PRC-3 · Chapter 3 · Question 67 of 70
To speed up customer service, a bank empowers its local branch managers with the authority to instantly approve loans up to Rs. 2 million without asking the head office. This delegation of power is known as:
Test yourself: pick an answer
Reveal answer & explanation
Correct answer: B) Decentralization
Explanation
Decentralization pushes decision-making authority downward, giving lower-level managers the autonomy to respond quickly to local operational needs.
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