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The Benefits of a Narrow Span of Control

07 May 2014

In a previous blog, we talked about the how a business can use a wide span of control to influence the efficiency of their business’ operations. In that post, we promised that we would be following up that blog with another in which the narrow span of control will be the focal point of discussion. Well, the wait is over and this is final part of our discussion about management structures.

Portrait of a female executive

It is important that every entrepreneur establishes a management structure that is suitable for his or her company prior to opening for trading or before any employees come in the picture. The narrow span of control simply refers to a corporate structure where there are less employees reporting to the manager. Many entrepreneurs who adopt the narrow span of control practice decentralisation, where the manager takes less of a hands-on approach to work and delegates duties amongst his subordinates.

Below are some of the advantages of using a narrow span of control that could help you make a quicker decision on management structure during the company formation phase:

Leadership

A narrow span of control allows effective leadership to take place on work grounds. Since the employees are divided into smaller groups that are overseen by one individual, productivity rises as there is someone to keep a close eye on events. The supervisor can control employee’s activities restricting the chances of employee inefficiency.

Focus

In many cases, businesses that adopt a narrow span of control will have various departments or divisions of operations. Grouping employees in such working environments not only encourages organisation but also contributes largely towards specialisation. Employees specialising in the same task can work closely under a supervisor sharing ideas and helping one another, thereby increasing the quality of output from each division.

Communication

Although your employees cannot directly report to you straightaway, communication is still effective in a narrow span of control structure. In fact, from the employees’ point of view it is even better than in a wide span of control. This is because they have a supervisor who they can quickly speak to whenever they please. The supervisor should ensure that every query is answered. If this is handled effectively, employees’ job satisfaction will be very high.

So there you are, the narrow span of control! As an entrepreneur, it is solely up to you to choose the corporate structure that suits your company best. The entire company formation process might seem easy but many newly starting business people will find it difficult to cope. Do not panic, simply contact us at eformations, as we are a company specialising in many aspects of company formation. Our helpful team of employees will be able to offer you the assistance that you require to get your company off to a stress-free and flying start!