Identify which of the following statements is not a problem with decentralization.
A) Managers may make decisions that are not in the organization's best interests.
B) Costs of accumulating and processing information are frequently reduced.
C) Managers may waste time dickering with other segment managers about transfer prices.
D) Managers tend to duplicate services that might be less expensive if centralized.

Question

Quizplus · Accepted Answer

Decentralization often leads to increased costs of accumulating and processing information, not reduced costs, as each decentralized unit may need to gather and process its own data.

Identify Which of the Following Statements Is Not a Problem