1. Delegation, Decentralization, and Centralization
Assigning part of a manager’s work and power to other workers
Responsibility
The duty to do a job or perform a task
Authority
The power within the organization to accomplish an assigned task.
Accountability
The obligation to accomplish an assigned job or task
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2. Steps in the Delegation Process
The manager assigns responsibility
The subordinate is empowered to do the task
Ultimate accountability remains with the manager
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3. Decentralization of Authority
Decentralized organization
Management consciously attempts to spread authority widely in the lower levels of the organization
Centralized organization
Authority is concentrated at the upper levels of the organization
Factors favoring decentralization
A complex and unpredictable business environment
Decisions that carry low risk or that are unimportant
Highly capable lower-level managers with strong decision-making skills
Past practices of the firm in decentralizing its structure and decision-making processes
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