Question
__ is the degree to which decision making takes place at upper levels of the organization. A) Decentralization B) Formalization C) Departmentalization D) Centralization
Answer
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(191 Votes)
Dexter
Advanced · Tutor for 1 years
Answer
D) Centralization
Explanation
The question asks to identify the term that describes the extent to which decision-making occurs at the upper levels of an organization. The options given are terms related to organizational structure and management styles. - A) Decentralization: This refers to the degree to which decision-making is distributed or delegated away from a central authority. In a decentralized organization, decision-making authority is distributed among various levels and individuals.- B) Formalization: This involves the extent to which policies, procedures, job descriptions, and rules are written and explicitly articulated. This term does not directly relate to the level at which decisions are made.- C) Departmentalization: This refers to the manner in which an organization is divided into distinct departments or units. While this affects the structure of an organization, it does not directly relate to the level at which decisions are made.- D) Centralization: Centralization refers to the degree to which decision-making is concentrated at upper levels of the organization. In a centralized organization, a small group of top managers or even a single individual retains most of the decision-making authority.Given these definitions, the term that best describes the degree to which decision making takes place at upper levels of the organization is "Centralization."