Question

Define decentralization. Discuss at least three merits and limitations of democratic decentralization.

19 Oct 2021
Answer :
Word Count : 526

Decentralization or decentralisation is the process by which the activities of an organization, particularly those regarding planning and decision making, are distributed or delegated away from a central, authoritative location or group.

Concepts of decentralization has been applied to group dynamics and management science in private businesses and organizations, political science, law and public administration, economics, money and technology.

Decentralization refers to a specific form of organizational structure where the top management delegates decision-making responsibilities and daily operations to middle and lower subordinates. The top management can thus concentrate on making major decisions with greater time abundance. Businesses often feel the requirement of decentralization to continue efficiency in their operation.

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