Centralization and Decentralization
February 12, 2025
A manager alone cannot perform all the tasks assigned to him. In order to meet the targets, the manager should delegate authority. Delegation of Authority means division of authority and powers downwards to the subordinate. Delegation is about entrusting someone else to do parts of your job. Delegation of authority can be defined as subdivision […]
Following are the main obstacles that organizations face in the process of manpower planning: Under Utilization of Manpower: The biggest obstacle in case of manpower planning is the fact that the industries in general are not making optimum use of their manpower and once manpower planning begins, it encounters heavy odds in stepping up the […]
Employee Remuneration refers to the reward or compensation given to the employees for their work performances. Remuneration provides basic attraction to a employee to perform job efficiently and effectively. Remuneration leads to employee motivation. Salaries constitutes an important source of income for employees and determine their standard of living. Salaries effect the employees productivity and […]
Basis Delegation Decentralization Meaning 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 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 […]
Line organization is the most oldest and simplest method of administrative organization. According to this type of organization, the authority flows from top to bottom in a concern. The line of command is carried out from top to bottom. This is the reason for calling this organization as scalar organization which means scalar chain of […]
Line and staff organization is a modification of line organization and it is more complex than line organization. According to this administrative organization, specialized and supportive activities are attached to the line of command by appointing staff supervisors and staff specialists who are attached to the line authority. The power of command always remains with the line executives and staff supervisors guide, advice and council the line executives. Personal Secretary to the Managing Director is a staff official.
MANAGING DIRECTOR | ||
↓ | ↓ | ↓ |
Production Manager | Marketing Manager | Finance Manager |
↓ | ↓ | ↓ |
Plant Supervisor | Market Supervisor | Chief Assisstant |
↓ | ↓ | ↓ |
Foreman | Salesman | Accountant |
The line executive can concentrate on the execution of plans and they get relieved of dividing their attention to many areas.
The planning and investigation which is related to different matters can be done by the staff specialist and line officers can concentrate on execution of plans.
Line executives can give due concentration to their decision making. This in itself is a training ground for them.
At times the staff specialist also provide wrong decisions which the line executive have to consider. This can affect the efficient running of the enterprise.
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