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Differentiate Between Formal and Informal Organization on the Basis of the Following: Meaning - Business Studies

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Question

Differentiate between formal and informal organization on the basis of the following:

Meaning

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Solution

Basis for
Difference
Formal Organisation Informal Organisation
Meaning Organisational structure which is designed by the management to accomplish a particular task. It specifies the boundaries of authority and responsibility and there is a systematic
coordination to achieve organisational goals
Interaction among people at work gives rise to a network of social relationships among employees. It emerges from within the formal organisation when people interact beyond their officially defined roles.
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2013-2014 (March) All India Set 1

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