Hierarchical Organizational Structure

Hierarchical Organizational Structure is an organized arrangement employees in various levels according to the chain of command, usually pyramid shape within an organization based on the four functional areas: 1.Division of Labor, Spans of Control, Specialization, and Unity of Command.

Division of Labor is a process of allocating specific segmented work to individual worker of group of workers in order to increase efficiency in production. Usually, the orders of the work comes from top level in hierarchy and divided into multiple smaller segments until it reaches to the level where the work will be done.

Specialization is an aspect of division of labor which states that, the employment in an organization is specialized and organized in a way based on particular functions. Which means, the enterprise is organized as various departments and each department has some group of people. So, the allocation of task in specialized way that the specific task performed by specific individuals.

Spans of Control is basically the number of people under each supervision. Hierarchical organizations are usually contains more number of levels with lower spans of control.

Unity of Command refers that each subordinate in hierarchy should have only one supervisor and so on, So that the supervisor is directly responsible for the subordinate’s work.