Why do centralized organizations tend to be more ethical than decentralized ones? Can you think of a situation or example in which a decentralized organization might be more ethical than a centralized one?
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Answer:
Centralization refers to the allocation of authorities to a single unit. This means that a single person needs to manage all the lower levels.
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Centralized and decentralized organisations
Step by step explanation:
- Centralized organization is maintained by a single individual. Decisions of the industry is taken up by only one person. The head of the company has a mission and he keeps objectives for his staff to follow while achieving the goal. This makes the system to focus on the given task.
- Where as, in decentralized the decision is not taken up by one. This creates chaos.
Hence centralized organisations are more ethical than decentralised one.
- Decentralised organisation can appoint various individuals as expertise at different level of the organisation. Therefore a vast management system can be available to handle different situations.
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