Question

‘While delegation is a pre-requisite for the efficient functioning of an organisation, decentralisation explains the manner in which decision-making…

Accepted Answer

Basis Delegation Decentralisation --- --- --- (i) Meaning Delegation refers to the downward transfer of authority from a superior to a subordinate. Decentralisation refers to delegation of authority throughout all the levels of the organisation. (ii) Nature Delegation is a compulsory act because no individual can perform all tasks on his own Decentralisation is an optional policy decision. It is done at the discretion of the top management. (iii) Freedom of Action There is more control by superiors hence less freedom to take own decisions. There is less control over executives hence greater freedom of action (iv) Status It is a process followed to share tasks. It is the result of the policy decision of the top management. (v) Scope It has narrow scope as it is limited to superior and his immediate subordinate It has wide scope as it implies extension of delegation to the lowest level of management. (vi) Purpose The purpose is to lessen the burden of the manager. The purpose is to increase the role of the subordinates in the organisation by giving them more autonomy. OR Importance of organising 1) Benefits of specialisation. 2) Clarity in working relationships. 3) Optimum utilisation of resources. 4) Adaptation to change. 5) Effective administration. 6) Development of personnel. 7) Expansion and growth.

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More from Organising

Basis	Delegation	Decentralisation
(i) Meaning	Delegation refers to the downward transfer of authority from a superior to a subordinate.	Decentralisation refers to delegation of authority throughout all the levels of the organisation.
(ii) Nature	Delegation is a compulsory act because no individual can perform all tasks on his own	Decentralisation is an optional policy decision. It is done at the discretion of the top management.
(iii) Freedom of Action	There is more control by superiors hence less freedom to take own decisions.	There is less control over executives hence greater freedom of action
(iv) Status	It is a process followed to share tasks.	It is the result of the policy decision of the top management.
(v) Scope	It has narrow scope as it is limited to superior and his immediate subordinate	It has wide scope as it implies extension of delegation to the lowest level of management.
(vi) Purpose	The purpose is to lessen the burden of the manager.	The purpose is to increase the role of the subordinates in the organisation by giving them more autonomy.