A centralized planning process
A) should be replaced with a decentralized process in large corporations to ensure buy-in.
B) can help managers understand how actions in one area have consequences for other units.
C) focuses attention on different time horizons.
D) ensures adequate assessment of external forces.

Question

Quizplus · Accepted Answer

A centralized planning process helps managers understand how actions in one area have consequences for other units. This is because a centralized process involves input and collaboration from multiple units, leading to a more integrated and holistic approach to planning.

Option A is incorrect because a centralized process can still ensure buy-in from different units as long as there is effective communication and collaboration.

Option C is not necessarily true as a centralized process can also focus on a specific time horizon, depending on the organization's needs.

Option D is not a characteristic unique to a centralized planning process as external forces can be assessed in both centralized and decentralized processes.

A Centralized Planning Process