Question

Write short Notes on the following.

Merits of statutory organization.

Answer 1

Merits of statutory organisations:
i. Independent recruiting: They can independently recruit the desired personnel according to the requirements.
ii. No government intervention: They are free from undesirable control and interference by the government. This is because they are funded independently.
iii. Instrument of economic development: As these corporations are the initiatives of private enterprises with the power of government, they can be an important instrument of economic development.
iv. Autonomous decision making: These corporations are autonomous in nature, and thus they independently make their own policies and rules as per the powers given to them.
v. Efficient employees: There is on going employee training and other programmes for employees which keeps the employees motivated and efficient.
vi. Economies of scale: These corporations work on large scale that results in economies of scale and so they provide goods and services at lower cost.