Levels of management. Each organization can be represented as a four-story struc­ture or a pyramid

Each organization can be represented as a four-story struc­ture or a pyramid. At the basic level of this pyramid there are operating employees who are not managers. Each story left corresponds to one of the three gen­eral levels of management: first-line managers, middle managers and top managers.

A top manager is an upper-level executive who guides and controls the overall activities of the organization. Top managers constitute a small group. They are generally responsible for the organization’s planning and developing its mission, de­termining the firm’s strategy and its major policies. It takes years of hard work as well as talent and good luck, to reach the ranks of top managers. They are president, vice president, chief execu­tive officer, and member of the Board.

A middle manager is a manager who implements the strate­gy and major policies handed down from the top level of the orga­nization. Tactical plans, policies, and standard operating procedures are developed by middle managers. They also coordinate and supervise the activities of first-line managers. Titles at the middle-manage­ment level include division manager, department head, plant manager, and operations manager.

A first-line manager is a manager who coordinates and su­pervises the activities of operating employees. First-line managers spend most of their time working with employees, answering questions, and solving day-to-day problems. Most first-line man­agers are former operating employees who, owing to their hard work and potential, were promoted into management. Many of today’s middle and top managers began their careers on this first management level. Common titles for first-line managers include office manager, supervisor, foreman and project manager.

Operating employees are not managers. They are qualified and non-qualified persons working for the organization. For their labor or services they get salaries or wages. They represent the work force of the organization.