Centralised and Decentralised Control

Question 1

What is Centralised Control?

Answer 1

This means decision-making rests with the higher tiers of management in the business.

Question 2

What does Centralised Control mean?

Answer 2

The higher the level someone is in the business, the more influence they have on the business’s direction.

Question 3

What is Decentralised Control?

Answer 3

This means that authority for making decisions is given to lower levels of management in the business.

Question 4

What does Decentralised Control mean?

Answer 4

Senior management can focus on the business’s key decisions and its strategy. This leaves the day-to-day decisions to the team and department managers.