||Managers delegate some of their function and authority to their subordinates.
||Right to take decisions is shared by top management and other level of management.
||Scope of delegation is limited as superior delegates the powers to the subordinates on individual bases.
||Scope is wide as the decision making is shared by the subordinates also.
||Responsibility remains of the managers and cannot be delegated
||Responsibility is also delegated to subordinates.
|Freedom of Work
||Freedom is not given to the subordinates as they have to work as per the instructions of their superiors.
||Freedom to work can be maintained by subordinates as they are free to take decision and to implement it.
||It is a routine function
||It is an important decision of an enterprise.
|Need on purpose
||Delegation is important in all concerns whether big or small. No enterprises can work without delegation.
||Decentralization becomes more important in large concerns and it depends upon the decision made by the enterprise, it is not compulsory.
|Grant of Authority
||The authority is granted by one individual to another.
||It is a systematic act which takes place at all levels and at all functions in a concern.
|Grant of Responsibility
||Responsibility cannot be delegated
||Authority with responsibility is delegated to subordinates.
||Degree of delegation varies from concern to concern and department to department.
||Decentralization is total by nature. It spreads throughout the organization i.e. at all levels and all functions
||Delegation is a process which explains superior subordinates relationship
||It is an outcome which explains relationship between top management and all other departments.
||Delegation is essential of all kinds of concerns
||Decentralization is a decisions function by nature.
||Delegation is essential for creating the organization
||Decentralization is an optional policy at the discretion of top management.
||Delegated authority can be taken back.
||It is considered as a general policy of top management and is applicable to all departments.
|Freedom of Action
||Very little freedom to the subordinates
Decentralization can be called as extension of delegation. When delegation of authority is done to the fullest possible extent, it gives use to decentralization.