True or False: Decentralization refers to a supply organization location at corporate headquarters.

Decentralization in the context of supply management refers to the distribution of decision-making authority and operational control away from a central corporate headquarters to various locations or divisions within an organization. This typically means that individual units, such as regional offices or departments, have more autonomy to make decisions relevant to their specific operational needs, rather than being directed from a central authority.

The misconception that decentralization implies a concentration of functions at headquarters stems from the idea of centralization, where decisions and operations are managed largely from a singular, central point. In contrast, a decentralized approach can empower individual managers at various levels to react more swiftly and effectively to local marketplace conditions, customer needs, or specific operational strategies.

Thus, the assertion that decentralization refers to a supply organization located at corporate headquarters is inaccurate. The correct understanding aligns with the definition that decentralization means delegating power and responsibility across different levels or locations of an organization.