In a decentralized organization decisions are made by the managers most familiar with the problems and opportunities. there are few deviations from the standardized methods of doing things. local division managers have less control over their business segments. front-line employees are not trained to respond to changes In the business environment. In a centralized organization local division managers do not need higher approval for most business decisions. decisions can be made quickly and efficiently. company-wide standard operating procedures are common. local division managers have an opportunity to gain decision-making experience