Question

To more quickly respond to customer needs, Hewlett-Packard is changing its organizational structure to give more authority and responsibility to field managers located across the country. These managers spend time with customers and know what the customers need right away. It appears that HP is moving toward a more _________ structure.a) decentralized
b) centralized
c) bureaucratic
d) functional

Answer 1

Answer:

a) Decentralized

Explanation:

Decentralization refers to delegation of authority from the top level managers to the lower level managers.

When a superior assigns his routine tasks to his immediate subordinate giving him ample authority to do such task, it is referred to as Delegation.

When delegation is carried out to the lowest level in the organizational hierarchy, it is termed as Decentralization.

In the given case, the company assigned more authority and responsibility to it's managers located across the country who are in direct interaction with the customers.

This represents a decentralized structure of organizational hierarchy form.