Definition of Span Of Control
In 1922, Sir Ian Hamilton coined the concept of span of control or management ratio. The span of control is the determination of no of subordinates who are reporting to a manager. If a manager is controlling and supervising a lot of employees, his/her span of control is large and vice versa. Managers have finite time and energy for their jobs. Therefore, analyzing the span of control is very important.
The span of control is widely used in large organizations such as Army, Govt. institutes, or educational institutes. The span of control is an important term which small business owners/entrepreneurs must need to know. Usually, in small startups, the owner of the business manages a large team, gives directions, resolves team issues actively but in the process, he is unable to focus on the long-term plans and competitive edge in the market.