Which of the following statements is true about the placement of control in an organization?
A) Control should rest only in the hands of the top management.
B) All organizations follow a highly centralized approach to decision making and controlling.
C) Pushing controls down in the organization permits higher-level managers to get totally involved in details.
D) Pushing controls down in the organization keeps the controllers away from the actual situations that require control.
E) Controls that are placed farther down the hierarchy elicit commitment from lower-level managers.

Question

Quizplus · Accepted Answer

Placing controls farther down the hierarchy can elicit commitment from lower-level managers as they are directly responsible for the outcomes of their areas of responsibility. This also empowers them and allows them to make decisions and take actions without constantly seeking approval from higher-level managers. However, it does not mean that top management should relinquish all control and decision-making power, and a balance must be struck to ensure effective control throughout the organization.

Which of the Following Statements Is True About the Placement