Authority-Delegation of authority, Resposbility- Need of delegation of Responsibility, Centralization and decentralization

 

Authority

Authority is the legitimate right of position holder to give orders to other and get those order obeyed. This right regulates the behavior of subordinate to act or not to act in uncertain ways.

 Delegation of authority

It involves giving authority to various organisational position to get things done. It is one of important factors in process of organizing and it is essentials to the existence of formal organization.

 

Features of delegation of authority :-

1. It is authorization to manager to act in certain manners.
2. A manager delegates authority out of the authority vesting in him and cannot delegate authority which he doesn't possess.
3. Authority once delegated can be enhanced, reduced or withdrawn depending on situation and requirements.
4. Delegation of authority is always to the position created through the process of organising. The individual occupying a position may exercise the authority so long as he holds the position.
5. It may be specific or general.

 

Resposbility

It is the obligation of position holder to carryout assigned activities to the best of his ability. Thus it is in the form of duty of position holder.

Responsibilities arises because of superior -subordinate relationship in which superior assigns activities to his subordinates as he is not in a position to carryout all activities assigned to him by his superior. In turn, a subordinate does the same thing, he assign some of activities to his subordinates. For getting things done by his subordinate, he needs authority which is delegated to him by his superior.

Responsibility flows UPWARD in the form of obligation of subordinates to his superior for performance of assigned duties.

Authority and responsibility :-

Principles of authority and responsibility suggests that authority of person  should match his responsibilities. Since authority is the right to carry out assignment and responsibility is obligations to accomplish these assignments. The responsibility for actions cannot be greater than that implied by the authority  delegated nor it should be less.

Need of delegation of Responsibility

1. Detemination Of results expected.
2. Authorization of action
3. Developing appropriate control techniques.
4. Effective management.
5. Employees development.
6. Motivation of employees.
7. Facilitates organisational growth.
8. Basis of management hierarchy.
9. Better coordination.
10. Reduce the work load of managers.
11. Basis of superior -subordinate relationship.

 

Centralization and decentralization

Centralization :-

Concentration of authority at top level of organization.

 

Advantages :-

1.  It provides Opportunity for personal leadership.
2. It facilitate integration of efforts.
3. Quick decisions are possible, hence emergencies can be handled very easily.
4. It makes communication and control easier in the organization.
5. It helps in reducing wastages of efforts by avoiding duplication.
6. There is uniformity in action throughout the organization and thus coordination can be achieved easily.

 

Disadvantage :-

1. It is suitable only for smaller organisation.
2. Encessive certilization of authority becomes demotivating factors for organisational member.
3. It tends to result in autocratic leadership style which is injuries in many cases.
4. There is lack of development of Decision Making skill of organizational members as they are not involved in Decision Making process.

 

Decentralisation :-

Systematic delegation of authority in the organization.

 

Advantages =

1. Reduction of workload of  higher management.
2. Quick Decision Making.
3. Better coordination.
4. Developing initiative among subordinates.
5. Developing managerial talent.
6. Team work.
7. Better control.

 

Disadvantages :-

1. If not followed properly, it tends to create chaos in organization due to lack of control.
2. It tends to increase costs by making most units autonomous for facilities.
3. Good managers are needed unless these managers are available, decentralization cannot be effective.
4. It requires high degree of self motivation and self control.