Wednesday, August 8, 2012

Advantages of Delegation of authority

1.       Higher productivity: - Subordinates or employees production will increase as they are delegated authority. They can work autonomously. They will have freedom to work. Sense of satisfaction increases and automatically productivity goes up.

2.       Employee development: - Delegation of authority increase the skill, knowledge and expertise of employees. Employee participates in decision making and problem solving. They know how to develop alternatives and make decisions. They know how to solve problem and face challenges. Delegation of authority acts as training and development programs for employees.

3.       Use of expertise: - All subordinates in organization will have their own skill and knowledge. They have their own expertise. If they are delegated sufficient authority then they can we their skill knowledge and expertise while performing their assigned task. Organization will be benefitted from the expertise of subordinates.

4.       Speedy decisions: - When employees are delegated authority the decisions making will be quick. Top management will not be overloaded by decisions. Subordinates can make decision in right time.

Improved organizational climate: - Delegation of authority increases employee’s commitment and loyalty towards work and organization. It improves employee’s performance. Organizational climate will be more favorable. Organizational performance as a whole will increase.

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