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