7 Most Important Differences between Centralization and Decentralization as Suggested by Staiger

7 Most Important Differences between Centralization and Decentralization as Suggested by Staiger are listed blow:

1. The responsibility for objective determinatio

2. The responsibility for determination of overall comprehensive business planning and policy

3. The final responsibility for business control, i.e., control will be reserved at the top

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4. The responsibility for quality design and quality standards

5. Final approval of the budget and other financial plan

6. The decision on manner of raising of capital and its application

7. The responsibility for deciding various capital projects like large scale, long-term commitment of the financial project.

However, with the emergence of participative approach, some of the Staiger’s observations do not hold good in today’s competitive “business environment. To take an example, to ensure an enhanced commitment to deliver the desired results, objective determination, nowadays is more participative or a distributed decision making, rather than a centralized decision at the top.