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What Factors Determine How Centralized or Decentralized the Decision-Making in an Organization

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What factors determine how centralized or decentralized the decision-making in an organization should be?


Definitions:

Information Reduction

The process of filtering and simplifying information to make it more understandable or manageable.

Interactional Psychology

A perspective that suggests individual behavior is a result of both personal characteristics and situational factors.

Basic Propositions

Fundamental statements or principles that form the basis for a system of belief or reasoning.

Proactive Personalities

Individuals who actively shape their environments, taking initiative to improve their situation rather than passively adapting to circumstances.

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