Centralisation or decentralisation for a company is an integral part of governance. It’s a question of risk, consistency, and speed.
If you centralise everything, you gain control… but you often create bottlenecks.
If you decentralise everything, you gain speed… but you can end up with confusion and inconsistency.
The right model is often hybrid:
✅ Centralise the rules of the game: standards, frameworks, thresholds, KPIs, risk management, etc.
✅ Decentralise execution within the centralised rules: day-to-day decisions, local adaptation
Simple criteria to decide:
High risk → centralise
Need for consistency → centralise
Need for speed & proximity → decentralise
Scarce expertise → centralise
Well-trained, stable local teams → further decentralise
The more you grow → the more you standardise and the more you clarify delegation.