest level, 64 at the next higher level and so on and 5 levels in company B. Thus, a superior may consult the subordinates with a second in attendance, or with all the subordinates or with various combinations of them. Span of control refers to the number of employees that one manager supervises -- the more employees he supervises, the wider the span of control. Superiors do not actively involve in the decision-making processes as decisions are taken at the levels where they are required. The levels in case of organisation B 5 where span of control is 4 appears as follows: The span of 4 prevails for each functional area at each level. Actual spans in business organization indicate that there is no single best number that can be universally applied.
Also, supervising fewer employees generally requires less managerial skill. A narrow span, which results in many levels in the organization, creates problems both in terms of cost and efficiency. It represents direct contact of the superior with his subordinates. Fourthly, narrow span also adversely affects employee morale. Narrow would therefore be 3-5, for example an infantry fire team 3.
If managers are required to closely supervise their subordinates then a smaller span of control may be more appropriate. The route that messages are communicated within the organization. Life span is how long the organism actually lives. Each person in a level of hierarchy has the same equivalent status and authority. Here, information defines the rules subordinates must obey, but they can be completely autonomous within these rules. With physical work as opposed to abstract work, such as shop floor work in a factory, span can sometimes be increased to as much as 30 without a productivity loss because outputs are predetermined. When a small business owner's span of control becomes too large, it can limit the growth of his or her company.
In Flat Organisation Structure, there is a loose control because there are many subordinates. Superiors cannot closely supervise the activities of employees. Some managers are better organized, better at explaining things to subordinates, and more efficient in performing their jobs. Some will be hit by a bus. Given a choice, the management will always tend to choose more control; it gives them the confidence and power. Accordingly, executives differ from each other in their ability to supervise others.
See the web link below. If managers within an organization typically have many reports then the organization chart will be flatter and wider. Training of the manager 2. Therefore, if a manager has two subordinates, there are six potential relationships to manage. Finding the optimal span involves balancing the relative advantages and disadvantages of retaining responsibility for decisions and delegating those decisions. Thus if A as a superior has three subordinates X, Y, Z, there would be three direct single relationships.
Wide would be 7-9 as in some business teams. Low Management Needs Certain situations require very little attention from management. Stuffed pizzas are often even deeper than deep-dish pizzas, but otherwise, it can be hard to see the difference until … it is cut into. All possible combinations of superior and subordinate relationship-exist in group relationships. The flat structure also reduces cost as a lesser number of executives are required. Managers who rank high on these parameters can effectively supervise larger number of subordinates. This type of organization design is often seen as effective in more uncertain environments.
There is no right or wrong answer as to whether a large or small span should be used within an organization. It is where each employee in a traditional organizational structure reports to another employee, usually who holds a higher position then the reporting employee. Serves mass markets, tends to have global reach. Optimum span of control ranges between 3 and 9 depending on the complexity of the work supervised and the need for tight control. The narrower the span of control, the more effective the manager can be. These functions are not directly related to guiding the subordinates.
This is the number of direct reports that managers within the organization should ideally have. This is indeed very interesting suggestion and requires some analysis. Lines of communications get larger with larger span of controls often compounding problems. Article shared by Span of management directly affects the number of levels in the organization. Cell phones, email, and other forms of technology that facilitate communication and the exchange of information make it possible for managers to increase their spans of management compared managers who have limited access to or limited abilities to use the technology.
Wide would be 7-9 as in some business teams. A 2005 study by the city of indicated that the span of control in the had been steadily increasing since 1995. The decision-making process is effective as superiors delegate authority to subordinates. For example, a small span of control is more likely to be effective in a production situation where close scrutiny of work is required to maintain quality. We can see this in figures 3 and 4.