Question

State any five points which highlight the importance of delegation of authority.

Answer 1

Importance of delegation of authority:

i. Managerial Efficiency: With delegation, the burden of top managers reduces to a large extent. They can focus on priority areas (such as research and innovation) while the routine work is handled by subordinates independently. Thus, the efficiency of managers is increased.
ii. Employee Proficiency: Delegation proves beneficial to subordinates as well in the sense that it provides them with the opportunity to work independently, apply their own creativity and skills. This helps in their growth and development.
iii. Motivation: Delegation of authority proves psychologically beneficial to subordinates. It motivates them to work to the best of their efficiency. It helps in developing a feeling of trust and commitment between superior and subordinate.
iv. Growth: With delegation, employee proficiency is increased. In other words, it helps in preparing future managers to take up leading positions and greater responsibilities.
This supports the growth and expansion of the organisation.
v. Hierarchical Structure: occurs when one person grants another the authority to carry out tasks in his name and on his behalf, and the second party agrees to fulfil the duties imposed upon him.