The correct answer is option (1) : (A)-(IV), (B)-(III), (C)-(I), (D)-(II).
| List I |
List II |
| (A) Delegation |
(IV) Multiplied by two |
| (B) Formal organization |
(III) Designed to accomplish a particular task |
| (C) Decentralization |
(I) Multiplied by many |
| (D) Divisional structure |
(II) Large variety of products are manufactured |
(A) Delegation- (IV) Multiplied by two. Delegation refers to the downward transfer of authority from a superior to a subordinate. It is a pre-requisite to the efficient functioning of an organisation because it enables a manager to use his time on high priority activities. It also satisfies the subordinate’s need for recognition and provides them with opportunities to develop and exercise initiative.
(B) Formal organization- (III) Designed to accomplish a particular task. 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.
(C) Decentralization- (I) Multiplied by many. Decentralisation explains the manner in which decision making responsibilities are divided among hierarchical levels. Put simply, decentralisation refers to delegation of authority throughout all the levels of the organisation. Decision making authority is shared with lower levels and is consequently placed nearest to the points of action. In other words decision making authority is pushed down the chain of command. When decisions taken by the lower levels are numerous as well as important an organisation can be regarded as greatly decentralised.
(D) Divisional structure- (II) Large variety of products are manufactured. In a divisional structure, the organisation structure comprises of separate business units or divisions. Each unit has a divisional manager responsible for performance and who has authority over the unit. Divisional structure is suitable for those business enterprises where a large variety of products are manufactured using different productive resources. When an organization grows and needs to add more employees, create more departments and introduce new levels of management, it will decide to adopt a divisional structure. |