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Difference between formal and informal organisation …

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Difference between formal and informal organisation on the basis of origin

Posted by Crystal Singh 4 years, 2 months ago

CBSE > Class 12 > Business Studies

1 answers

Sia ? 4 years, 2 months ago

Basis of difference	Formal organisation	Informal organisation
Meaning	'Formal organisation' refers to the relationship between authorities as defined by the management.	Refers to the relationship based on personal and informal relationship among the employees.
Origin	The structure originates from the rules and policies of the management.	The structure originates from the social interactions among the employees.
Authority	Authority is defined by the profile and managerial positions.	Authority is defined by the personal qualities of the employees.
Flow of communication	Communication flows through the scalar chain.	No planned route of communication is followed.
Nature	Formal organisations are rigid	Informal organisations are flexible

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