Plain definition
Delegation of authority formally assigns decision rights to roles within defined limits and conditions. It tells staff who may commit the organisation, approve a payment, sign a contract, or make another specified decision. Delegating a decision right can speed routine work, but the person or body that grants the authority retains its broader accountability for the framework and oversight.
It is not the same as asking someone to complete a task. A manager may ask a colleague to collect supplier quotes without giving that colleague authority to bind the company. Titles also vary by organisation, so authority should come from the current approved delegation, not an assumption about seniority.
Illustrative example
Suppose the chief executive has delegated routine purchase-order approval to the operations director within stated conditions. The director receives an urgent equipment-rental proposal that is within the monetary limit but includes an automatic renewal clause beyond the permitted term. The director gathers the proposal and operational evidence, then escalates the decision because the condition is outside the delegation.
The escalation does not mean the director failed to act. It shows that the delegation gave a practical route for routine decisions while preserving review of a commitment with a different risk. The final decision and its basis are recorded for later review.
A delegation should specify scope, limits, conditions, effective date, and whether further delegation is permitted.
Why it matters
It avoids delays from sending every routine decision to the most senior person while keeping unusual commitments visible.
It prevents informal approvals that are difficult to prove when a contract, payment, or dispute is later reviewed.
Practical consequence
List recurring decisions and assign the appropriate role, limit, conditions, evidence, and escalation trigger for each.
Publish one controlled current version, define an emergency route with later ratification where appropriate, and withdraw authority promptly when roles change.