Which of the following statements is true concerning centralization/decentralization?
A) Decentralized decision authority has become relatively common in organizations.
B) Centralization permits greater utilization of the talents and abilities of managers and teams of employees.
C) Centralization is often more effective in a rapidly changing environment where it is necessary to be responsive to changing customer needs and tastes.
D) By maintaining a highly centralized structure, the 3M Corporation has become one of the world's most innovative companies.

Question

Quizplus · Accepted Answer

Decentralized decision authority has become relatively common in organizations, as it allows for quicker decision-making and more autonomy for employees.

Option B is incorrect because decentralization often allows for greater utilization of the talents and abilities of managers and teams of employees, rather than centralization.

Option C is incorrect because decentralization is often more effective in a rapidly changing environment where it is necessary to be responsive to changing customer needs and tastes.

Option D is incorrect because the 3M Corporation is actually known for its decentralized structure, which has allowed for creativity and innovation among its many divisions and employees.

Which of the Following Statements Is True Concerning Centralization/decentralization