What are the risks to you as a manager when delegating authority?what are the benefits gained from such actions?

Delegating authority is self reward system and it boost the performance and overall profit of the organization.    

Not counting error, risk is limited to the the sub-standard delivery of result as compared to what you can do if you personally perform the task.

Rewards can be as follows;

1. Less work on your hands, you can now move to do more important tasks

2. You can identify strong right hand men

3. You have empowered people

4. You are developing your own talent pool

Delegating authorities by a manager should be limited in time and defined in a complete detailed list, Or else there will be total chaos and confusion. Moreover, delegation should take place step by step. Manager must carry a small test to know the result of the first delegation on certain power. Moreover, there must continuous communication between the manager and the delegated person.

Benefits can be as follows:

Preparing employees to hold more responsibilities and feel belonging to the company.

Allowing the manager to handle much more delicate issues and subjects which in turn helps him to improve himself and be promoted.

Employees will be learning not just how to receive instructions instead they will be taking decisions, putting plans and taking risks.

Delegating shows that you trust people, and if you really know your co-workers you will know who need more responsibility and who you can trust to get the job done.  This will result in more people that can do the job even if you are not there to do it.

Always think P&L for the present business and work for future growth of the organization like Strategy, new business

Delegating is popular and useful, but it has its disadvantages as well. If delegation is not followed up with review the work delegated may not be done correctly or up to par. Another disadvantage of delegation is employees may focus more on their work than the company as a whole.

Managers should delegate a certain amount of work to their employees to improve their chances of being efficient and productive. Managers should also consider improving employee moral when delegating work. If some work is delegated to employees it gives them a chance to use their ideas and skills to succeed, and this has a powerful impact on employee moral, but delegating too much work can have a negative impact where employees feel taken advantage of and run down.