A formal team composed of a manager and his or her subordinates is called a:

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A formal team composed of a manager and his or her subordinates is commonly referred to as a vertical team. This is because the management hierarchy is structured vertically, with the manager at the top, followed by his or her subordinates arranged in descending orders of authority and responsibility. Other options such as social, horizontal, self-managed, and special-purpose teams may not necessarily have a formal manager-subordinate relationship.

A Formal Team Composed of a Manager and His or Her