organizations are based on common taste, problem, language, religion, culture; etc.it is •Informal influenced by the personal attitudes, emotions, whims, likes and dislikes etc. of the people in the organization. Benefits of Informal organization: It blends with the formal organization to make it more effective. things which cannot be achieved through formal organization can be achieved through •Many informal organization. presence of informal organization in an enterprise makes the managers plan and act more •The carefully. organization acts as a means by which the workers achieve a sense of security and •Informal belonging. It provides social satisfaction to group members. informal organization has a powerful influence on productivity and job satisfaction. •An informal leader lightens the burden of the formal manager and tries to fill in the gaps in the •The manager's ability. organization helps the group members to attain specific personal objectives. •Informal organization is the best means of employee communication. It is very fast. •Informal organization gives psychological satisfaction to the members. It acts as a safety valve •Informal for the emotional problems and frustrations of the workers of the organization because they get a platform to express their feelings. serves as an agency for social control of human behavior. •It DIFFERENCES BETWEEN FORMAL AND INFORMAL ORGANIZATION: Formal Organization Informal Organization 1. Formal organization is established with the 1. Informal organization springs on its own. explicit aim of achieving well-defined goals. Its goals are ill defined and intangible. 2. Formal organization is bound together by 2. Informal organization is characterized by a authority relationships among members. A generalized sort of power relationships. Power hierarchical structure is created, constituting in informal organization has bases other than
•Informal organizations are based on common taste, problem, language, religion, culture; etc.it is influenced by the personal attitudes, emotions, whims, likes and dislikes etc. of the people in the organization. Benefits of Informal organization: It blends with the formal organization to make it more effective. •Many things which cannot be achieved through formal organization can be achieved through informal organization. •The presence of informal organization in an enterprise makes the managers plan and act more carefully. •Informal organization acts as a means by which the workers achieve a sense of security and belonging. It provides social satisfaction to group members. •An informal organization has a powerful influence on productivity and job satisfaction. •The informal leader lightens the burden of the formal manager and tries to fill in the gaps in the manager's ability. •Informal organization helps the group members to attain specific personal objectives. •Informal organization is the best means of employee communication. It is very fast. •Informal organization gives psychological satisfaction to the members. It acts as a safety valve for the emotional problems and frustrations of the workers of the organization because they get a platform to express their feelings. •It serves as an agency for social control of human behavior. DIFFERENCES BETWEEN FORMAL AND INFORMAL ORGANIZATION: Formal Organization Informal Organization 1. Formal organization is established with the explicit aim of achieving well-defined goals. 1. Informal organization springs on its own. Its goals are ill defined and intangible. 2. Formal organization is bound together by authority relationships among members. A hierarchical structure is created, constituting 2. Informal organization is characterized by a generalized sort of power relationships. Power in informal organization has bases other than
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