Material Centralization, Decentralization, Deconcentration (Complete)

The principle that we make in this discussion is the type of system that exists in form of state unity. Each of the principles of centralization, decentralization, and deconcentration we will explain the meaning, purpose, advantages and disadvantages.

A. Definition of Centralization

Centralization is the arrangement of the authority of regional government to Central government to take care of his own household matters.

The principle of centralization concentrates all authority to a small number of managers or those in top positions in an organizational structure.

Centralization was widely used in the old government in Indonesia before its existence regional autonomy.

Characteristic features from this principle is very striking, namely the concentration of power in the center, which takes care of it is the central government.

Advantages of the Principle of Centralization

• Improved coordination, coordination is made easier because of unity of command.
• Centering expertise (skills), the expertise of members of the organization can be utilized optimally because the leader can give authority.
• The general policies of the organization are easier to implement on the whole.
• Produce a consistent strategy within the organization.
• Prevents sub-units from becoming independent.
• Easy coordination and control managerial.

Disadvantages of Centralization

• Decreased speed to respond to environmental changes. Organizations rely heavily on the responsiveness of a group of people.
• Human qualities that robotics, without creativity and initiative.
• Give birth to an authoritarian government that does not recognize regional rights.
• National wealth, regional wealth has been exploited for the benefit of a few political elites.
• Turning off the ability to innovate that is not in accordance with the development of an open democratic society.

Example of a Centralized System

• The Indonesian National Army (TNI) secures the NKRI from 3 central points, namely land, air, and sea.
• Bank Indonesia is the center of all monetary and fiscal policy arrangements.

B. Definition of Decentralization

Decentralization is the transfer of authority from the central government to local governments to take care of their own household affairs.

Decentralization is related to regional autonomy. Because regional autonomy is the authority of a region to compile, regulate, and manage its own region without any interference and assistance from the central government.

Characteristics of decentralization

The principles of decentralization have the following characteristics:

• The delegation of authority to carry out certain government functions from the central government to autonomous region.
• The handed function can be itemized or is the remaining function (residual function).
• The recipient of the authority is an autonomous region.

Advantages of the Principle of Decentralization

• Provide opportunities to utilize regional potential optimally.
• Have proper interpersonal skills.
• Reduce costs due to long bureaucratic flows so as to increase efficiency.
• Give birth to humans who have freedom of thought
• Able to solve problems independently, as well as work and live in creative groups who are initiative and empathetic.

Weaknesses of the Principle of Decentralization

• It is difficult for the central government to observe.
• The detailed demarcation of authority between the central, provincial, and local governments is less clear.
• Regional financial capacity is limited.
• Inadequate human resources and regional management capacity.
• The central government is psychologically less prepared to lose its authority.

Example of the Principle of Decentralization

The Education Office is the regulator of how the pattern of education will be carried out.

C. Definition of Deconcentration

Deconcentration is an activity of handing over various affairs from the central government to other agencies.

Political authority remains in the hands of the central government. So Deconcentration can be said to be a combination of centralization and decentralization.

Advantages of the Deconcentration Principle

• Politically, the existence of deconcentration will be able to reduce complaints in the regions against the policies of the central government.
• Economically, deconcentrated officials can assist the government in formulating planning and implementation through an intensive flow of information that is conveyed from the regions to the center.
• Allows direct contact between the government and the people.
• The presence of deconcentration devices in the regions can secure the implementation of central government policies or national policies in the political, economic, and administrative fields
• Can be an effective tool to guarantee unity and unity national.

Weaknesses of the Deconcentration Principle

• Coordination becomes increasingly difficult as the government structure becomes more complex.
• The balance and harmony between various regional interests is more easily disturbed.
• Encouraging regional fanaticism.
• The decision taken is relatively long.
• The costs involved are large.

Example of a Deconcentration System

• The President delegates all authority to the Governor to carry out the ASEAN GAMES which will be held in his region.
• Tax Service at the Tax Office

Conclusion

The principle of centralization is the regulation of authority from local governments to the central government.

The principle of decentralization is the regulation of authority from the central government to local governments.

Deconcentration is the transfer of various functions from the central government to other agencies.