Practicing Success

Target Exam

CUET

Subject

Business Studies

Chapter

Organising

Question:

Match List - I with List - II.

 List - I

 List - II

 (A) Functional structure 

 (I) Each unit is self-contained 

 (B) Informal organisation 

 (II) Flexible in nature 

 (C) Divisional structure 

 (III) Leads to occupational specialisation 

 (D) Formal organisation 

 (IV) Directed by rules 

Choose the correct answer from the options given below:

Options:

(A)-(III), (B)-(IV), (C)-(I), (D)-(II)

(A)-(II), (B)-(IV), (C)-(III), (D)-(II)

(A)-(III), (B)-(II), (C)-(I), (D)-(IV)

(A)-(III), (B)-(IV), (C)-(II), (D)-(I)

Correct Answer:

(A)-(III), (B)-(II), (C)-(I), (D)-(IV)

Explanation:

The correct answer is Option 3- (A)-(III), (B)-(II), (C)-(I), (D)-(IV)

* Functional structure: Grouping of jobs of similar nature under functional and organising these major functions as separate departments creates a functional structure. A functional structure leads to occupational specialisation since emphasis is placed on specific functions. This promotes efficiency in utilisation of manpower as employees perform similar tasks within a department and are able to improve performance.

* 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. It is flexible in nature as groups can be formed or reformed according to people interests.

* Divisional Structure: In a divisional structure, the organisation structure comprises of separate business units or divisions. Divisional Structure is followed in case of Multi Product Company. In a divisional structure, the organisation structure comprises of separate business units or divisions.

* Formal organisation: It 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. It is a means to achieve the objectives specified in the plans, as it lays down rules and procedures essential for their achievement.