delegation and decentralization

Basis
Delegation
Decentralization
Meaning
Managers delegate some of their function and authority to their subordinates.
Right to take decisions is shared by top management and other level of management.
Scope
Scope of delegation is limited as superior delegates the powers to the subordinates on individual bases.
Scope is wide as the decision making is shared by the subordinates also.
Responsibility
Responsibility remains of the managers and cannot be delegated
Responsibility is also delegated to subordinates.
Freedom of Work
Freedom is not given to the subordinates as they have to work as per the instructions of their superiors.
Freedom to work can be maintained by subordinates as they are free to take decision and to implement it.
Nature
It is a routine function
It is an important decision of an enterprise.
Need on purpose
Delegation is important in all concerns whether big or small. No enterprises can work without delegation.
Decentralization becomes more important in large concerns and it depends upon the decision made by the enterprise, it is not compulsory.
Grant of Authority
The authority is granted by one individual to another.
It is a systematic act which takes place at all levels and at all functions in a concern.
Grant of Responsibility
Responsibility cannot be delegated
Authority with responsibility is delegated to subordinates.
Degree
Degree of delegation varies from concern to concern and department to department.
Decentralization is total by nature. It spreads throughout the organization i.e. at all levels and all functions
Process
Delegation is a process which explains superior subordinates relationship
It is an outcome which explains relationship between top management and all other departments.
Essentiality
Delegation is essential of all kinds of concerns
Decentralization is a decisions function by nature.
Significance
Delegation is essential for creating the organization
Decentralization is an optional policy at the discretion of top management.
Withdrawal
Delegated authority can be taken back.
It is considered as a general policy of top management and is applicable to all departments.
Freedom of Action
Very little freedom to the subordinates
Considerable freedom


Steps In Delegation Process

Effective delegation always begins with an agreement between two individuals where the assignee of the task agrees to take on the responsibility.
Here are seven golden rules to follow to achieve an effective delegation.
1.Identify the desired result: You must plan a desired output. Be sure what you want to get done through others. You have to be clear and explain your desired outcome to the delegate.
2.Decide the guidelines and standards: Secondly, you have to set some standards and plan the order of work. It should be properly communicated to your delegate. Answer all of his/her queries and doubts and make sure he/she understands them thoroughly.
3.Define the resources: It is your duty to educate your delegate about the available resources and budget, within which he has to function.
4.Assure rewards and consequences: The fourth rule is to follow the logical aspect of an individual's mind. People will take more interest in the job only if they are sure that their work will be rewarded and appreciated appropriately. Hence, inform your subordinates that good work will carry adequate rewards and vice versa.
5.Let them practice: The fifth step involves that you provide your delegates appropriate time to practice. Initially they may commit mistakes. However, you can guide them by providing feedback. Remember that only practice can make a man perfect.
6.Entrust the total responsibility: As a sixth rule you must now handover the full responsibility to the delegate once he/she is ready to take over the job. Give him/her total freedom to plan his course of action and let them to set their expertise into motion.
7.Monitor their progress: The seventh and final rule is that you have to monitor the work done by the delegate. You have to fix periodical reporting schedules and discuss the progress of work. Thus, you can make sure that your delegates are proceeding in the right direction and are capable of rectifying errors if any.
Delegation should always be for the all-round development of everyone associated with the company. A successful supervisor should therefore know how to delegate efficiently. Using these suggested tips is guaranteed to lead you into the direction of successful delegation.



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