The concept of centralization, even though with the rapidly changing face of the corporate culture, has still maintained its importance for many organizations, who abide by the very approach and consider it a means of their success. Centralization is basically a suitable option for all those organizations and enterprises who have the following characteristics.
The size of the organization is large in terms of personnel. Along with a great team of personnel, the capital investment of the organization is also enormous. Regarding the nature of the environment, the work environment in an organization that employs the approach of centralization is a highly competitive one. In addition to that, a lot of importance is given to brand name, patent rights and the sorts. The product lines are homogenous. Moreover the level of interdependence between various departments is also very high. These are the major characteristics that form the basis of a centralized organization.
The size of the organization is large in terms of personnel. Along with a great team of personnel, the capital investment of the organization is also enormous. Regarding the nature of the environment, the work environment in an organization that employs the approach of centralization is a highly competitive one. In addition to that, a lot of importance is given to brand name, patent rights and the sorts. The product lines are homogenous. Moreover the level of interdependence between various departments is also very high. These are the major characteristics that form the basis of a centralized organization.
