kaal:claim:3782192-007

Because information at the edge does not travel up a centralized hierarchy, the central authority makes decisions without full information, and a centralized organization is therefore not well designed to respond to any crisis it has not anticipated.

The central authority makes decisions without full information, so a central- ized organization is not well designed to respond to any crisis it hasn't anticipated.

Craig Calcaterra, Wulf A. Kaal, Introduction to Decentralization (2021), Overview & Introduction: The process of organizational development, p. 3
https://ssrn.com/abstract=3782192 · source PDF

Craig Calcaterra, Wulf A. Kaal, Introduction to Decentralization (2021). SSRN: https://ssrn.com/abstract=3782192

• strongly centralized organizations that leave no decision power at the edges
• novel or unanticipated external challenges

mechanismsupport: arguedfailure: Blindness to information at the edgefamily: information-asymmetrydecentralization

• extended_by kaal:claim:3782193-021 Decentralized organizations naturally respond to information at the edge and are energized rather than weakene...

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