Question

Write a short note on: Formal organisation.

Answer 1

Formal Organisation: When the managers are carrying on the organizing process then as a result of the organizing process an organisational structure is created to achieve systematic working and efficient utilization of resources. This type of structure is known as a formal organisational structure. The salient features of the formal organization are as follows :

• Organizational structure is laid down by the top management to achieve organizational goals.
• Organizational structure is based on the division of labor and specialization to achieve efficiency in the operations.
• Organization structure concentrates on the jobs to be performed and not the individuals who are to perform jobs.
• The organization does not take into consideration the sentiments of organizational members.
• The authority and responsibility relationships created by the organization structure are to be honored by everyone.