Easy

Which of the following is not a limitation of formal organisation?

No clear-cut structure

Social interaction

Personal satisfaction

Rigidly laid down policies

✅ Correct Option: 1

Option 1 -> No clear-cut structure - This is actually a characteristic feature of formal organizations, not a limitation. Formal organizations have well-defined hierarchies and structures. Option 2 -> Social interaction - Formal organizations limit informal social interactions and personal relationships, which is a genuine limitation as it can reduce employee morale and teamwork. Option 3 -> Personal satisfaction - Formal organizations often prioritize rules over individual needs, leading to reduced personal satisfaction and motivation among employees, making this a valid limitation. Option 4 -> Rigidly laid down policies - Excessive rigidity in policies and procedures is a major limitation as it reduces flexibility and adaptability in formal organizations. Hence, Option 1: No clear-cut structure -> Formal organizations are specifically characterized BY having a clear-cut structure with defined roles, hierarchies, and reporting relationships. This is a fundamental strength, not a limitation. The actual limitations include rigid policies, reduced social interaction, and decreased personal satisfaction -> correct

2025: 22 May Shift 2

Informal organisation can be better understood with the help of the following features:

(A) An informal organisation originates from within the formal organisation as a result of personal interaction among employees.

(B) The standards of behavior evolve from group norms rather than officially laid down rules and regulations.

(C) Independent channels of communication without specified direction of flow of information are developed by group members.

(D) It has a definite structure or form because it is a complex network of social relationships among members.

Choose the correct answer from the options given below:

2025: 14 May Shift 1

In the process of __________ companies usually modify the relationships within the management hierarchy to suit the goals.

2026: 11 May Shift 1

Interaction among people at work gives rise to a network of social relationships among employees which is called_______________.

2025: 24 May Shift 1

Match List-I with List-II

List-I	List-II
(A) Responsibility	(I) Right to command subordinates and to give orders and exact obedience.
(B) Authority	(II) Downward transfer of authority from a superior to a subordinate.
(C) Accountability	(III) Obligation of a subordinate to perform the duty or tasks assigned to him.
(D) Delegation	(IV) Answerability for the accomplishment of the task assigned by the superior to his subordinate.

Choose the correct answer from the options given below:

2025: 27 May Shift 2

Which of the following are the Importance of Decentralization of Organization?

(A) Quick decision-making

(B) Develops managerial talent for the future

(D) Decision-making authority is retained by higher management levels.

Choose the correct answer from the options given below:

2025: 14 May Shift 2

Which of the following is NOT an advantage of formal organization?

Fixation of Responsibility
Clarity of Roles
Unity of Command
Speed

Which of the following is not a limitation of formal organisation?

Solution

Related questions:

Keyboard Shortcuts

CUET Business Studies Past Year Questions (Topic-Wise)