What does 'chain of command' describe in an organization?

The concept of 'chain of command' refers specifically to the hierarchical structure within an organization that defines the flow of authority and responsibility. This system outlines how decisions are made and communicated throughout different levels of the organization, illustrating who reports to whom.

By establishing a clear chain of command, organizations can ensure that there is an orderly transition of information and directives, which helps in maintaining efficiency and accountability. Each level in the chain has defined roles and responsibilities, which aids in organizational clarity and alignment of goals.

Other options, while related to organization, do not accurately capture the essence of a 'chain of command.' For instance, marketing strategies pertain to how an organization promotes and sells its products, while financial structure refers to how a company manages its finances. Informal leadership structures, on the other hand, exist outside of the formal hierarchy and do not align with the defined links of authority that a chain of command represents. Therefore, the choice that correctly describes the chain of command is the link of authority from top to bottom.