Which of the following is a disadvantage of decentralization?
A) Decisions made by one manager may negatively affect the profitability of the entire company.
B) Helps retain quality managers.
C) Decision making by managers closest to the operations.
D) Managers are able to acquire expertise in their areas of responsibility.

Question

Quizplus · Accepted Answer

Decentralization may lead to inconsistency in decision making since managers make decisions based on their own interests and may not consider the overall impact on the company's profitability.

Which of the Following Is a Disadvantage of Decentralization