Multinational companies have tended to use which type of systems configuration?

Multinational companies typically favor a decentralized systems configuration. This approach allows them to tailor their operations to meet the diverse needs of various markets across different countries. Each region can modify processes and technologies to align with local regulations, cultural differences, and customer preferences. This flexibility is crucial for responding quickly to changes in the market and for optimizing efficiency based on local conditions.

In a decentralized setup, the decision-making authority is distributed among various regional offices or subsidiaries rather than being concentrated at the headquarters. This promotes empowerment and enhances responsiveness to local market dynamics, leading to better service delivery and adaptation.

While integrated, networked, and duplication configurations have their own merits, they may not provide the same level of local adaptability and responsiveness that a decentralized system does. An integrated system generally seeks a unified approach, which can be less flexible in meeting various regional requirements. A networked system emphasizes connectivity and collaboration, which may still function under a centralized or integrated model. Duplication can lead to inefficiencies as organizations might end up with redundant systems across different regions. Thus, the decentralized configuration aligns better with the strategic needs of multinational companies.