Practicing Success

Target Exam

CUET

Subject

Business Studies

Chapter

Organising

Question:

Informal organisation emerges from within the............................... when people interact beyond their officially defined roles.

Options:

Formal organisation

Divisional structure

Functional structure

Circular Organisation

Correct Answer:

Formal organisation

Explanation:

The correct answer is option 1- Formal organisation.

Interaction among people at work gives rise to a ‘network of social relationships among employees’ called the informal organisation. Informal organisation emerges from within the formal organisation when people interact beyond their officially defined roles. When people have frequent contacts they cannot be forced into a rigid formal structure. Rather, based on their interaction and friendship they tend to form groups which show conformity in terms of interest.