Target Exam

CUET

Subject

Business Studies

Chapter

Organising

Question:

Which of the following is NOT an advantage of formal organization?

Options:

Fixation of Responsibility

Clarity of Roles

Unity of Command

Speed

Correct Answer:

Speed

Explanation:

The correct answer is Option (4) → Speed

A formal organization is based on a well-defined structure, hierarchy, and rules. While it ensures fixation of responsibility, clarity of roles, and unity of command, it often lacks speed because decision-making and communication follow strict procedures and official channels, making the process slower. n the other hand speed is an advantage of informal organisations as prescribed lines of communication are not followed. Thus, the informal organisation leads to faster spread of information as well as quick feedback..