What are the types of managers based on the scope of activities in an organization?

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�The managerial functions must be performed by anyone who manages any type of organized activity. With the basic understanding of management, defining the term manager becomes relative simple. According to Ricky W. Griffin definition of manager is as follows:

" A manager is someone whose primary activities are a part of the management process. In particular, a� manager is someone who plans, organizes, leads, and controls human, financial, physical, and information resources."

�The success or failure of an organization depends heavily on the ability of its managers to perform these tasks effectively. Managers can be classified in two ways: by their level within the organization and by the scope of their responsibilities.

Levels Of Management

Most people think of three basic levels of management:top, middle, and first-line managers.

Top managers are responsible for the overall direction and operations of an organization. Particularly, they are responsible for setting organizational goals, defining strategies for achieving them, monitoring and implementing the external environment, decisions that affect entire organization. They have such titles as chief executive officer (CEO), president, chairman, division president, and executive vice-president. Managers in these positions are responsible for interacting with representatives of the external environment (e.g., important customers, financial institutions, and governmental figures) and establishing objectives, policies, and strategies.

Middle managers are responsible for business units and major departments. Examples of middle managers are department head, division head, and director of the research lab. The responsibilities of middle managers include translating executive orders into operation, implementing plans, and directly supervising lower-level managers. Middle managers typically have two or more management levels beneath them. They receive overall strategies and policies from top managers and the translate them into specific objective and programs for first-line managers.

First-line managers are directly responsible for the production of goods and services. Particularly, they are responsible for directing nonsupervisory employees. First-line managers are variously called office manager, section chief, line manager, supervisor.

We have been using the term ‘manager’ it mean anyone who is responsible for carrying out the four main activities of management in relationships over time. One way to grasp the complexity of management is to see that managers can practice at different levels in an organization and with different ranges of organizational activities. After looking at the level and scope of various kinds of managers we will go on to see how different skills and roles are emphasized in different types of management.

Management Levels:

First line managers: The lowest level in an organization at which individuals are responsible for the work of others is called first line or first level management. First line managers direct non-management employees; they do to supervise other managers. Examples of first line managers are the foreman or production supervisor in a manufacturing plant, the technical supervisor in a research department, and the clerical supervisor in a large office. First level managers are often called supervisors. A school principal is also a first level manager, as is the manager of a major league baseball team.

Middle Managers: The term middle management can include more than one level in an organization Middle managers direct the activities of lower level managers and sometimes those of operating employees as well. Middle managers’ responsibilities are to direct the activities that implement their organizations policies and to balance the demands of their managers with the capacities of their employers.

Top Managers: Composed of a comparatively small group of people, top management is responsible for the overall management of an organization. These people are called executives. They establish operating policies and guide the organization’s interactions with its environment. Typical titles of top managers are Chief Executive Officer, President and Vice president.

Functional and General Managers:

Another major classification of managers depends on the scope of activities they manage. Organizations are often described as a set of functions. A function, in this sense, is a collection of similar activities. The marketing function, for example commonly consists of sales, promotion, distribution and market research activities. At Coca Cola, the marketing function is responsible for TV ads and the research and development function is responsible for Coke’s special formula. On college campuses, the athletic department is a function because the activities of its members differ from what, say, the members of the philosophy department do.

Functional Managers; The functional manager is responsible for only one functional area, such as production marketing or finance.

General Managers: The General Managers, on the other hand oversee a complex unit, such as a company, a subsidiary or an independent operating division. He or she is responsible for all the activities of that unit, such as its production, marketing and finance. A small company may have only one general manager — its president or executive vice president – but large organizations may have several each heading a relatively independent division. In a large food company, for example, there may be a grocery products division, a refrigerated-product division, and a frozen food products division, with a different general manager responsible for each. Like the chief executive of a small company each of these divisional heads is responsible for all the activities of the unit. In some special cases authorized by top management even if one doesn’t have the designation they perform the tasks of general managers as they may oversee and links several different functions.

It is important to remember that functional and general managers alike plan, organize, lead, and control relationships over time. The difference again is in the scope of activities that they oversee.

There are different types of managers working in an organization. Similarly, those managers have different roles and responsibilities towards their departments. To cope with market competition, managers need to have different skills and roles. The common classification of managers can be made based on levels and the nature of works.

Types of Managers in Principles of Management

  1. On the basis of Levels of Management
  2. On the basis of Nature or Area of Managerial Job
What are the types of managers based on the scope of activities in an organization?
Types of Managers

Types of Managers – On the Basis of Levels of Management

  1. Top-Level Managers
  2. Middle-Level Managers
  3. Lower-Level Managers

Top-Level Managers

This is the highest level of the managerial hierarchy and also known as the brain of the management. This level is the final source of authority. Generally, top-level management is constituted with a management committee elected directly from shareholders as members of the board of directors. Besides, this level also involves chief executives like the chairman, president, managing director or general manager.

Top-level managers are responsible for the performance of the entire organization through middle managers. They coordinate among different departments and units of an organization. They perform complex and varied nature of jobs. They work long hours and spend much of their time in meetings and decision making.

Middle-Level Managers

The middle-level manager is the largest group of managers in most organizations. This level of managers consists of departmental heads like personnel manager, production manager, marketing manager, finance manager, procurement manager, and similar other positions.

In some big organizations; this level of management may have two layers i.e. senior and junior middle-level managers. Heads of the department come under the senior level whereas branch heads are under the junior level manager. The top-level manager delegates a major part of his/her authority and responsibility to this level.

This level manager plays the role of mediator between the top and first-line management. The managers of this level have to report about the accomplishment of work to the top level and give instructions to the lower level

Lower-Level Managers

This level is known as the first-line or operating level of managers. It is directly involved in the actual operation of production, marketing, financing, accounting, etc. This level consists of supervisors, foremen, sales officers, accounts officers, superintendents, and other operational heads. They are responsible for the implementation of plans and strategies developed by the middle-level manager. They have a direct relation with the employees who are involved in an operation.

Thus, this level is directly responsible for the completion of works and planned objectives.

Also Read: Managerial Hierarchy / Levels of Management & Its Function

Types of Managers – On the Basis of Nature or Area of Managerial Job

Job Managers may also be classified on the basis of the scope of activities they manage. Managers work in various areas regardless of their level In an organization. On the basis of function, managers may be classified into three groups:

  1. Generalist Manager
  2. Functional Manager
  3. Staff Manager

Generalist Manager

Managers who perform different types of jobs in an organization as per the requirement are called generalist managers. They don’t have specialization in any area. But they have to look after the overall activities of the organization apart from any particular area of operation.

Generally, the generalist manager desire to manage a complex or difficult department or unit. They lack specialization as they can be transferred to or from one organization to another organization. They have over workload, as they have to perform the diverse nature of jobs.

Chief executive officers, presidents, vice presidents, general managers or deputy general managers fall under this category.

Functional Manager

Managers who specialize in specific areas are functional managers. Their authorities, duties, and responsibilities are already described in the job description. The managers performing functions relating to production, finance, public relation, research and development, accounting, etc. are managers of this category.

In practice, all department heads of a business firm are functional managers. In the normal course of operation, they are accountable for the performance of their department or unit.

Staff Manager

Staff Managers are professionals and experts in a specific area of business. They are given no specific formal position at a management level. However, they play the role of advisors between generalist and functional managers. They provide guidance and suggestions to both the above managers on the basis of requirement.

Legal advisors, external auditors, management consultants are examples of such managers.

Reference: 

  • Pouydal, Santosh Raj – Principles of Management, Edition 2017, Ashmita Books Publishers and Distributors – Kathmandu
  • Pradhan, Gopal Man – Principles of Management, Edition 2017, Ashmita Books Publishers and Distributors – Kathmandu
  • Bhandari, Kedar Prasad – Principles of Management, Edition 2017, Ashmita Books Publishers and Distributors – Kathmandu