Strong leadership as managers are more experienced and skilled (centralised) - Training may be required to train staff to make decisions (costly) or poor decisions are made due to lack of experience (decentralised), Fewer decision makers lead to better communication (centralised) - Corporate image will be lost if each department/branch is operating differently (decentralised), More control over finance and budgeting (centralised - The objectives of the organisation may not be the focal point of decision making as the managers own store/branch may take priority (decentralised), Less responsibility is given to subordinates which can result in demotivated staff (centralised) - Empowers and motivates workers (decisions lie with subordinates/more people) (decentralised), Decisions may not reflect local markets (centralised) - Subordinates may have better ‘local’ knowledge thus may take better decisions if geography is at play (decentralised), Reduces stress and burdens on senior management (centralised) - High workload for senior management (centralised), Greater job satisfaction for subordinates with increased responsibility (decentralised) - Unmotivated workers due to little responsibility and flexibility (centralised), Quicker, more responsive decision making (decentralised) - Decisions can take a while to get approved (centralised),
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Higher; Structures
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