Informal organization

economic-dictionary

The informal organization is one that arises spontaneously among the members of an organization by sharing common spaces and tasks.

The informal organization is not specified in any type of document or memorandum. This is formed from the relationships of friendship, competition or antagonism between the members of the organization. It is made up of behaviors, personal and professional relationships that emerge dynamically through teamwork and social interaction between people at different hierarchical levels.

On the contrary, the formal organization is one that is planned by the managers of the company. This is established based on a set of rules, structures and procedures that allow ordering the activities of the organization.

Components of the informal organization

Below we describe some components of the informal organization:

  • Relationships of friendship or antagonism: Among the members of an organization, relationships of friendship or antagonism arise spontaneously. These relationships are based on the personality characteristics of individuals and are difficult to modify.
  • Status: A certain status or position is assigned to individuals according to the role they acquire in their group.
  • Spontaneous collaboration: People who achieve affinity or have common interests collaborate spontaneously.
  • Repetitive patterns in relationships and attitudes: People tend to assume and repeat certain patterns of behavior.

These elements can be modified by certain events or by changes in the formal structure of the organization (for example a change of position of one of the members).

Origin of the informal organization

There are mainly four factors that determine informal organization:

  • Common interests: People can share interests which determine their relationship and collaboration.
  • Interaction of the formal organization: With the daily work, the position that each person occupies and the activities carried out in the organization, relationships and interactions are generated between the members of the organization.
  • Rotation and change of personnel: The changes of position and the departure or arrival of new members generate changes in the relationships between the members of the organization.
  • Free time or rest: It generates the opportunity for people to interact continuously and get to know each other in circumstances other than the work itself.

Relationship between informal and formal organization

The informal organization can complement or strengthen the formal organization through a good relationship and cooperation between the members of the organization. However, the informal organization can also weaken the formal one. This occurs when envy, antagonism or when the informal role is stronger than the formal one.

An example in which the formal organization does not coincide with the informal one is when, according to the established organic structure, there is a department head but in practice, everyone follows the ideas and directives of another person who, although they do not have a position As a boss, he has a very strong personality and leadership.

Non Governmental Organization Informal economy

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