Key Concept of Centralized and Decentralized Decision-Making
Explain the Key Concept of Centralized and Decentralized Decision-Making.
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Key Concept of Centralized Decision-Making:
There are drawbacks to having a little number of top-level manager’s micromanage the business by personally making decisions or by requiring they endorse the suggestions of lower-level subordinates before actions can be taken.
Key Concept of Decentralized Decision-Making:
The final objective of decentralized decision-making is not to push decisions down to lower levels but to put decision-making authority in the hands of those human beings or groups neighboring to and most knowledgeable about the condition.
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