Outline the advantages and disadvantages of centralisation and decentralisation of the IS function

CPA-Quantitative-Analysis-Section-4 BLOCK RELEASE

Centralisation
Advantages of centralisation
 Better security and control
 Better management of information
 Economies of scale e.g. in acquisitions- discounts
 More expert staff
 No redundancy
Disadvantages
 Delayed responses
 Single point of failure
 Over reliance on the head office.

Decentralisation
Advantages of decentralisation
Tailored to local needs
 Better local control
 Restricted breakdowns Disadvantages
 Uncoordinated information systems
 Lack of free information flows
 Redundancies

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