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Business Studies · 2025 · 6 marks
CBSE 2025 · Region 4 · Set 2 · Q34
(a) ‘The management has to skilfully take advantage of both the formal and informal organisation so that work continues smoothly.’ Differentiate…
‘The management has to skilfully take advantage of both
the formal and informal organisation so that work
continues smoothly.’
Differentiate between 'formal' and 'informal' organization
on the basis of the following:
(i)
Meaning
(ii)
Origin
(iii)
Authority
(iv)
Flow of communication
(v)
Behaviour
(vi)
Leadership
‘Delegation is the entrustment of responsibility and
authority to another and the creation of accountability for
performance.'
In the light of this statement, explain any four points that
highlight the importance of delegation.
Marking-scheme solution
(a)
Basis Formal Organisation Informal Organisation
Meaning Formal Organisation Informal Organisation
B
| refers to a structure of authority relationships created by the management. | refers to a network of social relationships which arise out of interaction among employees. | |
| Origin | It arises as a result of company rules and policies. | It arises as a result of social interaction. |
| Authority | It arises by virtue of position in management. | It arises out of personal qualities. |
| Flow of Communicat ion | Communication takes place through the scalar chain. | Flow of communication is not through a planned route. It can take place in any direction. |
| Behaviour | It is directed by rules. | There is no set behaviour pattern. |
| Leadership | Managers are leaders. by virtue of their position in the organisation. | Leaders may or may not be managers. They are chosen by the group. |
Importance of Delegation
1) Effective management.
2) Employee development.
3) Motivation of employees.
4) Facilitation of growth.
5) Basis of management hierarchy.
6) Better coordination.
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CBSE Class 12 Business Studies past-paper question from the 2025 board exam, with the answer as CBSE’s own marking scheme gives it. Where our answers come from.