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basically, centralizaton and decentralization could be an argument in deciding a management structure. i believe decentralization should be implemented in this era, as there are numerous young individuals who tend to think outside the box. Decentralization motivates the juniors to chip in thier ideas. this enables them to throw in their best when they are working.
Decentralized management with centralized control. Effective decentralization is only achieved through implemening technology to maintian your control. Decentralization doen't negate accountability of the central manager.
It depends on the type of business , the number of branches, wether it's a family business.
if it is corporation. With many branches countrywide, management should be decentralized to allow flexibility , with Erp consolidating the parts and facilitating reports communication , and to be. Completed with regular meeting and with common policies , procedures and guidelines
if it is a closed family business's , regardless the size , I. Preference to be centralized for CAPEX , investment and for expenditures above certain threshold.
A centralized management style involves all decisions and approvals in relation to the company coming from the central management.
In a de-centralized management company people are given roles and are accountable to all decision and approvals in relation to their role.
I believe we need an hybrid of the two styles of managent.We need the latter (de-centralize) because it gives room for innovation and result orientated while the former (centralize) is needed to collate and correlate the result of all activities of all de-centralized units.
If you are one location based organization then go for Centralized working and if your organziation is geographically disbursed and have multiple location in various cities or countries then de-centralization is the best option but there must be central governing or monitoring body to review it working.
