Centralized Decision making in Organization Structure

Question

What is a Centralized Decision making in Organization Structure?

Answer 1

Centralized Decision-Making:

In a highly centralized organization structure, top executives keep authority for most strategic and operating decisions and keep a firm bridle on business-unit heads, branch heads, and the managers of main operating units; comparatively little discretionary authority is granted to front-line supervisors and file and grade employees. The command and the control prototype of centralized structures is based on the underlying supposition that frontline workers have neither the time nor the leaning to direct and correctly control the job they are performing and that they be short of the knowledge and judgment to make wise decisions about how finest to do it – hence the requirement for managerially prescribed policies and processes, close supervision, and tight control.