Question

3. What are some of the positive and negative consequences of wider spans of management? 4. What types of companies would be best suited for this and why?

Answer 1

The span of management refers to the number of subordinates that are been managed effectively by a superior. The larger the subordinate, wider is the span of management control.

The span of management determines the structure of the organization and the complexities of the given manager’s job responsibilities.

The wider span results in flatter organizational structure with less hierarchical levels whereas narrow span encourage taller structure.

The wider span of management operates with less number of manager in their flatter hierarchy reducing operational cost. Decisions are taken quicker to solve problem. Coordination problem will be fewer. Employee work autonomy are encouraged. The flatter structure facilitates cooperation, teamwork and customer orientation.

The wider span of management results in difficulty to manage large number of subordinates at a time. This leads to complicated supervisory relationship between the manager and their downline.

Firms who follow the principles of horizontal structure of organization like AT&T, General Electric and Xerox etc are best suited for wider span of management style.