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Organization as a system formal and informal organization
difference between formal organization structure and informal organization structure.
The salient features of formal organization are as follows: (i) Organization structure is laid down by the top management to achieve organizational goals. (ii) Organization structure is based on division of labor and specialization to achieve efficiency in the operations. (iii) Organization structure concentrates on the jobs to be performed and not the individuals who are to perform jobs. (iv) The organization does not take into consideration the sentiments of organizational members. (v) The authority and responsibility relationships created by the organization structure are to be honored by everyone.
To me organizational environment means the origination's structure (both formal and informal) and it resultant culture.
A formal organisational structure a formal structure exists where there is a recognizable chain of command and a formal communication software Informal Organisation Strucutre An informal organisational structure is more relaxed; networking and informal communications with members of staff
Main characteristics of formal organisation * Deliberately planned and created * Concerned with the co-ordination of activities * Hierarchically structured with stated objectives * Based on certain principles such as the specification of tasks * Organization structure is laid down by the top management to achieve organizational goals. * Organization structure is based on division of labor and specialization to achieve efficiency in the operations. * The authority and responsibility relationships created by the organization structure are to be honored by everyone. * Developed through delegation of authority * 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. Main characteristics of informal organisation * The informal organisation is flexible and loosely structured * Relationships may be left undefined * Membership is spontaneous and with varying degrees of involvement * Involves two or more people * Informal relationships, groupings & interactions * Repeated contacts but without any conscious joint purpose * Involves the human need to socialize * Includes both friendly and hostile relationships and interactions * Informal association precedes formal organization, as it requires preliminary (informal) contact and interaction before establishment
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Wells Fargo has a formal organizational structure characterized by a hierarchical framework with defined roles, responsibilities, and reporting lines. This structure enables clear communication and accountability across various departments and divisions. The formal nature of the organization is essential for managing its extensive range of financial services and ensuring compliance with regulatory requirements.
The different groups of organization are formal and informal. The formal organization is making goals by laying down a structure and informal organization is making goals based on feelings and emotions.
Organizational structure and strategy are related because organizational strategy helps a company define and build its organizational structure. A company's organizational structure is based on the result of the analysis of organizational strategy. The company will use these results to determine its areas of concentration and how to position itself in order to succeed. The relationship between organizational structure and strategy becomes clearer when the company's strategy is in place. With a clear focus of what it wants to achieve, the organization will proceed to align its structure in such a manner to best achieve this. It will allocate responsibilities for optimal results, create branches, and decide whether individual efforts or group participation is the best method for it to achieve its goals. The organizational structure and strategy will also help the company decide if the tone of the company should be strictly formal, semi-formal or informal. All of these decisions can be made after determining the organizational strategy of the company.
An example of an informal organization at work is a group of employees who regularly gather for lunch and share ideas or support each other outside of formal meetings. This group may form connections that enhance collaboration and communication, despite not being part of the official organizational structure. Such informal networks can influence workplace culture and facilitate the flow of information, often playing a crucial role in employee morale and engagement.
Informal Group in organization