Decentralized Purchasing Is the Practice Where Individual,local Purchasing Departments Throughout

question 40

True/False

Decentralized purchasing is the practice where individual,local purchasing departments throughout a single corporation make their own,individual purchasing decisions to fulfill their individual local needs.

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Definitions:

Bureaucratic Organizational Structure

An organizational model characterized by a hierarchy of authority, formalized rules and procedures, and impersonal relationships.

Flexible Organization Structure

Describes an organizational framework that can easily adapt to changes, allowing for modifications in structures and processes.

Horizontal Differentiation

The division of roles and responsibilities within an organization that focuses on the specialization and expertise of its members, rather than their rank or status.

Vertical Differentiation

The way an organization structures its hierarchy of authority, creating levels of management and rank within the company.