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    Formal and Informal Organizations

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    LG Niegas
    This document summarizes and compares formal and informal organizations within companies. Formal organizations are established by company authorities to accomplish goals through formal groups, while informal organizations form due to friendships and common interests through informal groups. Formal organizations function to achieve collaboration, produce new ideas, coordinate activities, implement rules, and train employees. Informal organizations satisfy affiliation needs, develop self-esteem, share ideas, lessen insecurities, and solve personal problems. The advantages of formal organizations include working systematically, established objectives, no duplication, and efficient coordination, while disadvantages include delays, ignores employee needs, and overlooks creativity. Informal organizations' advantages are fast communication and importance on employee needs, while disadvantages include susceptibility to rumors

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    Formal and Informal Organizations

    Uploaded by

    LG Niegas
    1K views6 pages
    This document summarizes and compares formal and informal organizations within companies. Formal organizations are established by company authorities to accomplish goals through formal groups, while informal organizations form due to friendships and common interests through informal groups. Formal organizations function to achieve collaboration, produce new ideas, coordinate activities, implement rules, and train employees. Informal organizations satisfy affiliation needs, develop self-esteem, share ideas, lessen insecurities, and solve personal problems. The advantages of formal organizations include working systematically, established objectives, no duplication, and efficient coordination, while disadvantages include delays, ignores employee needs, and overlooks creativity. Informal organizations' advantages are fast communication and importance on employee needs, while disadvantages include susceptibility to rumors

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    This document summarizes and compares formal and informal organizations within companies. Formal organizations are established by company authorities to accomplish goals through formal groups, while informal organizations form due to friendships and common interests through informal groups. Formal organizations function to achieve collaboration, produce new ideas, coordinate activities, implement rules, and train employees. Informal organizations satisfy affiliation needs, develop self-esteem, share ideas, lessen insecurities, and solve personal problems. The advantages of formal organizations include working systematically, established objectives, no duplication, and efficient coordination, while disadvantages include delays, ignores employee needs, and overlooks creativity. Informal organizations' advantages are fast communication and importance on employee needs, while disadvantages include susceptibility to rumors

    Copyright:

    © All Rights Reserved
    Download as PPTX, PDF, TXT or read online from Scribd
    Download as pptx, pdf, or txt
    1K views6 pages

    Formal and Informal Organizations

    Uploaded by

    LG Niegas
    This document summarizes and compares formal and informal organizations within companies. Formal organizations are established by company authorities to accomplish goals through formal groups, while informal organizations form due to friendships and common interests through informal groups. Formal organizations function to achieve collaboration, produce new ideas, coordinate activities, implement rules, and train employees. Informal organizations satisfy affiliation needs, develop self-esteem, share ideas, lessen insecurities, and solve personal problems. The advantages of formal organizations include working systematically, established objectives, no duplication, and efficient coordination, while disadvantages include delays, ignores employee needs, and overlooks creativity. Informal organizations' advantages are fast communication and importance on employee needs, while disadvantages include susceptibility to rumors

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    Formal and Informal

    Organizations
    Formal Organization
    ◦Refer to organization formed by the company
    owner or manager to help the film
    accomplish its goals;made of formal groups
    (work group/project team /committee)
    similarly formed by company authorities to
    support their activities and achieve their
    objectives.
    Informal Organizations
    ◦Refer to organization that exist
    because of friendship and common
    interest; made up of informal groups
    which exist for the members need for
    social affiliation.
    ◦Formal Organization have the following Fucntion:
    1.Accomplish goals that require cooperation or
    collaboration among formal groups in the organization ;
    2.Produce or bring about new and creative ideas and
    solutions to company problems;
    3.Coordinate interdepartmental activities;
    4.Implement company rules/regulation and policies; and
    5.Orient or train new employees.
    ◦Informal organization function include the following
    1.Satisfy members need for affiliation;
    2.Give the individual members a chance to develop their
    self-esteem;
    3.Give an individual members an opportunity to share
    their ideas;
    4.Lessen individual members insecurities and
    5.Provide a mechanism to solve members personal and
    interpersonal problems.
    Advantage and Disadvantage of Formal And Informal
    Organization.
    Advantage Disadvantage
    Formal Formal
    1.Working systematically. 1.Delay in feedback and action due to the
    2.Established on and for the organization’s established chain of command
    objectives. 2.Ignores the psychological and social needs of
    3.No duplication or overlapping of work employees
    4.Efficient coordination among departments 3.Emphasis on work only and overlooks the human
    5.Implementation of chain of command and relations,talents,and creativity of employees
    professional relationship
    Informal Informal
    1.Fast communication due to the absence of 1.More to susceptible to rumor mongering
    standard operating procedures and protocols 2.There is no systematic workflow in place
    2.Give importance to the psychological and social 3.Difficulty in implementing new rules and policies
    needs of employees 4.More emphasis on the individual interest of each
    3.Top manager can solicit feedback directly from the employee rather than the overall goal of the
    employees on new policies and plans company

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