Nature of Informal Organization

Nature of informal organization many are discussed on the following points:

Nature of informal organization

  1. Informal Organization arises from Social Interaction: It was concluded by Hawthorne Experiments that informal organizations were an integral part of the total work situation. Informal organizations are the network of personal and social relations arises spontaneously as the people come contact with each other and are not the result of formal authority. Power in informal organizations is attached to person and not to the position and it is given by the members of the group irrespective of the position in formal structure or is attained by the leader. It is quite unstable since it relates to the sentiments of the people of the group. Managers, generally, are the leaders in the format organization and they like to abolish the informal groups. But they cannot do so because they know that they have to establish them so they cannot abolish. Informal organizations are small because they are closely related to the limitation of personal relationships. So, they are so many informal organizations in a formal organization.
  2. Informal Leaders: The leader of an informal organization is elected by the members of the groups for different reasons such as age, seniority, technical, impotence, work locations, and responsive personality, etc. depending upon the work situation. There may be as many informal leaders as there are informal groups or work situations. One may be a leader for one cause while another may lead the group for the other cause. Thus there are innumerable leaders of varying importance and in return, they enjoy certain privileges and rewards and they are locked upon as the respectable member of the society.


    Nature of Informal Organization

  3. Role of Informal Leader: The general role of an informal, leader is:
    • To help the group reach its goals, and
    • To maintain and enhance group life

Although there are so many, informal leaders in a group but there is only one primary leader who holds more influence on the group. Each manager of the formal organization must know who the key informal leader of the group is and should contact him to get his help in furthering the organization goals.

If he is working against the employer, he can deface the image of the management among the members of the group and can undermine motivation and job-satisfaction.

A successful leader of an informal organization can not necessarily be the successful formal leader of an organization, Scale-emerged as arrogant bosses as soon as they receive the formal authority, some fail as formal busses because they fear formal responsibility or they are afraid of commenting mistakes because their area of operation is much wider than that of leaders of informal organizations.

  4. Informal Structure: Informal structures typically develop around social or project group. Because informal structures are based on camaraderie the is often a more immediate response from individuals. This saves people time and effort, thus making it easier the work within informal structures.

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