The number of subordinates or direct reports that a manager can effectively supervise and control. This organizational principle helps determine the optimal structure and hierarchy within a company.
Military term dating to the early 20th century, referring to how many soldiers an officer could effectively command. Adopted by business management in the 1930s-40s as companies grew larger and needed systematic approaches to organizational design.
The magic number isn't actually magic—it depends on the complexity of work and skill level of employees. A CEO might effectively manage 12 VPs, while a factory supervisor might struggle with more than 6 line workers. Technology has generally increased optimal spans of control by improving communication and monitoring.
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