2. DELEGATION OF AUTHORITY
Delegation refers to the downward
transfer of authority from a superior
to a subordinate.
It enables the manager to use his
time on high priority activities
8. DECENTRALISATION
• Delegation of authority
through out all the levels of
the organisation
• Decision making authority is
shared with lower levels
and placed nearest to the
points of action
9. IMPORTANCE OF DECENTRALISATION
• DEVELOPS INITIATIVE AMONG SUBORDINATES
• DEVELOPS MANAGERIAL TALENT FOR THE
FUTURE
• QUICK DECISION MAKING
• RELIEF TO TOP MANAGEMENT
• FACILITATES GROWTH
• BETTER CONTROL
10. CENTRALISATION AND DECENTRALISATION
• An organisation is centralised when decision
making authority is retained by higher
management levels where it is decentralised
when such authority is delegated
• Complete centralisation impliers
concetnration of decision making function at
the apex of the management hierarchy
11. CENTRALISATION AND DECENTRALISATION
• Complete decentralisation would imply the
delegation of all decision making functions to
the lower level of the hierarchy
• An organisation can never be completely
centralisaed or decentralised.as it grows in
size and complexity there is a tendency to
move towards decentralised decision making