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Distinguish Between Centralisation and Decentralisation. - Business Studies

Answer in Brief

Distinguish Between Centralisation and Decentralisation.

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Solution

Centralisation Decentralisation
1. The decision making authority is retained by the top order  of management. 1. The decision making authority is delegated among the subordinates.
2. The process is slow as it passes through a long  chain of line from the subordinate to the top management. 2. The process is fast as  the decision is made by the  subordinate according to their experience and situation.
3. It doesn't enable the subordinate to work  freely and all decisions are made by the management.  3. The subordinate get the  chance to utilise his abilities and knowledge to  tackle a situation thereby work freely. 
4. There are more  burdens on the top management. 4. There are fewer burdens  on the top management. 
Concept: Concept of Decentralization
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