Practicing Success
Read the following passage and answer the question: Over the last couple of years, the operation of Zosh limited increased many fold due to sudden boom in the market. It's sales manager. Mr. Rajesh was over burdened and it looks almost impractical for him to handle all the sales related activities and decisions. He discussed the problem with the top management and selective dispersal of authority to some other people was decided, as many people, who were employed with the company were competent, capable and resourceful. They could assume responsibility for the effective implementation of the decisions. Now Mr. Rajesh would be having more time which he could devote to important policy decisions rather than occupying his time with both policy as well as operational decisions. |
Identify the concept, which Zosh limited has decided to adopt. |
Functional Structure Divisional Structure Centralisation Decentralisation |
Decentralisation |
The correct answer is option (4) : Decentralisation Zosh Limited has decided to adopt the concept of: 4. Decentralization Decentralization involves dispersing decision- making authority to lower levels of the organization. In this case, Zosh Limited decided to selectively disperse authority to capable individuals within the company, allowing them to assume responsibility for the effective implementation of decisions, which is a form of decentralization. This approach reduces the burden on the sales manager, Mr. Rajesh, and allows for more effective management of sales-related activities. |