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Question
Define 'Decentralisation'.
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Solution
Decentralisation refers to the dispersal of decision-making power among the middle-level and lower-level managers. The extent of decentralisation varies from one organisation to another.
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RELATED QUESTIONS
What is meant by 'Decentralization'?
Harsh started a company ‘Tiny-Toys Ltd.’ to manufacture economical toys for the Indian rural market, with 20 employees. The company did very well in its initial years. As the products were good and marketed well, the demand of its products went up. To increase the production the company decided to recruit additional employees. Harsh who was earlier taking all decisions for the company had to selectively disperse the authority. He believed that subordinates are competent, capable and resourceful and can assume responsibility for effective implementation of their decisions. This paid off and the company was not only able to increase its production but also expanded its product range with different features.
a. Identify the concept used by Harsh through which he was able to steer his company to greater heights.
b. Also, explain any three points of the importance of this concept.
Decentralisation is extending delegation to the lowest level. Comment.
The production manager asked the foreman to achieve a target production of 200 units per day, but he doesn’t give him the authority to requisition tools and materials from the stores department. Can the production manager blame the foreman if he is not able to achieve the desired target? Give reasons.
Distinguish Between Centralisation and Decentralisation.
Centralisation refers to ____________.
Centralisation refers to :-
Which of the following are the few factors that explain why an organisation would choose to be decentralised.
An organisation is ______ when decision making authority is retained by higher management levels.
Why does it become difficult for top management to handle all decisions alone?
Who defined decentralisation as a systematic effort to delegate to the lowest level all authority except that which can be exercised at central points?
Which pair represents unrealistic extremes in the degree of decentralisation?
As organisations become larger, they tend towards what?
Which tools can be used for performance evaluation at each level under decentralisation?
Decentralisation must be balanced with centralisation for which decisions?
Decentralisation frees top management for which work?
Why must decentralisation be balanced carefully?
