Definition of Centralization
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Questions and Answers

What is the primary characteristic of a centralized system?

  • Decentralization of power and decision-making
  • Lack of standardization in policies and procedures
  • Concentration of control, management, or resources in a central location or authority (correct)
  • Uniform distribution of resources and decision-making

    • What is an example of economic centralization?

  • Distribution of power among multiple stakeholders
  • Decentralized decision-making in a local government
  • Concentration of economic decision-making and resource allocation in a central authority (correct)
  • Autonomy in resource allocation to individual units

    • What is a characteristic of administrative centralization?

  • Lack of standardization in administrative procedures
  • Decentralization of administrative power
  • Distribution of power among multiple stakeholders
  • Concentration of administrative power and decision-making in a central authority (correct)

    • What is an advantage of centralization?

    <p>Efficient decision-making</p> Signup and view all the answers

    What is a disadvantage of centralization?

    <p>Lack of autonomy in decision-making</p> Signup and view all the answers

    What is a result of centralization?

    <p>Uniformity and standardization in policies and procedures</p> Signup and view all the answers

    What is concentrated in a central location in a centralized system?

    <p>Decision-making power and resources</p> Signup and view all the answers

    What is a risk of centralization?

    <p>Risk of abuse of power</p> Signup and view all the answers

    Study Notes

    Definition of Centralization

    • Centralization is a system or process in which authority, power, or decision-making is concentrated in a single entity or group.
    • It involves the concentration of control, management, or resources in a central location or authority.

    Types of Centralization

    • Political Centralization: Concentration of political power in a central government or authority.
    • Economic Centralization: Concentration of economic decision-making and resource allocation in a central authority.
    • Administrative Centralization: Concentration of administrative power and decision-making in a central authority.

    Characteristics of Centralization

    • Single Point of Decision-Making: Decision-making authority is concentrated in a single entity or group.
    • Concentration of Resources: Resources, such as finance, personnel, and equipment, are concentrated in a central location.
    • Uniformity and Standardization: Centralization often leads to uniformity and standardization in policies, procedures, and operations.

    Advantages of Centralization

    • Efficient Decision-Making: Centralization enables quick and efficient decision-making.
    • Consistency and Standardization: Centralization promotes consistency and standardization in policies and procedures.
    • Better Resource Allocation: Centralization enables better allocation of resources.

    Disadvantages of Centralization

    • Lack of Autonomy: Decentralized units or individuals may lack autonomy and decision-making power.
    • Inefficient Communication: Communication can be slow and inefficient due to the need to communicate with the central authority.
    • Risk of Abuse of Power: Centralization can lead to an abuse of power by the central authority.

    Definition of Centralization

    • A system or process where authority, power, or decision-making is concentrated in a single entity or group.
    • Involves the concentration of control, management, or resources in a central location or authority.

    Types of Centralization

    • Political Centralization: Concentration of political power in a central government or authority.
    • Economic Centralization: Concentration of economic decision-making and resource allocation in a central authority.
    • Administrative Centralization: Concentration of administrative power and decision-making in a central authority.

    Characteristics of Centralization

    • Single Point of Decision-Making: Decision-making authority is concentrated in a single entity or group.
    • Concentration of Resources: Resources, such as finance, personnel, and equipment, are concentrated in a central location.
    • Uniformity and Standardization: Centralization often leads to uniformity and standardization in policies, procedures, and operations.

    Advantages of Centralization

    • Efficient Decision-Making: Centralization enables quick and efficient decision-making.
    • Consistency and Standardization: Centralization promotes consistency and standardization in policies and procedures.
    • Better Resource Allocation: Centralization enables better allocation of resources.

    Disadvantages of Centralization

    • Lack of Autonomy: Decentralized units or individuals may lack autonomy and decision-making power.
    • Inefficient Communication: Communication can be slow and inefficient due to the need to communicate with the central authority.
    • Risk of Abuse of Power: Centralization can lead to an abuse of power by the central authority.

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    Description

    Learn about centralization, its types, and characteristics, including political and economic centralization, authority, and decision-making.

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