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Very Short Answer Questions · Q2

Q.What does the term 'Span of management' refer to?

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✓ Free question

Span of management (span of control) refers to the number of subordinates that can be effectively managed by a superior. It is important in organising because it determines the number of levels of management in the organisation structure.

In any organisation, a manager can effectively supervise only a limited number of people. The span of management captures this idea: as the NCERT Class 12 Business Studies chapter defines it, span of management refers to the number of subordinates that can be effectively managed by a superior.

Why does this matter for organising? Because the span of management gives shape to the organisation structure. The chapter states clearly that it determines the levels of management in the structure — how many layers of superiors and subordinates the organisation needs in order to coordinate a given number of people.

Note

A proper organisation structure — which the span of management helps determine — is essential to ensure a smooth flow of communication and better control over the operations of a business enterprise.

The span of management is closely tied to the organisation structure as a whole: an organisation structure provides the framework that enables the enterprise to function as an integrated unit by regulating and coordinating the responsibilities of individuals and departments. The span of management is one of the key factors that gives this framework its shape.

Important

Keep the definition precise for the exam: span of management is the number of subordinates a superior can effectively manage, and its role in organising is that it determines the number of levels of management in the structure.

✓Final answer

The term 'span of management' refers to the number of subordinates that can be effectively managed by a superior. It is significant because it determines the number of levels of management in the organisation structure, and thereby helps shape the structure and ensure smooth communication and control.

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