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What is ‘Delegation of Authority’ ? Explain its importance.

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Delegation of Authority :

Delegation means the granting of authority to subordinates to operate within the prescribed limits. It enables the manager to distribute his workload to others so that he can concentrate on important matters.

Importance of Delegation of Authority

(1) Reduces the work load of managers :

The managers are able to function more efficiently as they get more time to concentrate on important matters.

(2) Employee development:

Delegation empowers the employees by providing them the chance to use their skills,’gain experience and develop themselves for higher positions. 

(3) Motivation of employees :

Responsibility for work builds the self-esteem of an employee and improves his confidence. He feels encouraged and tries to improvers performance.

(4) Facilitation of.growth :

Delegation helps in the expansion of an organisation by providing a ready workforce to take up leading positions in new ventures.

(5) Superior subordinate relations:

Delegation of authority establishes superior subordinate relationships, which are the basis of hierarchy of management.

(6) Better co-ordination:

The elements of delegation – authority, responsibility and accountability help to avoid overlapping of duties and duplication of effort.

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