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If an Organization with 3,000 Employees Has Seven Levels in Its

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If an organization with 3,000 employees has seven levels in its hierarchy, research would predict that if the organization tripled in size to 9,000 employees, it would have approximately 21 levels in its hierarchy.


Definitions:

Population Mean

The average value of a set of characteristics within a specified entire population.

Standard Deviation

A measure of the amount of variation or dispersion in a set of values, indicating how spread out the data points are from the mean.

T-distribution

A probability distribution that is used to estimate population parameters when the sample size is small and/or when the population variance is unknown.

Test Statistic

A test statistic is a value calculated from sample data during a hypothesis test. It's compared to a critical value to decide whether to reject the null hypothesis.

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