All of the following are advantages of decentralization except
A) Managers make better decisions when closer to the operations of the company.
B) Expertise in all areas of the business is difficult; decentralization makes it better to delegate certain responsibilities.
C) Each decentralized operation purchases its own assets and pays for operating costs.
D) Decentralized managers can respond quickly to customer needs.

Question

Quizplus · Accepted Answer

Decentralization may result in duplication of assets and higher operating costs for the company due to each decentralized operation purchasing its own assets and paying for its operating costs. Therefore, this is not an advantage of decentralization.

All of the Following Are Advantages of Decentralization Except