Question : Statement 1: Decentralized control is suitable for small organizations with a centralized structure.

Statement 2: Decentralized control allows for greater autonomy and decision-making at lower levels.

 

Option 1: Both correct.

Option 2: Both incorrect.

Option 3: Statement 1 correct, Statement 2 incorrect.

Option 4: Statement 2 incorrect, Statement 1 correct.


Team Careers360 6th Jan, 2024
Answer (1)
Team Careers360 18th Jan, 2024

Correct Answer: Both correct.


Solution : The correct answer is (a) Both correct.

Statement 1 is correct. Decentralized control can be suitable for small organizations with a centralized structure, as it allows for delegation of decision-making authority to lower levels of the organization. It can help distribute the decision-making burden and enhance efficiency in certain situations.

Statement 2 is also correct. Decentralized control is characterized by granting greater autonomy and decision-making authority to lower levels of the organization. It empowers employees at various levels to make decisions within their areas of responsibility.

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