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When is Centralization of Decision-making Better?
Navdeep Diwan, Analyst, India
Please tell me the circumstances under which centralization is better than decentralization? Thanks
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Centralization and Decentralizationnaeem, Student (MBA), United Kingdom In small organization centralization is best and in large organization decentralization is best because top management cannot get bet information from all over the organization. |
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What Types of Decisions are Most Appropriate to Be Handled by Decentralized Units?Alexandra Boateng, Manager, Ghana As a company expands, control becomes difficult. Decision-making is delayed and the qualities of decisions taken are adversely affected. Decentralization can improve the decision-making process in terms of speed and quality of the decisions. This also provides managers with greater freedom, thus making their activities more challenging and providing the opportunity to achieve self-fulfillment.
Explain the types of decisions that are most appropriate to be handled by decentralized units as against those that should be centralized. |
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