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Basis for
differenc Centraliza Decentral
tion ization
e

The
retention The
of powers dissemina
tion of
and
authority authority,
responsib
with
respect to ility and
accounta
planning bility to
Meaning and
decisions, the
with the various
managem
top
managem ent levels,
is known
ent, is
known as as
Centraliza Decentral
ization.
tion.

Systemati
c and Systemati
consisten c
Involves t dispersal
reservatio of
n of authority.
authority.

Communi Open and

cation Vertical Free
Flow

Compara
Decision Slow tively
Making faster

Proper Sharing
Advantag on and of
coordinati burden
and
e Leadershi responsib
p ility
 Multiple
Power of the top persons
Lies with
decision managem have the
power of
making ent. decision
making.

Considera
Inadequa ble
te control control
Reasons over the over the
organizati organizati
on on

Small Large
Best sized sized
suited for organizati organizati
on on

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