Chapter 10. KEEP THE TEAMS SMALL
One of the most common principles of management theory since at least Henri Fayol[67] says that a hierarchical structure can only be truly effective with one manager for a maximum of seven employees.[68] Beyond that, control is lost, and quality and productivity decline. As explained by proponents of the span of control theory, developed by Sir Ian Hamilton in 1922, managers have a finite amount of time, energy, and attention to devote to their job. To quote Hamilton, "The nearer we approach the supreme head of the whole organization, the more we ought to work towards groups of three; the closer we get to the foot of the whole organization, the more we work towards groups of six."[69]
This ratio of 1 manager per ...
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