search query: @indexterm DECENTRALISED ORGANIZATIONS / total: 65
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| Author: | Carroll, H. O. |
| Title: | Perestroika in the American Corporation. |
| Journal: | Organizational Dynamics
1990 : SPRING, VOL. 18:4, p. 4-21 |
| Index terms: | ORGANIZATIONAL STRUCTURE MANAGEMENT CONTROL DECENTRALISED ORGANIZATIONS USA |
| Language: | eng |
| Abstract: | The drawbacks of a large, centrally managed organization are emphasized. Arguments are provided that modifying the structure to give lower-level managers real authority, freedom to act, and a financial interest in the results of their actions will enhance efficiency by introducing an element of entrepreneurship into their behaviour. It is suggested that management positions be open to competitive bidding and would be held for a fixed term. Part of managers' compensation would be tied to the unit's performance. It is shown how restructuring a firm on "free market" principles will allow upper management to spend more time on strategy and less on administration, reduce the number of management levels, and respond quickly to new challenges. |
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