Decentralisation Definition
Decentralisation is the process by which the power or authority in a system is transferred from a centralised body to a network of smaller bodies. This can happen either through the physical transfer of power, such as in the case of devolution, or through the decentralisation of decision-making within an organisation.
There are many reasons why organisations might choose to decentralise their power. It can allow for quicker and more efficient decision-making, as decisions can be made closer to those who will be affected by them. It can also create a sense of ownership and responsibility among employees, as they have more control over their work environment. And it can make an organisation more responsive to change, as decisions can be made quickly and flexibly in response to new circumstances.
There are also some potential drawbacks to decentralisation. It can lead to a loss of control for those at the top of an organisation, and it can create silos within an organisation as different departments or units compete for resources. But overall, decentralisation can be a very effective way of increasing efficiency, empowerment and responsiveness within an organisation.
