Organization Levels

What is an enterprise management organization ? This is the general ordering of the company, defining the sequence of actions, as well as the boundaries within which the activity should be carried out. The socio-economic environment of the enterprise is an object of management organization. It includes employees, labor, finance, information resources.

To organize enterprise management, it is necessary to perform a number of tasks:

  • set goals;
  • create a community of people;
  • form an organizational structure;
  • create the necessary conditions.

Consider the basic functions that are inherent in the organization of enterprise management:

  • achievement of goals by the enterprise;
  • reduction of company expenses;
  • division of labor, thanks to which employees better perform their duties.

There are such types of division of labor as horizontal and vertical. In the first case, the company creates units that perform a number of specialized functions. With vertical separation, control levels are formed. The leaders of each of them should identify problems, find ways and solutions, appoint responsible persons, take time to complete the task.

The following management levels are distinguished with a clear delineation of functions:

1. Lower, or technical. It includes managers who solve specific issues to achieve their goals (production, profit, etc.), and also work directly with performers.

2. The average, or managerial level. This includes managers who supervise several structural divisions of the enterprise, as well as managers of targeted projects and programs serving and supporting industries.

3. The highest, or institutional level of management. This is the administration of the enterprise, dealing with the most important strategic tasks at the level of the entire enterprise (development, choice of sales market, financial management, etc.).

    Specialists in the field of management A. Thompson and A. Strickland developed the following theory of organization management . According to their approach, there are such levels of strategic management:

    1. Corporate strategy. It relates to the general goals of the enterprise and its entire space. Such management levels perform the functions of adopting the most important technical, industrial, and economic tasks. The board of directors usually makes decisions. These include senior managers.

    2. Business strategy. It comes down to achieving success in competition in the market of an individual business. At this level, they solve the following tasks: enhancing competitiveness, responding to external changes, determining the behavior strategy of the main structural units. The decision-making body at this level is the board of directors, it can also be general directors, heads of departments.

    3. Functional strategy. Creates a sequence of actions to achieve the goal in each direction of the enterprise. These levels of management in the organization provide analysis, revision, synthesis of proposals made by field managers, as well as actions to achieve the objectives of this unit and support the selected strategy. These levels include middle managers. Decisions are made by the heads of units.

    4. Operational strategy. It contains specific strategies for individual structural units of the enterprise, management levels, including local managers. The problems specific to this particular unit are solved. The decisions here are made by the heads of departments, functional services.


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