2. formal and informal organization
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The document discusses formal and informal organization. A formal organization refers to the clearly defined job structure, communication channels, and delegation of authority as prescribed by management. It aims to avoid conflicts and overlapping responsibilities. An informal organization arises naturally from personal relationships between employees based on attributes like friendship rather than formal roles. While informal groups can boost motivation, they can also hinder productivity and spread rumors.
2. formal and informal organization
- 2. ORGANIZATION: Organization is defined as the place where, process of arranging and structuring work to accomplish a goal happens. R.ArunKumar,AP/Mech,RIT
- 3. FORMAL ORGANIZATION: The formal organization refers to the structure of jobs and positions with clearly defined functions and relationships as prescribed by the top management. R.ArunKumar,AP/Mech,RIT
- 4. FORMAL ORGANIZATION: It can also be defined as system of well defined jobs with a prescribed pattern of communication, coordination and delegation of authority. According to Louis Allen, Formal organization is a system of well – defined jobs, each bearing a definite measure of authority, responsibility and accountability. R.ArunKumar,AP/Mech,RIT
- 5. FORMAL ORGANIZATION: In formal organization everybody is assigned a certain responsibility for the performance of the given task and given the required amount of authority for carrying it out. R.ArunKumar,AP/Mech,RIT
- 6. CHARACTERISTICS OF FORMAL ORGANIZATION: 1. Flexible and properly planned. 2. It is based on principle of division of labour and efficiency in operation. 3. Concentrates more on the performance of jobs but not on the individuals performing the jobs. 4. Flow of organization structure is usually framed. 5. Coordination and control among members of organization are well specified. 6. Responsibility and accountability are clearly defined. 7. Unity of command is normally maintained. R.ArunKumar,AP/Mech,RIT
- 7. ADVANTAGES OF FORMAL ORGANIZATION: 1. Conflicts among workers is eliminated. 2. Overlapping of responsibility is avoided. 3. More stability is ensured in organization. 4. A sense of security arises from classification of the task. 5.Motivates every employee for their personal as well as organization goal. R.ArunKumar,AP/Mech,RIT
- 8. INFORMAL ORGANIZATION: An informal organization is an organization which is not established by any formal authority, but arises from the personal and social relations of the people. R.ArunKumar,AP/Mech,RIT
- 9. INFORMAL ORGANIZATION: Informal organization refers to the relationship between people in the organization based on personal attitudes, emotions, prejudices, likes, dislikes etc. R.ArunKumar,AP/Mech,RIT
- 10. INFORMAL ORGANIZATION: It arises naturally on the basis of friendship or some common interest which may or may not be related with work. R.ArunKumar,AP/Mech,RIT
- 11. INFORMAL ORGANIZATION: Generally large formal groups give rise to small informal or social groups. These groups may be based on same taste, language, culture or some other factor. E.g. People of common language forming group, association of people. R.ArunKumar,AP/Mech,RIT
- 12. CHARACTERISTICS OF INFORMAL ORGANIZATION: 1. Arises voluntarily. 2. Created based on the similarity among the members (age, native, etc.) 3. Has no place in organization structure. 4. A person may become a member of several informal organizations at same time. 5. Rules and regulations are not written, but are followed. R.ArunKumar,AP/Mech,RIT
- 13. ADVANTAGES OF INFORMAL ORGANIZATION: 1. As it gives satisfaction, motivates the workers and maintains the stability of the work. 2. Fills up the gap in an organization. 3. Effective channel of communication. R.ArunKumar,AP/Mech,RIT
- 14. DISADVANTAGES OF INFORMAL ORGANIZATION: 1. May be a hurdle in achieving the objective of an organization. 2. Indirectly reduces effort of management to promote greater productivity. 3. Easily spreads rumor. R.ArunKumar,AP/Mech,RIT