Hierarchy is an important notion in Bali and still plays a dominant role in Balinese culture. In Bali, hierarchy is believed to be the foundation of order in the family, society, even in the universe. Most aspects of Balinese culture are influenced by this hierarchal system. In short, everything in Bali is set with hierarchal order.

Space and direction are ranked from the most auspicious mountainwards (kaja) to the least auspicious seawards (kelod). House compound is set with standard hierarchal order in which family temple occupy the most auspicious place (kaja), house for the Balinese occupy the middle area and pigsty occupy the least auspicious place (kelod). Person is ranked base on their caste, Brahmana (high priest), Ksatrya (nobleman), Wesya (gentry), and Jaba (commoner) though some reformist abhorred this idea. Priests are elaborately ranked by their kin group, the level of initiation rituals that have been done for them, and the size of temple they tend. Like persons, ancestors and deities are ranked, sometimes indicated by the number of levels (meru) on their shrines. Language is ranked from refined (alus), common (kepara), and rough (kasar). Religious ceremony is ranked from small (alit), medium (madya), and large (agung). Even the cosmos itself is ranked, from demonic beings and animals, to humanity, to ancestors and gods.

All these hierarchal systems are interwoven and linked to one another, for example the hierarchy of language is strongly related with caste system. The commoners address and speak to the gentries, noblemen, and the high priests with refined language while the gentries, noblemen, and high priests address and speak to the commoners with common language. In other word, person from lower position in the hierarchy use refined language when speaking to the person from higher hierarchy, while person from higher position in the hierarchy use common language to speak with person from lower position in the hierarchy.

Balinese hierarchy has long been associated with status competition and holding a spectacular religious ceremony is the most common way to win this competition. The noblemen especially the royal family legitimize their royal rule higher position in the hierarchy by conducting a large high level ceremony that need hundreds of worker and thousands working hours to prepare, and of course vast amount of money. Some Balinese especially the higher position in the hierarchy has a desire not to be outdone by others in ritual lavishness.

Some Balinese oppose the idea of hierarchal system applied for human, “human are equal” is their motto. In their opinion caste is interpreted as varna (division of duty or labor), Brahmana has a duty to officiate religious ritual and provide a guidance to the society so everyone which do these duty is a Brahmana regardless of his caste in old hierarchal system, Ksatrya has a duty to govern the state therefore all people which is involve in governing activities is a ksatrya though he come from Sudra or Brahmana caste, the wesya is people who involve in trade, and Sudra is people that has a profession of farmer and rough laborer. This view however only practice by small number of Balinese, most Balinese still adhere to the old hierarchal system.

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