GENERAL KNOWLEDGE

GK

BUSINESS MANAGEMENT

Question [CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
Decentralisation of an organization is commanded on account of which of the following advantages?
A
Executive development
B
Improvement of morale
C
Reduced burden on top executives
D
All of the above
Explanation: 

Detailed explanation-1: -Decentralization improves the level of job satisfaction as well as employee morale, especially amongst the lower level managers.

Detailed explanation-2: -Decentralisation facilitates fiscal competition between jurisdictions, in particular when households are mobile between subnational governments. Decentralisation also enhances competition within municipalities and within regions.

Detailed explanation-3: -Quick implementation of decisions In a centralized organization, decisions are made by a small group of people and then communicated to the lower-level managers. The involvement of only a few people makes the decision-making process more efficient since they can discuss the details of each decision in one meeting.

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