Joanna Maybry

PS605

February 10, 2004

Elliott Jaques, “In Praise of Hierarchy”

            After completing 35 years of research on the topic of managerial hierarchy, Elliott Jaques has determined that the word hierarchy is not the evil word most people believe it to be.  In his article, Jaques explains how hierarchy doesn’t “kill initiative” and “crush creativity,” but how it makes an organization the most efficient.  The common complaints of hierarchy are that there are too many chiefs in an organization, little or no value is given to the work of subordinates, and that “nasty aspects” of a worker’s character may emerge.  These aspects are greed, insensitivity, careerism, and self-importance.  Jaques suggests that by determining the responsibility time span between each layer of the organization, as well as the complexity levels of tasks, the organization will better understand its own purpose, and it will better utilize its managerial hierarchy. 

            Each organization has four fundamental needs.  These needs are:

1. To add real value to work as it moves through the organization.
2. To identify and nail down accountability at each stage of the value-adding process.
3. To place people with the necessary competence at each organizational layer.
4. To build a general consensus and acceptance of the managerial structure that achieves these ends. 

Hierarchy meets these needs by expressing two main characteristics of work.  One characteristic is the complexity level of tasks.  It starts at one level, but the complexity becomes greater as it separates out into different layers of the organization.  The second characteristic is the complexity of the mental work that each layer faces on the job.  The problems that a CEO faces are typically more complex and difficult when compared to the issues of an entry-level worker in the company.

            Jaques feels that hierarchy is looked down upon because there are no clear distinctions between the different layers in an organization.  Some workers and managers may be in the same responsibility layer, but are separated only by a pay grade.  They see their true boss as the manager who is at the next level of complexity.  Over layering is what produces the negative attitude towards managerial hierarchy.  In order to make hierarchy work, distinctions must be made between the working layer and pay grades. 

            Jaques’ research found that describing the elements of the manager’s role and the basics of their authority is not enough; the organization must also establish the responsibility time span of each layer in the organization.  This determines where each layer should begin and end.  According to Jaques, the responsibility time span is an objective measure of the level of responsibility in any role.  It correlates the weight of responsibility with the amount of time it takes to complete the longest project.  (Please refer to examples on page 238 under “Responsibility and Time”).   After more than 100 studies, Jaques found that successful managerial and hierarchical boundaries occur at three months, one year, two years, five years, ten years, and twenty years. 

             Before an organization can try to increase morale and productivity, the hierarchy must be structurally sound.  Firm responsibility layers should be set and organized based upon the goals of the organization.  Workers and task complexity should be complementary of each other, and each layer should be able to assign value to the work of those in the layer just below them.