The more a company needs to be innovative and responsive, the more likely the company will do which of the following?
A) decentralize the organization
B) choose functional departmentalization
C) centralize the organization
D) reduce delegation of authority

Question

Quizplus · Accepted Answer

Decentralizing the organization allows for more agility and quick decision-making as individuals and teams have more autonomy and can respond to changes faster. This is more conducive for innovation and responsiveness compared to a centralized organization with a strong hierarchical structure that limits flexibility and creativity. Functional departmentalization is a type of organizational structure that groups employees based on their area of specialization, which can reduce cross-functional communication and collaboration, which is not ideal for innovation and responsiveness. Reducing delegation of authority can also slow down decision-making and restrict the ability of employees to respond to changes.

The More a Company Needs to Be Innovative and Responsive