14 Principles of Manegement are statements that are based on fundamental truth. These principles serve as a guideline for decision-making and management actions. They are drawn up by means of observations and analyses of events that managers encounter in practice. Henri Fayol was able to synthesize 14 principles of management after years of study, one of it was Scalar Chain.

Hierarchy presents itself in any organization. This varies form senior management as executive board to the lowest level in the organization. Henri Fayol's hierarchy management principle states that there should be a clear line in the area of authority, from top to bottom and all managers at all levels. This can be seen as a type of management structure. Each employee can contact a manager or a superior in an emergency situation without challenging the hierarchy. Especially, when it concers reports about calamities to the immediate managers or superiors.

Source: KPTM Fundamental of Management Book PMG1083

Hierarchy system is very important in any organization so that we know from the lowest managerial level to the top managerial level. As we can see in Henry Fayols's management principle, in this system there is a clear line between the top managerial level to the lowest managerial level. This clear line differentiate the tasks, ability and speciality of the organization. So if anything happen, the lowest can contact the top managerial level diretly and vice versa.