The term Levels of Management refers to a line of demarcation between various managerial positions in an organization.

The number of levels in management increases when the size of the business and work force increases and vice versa. The level of management determines a chain of command, the amount of authority & status enjoyed by any managerial position
1. Top Level of Management

It consists of board of directors, chief executive or managing director. The top management is the ultimate source of authority and it manages goals and policies for an enterprise. It devotes more time on planning and coordinating functions. The role of the top management can be summarized as follows a. Top management lays down the objectives and broad policies of the enterprise. b. It issues necessary instructions for preparation of department budgets, procedures, schedules etc. c. It prepares strategic plans & policies for the enterprise. d. It appoints the executive for middle level i.e. departmental managers. e. It controls & coordinates the activities of all the departments. f. It is also responsible for maintaining a contact with the outside world. g. It provides guidance and direction. h. The top management is also responsible towards the shareholders for the performance of the enterprise.
2. Middle Level of Management

The branch managers and departmental managers constitute middle level. They are responsible to the top management for the functioning of their department. They devote more time to organizational and directional functions. In small organization, there is only one layer of middle level of management but in big enterprises, there may be senior and junior middle level management. Their role can be emphasized as a. They execute the plans of the organization in accordance with the policies and directives of the top management. b. They make plans for the sub-units of the organization. c. They participate in employment & training of lower level management. d. They interpret and explain policies from top level management to lower level. e. They are responsible for coordinating the activities within the division or department. f. It also sends important reports and other important data to top level management. g. They evaluate performance of junior managers. h. They are also responsible for inspiring lower level managers towards better performance.
3. Lower Level of Management

Lower level is also known as supervisory / operative level of management. It consists of supervisors, foreman, section officers, superintendent etc. According to R.C. Davis,

Supervisory management refers to those executives whose work has to be largely with personal oversight and direction of operative employees. In other words, they are concerned with direction and controlling function of management. Their activities include a. b. c. d. e. f. g. h. i. j. k. l. m. Assigning of jobs and tasks to various workers. They guide and instruct workers for day to day activities. They are responsible for the quality as well as quantity of production. They are also entrusted with the responsibility of maintaining good relation in the organization. They communicate workers problems, suggestions, and recommendatory appeals etc to the higher level and higher level goals and objectives to the workers. They help to solve the grievances of the workers. They supervise & guide the sub-ordinates. They are responsible for providing training to the workers. They arrange necessary materials, machines, tools etc for getting the things done. They prepare periodical reports about the performance of the workers. They ensure discipline in the enterprise. They motivate workers. They are the image builders of the enterprise because they are in direct contact with the workers.

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Top level management is responsible for framing policies of the business. All important decisions are also made at this level. This level of management is concerned to the various administrative functions. Top level management consists of board of directors, managing director, general manager and senior most managers. Top level management is administrative in nature. Following are the important functions performed by top level management:

They determine objectives of the business enterprise. Top level management formulating abroad policies of the business. Taking important business decisions. Deciding future course of action taking into considering economic policies, public opening and other social, national and international factors. Assembling the resources needed to making plans into operation, and Issuing guidelines to medium level managers. Middle level Management

Middle level management is the link between top level and low level management and executory by nature. The heads of the various departmental heads receive orders and instruct from the top level management or managers and pass it to their subordinates (lower level managers). These managers supervise, direct and control the activities of foremen, inspectors and supervisors. They receive reports of actual performance from their low level managers. They study reports and issue necessary instructions. Middle level managers bridge the gap between two. It helps in removing misunderstanding and create cordial relationship among the levels of management. Important functions performed by the middle level management are as follows:

Managers are held responsible for interpreting and communicating the policies of the top level management. They determine organizational set up of their departments. They issue instructions to low level managers which they are received from the top level management. They also perform in motivating subordinates for higher productivity and awarding them for their outstanding performance. Their duty is to compiling statistical reports for top level management and preparing records of their department. They also recommend revised and amended policies of their respective departments. Low level Management Low level management is line between middle level management and workers. There manages are directly setated to workers. They are also help building image of the enterprise before workers and also help in creating the sense of belongingness among them towards the enterprise. Low level management is also known as bottom level or first line supervisory level of management. It is also called as operation all level management. Managers of this level are directly related with the routine functions of the firm. Following are important functions performed by the low level management:

Management concerned wit operative working force of the enterprise. i.e., working force is link between middle level management and workers. They assigning duties to individual workers inspecting and supervising workers under command at work. They attend workers' problem and helps in solving by removing doubts in their mind and inspiring them for maximum productivity. Receiving instructions from middle level management and implementing them in the day-today affair of the business. They ensuring safety of workers tools and machines and equipments etc. They help in creating sense of belongingness among workers which helps in building the image of the enterprise. These low level bosses have to work in real situations of the work and thus, they are known as operational managers. This level of management consists of supervisors, inspectors, foremen and superintendents. Conclusion: Top level management can be said to be determinative, middle level management as executory management and low level as operational management. Without combination, and coordination among these three levels of management an enterprise cannot prosper or progress. So, every

managers at each level shall responsible in performing their duties efficiently to make maximum productivity of the firm / enterprise as a whole.

Diagram of Levels of Management