How is goal congruence achieved in decentralized organizations?

Question

Quizplus · Accepted Answer

In decentralized structures, goal congruence is achieved by aligning the objectives of the individual managers with those of the firm. This is best achieved by creating incentives that encourage managers to make decisions that are consistent with corporate objectives. By linking the performance evaluation of individual managers to the overall goals of the company, managers are motivated to work towards achieving these goals. Other methods such as setting policies and eliminating authority may potentially hinder decision-making and prevent the flexibility needed for a decentralized structure.

How Is Goal Congruence Achieved in Decentralized Organizations