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Home > QFINANCE Dictionary > Definition of decentralization

Definition of

decentralization

General Management

giving decision-making power to larger group the dispersal of decision-making control. Decentralization involves moving power, authority, and decision-making control within an organization from a central headquarters or from high managerial levels to subsidiaries, branches, divisions, or departments. As an organizational concept, decentralization implies delegation of both power and responsibility by top management in order to promote flexibility through faster decision making and improved response times. Decentralization is, therefore, strongly related to the concept of empowerment, though the latter is perhaps more focused on direct working front-line staff.

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Definitions of ’decentralization’ and meaning of ’decentralization’ are from the book publication, QFINANCE – The Ultimate Resource, © 2009 Bloomsbury Information Ltd. Find definitions for ’decentralization’ and other financial terms with our online QFINANCE Financial Dictionary.

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