Decentralization helps in the reduction of burden of the top management and their immediate associates in concentrating on the crucial issues of the organization. It reduces the time at disposal in the decision making process of the organization. It facilitated diversification of products, activities and markets by an organization which is not possible in a centralized decision making organization (Höpner, 2007). A decentralized organization empowers its regional units for taking instant decisions according to the changing tastes and preferences of the consumers before the company loses its market share. The aim of a decentralized organization is to foster instant services to the consumers by taking into account the price, quality and delivery of the innovative products. It helps the executives to improve their decision making skills and develop their talents by taking effective and efficient decisions (Lee, 2005). This develops the initiative taking ability in the employees of the organization and makes them capable for taking higher positions in the organization. It induces the spirit of taking responsibility in the employees of the organization and raises the morale of employees as they get involved in the decision making process of the organization. It improves the level of control and supervision in the organization as each employee is responsible for the actions taken by them.