Traffic Services Company has recently expanded by acquiring two smaller companies in the transportation industry. Prior to these acquisitions, Traffic Services used a centralized style of organization because it was small enough that the top management team was heavily involved in the day-to-day activities of the firm. Ms. Causeway, the CEO, feels that this style is no longer suitable to the larger, more diverse organization.
She has hired a consultant to help her and her management team create a new structure which, when developed on paper, will be described to the affected employees and their inputs will be sought. Since no one in the company knows much about management styles, Ms. Causeway felt this would be an efficient way to get the ball rolling but realized the consultants would not have the specialized knowledge about her company plus the two acquisitions.
One of the first things she feels she will need to do is explain the benefits of decentralization that will accrue to both the company and the affected employees. She asks you, as the consultant, to provide her with a general list of advantages of decentralization that she will tailor to her company before presenting it.
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