Answer to Question #213611 in Management for bigg ben

Question

organizations should be absolutely formal? to what extent do you disagree with this statement

Answer 1

Organizations should be absolutely formal? to what extent do you disagree with this statement.

I disagree to some extent. However, i think organization should be both formal and informal depending on the nature of operation and level of management/communication.

The phrase "formal organization" refers to a structure that is formed when two or more people come together for a shared purpose and have a legal and official relationship. The top management deliberates the development of such an organization. The organization has its own set of written rules, regulations, and policies. A hierarchical structure also exists, which establishes a logical authority connection and follows a chain of command. Only planned lines of contact exist between two members.

On the other hand, an informal organization develops within a formal organization; it is a system of interpersonal ties between employees in a company that develops as people meet, interact, and associate with one another. The organization is formed spontaneously by its members, i.e., as a result of socio-psychological requirements and a need for individuals to communicate.

The main difference between the two is that in a formal organization, all members follow a line of command, whereas in an informal organization, this is not the case. Furthermore, in the former, there is a superior-subordinate relation (status relationship), whereas in the latter, there is none since all members are equal (role relationship).