Match List-I with List-II

List I	List II
A. Informal organisation	I. Grouping of jobs of similar nature
B. Formal organisation	II. Interaction among people at work gives rise to a network of social relationship among employees
C. Divisional structure	III. The organisation structure comprises separate business units
D. Functional structure	IV. Specifies clearly the boundaries of authority and responsibility

Choose the correct answer from the options given below:

Correct option is C

The correct matches between List I (Organization Types and Structures) and List II (Descriptions) are:
· Informal Organization (A-II): This refers to the interaction among people at work that gives rise to a network of social relationships among employees. Informal groups arise naturally based on personal or social interests.
· Formal Organization (B-IV): A formal organization clearly specifies the boundaries of authority and responsibility, ensuring structured relationships and accountability.
· Divisional Structure (C-III): This structure comprises separate business units, each focusing on a product, market, or region. It facilitates specialization and accountability.
· Functional Structure (D-I): This involves the grouping of jobs of similar nature into departments, such as marketing, finance, and HR, to enhance efficiency and expertise.
Information Booster
· Informal Organization (A-II): Informal relationships are not defined by the formal structure but evolve from social interactions. For example, colleagues forming a friendship group outside their assigned roles. These relationships help in building teamwork and solving conflicts.
· Formal Organization (B-IV): This structure is intentionally designed and documented by the management. It defines roles, responsibilities, and authority, ensuring clarity and proper functioning of the organization. An example is an organizational chart showing hierarchical roles.
· Divisional Structure (C-III): Large organizations with diverse products or regions use this structure. For instance, a multinational company may have divisions for electronics, clothing, and healthcare. Each division operates as an independent business unit.
· Functional Structure (D-I): Functional structures enhance specialization by grouping tasks based on specific activities. For instance, the marketing team handles promotion, while the finance team manages budgets. This ensures efficiency but may cause inter-departmental coordination issues.