Empire building is a business term that refers to a common problem in larger organizations, in which managers attempt to gather more administrative and financial power. Power can only be shared in an organization with key employees in terms of their responsibilities & functions. Such employees are the key players in the decision making process. Hence decisions taken in an organization are a result of collective efforts of the leaders involved. This model is also termed as Political Model.
This model states that organizations are not rational. Decisions made are largely on accidental basis. Hence wrong solutions may be applied to wrong problems in an organization and critical mistakes may occur. Information systems should be designed to support and assist in relevant decision making, instead of making unrelated and wrong decisions.
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