The principle of delegation of authority is accepted universally. This principle has been practiced from very ancient times and in almost every field. The delegation of authority is not only necessary for the business organizations but delegation is also required to run a government. In case of a government, powers are delegated by a legislative body to the Council of ministers and the Council in turn, delegates the powers to its officers and so on. In this way, we see that delegation of authority is required to run even a family because in this case also, the head of the family can get the help from other members of the family to perform different tasks. In case of an industrial organization, the delegation of authority may provide certain benefits in the following ways:-
By improving functioning: If there is no delegation of authority, some persons of the organization may have to do most of the tasks while the other officers may not have adequate work to do. In this way, delegation helps by rationalizing the working of the organization. It allows the work to be divided equally between different officers so that the work can be completed efficiently. Similarly it also ensures that no person is burdened unduly and similarly no work remains pending.