2. • The process of transferring and assigning
decision making authority to higher levels
of an organisational hierarchy.
• Knowledge, ideas and information are
cascaded down the organisation.
• The span of control of top managers is
relatively broad.
Centralization
3. • The process of transferring and assigning
decision making authority to lower levels of
an organisational hierarchy.
• Knowledge, ideas and information are
flowing from the bottom to the top of the
organisation.
• The span of control of top managers is
relatively small.
DECENTRALISATION
4.
5. THREE FORMS OF DECENTRALISATION
• Deconcentration
• Delegation
• Devolution
6. DECONCENTRATION
Deconcentration is the weakest form of
decentralization and is used most
frequently in unitary states-redistributes
decision making authority and financial and
management responsibilities among
different levels of the organisation.
7. Delegation is a more extensive form of
decentralization. Through delegation central
organisation transfer responsibility for
decision- making and administration of public
functions to semi-autonomous organizations
not wholly controlled by the central
government, but ultimately accountable to it.
DELEGATION
8. DEVOLUTION
Devolution is an administrative type of
decentralisation. When organisations
devolve functions, they transfer authority
for decision- making, finance, and
management to quasi- autonomous units of
local departments with corporate status.
9.
10. BENEFITS OF DECENTRALISATION
• Empowering Employees
• Relieving the Burden
• Preparing for Emergencies
• More Efficient Decision-Making
• Ease of Expansion
11. LIMITATIONS OF DECENTRALISATION
• More cost
• No Specialisation
• Need more specialists
• No uniform action
• No equitable distribution of work