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== Levels == [[File:USCG Org Chart.jpg|thumb|right|upright=0.9|An [[organization chart]] for the [[United States Coast Guard]] shows the hierarchy of managerial roles in that organization.]] A common management structure of organizations includes three management levels: low-level, middle-level, and top-level managers. Low-level managers manage the work of non-managerial individuals who are directly involved with the production or creation of the organization's products. Low-level managers are often called supervisors, but may also be called line managers, office managers, or even foremen. Middle managers include all levels of management between the low level and the top level of the organization. These managers manage the work of low-level managers and may have titles such as department head, project leader, plant manager, or division manager. Top managers are responsible for making organization-wide decisions and establishing the plans and goals that affect the entire organization. These individuals typically have titles such as executive vice president, president, managing director, chief operating officer, chief executive officer, or board chairman. These managers are classified in a [[hierarchy]] of [[Authority (sociology)|authority]] and perform different tasks. In many organizations, the number of managers at every level resembles a pyramid. Each level is explained below in specifications of their different [[Duty|responsibilities]] and likely job titles. ===Top management=== The top or senior layer of management is a small group which consists of the [[board of directors]] (including [[non-executive director]]s, [[executive director]]s and [[independent director]]s), [[President (corporate title)|president]], [[Vice president|vice-president]], [[CEO]]s and other members of the [[Corporate title|C-level]] executives. Different organizations have various members in their C-suite, which may include a [[chief financial officer]], [[chief technology officer]], and so on. They are responsible for controlling and overseeing the operations of the entire organization. They set a "[[tone at the top]]" and develop [[strategic planning|strategic plans]], [[Policy|company policies]], and make decisions on the overall direction of the organization. In addition, top-level managers play a significant role in the mobilization of outside resources. Senior managers are accountable to the shareholders, the general public, and public bodies that oversee corporations and similar organizations. Some members of the senior management may serve as the public face of the organization, and they may make speeches to introduce new strategies or appear in [[marketing]]. The board of directors is typically primarily composed of non-executives who owe a [[fiduciary]] duty to shareholders and are not closely involved in the day-to-day activities of the organization. However, this varies depending on the type (e.g., public versus private), size, and culture of the organization. These directors are theoretically liable for breaches of that duty and are typically insured under [[directors and officers liability insurance]]. [[Fortune 500]] directors are estimated to spend 4.4 hours per week on board duties, and median compensation was $212,512 in 2010. The board sets corporate strategy, makes major decisions such as major acquisitions,<ref>[http://www.gsb.stanford.edu/sites/default/files/documents/03.Board%20Duties.pdf Board of Directors: Duties & Liabilities] {{webarchive|url=https://web.archive.org/web/20140324044348/http://www.gsb.stanford.edu/sites/default/files/documents/03.Board%20Duties.pdf|date=2014-03-24}}. Stanford Graduate School of Business.</ref> and hires, evaluates, and fires the top-level manager ([[chief executive officer]] or CEO). The CEO typically hires other positions. However, board involvement in the hiring of other positions such as the [[chief financial officer]] (CFO) has increased.<ref>DeMars L. (2006). [http://www.cfo.com/article.cfm/7109019 Heavy Vetting: Boards of directors now want to talk to would-be CFOs β and vice versa]. ''CFO Magazine''.</ref> In 2013, a survey of over 160 CEOs and directors of public and private companies found that the top weaknesses of CEOs were "[[mentoring]] skills" and "board engagement", and 10% of companies never evaluated the CEO.<ref>[http://www.gsb.stanford.edu/cldr/research/surveys/performance.html 2013 CEO Performance Evaluation Survey]. Stanford Graduate School of Business.</ref> The board may also have certain employees (e.g., [[internal auditor]]s) report to them or directly hire independent [[General contractor|contractors]]; for example, the board (through the [[audit committee]]) typically selects the [[auditor]]. Helpful skills for top management vary by the type of organization but typically include a broad understanding of competition, world economies, and politics.<ref>Kleiman, Lawrence S. (2010), [http://www.referenceforbusiness.com/management/Log-Mar/Management-and-Executive-Development.html Management and Executive Development], ''Reference for Business: Encyclopedia of Business'', accessed on 1 November 2024</ref> In addition, the CEO is responsible for implementing and determining (within the board's framework) the broad policies of the organization. Executive management accomplishes the day-to-day details, including instructions for the preparation of department budgets, procedures, and schedules; appointment of middle-level executives such as department managers; coordination of departments; media and governmental relations; and [[shareholder]] communication. ===Middle management=== Consist of [[general manager]]s, branch managers and department managers. They are accountable to the top management for their department's function. They devote more time to organizational and directional functions. Their roles can be emphasized as executing organizational plans in conformance with the company's policies and the top management's objectives, defining and discussing information and policies from top management to lower management, and most importantly, inspiring and providing guidance to lower-level managers towards better performance. Middle management is the midway management of a categorized organization, being secondary to the senior management but above the deepest levels of operational members. An operational manager may be well-thought-out by middle management or may be categorized as a non-management operator, liable to the policy of the specific organization. The efficiency of the middle level is vital in any organization since it bridges the gap between top-level and bottom-level staff. Their functions include: * Designing and implementing effective group and inter-group work and information systems * Defining and monitoring group-level performance indicators * Diagnosing and resolving problems within and among workgroups * Designing and implementing reward systems that support cooperative behavior, as well as making decisions and sharing ideas with top managers ===Line management=== Line managers include [[supervisor]]s, section leaders, forepersons, and team leaders. They focus on controlling and directing regular employees. They are usually responsible for assigning employees tasks, guiding and supervising employees on day-to-day activities, ensuring the quality and quantity of production and/or service, making recommendations and suggestions to employees on their work, and channeling employee concerns that they cannot resolve to mid-level managers or other administrators. Low-level or "front-line" managers also act as role models for their employees. In some types of work, front-line managers may also do some of the same tasks that employees do, at least some of the time. For example, in some restaurants, the front-line managers will also serve customers during a very busy period of the day. In general, line managers are considered part of the workforce and not part of the organization's proper management despite performing traditional management functions. Front-line managers typically provide: * Training for new employees * Basic supervision * Motivation * Performance feedback and guidance Some front-line managers may also provide career planning for employees who aim to rise within the organization.
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