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Home-office leaders need to decide how much autonomy they should give their local teams to expand into international markets.
Depending on several factors, managers can determine which overseas divisions will benefit from a more centralized structure and which will be better off making decisions more independently. Holding too tight control over your overseas divisions can interfere with their ability to operate efficiently. Giving them too much autonomy can lead to quality issues, inconsistencies, or duplicated work.
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Figuring out how much autonomy to provide your international teams. Then create a plan to implement these different levels and types of autonomy around the world.
Executives should analyse the pace of the specific industry in which their businesses operate.
A global company that relies heavily on capabilities like local procurement, production, and sales should consider decentralisation.
Consider how much you trust your local counterparts. The more trust and the stronger your relationship, the better it is to give local teams more autonomy.
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