Multiple choice

Consider the following statements:

  1. Decentralization has the same advantages as delegation.
  2. Decentralization leads to more flexibility in an organization.
  3. Decentralization leads to slower decision making in rapidly changing environment. Which of the statements given above are correct?

  1. 1,2 and 3

  2. Only 1 and 2

  3. Only 2 and 3

  4. Only 2 and 3

Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

Decentralization shares advantages with delegation like employee development and better local decision-making, while also increasing organizational flexibility through distributed authority. It actually speeds up decision-making in dynamic environments rather than slowing it, contradicting statement 3.

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