Definition of Chain Of Command
The chain of command in a company shows the level of hierarchy starting from CEO or business owner on top to front line workers at the bottom level. The information/instructions flow from top to bottom and accountability moves upward by placing the supervisor on each level of work.
The chain of command shows the authority level in an organization which is easily seen by the chain of command who has direct reports or an individual whom how many people are reporting. The chain of command is established by the company in the early stages to allocate the power and responsibilities at each level, make company news and information easy to share.