“It leads to effective accomplishment of goals by providing a framework for the operations to be performed and ensuring that each employee knows the role he has to play”. Identify the type of organization referred here.
Answer & explanation
Correct answer: option 4
The correct answer is Option (4) → Formal organisation
Option (1) Informal organisation — Incorrect. An informal organisation grows by itself out of friendships and personal contacts at work. It has no fixed framework and no fixed roles, so it cannot make sure that each employee knows his role.
Option (2) Interpersonal organisation — Incorrect. There is no such type of organisation. Organisations are of only two types: formal and informal.
Option (3) Controlled organisation — Incorrect. This is not a type of organisation either. Controlling is a separate function of management.
Option (4) Formal organisation — Correct. A formal organisation is the structure of authority and duties that management designs on purpose. Because every job and every line of authority is laid down, it gives a framework for the work and each employee knows the role he has to play. This is one of its advantages, together with easy fixing of responsibility and unity of command.
NCERT (2026-27 Edition): “Advantages: Formal organisation offers many advantages. Some of the important ones are: |