Distinction between formal and informal organizations
Posted by Ripon Abu Hasnat on Wednesday, May 28, 2014 | 0 comments
The points of distinction between formal and informal organization have been tabulated below:
| Sl. No | Formal Organizations | Informal Organizations |
| 1. | 1. It is consciously and deliberately created | It arises spontaneously |
| 2. | Authority and responsibility are vital for its functioning | It is only personal factors such as friendship, affinity, trust and confidence that are important. |
| 3. | Rules and procedures are important | Personal relationship between individual is more important. |
| 4. | It can be shown on the organization chart | It cannot be shown |
| 5. | Authority flows downwards and responsibility flows upwards. | There is no flow of authority and responsibility. |
| 6. | It is deliberately created only to attain the enterprise objectives. | It is created to fulfill the social needs of an individual. How-ever, it may also contribute to the enterprise goal. |
| 7. | Designations and official positions are very important | Designations and official positions are unimportant. |
| 8. | It is permanent and stable. | It is unstable. |
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