The major distinction between authority lies in who makes the important decisions. With centralized authority, important decisions are made by top managers. With decentralized authority, important decisions are made by middle and first-line managers. Decentralization pushes authority and accountability further down the line. It contrasts controlling versus empowering employees.

Which type of authority works best? There is no simple answer, as it depends on the situation. Authority is a continuum, with centralized authority at one end and decentralized authority at the other. Most organizations lie somewhere between the two extremes but can be classified overall. Micromanagement is a management style generally used as a negative term for when a manager closely observes or controls the work of his or her employees. They are also called old-fashioned bossy managers.

Micromanagers need to learn to trust employees and delegate more.