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CSEET · Business Laws and Management · Functions of Management

In a management context, which of the following best describes 'delegation of authority'?

Delegation of authority means assigning a task to a subordinate and giving the subordinate the power to make the decisions needed to complete it. The superior still remains accountable for the outcome. It is different from departmentation or transfer of ownership.

  1. AAssigning duties to a subordinate along with the power to take decisions needed to carry them outCorrect
  2. BTransferring ownership of the firm's assets to a subordinate
  3. CDividing the organisation into departments based on products
  4. DGiving a subordinate the right to avoid accountability for the task

Explanation

Delegation means a manager entrusts work to a subordinate and also grants the authority needed to perform it. Option C describes departmentation, not delegation. Ownership transfer and escaping accountability are not part of delegation.

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