Management Layers and Its Implications

Management Layers and Its Implications

Q1). Morale of the Employees

Morale of the employees is very important for the performance of the company. When company makes strategic changes in organizational structure such as making management layers, the success of the new organizational structure is very much dependable on the response of the employees that is the morale and satisfaction of employees with new organizational structure.

Some of the employees are very keen to move in the next upper level of the management. Organization must consider the tendency of employees to work for upper management layer to get the maximum benefit for the organization. motivation and the morale of the eager candidate can be checked by putting them in upper management layer on probationary period and if they prove their existence in upper layer, then they should be given chances to work (e-Notes, 2005). 

Q2). The Budget Does Not Allow Everyone to Be Promoted.

The wider implication of creating new management layer will reflect on the financial side of the organization. Every change has the cost and similarly the organizational changes have very significant implications. Division of management layers will put strain on the funds of the organization.

Budget is the most crucial aspect of business organization and for the international projects; one has to be given proper funding at the right time. The delay of funding or absence of funding can spell the disasters for the company. The division of management layer not only changes the roles and responsibilities of the management but company has to compensate employees of upper management accordingly. It is advisable for the company to first make sure that the company has sufficient amount of fund to create the management layer.

Q3). Performance Issues

The performance of the employees is directly related to the success of the organization. The high ...