Background– Occupational therapy uses activities as a major modality or tool. Hence selection of activity is very crucial. The present study attempts to evaluate effect of subject–chosen occupations in improving the psychosocial functions, psychiatric functions and Task Behaviour functions. Objective –To determine the effectiveness of subject–chosen occupations over therapist–chosen Occupations in Occupational therapy for patient with schizophrenia. Method– Twenty four patients (20 males & 4 female , between 18–55 years age group) diagnosed as schizophrenia included in the study. The outcome of Task behaviour, General behaviour, Interpersonal behaviour and psychosocial function was measured using Comprehensive Occupational Therapy Evaluation (COTE) and Modified Global Assessment Of Functioning Scale(MGAF). Result –The change in MGAF & COTE scores after intervention were greater in experimental group as compared to control group which was significant statistically (p<0.0001,t–test). Conclusion –Therapy using ‘subject–chosen occupation’ is more effective than ‘therapist–chosen occupation’ in improving global functioning, interpersonal behaviour and task behaviour in patients with schizophrenia.