For a company to be able to coordinate effectively, it is usually necessary for there to be a certain internal organization, which allows it to have a common objective and for all its members to act in a coordinated manner and in the same direction, in addition to making decisions regarding its operation, management. and projection.
Although there are various alternatives, one of the most common involves the creation of a hierarchical structure, in which different positions represent different roles that can carry out a specific number and type of tasks. What are the hierarchical positions in a company? Throughout this article we are going to try to make a small summary of the main hierarchical levels that usually exist in an organization.
What do we call hierarchical position?
When we talk about a hierarchy in the company we are referring to the existence of a structure or organization in which an ordering of the position occupied by each of its components is established.
At the business level, the existence of a hierarchy implies the creation of positions with different functions at the organizational level, in which Each member of the company has a certain rank that places them in a position of superiority or inferiority at the level of functions, responsibilities and leadership.
Based on this, we can understand the concept of hierarchical position as the place or position that each individual occupies within the organizational hierarchy of the company or corporation, something that directly influences their functions and situation in the organization.
The main hierarchical positions of a company
Before starting to evaluate the different hierarchical positions that we can find in a company, we must bear in mind that there is no single way to structure an organization of this type, there being various types of configuration in which power can be distributed in very different ways
Thus, we can find different ways of organizing operations and making decisions, which can range from a horizontal distribution of power (such as cooperatives) to a very vertical and marked hierarchy, with more or less intermediate positions
In this way, it is possible that the hierarchical positions that we indicate below are not present in all of them or that the different roles and positions may be brought together in the same person.
Below we leave you with some of the main hierarchical positions that appear in most organizations.
1. CEO/CEO
The name of executive director, general director or Chief Executive Officer (the well-known CEO) is given to the highest position within the company, which has maximum authority over it and whose main function is to manage the company as a whole. He would be in charge of implementing the different actions to be carried out to achieve the company’s goals.
This is the top leadership position, making decisions at a strategic level and in relation to the company’s policies and way of organizing.
2. President and vice president
The second highest authority of the company rests on the figure of its president, often confused with the general director. President is responsible for maintaining general direction and establishing general objectives and strategies of the company, as well as legally representing it.
The vice presidents are support figures for the president, who, if necessary, can assume his functions and who can also serve as his advisors.
3. Department directors
Still within the management positions and directly below the general director we can find the directors of the various areas on which a company is established These directors are in charge of directing and developing the strategies that the company will follow with regard to its field of action, for which they are the most responsible.
Examples of this can be found in the positions of operations director, financial director or communications director.
4. Managers and bosses
The managers are the main intermediate positions that a company has Its function is to direct and coordinate the workers of a certain section in order to carry out the activities proposed by higher management. They have the power to make decisions at a technical level.
5. Supervisors
The supervisor position would already fall within the operational level of the company, being directly dedicated to the management of the activity carried out by the workers. This position is responsible for coordinating and (as its name tells us) supervising the work and situation of the employees, contributing to the proper execution of the activity and assess the needs and work situation of your employees
6. Operators
It is considered at the operational level the most basic level within the organization and company hierarchy , which is made up of the different operators and professionals who perform routine work and carry out the tasks and operations that higher positions indicate to them as their specific work. This is the most common hierarchical position and the one that carries out the task proposed by the company directly.
When the company is listed on the stock market: shareholders and board of directors
Until now we have talked about the different hierarchical positions that we can find in a generic organization, but we often find that a company has sold shares on the stock market, something that also affects the organization of the company. In this sense, two more elements may arise to take into account.
Shareholders and general meeting of shareholders
Many companies are led by their founder or founders and operate based on the vision of this or them, but however in other cases The operation of the company and its financing depend on the existence of shareholders , which are usually organized into a board, which ultimately ends up owning the company or part of it and has the power to influence its direction. These have the power to appoint the members of the board of directors.
Board of directors
The board of directors It is a body set up by the shareholders meeting which is responsible for guiding and supervising the direction of the company. It may be made up of shareholders or directors who represent them.