Question

A guideline of identifying a decentralized philosophy of an organization would be:

A. an increase in the levels of management within an organization.

B. prior to the execution of a decision a higher management level must be informed.

C. accountability of a decision is only at the highest levels.

D. when the company believes in implements the concept of empowerment

E. none of the above reflect an organization with a decentralized philosophy

Answer 1

Answer is: (E) None of the above reflect an organization with a decentralized philosophy.

Reason:

Option (A) says about increased level of management within an organization. But as per decentralization theory, there is no levels of management in a decentralized organization and everyone takes part in decision making. Everyone comes to the same level.

Option (B) says about Higher management must be informed prior the execution of decision. But in a decentralized organization, it is not necessary and required decisions can be taken by an employee.

Option (C) says the accountability of a decision is only at the highest levels. But in a decentralized organization every level employee takes part in the decision making process.

Option (D) says about believe in concept of empowerment. But in a decentralized organization everyone is same in terms of power (empowerment)

Hence all the options A – D are wrong.

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