__________ is a philosophy that implies selective dispersal of authority because it propagates the belief that people are competent, capable and resourceful.
__________ is a philosophy that implies selective dispersal of authority because it propagates the belief that people are competent, capable and resourceful.
Solution
Option 1 -> Span of management refers to the number of subordinates a manager can effectively supervise, not about dispersing authority based on trust in people's capabilities.
Option 2 -> Decentralisation is the systematic delegation of authority to lower levels, based on the belief that employees are competent and capable of making decisions independently.
Option 3 -> Centralisation concentrates decision-making authority at the top management level, which is opposite to selective dispersal of authority.
Option 4 -> Democratic leadership style involves participative decision-making but is a leadership approach rather than an organizational philosophy of authority distribution.
Hence, Option 2: Decentralisation -> Decentralisation is fundamentally built on the philosophy that people at various organizational levels are competent, capable, and resourceful enough to handle decision-making authority. It involves selective and systematic dispersal of authority from top management to middle and lower levels, empowering employees to make decisions within their areas of responsibility -> correct
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