Which of the following specifies relationships between people, work and resources?
Answer & explanation
Correct answer: option 2
The correct answer is Option (2) → Organisation structure
Option (1) Staffing — Incorrect. Staffing (chapter Staffing) is filling the positions in the structure with the right people and keeping them filled. It comes after the structure is set.
Option (2) Organisation structure — Correct. Organisation structure is the framework within which managerial and operating tasks are done. It specifies the relationships between people, work and resources and allows coordination among them.
Option (3) Span of management — Incorrect. Span of management is the number of subordinates a superior can manage well. It decides the levels of management.
Option (4) Informal organisation — Incorrect. Informal organisation is a network of social relations that grows from personal contact among employees. It has no fixed structure, so it does not specify these relations.
NCERT (2026-27 Edition): “Organisation Structure … The organisation structure can be defined as the framework within which managerial and operating tasks are performed. It specifies the relationships between people, work and resources. It allows correlation and coordination among human, physical and financial resources and this enables a business enterprise to accomplish desired goals. The organisation structure of a firm is shown in an organisation chart. …” |