Earlier, Toys limited was dealing in different types of toys. Due to tough competition, it now plans to deal in children garments too in addition to toys.

Identify the present structure of organisation of Toys Limited.

Functional

The correct answer is option (3)- Functional.

The present structure of the organization of Toys Limited is most likely functional.

A Functional Structure groups jobs based on specialized functions (e.g., all marketing tasks handled by the marketing department). Since the company dealt only in toys, it didn’t need separate divisions based on products.The fact that they are now planning to deal in children's garments in addition to toys suggests a potential future shift towards a divisional structure (with a toy division and a garment division). 

However, the question asks for the present structure before this expansion.Therefore, the most logical present structure, focused on the type of business activity (toys), with likely specialized departments handling different aspects of the toy business, is a Functional structure.

Why the answer is NOT Divisional: A divisional structure groups activities based on product lines, geographical areas, or customer segments. If Toys Limited were organized by different types of toys as separate divisions, this would be the case. However, the statement "dealing in different types of toys" doesn't explicitly say they were organized into separate divisions for each type. It's more likely that different departments handled all types of toys.

OTHER OPTIONS

• Formal organisation refers to the organisation structure which is designed by the management to accomplish a particular task. It specifies clearly the boundaries of authority and responsibility and  there is a systematic coordination among the various activities to achieve organisational goals. The structure in a formal organisation can be functional or divisional.

• Informal 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.

Note: There is ambiguity in the question. Further, the answer as per NTA is Divisional Structure (Option 4) which is apparently not correct for the given question.