An organization with a centralized structure has a potential for creating higher bureaucratic costs.

Question

Quizplus · Accepted Answer

In a centralized structure, decisions are made by a small group of individuals at the top of the hierarchy. This can lead to a slower decision-making process, as all decisions must be approved by the top management. Additionally, there may be a higher number of levels of hierarchy, which can result in higher administrative costs and bureaucracy. Thus, the statement is true.

An Organization with a Centralized Structure Has a Potential for Creating