What is an Informal Organization? Give Example?

What is an Informal Organization? Give Example? 

As we know that a formal organization grows in size as day by day and the same parallel existence of information relationship with their colleague grows along with formal relationships and we know that this type of informal relationship becomes unavoidable and for the reason of being informal the organization has always existed with a formal organization.

And, it arises because it is required social and personal needs of the individual which cannot be fulfilled by the formal organization.

 As we know that its name represents informal which other meaning we may define as non-planned, unofficial, social interactions with people who are working in any formally structured organization which means that it is working on the common interests of people.

Informal organization are not governed by any type of set of principles or rule.

 E. Wight bakke said that the creation of informal organization along with formal organization a fusion process.

According to him, “When an individual and an organisation come together in such a way that the individual is a participant in, and a member of, the organisation and the two are mutually dependent on each other, both are reconstructed in the process. The organisation to some degree remakes the individual and the individual to some degree remakes the organisations.”

Also once said by Chester Barnard. His viewed informal organisation as “any joint personal activity without conscious joint purpose, even though contributing to joint results.”

According to Keith Davis defines informal organisation as “a network of personal and social relations not established or required by formal organisation but arising spontaneously as people associate with one another.”

Now, we can say that while in the working in a formal organization, and people are working in different departments at different level who may be CEO/Manager/Officer or Peon with each other, but they discuss their common interest which may be related to cultural, social, etc and they form groups to their goals and these goals are known as groups goals.

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Nadeem Khan
M. Com, M.B.A.
Mail - ndmk1338@gmail.com