Differentiate between centralized and decentralized authority in organizations

What will be an ideal response?

The two modes in which decision-making authority operates in organizations are centralized authority and decentralized authority. Under centralized authority, top-level decision makers make most of the important decisions. Decentralized authority shares the decisions affecting the entire organization with mid-level and lower-level managers. Decentralized authority means that individual work groups (or individuals) have the freedom to act decisively and spontaneously without obtaining permission from those in higher positions of authority.