There are lots of principles of formal organization. A formal organization works to achieve some specific goals determined by the management.
For the purpose, some principles are supposed to be followed. These principles are mentioned as follows:
Principles of formal organization
- Official nature of the organization: The organization must be legal and official in all the regards in the environment it is operating. It should be a recognizable in its respective industry of operating in an official manner.
- Authority and Responsibility: The formal organization emphasizes on clear delegation of authority and a specific set of responsibility for a specific authority.
- Focus on position: A formal organization focuses on the position of a personnel and its position regarding the organization rather than the personnel himself / herself.
- Power delegated by Management: The formal organization management delegates the power regarding every position of personnel and specific power sets for specific authority.
- Specific Rules and Policies: The rules and policies regarding a formal organization are specific and should be always followed in terms of performing activates for achieving organizational goals.
- Rewards & Penalties: A formal organization has to have a systematic way of rewarding personnel based on their good services and also need to have a penalty system outlined to prevent carelessness and recklessness from the employees.
Related Content of Formal Organization:
- Models / Theories of Formal Organization
- Advantages and Disadvantages of Formal Organization
- Functions of Formal Organization
- Guidelines for Formal Organization