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CMA Foundation · Fundamentals of Business Economics and Management · Organisation Structure, Responsibility, Accountability and Delegation of Authority

In a management context, authority is best described as:

Authority is the legitimate right attached to a managerial position to give orders and expect compliance within the organisation. It is formal and position-based, unlike power, which is influence that may exist without any official position, and unlike responsibility or accountability.

  1. AThe right to give orders and expect them to be obeyed within the organisationCorrect
  2. BThe ability to influence others irrespective of any formal position
  3. CThe obligation to complete an assigned task
  4. DThe answerability for the final outcome of a task

Explanation

Authority is the legitimate, formal right attached to a managerial position to command and direct subordinates. The ability to influence regardless of position describes power, so that option is wrong. Obligation to perform is responsibility and answerability is accountability.

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