Which of the following is the entrustment of responsibility and authority to another and the creation of accountability for performance?

Delegation

The correct answer is option 1- Delegation.

Delegation is the entrustment of responsibility and authority to another and the creation of accountability for performance

According to Louis Allen, delegation is the entrustment of responsibility and authority to another and the creation of accountability for performance. It has 3 elements i.e. responsibility, authority and accountability.

(i) Authority: Authority refers to the right of an individual to command his subordinates and to take action within the scope of his position.

(ii) Responsibility: Responsibility is the obligation of a subordinate to properly perform the assigned duty. It arises from a superior– subordinate relationship because the subordinate is bound to perform the duty assigned to him by his superior.

(iii) Accountability: Delegation of authority, undoubtedly empowers an employee to act for his superior but the superior would still be accountable for the outcome.