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The Role of Decentralised Managers in Decision-Making in a Large Industrial Company

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  • Maria C Tavares

    (GOVCOPP—Research Unit on Governance, Competitiveness and Public Policies, Higher Institute for Accountancy and Administration of University of Aveiro (ISCA-UA), University of Aveiro, 3810-193 Aveiro, Portugal)

  • José Vale

    (CEOS.PP—Centre for Organisational and Social Studies of Polytechnic of Porto, Porto Accounting and Business School, Polytechnic Institute of Porto, 4465-004 Matosinhos, Portugal)

  • Andreia Costa

    (Higher Institute for Accountancy and Administration of University of Aveiro (ISCA-UA), University of Aveiro, 3810-193 Aveiro, Portugal)

Abstract

The importance of decentralised managers in the organisational decision-making process has been the subject of studies advocating different concepts. This study aims to comprehend the role of decentralised managers in the decision-making process of a large industrial company. To this end, the case study method was adopted. Semi-structured interviews were conducted with the organisation’s top manager and decentralised managers. Based on the results of this investigation, it was possible to see that the organisation’s decentralised managers have a high degree of influence on the decision-making process and are responsible for adapting strategies and decisions according to the specific needs of their areas of activity. Therefore, this study significantly contributes to the theoretical and practical understanding of organisational decision-making processes. Furthermore, it provides a valuable foundation for further research into the decision-making processes of decentralised managers, thereby addressing a gap in the existing literature on their influence on organisational decision-making.

Suggested Citation

  • Maria C Tavares & José Vale & Andreia Costa, 2024. "The Role of Decentralised Managers in Decision-Making in a Large Industrial Company," Administrative Sciences, MDPI, vol. 14(9), pages 1-19, September.
    • Handle: RePEc:gam:jadmsc:v:14:y:2024:i:9:p:202-:d:1469288
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    References listed on IDEAS

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    1. Jacob Lohmer & Franz Kossmann & Rainer Lasch, 2022. "Manufacturing strategy in multi-plant networks – a multi-case study on decision-making authority, network capabilities and competitive advantages," International Journal of Production Research, Taylor & Francis Journals, vol. 60(16), pages 5108-5129, August.
    2. Bienmali Kombate & Muganga Emmanuel & Kouadio Konan Richard, 2021. "The Implication of the Strategic Implementation Style and Middle Management Effort in Public Organization Strategic Management Implementation and Its Organizational Performance," Journal of Public Administration and Governance, Macrothink Institute, vol. 11(1), pages 125-125, December.
    3. Raaj K. Sah & Joseph E. Stiglitz, 1991. "The Quality of Managers in Centralized Versus Decentralized Organizations," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 106(1), pages 289-295.
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