1. Develops initiative amongst subordinates: It helps to promote confidence because the subordinates are given freedom to take their own decisions.
2. Quick and better decisions: The burden of managerial decisions does not lie in the hands of few individuals but gets divided amongst various persons which helps them to take better and quick decisions.
3. Relieves the top executives from excess workload: The daily managerial works are assigned to the subordinates which leaves enough time with the superiors which they can utilize in developing new strategies.
4. Managerial Development: It means giving authority to the subordinatesupto the lower level to take decisions regarding their work. In this way the opportunity to take decisions helps in the development of the organization.
5. Better Control: It makes it possible to evaluate performance at each level which results in complete control overall the activities.
