Question
What are the three levels of management? State any three functions of top levelmanagement.
Solution
Following are the three levels of management:
(i) Top Level Management
(ii) Middle Level Management
(iii) Lower Level Management
Functions of Top Level Management:
(i) Determining Objectives: Top level management sets objectives for the organisation. Forexample, an objective can be set that in the following year the sales of the company has tocross ? 1,000 crore.
(ii) Determining Policies: Only at this level policies related to the realisation of objectives are
formed. For example, it can be a sales policy of a company to just make cash sales.
(iii) Determining Activities: Different activities to be performed for the fulfilment of anobjective are fixed, such as sales, purchase, advertisement, production, research, etc.
