Delegation is considered essential for effective organising because-

• Effective Management- By empowering the employees the managers are able to function more effectively as they time to concentrate on important matters.

• Employee development- As a result of delegation, employees get more opportunities to showcase their talent. It enables them to develop new skills and perform more difficult and complex tasks. It makes them better leaders and decision makers and gain more experiences.

• Motivation of employee- Delegation helps in developing the talents of the employees. When a superior assigns a work to a subordinate, it makes the employee feel more charged and enthusiastic as the superior assigns the tasks as well as his trust in him. This makes the employee gain self confidence and try even harder to perfectly complete it. This shows the relationship between a superior and a subordinate.

• Facilitation of growth- Delegation helps in expansion of the organisation by providing a ready workforce to take up leading positions in new ventures. Trained and experienced employees are able to play significant roles in launch of new products by replicating the work ethos they have absorbed from the existing units in the newly set up branches.

• Basis of management hierarchy- Delegation of authority establishes superior subordinate relationships which are the basis of hierarchy of management. It is the degree and flow of authority which determines who has to report to whom.

• Better Coordination- The elements of delegation: Authority, Responsibility, Accountability help to define the powers, duties and answerability related to various positions of the organisation.