Final answer:
The concept where orders flow from higher to lower management levels is called a hierarchy of authority, creating a clear chain of command within an organization.
Step-by-step explanation:
The concept of orders and instructions flowing from a higher manager to a lower one is known as a hierarchy of authority. This represents a structured chain of command within an organization where each level of the bureaucracy is responsible for answering to the one above it. For instance, in a retail environment like Walmart, a shift manager assigns tasks to employees, answers to the store manager, who in turn answers to the regional manager, and so on, up to the CEO and the board members. Such a hierarchy ensures that there's a clear chain of command with defined roles for both individuals and groups within the organizational structure.