Crisis: Centralization or Decentralization?

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Centralization and Decentralization > Forum > Crisis: Centralization or Decentralization?

Crisis: Centralization or Decentralization?
rafita, Indonesia, Member
In a crisis situation, which one is better: centralized or decentralized? On one hand in a crisis condition urgent decisions regarding actions have to be made. On the other hand, the need of a democratic decision is also bigger. How can we manage this situation?

Centralization or Decentralization in Crisis?
Siyat Gaye
Decentralization is more democratic in terms of decision making as it allows for initiatives and the use of talents.However, decentralization is not suitable in times of crisis.This is because a crisis is fluid and delicate situation which requires urgent, decisive and firm action. In times of crisis unity of command and direction is central.

Don't Agree
Shweta S Awasthi, India, Member
A visionary and a leader is much more important to a large org as compared to a smaller one. This is because in smaller organisations, people are generally much more self-motivated. This makes me believe that decentralisation should be prevail more in larger ones; however, that's an ideal set-up anywhere!

Wrong Question...
Edwin Eka, HR Consultant, Indonesia, Member
Centralized & Decentralized is about organizing the firm.
Coping with a crisis situation is about managing an incident.
For instance, if there is a crisis in one branch (bank), headquarters cannot take all responsibilityies and authorities especially for day by day operations.
(De)centralization is not dealing with a managent style, it is about the system in an organization and how to organize it.

Crisis Situation: Select an Efficient Leader
Samrat, India, Member
I believe during a crisis situation, power should be vested with one (or a few) individual(s). For the simple reason "too many cooks spoil the broth". During a crisis, its time to act and act fast. We cannot wait to take everyone's opinion into account. So select an efficient leader, follow his instructions and work as a team to overcome the situation.

During Crisis, Decentralization is More Effective
AMIT ANAND, Manager, India, Member
In case of crisis, decentralization is more effective for flow of communication, planning and execution of plan.

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