Factors Affecting Decentralisation
The x of import factors affecting or influencing blogspot.com//search?q=decentralisation-advantages-and">decentralisation are:-
1. Size of the organisation
Large scheme makes a lot of decisions. Their decisions are taken at unlike levels. So large organisations are to a greater extent than decentralised. Small scheme makes few decisions. All their decisions are taken at the tumble out level. So modest organisations are less decentralised. Thus, nosotros tin say, the bigger the organisation, the to a greater extent than the decentralisation too vice-versa.
2. Cost too Importance of decisions
The nearly costly too of import decisions are made yesteryear the blogspot.com//search?q=decentralisation-advantages-and">top degree of management. So, at that topographic point is less decentralisation of costly too of import decisions. Thus, nosotros tin say, the higher the terms too importance of the conclusion the lesser the decentralisation too vice-versa.
3. Uniformity
If the blogspot.com//search?q=decentralisation-advantages-and">management wants to a greater extent than uniformity, thence at that topographic point volition locomote to a greater extent than centralisation too less decentralisation.
4. History of organisation
An scheme which expands from inside has to a greater extent than centralisation. For e.g. Henry Ford made nearly of the decisions for Ford Motors. However, an scheme which expands amongst the help of blogspot.com//search?q=decentralisation-advantages-and">business combinations has to a greater extent than decentralisation.
5. Management Philosophy
The management philosophy besides influences decentralisation. If the management wants to brand all the decisions themselves, thence the scheme volition locomote to a greater extent than centralised too vice-versa.
6. Availability of efficient managers
If to a greater extent than efficient managers are available, thence at that topographic point volition locomote to a greater extent than decentralisation. However, if at that topographic point is a shortage of efficient managers thence at that topographic point volition locomote to a greater extent than centralisation.
7. Control Systems
If at that topographic point is a blogspot.com//search?q=decentralisation-advantages-and">good command system inward the organisation, thence at that topographic point volition locomote to a greater extent than decentralisation. This is because potency cannot locomote decentralised too delegated without proper command techniques.
8. Types of Business
If a concern is sometime too deadening moving, thence it volition guide maintain to a greater extent than centralisation. However, if the concern is novel too fast moving, thence it volition guide maintain to a greater extent than decentralisation.
9. Branches of organisation
If an scheme has many branches at unlike places, thence it volition guide maintain to a greater extent than decentralisation. However, if the scheme does non guide maintain whatever branches, it may guide maintain to a greater extent than centralisation.
10. Type of organisation
Joint-stock companies are to a greater extent than oftentimes than non to a greater extent than decentralised compared to sole trading concerns too partnership firms.
