Sunday, July 3, 2016

Centralization / decentralization movement and Brexit

While I was working on developing information systems for large companies several years ago, I was aware of a recurrent reorganization movement that was frequent in these enterprises. Sometimes, the organization was decentralized, meaning that branches or foreign or product units were largely independent from Headquarters; but then a re-organization occurred, with headquarters integrating the distributed units and dictating policies that everybody must follow. A few years later the units, possibly residing in several parts of the country, would complain that these policies were affecting sales, for instance, because Headquarters was not aware or sufficiently sensitive of local needs. Then a new reorganization occurred returning to the distributed organization, which a few years later was again reorganized to save supplier costs for instance, and so on...