Centralized organization structure refers to the organization structure where the sole responsibility for providing the direction is with the sole owner of the organization (Singla, 2010). This form of organization structure is used by the small organization since owner of the company is responsible to carry out all the business operation. Centralized form of organization structure is effective when the size of organization is small and owner can handle all the work easily. It is extremely effective regarding taking the business decisions. In this form of organization structure owner set the vision and mission depending upon his requirements and give direction to the departments head to follow the same (Pitt, Handford & Koester, 2012). In this form of organization structure there is large scope of completion of goals. In addition of advantages of centralized form of organization structure there are also some disadvantages that should be taken care of off. Centralized form of organization structure has pay price of negative impact of several layer of bureaucracy. This type of organization structure is often equipped multiple management layers that stretch down from the owner to frontline operations employees or workers.
In this case Battricar Ltd follows the centralized form of organization structure. The main power to take action is vested with the owner and he is sole person who has authority to give directions. For taking every decision by the owner requires more time to complete the task that results into the sluggish business operations (Singla, 2010).