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AIMA-PGCM-GM11 1
MANAGEMENT
THE PROCESS OF PLANNING, ORGANIZING,
LEADNIG, AND CONTROLLING THE WORK
OF ORGANIZATION MEMBERS AND OF
USING ALL AVAILABLE ORGANIZATIONAL
RESOURCES TO REACH STATED
ORGANIZATIONAL GOALS.
AIMA-PGCM-GM11 2
Traditional Definition of ManagementAttainment of organizational goals in an effective
and efficient manner through:PlanningOrganizingLeadingControllingand some authorities add:Staffing
AIMA-PGCM-GM11 3
What is Management?
“[Management] involves people looking beyond themselves and exercising formal authority over the activities and performance of other people.”
[Mullins 1999]
AIMA-PGCM-GM11 4
FAYOL’S PRINCIPLES OF MANAGEMENT
• DIVISION OF LABOR
• AUTHORITY
• DISCIPLINE
• UNITY OF COMMAND
• UNITY OF DIRECTION
• SUBORDINATION OF INDIVIDUAL INTEREST
TO THE COMMON GOOD
• REMUNERATION
AIMA-PGCM-GM11 5
PRINCIPLES OF MANAGEMENT
• CENTRALIZATION
• THE HIERARCHY
• ORDER
• EQUITY
• STABILITY OF STAFF
• INITIATIVE
• EXPRIT DE CORPS.
AIMA-PGCM-GM11 6
Is Management Art or Science?
The Science of Management The Art of Management
AIMA-PGCM-GM11 7
Four Functions Defined Planning
Setting an organization’s goals and selecting a course of action from a set of alternatives to achieve them [Griffin 2003]
Deciding in advance what to do, how to do it, when to do it, and who is to do it
Organizing Determining how activities and resources are grouped
[Griffin 2003]
Determining the composition of work groups and the way in which work and activities are to be coordinated
AIMA-PGCM-GM11 8
Four Functions Defined Leading
The set of processes used to get organizational members to work together to advance the interests of the organization [Griffin 2003]
Motivating and communicating with the organization’s human resources to ensure goals are attained
AIMA-PGCM-GM11 9
Four Functions Defined Controlling
Monitoring organizational progress towards goals [Griffin 2003]
The process of comparing results and expectations and making the appropriate changes
And that fifth one: Staffing The recruitment, selection, assignment,
training, development, evaluation and compensation of staff
AIMA-PGCM-GM11 10
Management Cycle
Planning
Monitoring Getting Resources
Implementation
AIMA-PGCM-GM11 11
Classical Management Functions Planning Organizing Staffing Directing Coordination/Control Reviewing Budgeting
Acronym to remember: POSDCoRB
AIMA-PGCM-GM11 12
New Management Functions:
Problem Solving Innovation Leadership & team building Motivation of staff
AIMA-PGCM-GM11 13
What is a Manager?
Someone whose primary responsibility is to carry out the management process
Someone who plans and makes decisions, organizes, leads, and controls human, financial, physical, and information resources
[Griffin 2003]
AIMA-PGCM-GM11 14
The Evolution of Management Theory
AIMA-PGCM-GM11 15
The Evolution of Management Theory
Figure 2.1Source:
AIMA-PGCM-GM11 16
Theories of Management
ScientificM anagem ent
BureaucraticM anagem ent
Adm inistrativeM anagem ent
ClassicalTheories
BehaviouristTheories
Haw thorneStudies
Hum anRelations
BehaviouralScience
BehaviouralTheories
M anagem entScience
OperationsM anagem ent
M anagem entInform ation
System s
QuantitativeTheories
System sTheory
ContingencyTheory
Em ergingView s
Contem poraryTheories
M anagem entTheory
AIMA-PGCM-GM11 17
Scientific Management Theory
Evolution of Modern Management
Began in the industrial revolution in the late 19th century as:
AIMA-PGCM-GM11 18
Frederick Taylor
Developed the specific principles of Scientific Management
AIMA-PGCM-GM11 19
Taylor’s 4 Principles ofScientific Management
Scientifically study each part of a task and develop the best method for performing the task
Carefully select workers and train them to perform the task by using the scientifically developed method
AIMA-PGCM-GM11 20
Taylor’s 4 Principles ofScientific Management
Cooperate fully with workers to ensure that they use the proper method
Divide work and responsibility so that management is responsible for planning work methods using scientific principles and workers are responsible for executing the work accordingly
AIMA-PGCM-GM11 21
Frank and Lillian Gilbreth Refined Taylor’s work and made many
improvements to the methodologies of time and motion studies.
Also studied worker-related fatigue problems caused by lighting, heating, and the design of tools and machines.
AIMA-PGCM-GM11 22
Administrative Management Theory
Administrative Management The study of how to create an organizational
structure that leads to high efficiency and effectiveness.
Max Weber Developed the concept of bureaucracy as a
formal system of organization and administration designed to ensure efficiency and effectiveness.
AIMA-PGCM-GM11 23
Weber’s Five Principles of Bureaucracy
Authority is the power to hold people accountable for their actions.
Positions in the firm should be held based on performance, not social contacts.
AIMA-PGCM-GM11 24
Position duties are clearly identified so that people know what is expected of them.
Lines of authority should be clearly identified such that workers know who reports to who.
Rules, standard operating procedures (SOPs), and norms guide the firm’s operations.
AIMA-PGCM-GM11 25
Behavioural Theories
Emphasise the importance of attempting to understand the various factors that affect human behaviour in organisations.
AIMA-PGCM-GM11 26
Behavioral Approach
Behavioral Approach theorists believe that effectiveness is attained through:
decreased control greater autonomy for people encouragement of innovation creativity
AIMA-PGCM-GM11 27
Behavioral Approach Examples
Ad agencies
Design firms
Most dotcoms
Software development
AIMA-PGCM-GM11 28
Elton Mayo
Believed emotional factors were more important determinants of productive efficiency than were physical and logical factors.
The Philosophy of Industrial Humanism
AIMA-PGCM-GM11 29
Douglas McGregor
Developed Theory X and Theory Y Theory X: management’s traditionally negative view
of employees as unmotivated and unwilling workers. Theory Y: the positive view of employees as
energetic, creative, and willing workers.
AIMA-PGCM-GM11 30
Management Science Theory
An approach to management that uses rigorous quantitative techniques to maximize the use of organizational resources. Quantitative management—utilizes linear
programming, modeling, simulation systems.
AIMA-PGCM-GM11 31
Total Quality Management (TQM)—focuses on improving quality throughout an organization.
Operations management—techniques to analyze all aspects of the production system.
Management Information Systems (MIS)—provides information about the organization.
AIMA-PGCM-GM11 32
Management InformationSystemsFocuses on designing and
implementing computer-based information systems for use by management.
These systems turn raw data into information that is useful to various levels of management.
AIMA-PGCM-GM11 33
Systems Theory
Based on the idea that organisations can be visualised as systems
System
A set of interrelated parts that operate as a whole in pursuit of common goals
AIMA-PGCM-GM11 34
The Systems Approach
Chester I. Barnard’s Early Systems Perspective Wrote Functions of the Executive. Characterized all organizations as cooperative
systems. Defined principle elements in an organization as
willingness to serve. common purpose. communication.
Strong advocate of business ethics.
AIMA-PGCM-GM11 35
Systems Approach Examples
Military & government agencies Traditional major industrial production
(automobiles, etc.) Some service firms (insurance,banking)
AIMA-PGCM-GM11 36
Contingency Theory
A viewpoint that argues that appropriate managerial action depends on the circumstances of the situation.
In other words ………..
there is no single right way to managethere is no single right way to manage
AIMA-PGCM-GM11 37
Contingency Theory of Organizational Design
Figure 2.5Source:
AIMA-PGCM-GM11 38
Management Levels Defined
First line Managers
Middle Managers
Top (or Senior) Managers
AIMA-PGCM-GM11 39
Horizontal Differences
Functional managers Responsible for departments that perform a single
functional task General managers
Responsible for several departments that perform different functions
AIMA-PGCM-GM11 40
Managers by Area Marketing Managers Financial Managers Operations Managers Human Resource Managers Administrative Managers Other Kinds of Managers
[Griffin 2003]
AIMA-PGCM-GM11 41
Top Managers
Middle Managers
First-Line Managers
Non-managers
(Personnel)
Top Managers
Middle Managers
First-Line Managers
Non-managers
(Personnel)
Management Skills required by management levels
Conceptual Skills “People” Skills Conceptual Skills “People” Skills Technical SkillsTechnical Skills
AIMA-PGCM-GM11 42
SOCIAL
RESPONSIBILITY
AND ETHICS
AIMA-PGCM-GM11 43
CORPORATE SOCIAL RESPONSIBILITY
WHAT AN ORGANIZATION DOES TO
INFLUENCE THE SOCIETY IN WHICH IT
EXISTS, SUCH AS THROUGH
VOLUNTEER ASSISTANCE PROGRAMS.
AIMA-PGCM-GM11 44
ETHICS
THE STUDY OF RIGHTS AND OF
WHO IS– OR SHOULD BE–
BENEFITED OR HARMED BY AN
ACTION.
AIMA-PGCM-GM11 45
Provide clear guidelines for ethical behavior.
Teach ethical guidelines and their importance.
Where it is likely that the acts of a managers can be questioned, avoid such areas. In other words, don’t get into problem areas that invite criticism.
AIMA-PGCM-GM11 46
Appoint an outside agency (that reports directly to the Board of Directors) to audit the ethical behavior of managers. Such controls facilitate a check on illegal or unethical deeds. Conduct frequent and surprise audits.
Punish trespassers in a meaningful way, and make it public so that it may deter others.
Emphasize regularly that loyalty to the company does not excuse improper behavior or actions.
AIMA-PGCM-GM11 47
CORPORATE SOCIAL RESPONSIVENESS
A THEORY OF SOCIAL RESONSIBILITY THAT FOCUSES ON HOW COMPANIES RESPOND TO ISSUES, RATHER THAN TRYING TO DETERMINE THEIR ULTIMATE SOCIAL RESPONSIBILITY.
CORPORATE SOCIAL PERFORMANCE
A SINGLE THEORY OF CORPORATE SOCIAL ACTION ENCOMPASSING SOCIAL PRINCIPLES, PROCESSES, AND POLICIES.
AIMA-PGCM-GM11 48
THE FOUR LEVELS OF ETHICAL QUESTIONSTHE FOUR LEVELS OF ETHICAL QUESTIONS
LEVEL 4THE INDIVIDUAL
LEVEL 3INTERNAL POLICY
LEVEL 2STAKEHOLDERS
LEVEL 1SOCIETY
AIMA-PGCM-GM11 49
SOCIAL RESPONSIBILITY OF SOCIAL RESPONSIBILITY OF MANAGERSMANAGERS
Responsibility towards shareholders
Responsibility towards consumers
Responsibility towards employees
AIMA-PGCM-GM11 50
Responsibility towards creditors Responsibility towards the government Responsibility towards suppliers Responsibility towards competitors Responsibility towards general public
AIMA-PGCM-GM11 51
ORGANIZATIONAL
DECISION MAKING
AIMA-PGCM-GM11 52
PROBLEM
SITUATION THAT OCCURS WHEN AN ACTUAL STATE OF AFFAIRS DIFFERS FROM A DESIRED STATE OF AFFAIRS.
AIMA-PGCM-GM11 53
PROBLEM RECOGNITION
PROBLEM RECOGNITION CAN NOT BE SEPARATED FROM THE HISTORICALTIME IN WHICH MANAGERS MAKE DECISIONS. IN THE EARLY YEARS OF THE AUTO INDUSTRY, PASSENGER SAFETY WAS LESS A CONCERN THAN IT IS TODAY, AS WE CAN SEE IN THE DEVELOPMENT OF AIR BAGS.
AIMA-PGCM-GM11 54
APPROACHES TO MANAGEMENT APPROACHES TO MANAGEMENT PROBLEM SOLVINGPROBLEM SOLVING
R O U T IN E S C IE N T IF IC D E C IS IO N A L C R E A T IV E Q U A N T IT A T IV E
M A N A G E M E N TP R O B L E M S
D E S IR E D R E S U LT
AIMA-PGCM-GM11 55
RATIONAL MODEL OF DECISION MAKINGRATIONAL MODEL OF DECISION MAKING
A FOUR-STEP PROCESS THAT HELPS
MANAGERS WEIGH ALTERNATIVES
AND CHOOSE THE ALTERNATIVE
WITH THE BEST CHANCE OF
SUCCESS.
AIMA-PGCM-GM11 56
1. INVESTIGATE THE SITUATION
2. DEVELOP ALTERNATIVES
4. IMPLEMENT AND MONITOR
3. EVALUATE ALTERNATIVES AND SELECT THE BEST ONE AVAILABLE
THE RATIONAL DECISION-MAKING PROCESSTHE RATIONAL DECISION-MAKING PROCESS
AIMA-PGCM-GM11 57
How are decisions madein organizations?
Decision environments include:
Certain environments.
Risk environments.
Uncertain environments.
AIMA-PGCM-GM11 58
How are decisions madein organizations?
Types of decisions. Programmed decisions.
Involve routine problems that arise regularly and can be
addressed through standard responses.
Nonprogrammed decisions. Involve nonroutine problems that require solutions
specifically tailored to the situation at hand
AIMA-PGCM-GM11 59
What are the usefuldecision making models?
Classical decision theory. Views the decision maker as acting in a world of
complete certainty.
Behavioral decision theory. Accepts a world with bounded rationality and
views the decision maker as acting only in terms of what he/she perceives about a given situation.
AIMA-PGCM-GM11 60
A PLAN IS A REAL THING, AND THINGS PROJECTED
ARE EXPERIENCED. A PLAN ONCE MADE AND
VISUALIZED BECOMES A REALITY ALONG WITH
OTHER REALITIES – NEVER TO BE DESTROYED BUT
EASILY TO BE ATTACKED.
John Steinbeck,
The Pearl
AIMA-PGCM-GM11 61
PLANNINGPLANNING
PLANNING IS A PARTICULAR KIND OF DECISION
MAKING THAT ADDRESSES THE SPECIFIC FEATURE
THAT MANAGERS DESIRE FOR THEIR ORGANIZATION.
AIMA-PGCM-GM11 62
THE HIERARCHY OF PLANSTHE HIERARCHY OF PLANS
MISSION STATEMENT
STRATEGIC PLANS
OPERATIONAL PLANS
CREATED BY:
Founder, Boardof Directors, orTop Managers
Top and MiddleManagers
Middle andFirst-LineManagers
AIMA-PGCM-GM11 63
GOALS
STRATEGIC PLANS
OPERATIONAL PLANS
SINGLE-USE PLANS STANDING PLANS
PROGRAMS
PROJECTS
BUDGETS
POLICIES
STANDARDPROCEDURES
AND METHODS
RULES
FOR NONRECURRING ACTIVITIES FOR RECURRING ACTIVITIES
THE HIERARCHY OF ORGANIZATIONAL PLANSTHE HIERARCHY OF ORGANIZATIONAL PLANS
AIMA-PGCM-GM11 64
TYPES OF PLANSTYPES OF PLANS
Purpose
of mission
Objectives
Strategies
Policies: major or minor
Procedures
Rules
Programs: major or minor and supporting
Budgets: numberized or dollarized progams
AIMA-PGCM-GM11 65
MAJOR STEPS IN PLANNINGMAJOR STEPS IN PLANNING
• CLARIFY THE PROBLEM.
• OBTAIN COMPLETE INFORMATION ABOUT THE
ACTIVITIES INVOLVED.
• ANALYZE AND CLASSIFY THE INFORMATION.
• ESTABLISH PLANNING PREMISES AND CONSTRAINTS.
• DETERMINE ALTERNATE PLANS.
• CHOOSE PROPOSED PLAN.
• ARRANGE DETAILED SEQUENCE AND TIMING FOR
THE PROPOSED PLAN.
• PROVIDE PROGRESS CHECKUP TO PROPOSED PLAN.
AIMA-PGCM-GM11 66
MAJOR TYPES OF MANAGEMENT PLANSMAJOR TYPES OF MANAGEMENT PLANS
• POLICY
• PROCEDURE
• METHOD
• STANDARD
• BUDGET
• PROGRAM
• TECHNOFACTOR
AIMA-PGCM-GM11 67
ADVANTAGES OF PLANNINGADVANTAGES OF PLANNING
• MAKES FORFOR PURPOSEFUL AND ORDERLY
ACTIVITIES.
• POINTS OUT NEED FOR FUTURE CHANGE.
• ANSWERS “WHAT IF” QUESTIONS.
AIMA-PGCM-GM11 68
PROVIDES A BASIS FOR CONTROL.
ENCOURAGES ACHIEVEMENT. COMPELS VISUALIZATION OF
ENTIRETY. INCREASES AND BALANCES
UTILIZATION OF FACILITIES. ASSISTS MANAGER IN GAINING
STATUS.
AIMA-PGCM-GM11 69
DISADVANTAGES OF PLANNINGDISADVANTAGES OF PLANNING
• PLANNING IS LIMITED BY THE ACCURACY
OF INFORMATION AND FUTURE FACTS.
• PLANNING COSTS TOO MUCH.
• PLANNING HAS PSYCHOLOGICAL
BARRIERS.
AIMA-PGCM-GM11 70
PLANNING STIFLES INITIATIVE.
PLANNING DELAYS ACTIONS.
PLANNING IS OVERDONE BY PLANNERS.
PLANNING HAS LIMITED PRACTICAL VALUE.
AIMA-PGCM-GM11 71
Organizing
AIMA-PGCM-GM11 72
Organizing
The process of arranging people and other resources to work together to accomplish a goal.
AIMA-PGCM-GM11 73
Organizing and organization structureOrganizing
The process of arranging people and other resources to work together to accomplish a goal.
Organization structure The system of tasks, workflows, reporting
relationships, and communication channels that link together diverse individuals and groups.
AIMA-PGCM-GM11 74
Organizing viewed in relationship with the other management functions.
AIMA-PGCM-GM11 75
FORMAL ORGANIZATION ELEMENTSFORMAL ORGANIZATION ELEMENTS
1. DIVISION OF LABOR
2. DEPARTMENTATION
3. SPAN OF CONTROL.
AIMA-PGCM-GM11 76
DIVISION OF WORKDIVISION OF WORK
The breakdown of a complex task into components so that individuals are responsible for a limited set of activities instead of the task as a whole. Sometimes referred to as division of labor.
AIMA-PGCM-GM11 77
DEPARTMENTALIZATIONDEPARTMENTALIZATION
The grouping into departments
of work activities that are similar
and logically connected.
AIMA-PGCM-GM11 78
Organizational Structure:
The ways in which an organization’s activities are divided, organized and coordinated
The system of tasks, workflows, reporting relationships, and communication channels that link together diverse individuals and groups.
AIMA-PGCM-GM11 79
Formal structures Informal structures
AIMA-PGCM-GM11 80
Major types of organization structures
Functional structures People with similar skills and performing similar
tasks are grouped together into formal work units. Members work in their functional areas of
expertise. Are not limited to businesses. Work well for small organizations producing few
products or services.
AIMA-PGCM-GM11 81
Functional structures in a business, branch bank, and community hospital.
AIMA-PGCM-GM11 82
Potential advantages of functional structures:
Potential disadvantages of functional structures:
AIMA-PGCM-GM11 83
Divisional structures
Group together people who work on the same
product or process, serve similar customers,
and/or are located in the same area or
geographical region.
Common in complex organizations.
Avoid problems associated with functional
structures.
AIMA-PGCM-GM11 84
Divisional structures based on product, geography, customer, and process.
AIMA-PGCM-GM11 85
Potential advantages of divisional structures:
Potential disadvantages of divisional structures:
AIMA-PGCM-GM11 86
Types of divisional structures and how they group
job and activities: Product structures focus on a single product or service.
Geographical structures focus on the same location or
geographical region.
Customer structures focus on the same customers or
clients.
Process structures focus on the same processes.
AIMA-PGCM-GM11 87
MATRIX STRUCTUREMATRIX STRUCTURE
An organizational structure in which each
employee reports to both a functional or
division manager and to a project or group
manager.
AIMA-PGCM-GM11 88
Major types of organization structures
Matrix structure Combines functional and divisional structures to gain
advantages and minimize disadvantages of each. Used in:
Manufacturing Service industries Professional fields Non-profit sector Multi-national corporations
AIMA-PGCM-GM11 89
THE DOW-CORNING MATRIXTHE DOW-CORNING MATRIX
BOARD CHAIRMAN
Bus. No.1
Bus. No.2
Bus. No.3
Bus. No.4
Functional ProfessionalismFuture
MKTGMGR
MFGMGR
TS & DMGR
RESMGR
EVALCONTR
PRESIDENT
Functions
Cost Centers Other Services
Business Board
Profit Centers
AIMA-PGCM-GM11 90
Potential advantages of matrix structures:
Potential disadvantages of matrix
structures:
AIMA-PGCM-GM11 91
Team structures
Extensively use permanent and temporary
teams to solve problems, complete special
projects, and accomplish day-to-day tasks.
Often use cross-functional teams.
AIMA-PGCM-GM11 92
How a team structure uses cross-functional teams for improved lateral relations.
AIMA-PGCM-GM11 93
Potential advantages of team structures:
Potential disadvantages of team structures:
AIMA-PGCM-GM11 94
Network structures
A central core that is linked through networks
of relationships with outside contractors and
suppliers of essential services.
Own only core components and use strategic
alliances or outsourcing to provide other
components.
AIMA-PGCM-GM11 95
A network structure for a Web-based retail business.
AIMA-PGCM-GM11 96
Potential advantages of network
structures
Potential disadvantages of network
structures:
AIMA-PGCM-GM11 97
The boundary less organization eliminates internal and external barriers.
AIMA-PGCM-GM11 98
Boundaryless organizations (cont.)
Encourage creativity, quality, timeliness, flexibility, and
efficiency.
Knowledge sharing is both a goal and essential
component.
Virtual organization.
A special form of boundaryless organization.
Operates in a shifting network of external alliances that
are engaged as needed, using IT and the Internet.
AIMA-PGCM-GM11 99
POWER AND THE POWER AND THE
DISTRIBUTION DISTRIBUTION
OF AUTHORITYOF AUTHORITY
AIMA-PGCM-GM11 100
POWERPOWER::The ability to exert influence; that is, the ability to change the attitudes or behavior of individuals or groups.
REWARD POWERREWARD POWER
COERCIVE POWERCOERCIVE POWER
LEGITIMATE POWERLEGITIMATE POWER
EXPERT POWEREXPERT POWER
REFERENT POWERREFERENT POWER
AIMA-PGCM-GM11 101
AUTHORITY:AUTHORITY:
A form of power, often used more broadly to refer to a people’s
ability to wield power as a result of qualities such as knowledge
or titles such as judge.
AIMA-PGCM-GM11 102
LINE AUTHORITY:LINE AUTHORITY:
The authority of those managers directly responsible, throughout
the organization’s chain of command, for achieving organizational
goals.
STAFF AUTHORITY:STAFF AUTHORITY:
The authority of those groups of individuals who provide line
managers with advice and services.
FUNCTIONAL AUTHORITY:FUNCTIONAL AUTHORITY:
The authority of members of staff departments to control the
activities of other departments as they relate to specific staff
responsibilities.
AIMA-PGCM-GM11 103
DELEGATION:DELEGATION:
The act of assigning formal authority and responsibility for
completion of specific activities to a subordinate.
DELEGATION OF AUTHORITY:DELEGATION OF AUTHORITY:
Efficient functioning of an organization requires that managers
must delegate responsibility and authority to employees.
Delegating maximizes the effectiveness of employees, speeds-up
decision-making, and can lead to better decisions.
AIMA-PGCM-GM11 104
TASKS OF EFFECTIVE DELEGATIONTASKS OF EFFECTIVE DELEGATION
1. Decide which tasks can be delegated.
2. Decide who should get the assignment.
3. Provide sufficient resources for carrying out
the delegated task.
4. Delegate the assignment.
5. Be prepared to run interference, if
necessary
6. Establish a feedback system.
AIMA-PGCM-GM11 105
CENTRALIZATION:CENTRALIZATION:
The amount of authority and autonomy given to a
multinational divisional manager is a reflection of the
relative centralization or decentralization of the
organization.
AIMA-PGCM-GM11 106
BENEFITS OF DECENTRALIZATIONBENEFITS OF DECENTRALIZATION
• PROXIMITY OF THE MARKET.
• LOCAL KNOWLEDGE.
• CUSTOMER ACCEPTANCE AND KNOWLEDGE.
• DEALER’S COMFORT.
AIMA-PGCM-GM11 107
Decentralization with centralization
Centralization is the concentration of authority
for making most decisions at the top levels of
the organization.
Decentralization is the dispersion of authority
to make decisions throughout all levels of the
organization.
AIMA-PGCM-GM11 108
Decentralization with centralization (cont.)
Centralization and decentralization not an “either/or” choice.
Organizing trend: Delegation, empowerment, and horizontal
structures contribute to more decentralization in organizations.
Advances in information technology allow for the retention of centralized control.