After extensive job cuts to reduce costs, upper level managers are spending significant amounts of time solving problems in the production units. Lower level managers are resentful that they cannot make decisions for their own units. What recommendation would you make for this firm?
A) Reorganize; departmentalize around customers instead of products.
B) Formalize; write explicit job descriptions, rules, and procedures so the upper managers won't have to decide each case individually.
C) Centralize; create a department that does nothing but make decisions.
D) Decentralize; give authority to the lower level managers regarding events in their own units.

Question

Quizplus · Accepted Answer

Decentralizing authority would give lower level managers the ability to make decisions for their own units. This would alleviate the burden on upper level managers and allow for a more efficient decision-making process. It would also address the issue of resentful lower level managers by giving them more autonomy and responsibility.

After Extensive Job Cuts to Reduce Costs, Upper Level Managers