Delegation is the dynamics of management and the essence of sound organisation. The importance of delegation is due the following advantages that it provides:
- It enables the managers to distribute their workload to others. By reducing the workload for routine matters, they can concentrate on more important policy matters.
- Delegation facilitates quick decisions because the authority to make decisions lies near the point of action. Subordinates need not approach the boss every time need for a decision arises.
- Delegation helps to improve the job satisfaction, motivation and morale of subordinates. It helps to satisfy their needs for recognition, responsibility and freedom.
- By clearly defining the authority and responsibility of subordinates, a manager can maintain healthy relationships with them. Delegation increases interaction and understanding among managers and subordinates.
- Delegation binds the formal organisation together. It establishes superior-subordinate relationships and provides a basis for efficient functioning of the organisation.
- Delegation enables a manager to obtain the specialised knowledge and expertise of subordinates.
- Delegation helps to ensure continuity in business because managers at lower levels are enabled to acquire valuable experience in decision making. They get an opportunity to develop their abilities and can fill higher positions in case of need. Thus, delegation is an aid to executive development. It also facilitates the expansion and diversification of business through a team of competent and contented workers. But for delegation firms would remain small.