Hierarchical organization refers to a system where individuals or groups are ranked one above the other based on authority or responsibility. This structure is commonly seen in businesses, governments, and educational institutions, where roles are clearly defined. For example, in a company, the CEO is at the top, followed by managers, supervisors, and then employees. In a hierarchical organization, communication typically flows from the top down, meaning that decisions made by higher-ups are passed down to lower levels. This can help maintain order and clarity, but it may also slow down decision-making processes. Overall, hierarchical structures aim to create a clear chain of command.