Thursday, March 31, 2011

Decentralized Organization Structures Empower And Energize

Decentralized Organization Structures Empower And Energize
Decentralization is the process of dispersing decision making governance closer to the people or citizen. It includes the dispersal of administration or governance in sectors like engineering, management, science, political science,economy, sociology etc.Decentralization is also possible in the dispersal of population and employment.The more decentralized a system is, the more it relies on lateral relationships and the less it can rely on command. In most branches of engineering and economic, decentralization is narrowly defined as the study of markets and interfaces between parts of a system.Decentralization also called departmentalization is the policy of delegating decision making authority down to the lower level in an organization.A decentralized organization shows fewer tiers in the organizational structure, wider span of control and a bottom to top flow of decision making and flow of ideas.

High performing organizations that are thriving in today's chaotic world are adapting and pioneering a wide variety of highly decentralized structures. They are giving up control of people so that people can control their own and the organization's destiny.As my experience management career i have given people high degree of autonomy. I have run even small organizations to the point of such inefficient decentralization that people are running their own show.There are some reasons, they are as follows.
  • Every can see and manage their work as part of a whole, interconnected system, not a bunch part.
  • People are trusted and treated as responsible,caring and committed adults which is they cab behave.
  • A collection of small self contained teams or business units are many times more flexible and responsive at meeting threats and capitalizing on opportunities.
  • Ownership, commitment, energy and passion levels are much higher.
  • Everyone focuses on meeting customers.
  • Bureaucratic committees become entrepreneurial teams.
  • People have more control over their work.etc.
The fact is that when change falls it can almost always be treated to dysfunctional management.So before start the company institute, a company wide improvement program.Effective teams step back periodically to look in the mirror and review their progress. They look at what's working and what isn't.They adjust course accordingly.Strong team leader move beyond building a team of champions to building a championship team.


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