Business System Hierarchy

Member of each position in a business system hierarchy supervises the juniors and reports to the seniors. This continues till it reaches the CEO or the Managing director, who is the top level officer in the business system hierarchy. This hierarchy makes it easy to understand the roles of various employees in the business system.  Read below to know in detail about each level of business system hierarchy:

Business System Hierarchy

  • CEO: The Chief Executive Officers are responsible for planning and overseeing the business activities and performance. The final decisions related to the functioning of the company are mostly taken by CEOs.
  • Managing Directors: The Managing Directors have the function of managing the entire business operations and overviewing the working of each and every department. Managing directors need a huge amount of experience and qualifications in order to carry out the responsibility of such a big position.
  • General Managers: The General Managers are junior to the Directors who look after all the divisions of the company. They make sure that the decisions taken by the Managing Directors and the CEOs are being executed in the right way. General Managers have an efficient decision making power which comes in use when juniors are in doubt and need help with respect to important decisions for the company.
  • Senior manager: Senior managers usually look after particular fields or departments. For example, Accounts, Human Resources, Marketing, Communications, Operations etc. all the teams have a dedicated senior manager who looks after the progress of his team and reports it to his seniors. In short, he has to look after the entire functioning of his department.
  • Assistant Manager: He is junior to the senior manager. They are required to analyze important statistics and report about it to the seniors. They are needed to focus of profitability and major developments on the daily basis. They need to instruct the executives with respect to what is to be done and what their daily targets are. They also have to maintain the progress documentation so that the overall growth of the company can be easily analyzed.
  • Operational level Employees: Operation level employees deal with machines and resources. They are more inclined towards field work and deal with actual execution of physical tasks. They have workers who work under them as per their instructions.
  • Executives: Executives are the lowest level permanent employees. They take care of performing the day to day activities of the company at the basic level so that the progress can be monitored by their seniors. They have to follow the orders and complete the work targets given by the Assistant managers.
  • Interns: Interns or trainees are the lowest level in a business system hierarchy. They are temporary employees who are trained in their field of specialization by the company and are permanently hired if their work ifs found productive and satisfactory by the employer business organization.