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An Indian information technology company, presently employing 10,000 people, desires to expand its business in manufacturing, trading, etc. It wants to become a global company. To achieve its objectives, it started shifting from a centralised to a decentralised management system. Identify the management function being performed by the company to become a decentralised company.

  • a)
    Planning

  • b)
    Organising

  • c)
    Staffing

  • d)
    Directing

Correct answer is option 'B'. Can you explain this answer?
Most Upvoted Answer
An Indian information technology company, presently employing 10,000 p...
Management Function of Decentralisation

The management function being performed by the Indian information technology company to become a decentralised company is organising. Organising is the process of arranging resources to achieve objectives efficiently and effectively. It involves identifying the activities to be performed, grouping them into manageable units, assigning duties and responsibilities, and delegating authority to carry out tasks.

Shifting from Centralised to Decentralised Management System

The company desires to expand its business in manufacturing, trading, etc. and become a global company. To achieve this objective, it started shifting from a centralised to a decentralised management system. A centralised management system is characterised by a hierarchical structure, where decisions are made at the top levels of the organisation and communicated down to lower levels. In contrast, a decentralised management system empowers employees at lower levels to make decisions and take responsibility.

Advantages of Decentralised Management System

There are several advantages of a decentralised management system, including:

1. Quick decision-making: Decentralisation enables faster decision-making as employees at lower levels are empowered to make decisions without waiting for approval from top management.

2. Empowerment: Decentralisation empowers employees at lower levels to take responsibility for their work and contribute to the organisation's success.

3. Flexibility: Decentralisation allows the organisation to be more flexible in responding to changes in the market or customer needs.

4. Innovation: Decentralisation encourages innovation as employees are more involved in decision-making and can contribute new ideas to the organisation.

Conclusion

In conclusion, the Indian information technology company is performing the organising function of management by shifting from a centralised to a decentralised management system. Decentralisation empowers employees at lower levels to make decisions, take responsibility, and contribute to the organisation's success. It also enables faster decision-making, flexibility, and innovation.
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An Indian information technology company, presently employing 10,000 p...
The management function being performed by the company to become a decentralized company.  Organising
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An Indian information technology company, presently employing 10,000 people, desires to expand its business in manufacturing, trading, etc. It wants to become a global company. To achieve its objectives, it started shifting from a centralised to a decentralised management system. Identify the management function being performed by the company to become a decentralised company.a)Planningb)Organisingc)Staffingd)DirectingCorrect answer is option 'B'. Can you explain this answer?
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