Question : Case Study 73: XYZ Corporation
The primary advantage of decentralization for XYZ Corporation is:
Option 1: Enhanced accountability
Option 2: Increased centralization
Option 3: Streamlined communication
Option 4: Limited resource allocation
Correct Answer: Enhanced accountability
Solution : The correct answer is (a) Enhanced accountability
Decentralization typically enhances accountability within an organization by delegating decision-making authority to various levels or units. This dispersion of decision-making responsibilities ensures that individuals or teams are accountable for their actions and outcomes in their respective areas of responsibility. It can result in a more accountable and transparent organization. It does not aim to increase centralization, streamline communication, or limit resource allocation, but rather to distribute decision-making and foster accountability.