I am convinced that in todays Internet driven world, it would be a folly for an entrepreneur to engage in authoritarian style of management. No performance oriented employee will have the motivation to work under such a management. Such a management style only attracts people who do not effectively contribute nor are innovative. Gone are those days of Fredrick Taylor where an individual is expected to work like a zombie. Employee empowerment gives them pride in their work. This translates into better quality output.

By the same token, a centralized decision making operation cannot empower the employee. Of course, the management needs to identify the limits of employee decision making capability. It also depends on the type of organization. For a startup, the entrepreneur ends up making all the decisions. At the other end of the spectrum, a diversified conglomerate should enable unit managers to make most operational decisions.

Going back to your question, I would say - yes. In todays business environment only decentralized and non-authoritarian organizations can implement strategy successfully. The operative word is “successfully”. You need employee buy-in for successful implementation and that only happens if they are motivated. You are not going to have a lot of motivated employees with an authoritarian management style.

Thank you!