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Difference between a group and an organization need to be sorted out first. An organization consists of two or more people expending systematic effort towards some common goals which produce goods or services. Whereas a group of people consists of two or more individuals coming together for pursuit of a common concern such as common interest or friendship. Informal organizations normally emerge within or against a formal organization and the members of the informal organization may be driven by a common goal that may compliment or work against the goals of the formal organization.

An informal group is a group of people casually acquainted with each other for their own personal fulfillment because they have some common characteristics and concerns (interests/hobbies/friendship). The members of the 'grapevine' often found within a formal organization can also be called an informal group. Whilst it is easy to differentiate between a formal group and a formal organization, the differences between informal group and informal organization tend to be blurred.

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Q: What are the differences between informal group and informal organisation?
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