Merits and Disadvantages of Departmental Undertakings
Which form of...
Question
Which form of organization is primarily used for provision of essential services such as railways, postal services, broadcasting etc.?
A
Departmental undertaking
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B
Statutory corporation
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C
Government company
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D
All of the above
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Solution
The correct option is B Departmental undertaking A departmental undertaking is organized self- contained but it is under the overall control of the departmental head and the ministry concerned. It is a very old and traditional form of public enterprise. It may be organized as a separate full-fledged ministry.
It is primarily used for provision of essential services such as railways, postal services, broadcasting etc.