In an organization characterized by decentralized authority,top management delegates decision-making authority to middle and supervisory management.

Question

Quizplus · Accepted Answer

Decentralized authority means that decision-making authority is distributed among lower-level managers rather than being centralized at the top. This allows for greater autonomy and flexibility in decision-making, increasing responsiveness to local conditions and encouraging innovation. In such an organization, top management delegates decision-making authority to middle and supervisory management, empowering them to make decisions within their areas of responsibility.

In an Organization Characterized by Decentralized Authority,top Management Delegates Decision-Making