Weekend assignments What does the term “centralisation” mean in an organisation? How might a small company benefit from centralisation compared to a large company. Assignments 2: 2. What does the term “decentralisation” mean in an organisation? Explain three advantages and three disadvantages of decentralisation. Submission date :6th July, 2026 Mode of submission: printed Font size 12, font style : Times New Roman , line spacing :1.5
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Assignment 1:
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Centralisation in an organisation refers to the concentration of decision-making authority at the top levels of management. This means that most significant decisions are made by a small group of senior executives, with limited delegation of power to lower-level employees.
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A small company might benefit from centralisation by ensuring consistent decision-making and tight control over operations, which is easier to manage with fewer employees. This allows for a clear, unified vision and rapid implementation of strategies without extensive coordination issues, unlike a large company where centralisation can lead to bureaucracy and slow responsiveness.
Assignment 2:
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Decentralisation in an organisation involves distributing decision-making authority and responsibility to lower levels of management and individual departments. This approach empowers employees and teams further down the hierarchy to make decisions relevant to their specific areas.
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Decentralisation offers several advantages, such as faster decision-making at local levels, increased employee motivation through empowerment, and better responsiveness to specific market conditions. However, it also has disadvantages, including potential lack of coordination between different units, inconsistent decision-making across the organisation, and a possible loss of overall control by top management.
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