‘ABC Ltd.’, a large multinational company had approximately 1000 employees in each of its departments. The company had five departments. In this…

‘ABC Ltd.’, a large multinational company had approximately $\displaystyle 1000$ employees in each of its departments. The company had five departments. In this organisation, leave applications of the employees had to be approved by the departmental heads. This approval is delayed due to large number of leave applications in each department. This led to a lot of dissatisfaction amongst the employees. To resolve this problem, the Chief Executive Officer of the organisation called a meeting of all departmental heads. It was decided to assign the approval of leave applications up to $\displaystyle 10$ days to the managers at all levels. It was also decided that it will be assigned till the lowest level throughout the organisation. Since the decision- making authority was shared with lower levels and placed nearest to the point of action, they could approve or deny leave applications without requiring higher level approval. After the policy change, employees at all levels noticed an improvement in the sanctioning of leave applications. The concept of management which led to an improvement in the speed and flexibility of leave approval is: