Question

In an informal organisation, authority arises out of ______.

Options

• Virtue of position in management

• Company’s rules and policies

• Scalar chain

• Personal qualities

Answer 1

In an informal organisation, authority arises out of personal qualities.

Explanation:

In an informal organization, power doesn’t come from a person’s official role, company rules, or rank. Instead, it comes from their personal qualities, like their leadership skills, experience, and knowledge.