Comments on: Centralization vs. Decentralization

By: Jonathan

Jonathan — Sat, 18 Jul 2009 19:55:52 +0000

I think most companies should operate under a decentralized organization. Employees and low level supervisors should have the oppurtunity to voice his or her opinions. The opinions should be reviewed by upper management, and the low end employees should have a good explanation behind his or her opinion. Too many businesses are hurting now because the upper management did not attend college or only have a bachelor’s degree. Not to disrespect them, but there are employees that have the experience and knowledge to have changed some things.

Employees would be happier and more motivated to carry out the vision and mission of the company if he or she feels that they are really a part of the company in that way. You can’t tell someone that they are an excellent employee or the team lead but will not give them the opportunity to control that. In order to properly control a low end position there needs to be assistance from the chain of command. Some companies do need centralized structures due to risky markets and uneducated employees on a global level.

It is up to the top management to decide this, but even if centralized is chosen managers should not forget to what goes down doesn’t come up always. What goes up must come down, and the organization would be more intact as a whole and aware of unsensitive inforamtion and innovation.

By: Gade

Gade — Thu, 16 Jul 2009 13:41:24 +0000

Your artical is useful to me very much because i have an exam tomorrow and i can’t figure it out about the different between centralized and decentralized.

Thank you again

By: Adam Pieniazek

Adam Pieniazek — Wed, 24 Jun 2009 18:13:45 +0000

Sure it’s possible fahim. A decentralized organization aims to keep interference low and open up communication channels so members of the organization can talk to each other directly when necessary. Whether it’s feasible for huge organization to open up the communication channel to their top management to all members within the organization is another matter (imagine a CEO getting e-mails from the 20,000+ workers at his/her company). It’s possible and ideal to have open communication, and with our technology today is feasible, as long as everyone uses discretion (e.g. doesn’t copy the CEO on every single e-mail, etc.).

By: fahim khan

fahim khan — Fri, 19 Jun 2009 18:56:37 +0000

salam
sir i hav one qustion that in decentralized organiztion is it possble that the low managment or workers can directly contect with top management with out interferance of middle level management?
plese reaply me

By: eslam

eslam — Fri, 01 May 2009 17:47:08 +0000

whats mean by centralization i mean its real meaning or how we use it in organizations

By: Adam

Adam — Sat, 04 Apr 2009 19:50:12 +0000

I don’t appreciate the disrespect to Al Davis.

By: Adam Pieniazek

Adam Pieniazek — Tue, 10 Mar 2009 13:33:07 +0000

Thanks Ken.

The recession might be caused by decentralization, but likewise some of it is due to the government exuding too much control, for instance forcing companies to give mortgages to unqualified buyers in an attempt to boost home ownership.

Yes, managers it seems take a particularly optimistic view. Part of the job description almost requires it, because if your boss is gloomy about business prospects you’ll likely begin looking for other work ahead of time and thus your performance and your company’s performance will suffer. I don’t blame CEOs for being cheerleaders for their companies and saying everything will be OK, however the media, government, and investors should have realized this and not blindly accepted a CEO’s words as truth.

Thanks for the thoughtful comment Ken.

By: Ken

Ken — Tue, 10 Mar 2009 03:34:45 +0000

Hi Adam,

Very nice article about the relationship between centralization and decentralization!!

Both centralization and decentralization are important. The severe economic recession may be caused by the decentralization because the government does not have a centralized control of the companies. In my opinion, it is also important to introduce the predict mechanism because the situation may be drastically worse when the managers realize the real situation.

Generally, it is hard to solve all problems because it is up to human beings who act and decide.

By: nadea andrea

nadea andrea — Thu, 26 Feb 2009 13:46:08 +0000

hi Adam and member of the floor..
thnx so much by exchange the idea about decentralization and centralization…it really help me a lot in order to complete my assignmnet. althought i study about government and rest of you talk in business, but the concept still same and i still able to apply and adopt in my task.

thnx again.

By: Paolo

Paolo — Thu, 12 Feb 2009 16:13:04 +0000

Dear Adam,

thanks a lot for all the articles and the extensive replies. It is a great services you offer to however is interested in this subject.

i really admire people like you that share their experience freely.

Regards,

Paolo