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Centralized vs. Decentralized Organizational Structure

 
  Sherry Rahbar, Partner, CFO Edge, LLC  
   
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  Article Summary  
Weighing the relative merits of a centralized vs. decentralized organizational structure is important as the outcome forms the basic business framework and how decisions will be made.

Businesses often transition from a centralized organization structure in early stages - when the executive team makes key decisions - to a decentralized organization structure later when more team members are involved in decision making.

Knowing characteristics, advantages, and drawbacks of centralized vs. decentralized organizational structures informs the right framework for each business.

Multiple factors - from the nature of the management team and employee base to industry best practices - come into play when determining company structure.

Los Angeles and Southern California executives can benefit from talking with a CFO services professional who is well versed in assessing complex factors and recommending a best-fit organizational structure.

  Open as PDF Open the entire article as a downloadable PDF (No form completion is requested.)  
     
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