What is the lowest level of management called?
Operational
Supervisory
Both A and B
None of these
Supervisory or Operational management is the last level of management.
Policy formulation is the function of
(a) top level managers
(b) middle level managers
(c) operational management
(d) all of the above
level is also known as Operational level of management.
Santo Ltd. has to develop its organisational, plan for the current year and for this purpose they hire professional consultants from the United States. These consultants incurred a lot of money in a collection of facts, figures, surveys, etc., including the salaries of the consultants. This whole process of planning has already proved to be a very costly affair and the eventual total cost may exceed the gains expected from the plan. In addition, the top management did not involve a middle and supervisory level of management during the planning process. These two levels of management are neither allowed to deviate from their plans nor are they permitted to act on their own. They keep thinking along the same lines as others so that nothing new or innovative gets added to the process.
(i) Should Santo Ltd, continue with existing planning with consultants from the United States? Explain with reasons. Also explain, which limitation of planning is reflected in this case?
(ii) Which limitation of planning is reflected when top management does not involve a middle and supervisory level of management during the planning process the above case? What remedial steps can Santo Ltd., take to overcome this limitation?