Departmental Undertaking Advantages and Drawbacks Quiz

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Questions and Answers

What is a key benefit of departmental undertaking?

  • Higher administrative costs
  • Increased coordination and control within the department (correct)
  • Limited opportunities for individual growth
  • Reduced competition and innovation

How does departmental undertaking impact innovation?

  • It has no impact on innovation
  • It promotes innovation through collaboration
  • It leads to excessive bureaucracy
  • It hinders innovation due to reduced competition (correct)

What is a potential drawback of departmental undertaking?

  • Increased efficiency and productivity
  • Higher adaptability to market changes
  • Enhanced employee morale and motivation
  • Limited flexibility in decision-making (correct)

How does departmental undertaking affect administrative costs?

<p>It leads to higher administrative costs (B)</p>
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