Page 4 - Lesson Note 4

levels of management.

Does not provide Promotes

opportunities to development of
develop creativity and creativity and skills at
Creativity
skills to lower level all levels of
managers. management.

Burden of work is Work load is shared by

Work Load concentrated with the all the levels of
top-level managers. management.
Provides subordinates Provides greater

Subordinate with opportunities to opportunities to
Initiative take initiative and subordinates to take

develop ideas. initiative.
The power of decision The power of decision

making lies only with making is delegated to
the top management. the lower level
Decision Making
This at times delays managers.
actual action. Accordingly, there is

quick action

Difference between Delegations of Authority and Decentralization

DELEGATION OF DECENTRALIZATION
AUTHORITY

Scope is limited to the Scope is wider than delegation

manager and his as it involves delegation of
Scope
immediate subordinates authority at all levels and in all

in the work unit. functions of the organisation.

Meaning It is entrusting authority It is an extension of delegation