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Give an example of hierarchical planning in an organization.

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Final answer:

Hierarchical planning in an organization is exhibited by Walmart's corporate structure, with a clear chain of command from entry-level employees to shift managers, store managers, regional managers, and so on up to the CEO and stockholders. This model, while adapted to more team-oriented approaches in some organizations, is still prevalent for maintaining efficiency and clarity in responsibilities.

Step-by-step explanation:

Hierarchical planning in an organization refers to the structured layout of authority and responsibilities within a company. An example of this would be the corporate structure of a large retailer such as Walmart. At the bottom of the hierarchy are the entry-level employees, who report to their shift managers.

These shift managers further report to store managers, who themselves are accountable to regional managers. This chain continues upwards until it reaches the CEO, who is responsible to the board members, and in turn, they answer to the stockholders.

Although many organizations still function with a hierarchy of authority, it is important to note that a move towards flatter organizational structures has been observed. This allows for a more team-oriented approach where even entry-level employees can provide feedback directly to directors.

However, in certain industries, particularly during the Industrial Revolution where the model of large bureaucracies emerged for mass production and assembly line work, adherence to a clear chain of command was vital for efficiency.

Today in the information age, the traditional model is sometimes considered less productive and efficient, but hierarchies still play a crucial role in a vast majority of organizations. Understanding the organizational structure and where one fits within it can be crucial for professional development and meeting performance expectations.

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