Ways of Manifesting the Decision-Making Authority at the Level of the Organization

Abstract

The emergence of the New Public Management meant a challenge addressed to the traditional model of public administration, the decentralization of the managerial authority, being one of the characteristics of the new current. The paper follows the possible forms of structuring the decision-making authority, at the level of an organization, through centralization or decentralization, types that can be practiced by organizations, having different dimensions. Briefly, opinions on the significance of the process of concentrating power, in case of centralization, or its dissemination, in the context of decentralization, are shown, the choice of one of the variants, being conditioned by elements that can influence the activity. For each of the two models, there were given evidence of both characteristic features and possible advantages and disadvantages as a result of their practice, which are also relevant to the aspects that differentiate them. Knowing the distinctions that manifest, the advantages and possible risks that each model implies, is of particular interest in the business world, in the context of competition and other factors that require the optimization of decisions.

Keywords

• management
• decision-making authority
• organization
• centralized
• decentralized
• managers