Define hierarchy? what are the merits and demerits of it.
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Hierarchy is a system in which members of an organization or society are ranked according to relative status or authority.
Merits of hierarchy
•clear lines of authority and reporting within the business.
•clearer understanding of employee roles and responsibilities.
•accountability for actions or decisions at different management levels.
•clear career paths and development prospects which can motivate employees.
Demerits of hierarchy
•It may cause a lack of collaboration. ...
•It can cause managers to become territorial. ...
•It may reduce internal innovation. ...
•It centralizes the power structure. ...
•It creates a lot of bureaucracy that must be managed. ...
•It may create communication barriers.
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