1. refers to the concentration of decision-making power at a single point in the organization. The highest levels of management usually make most of the policy decisions in a centralized organization. The recent trend however, has been to decentralize decision-making and move it to lower levels of management and/or even to staff- level employees. A hospital pharmacy that has several satellite pharmacies located throughout the hospital is often referred to as being "decentralized." However, it is decentralized in a single location  if the decisions being made concerning the satellites still rest at one centralized point in the organization.

Centralization

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