Top 7 differences between Formal and Informal groups

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Organisation is the activity, authority, structure of the enterprise. Organizations are social systems. Organizations combine science and people – technology and humanity. Various methods are used to classify the types of groups that exist in our organizations. The organization structure is of two types, they are

1. Formal Organisation
2. Informal Organisation.


The formal organizations are formed with pre-determined objectives. The authority and responsibility are defined by the management. The line of communication is formalized and the relationship between superiors and subordinates is fixed.


Informal Organisations develops simultaneously, these are based on the informal authority attached to the person but not to the position. Informal organizations are not created by the manager or management of the organization.


Now let us see some of the top differences between FORMAL and INFORMAL groups.

Formed on the basis/purpose by the management. Formed voluntarily when people have dissatisfaction towards the management.
Authority structure is given by the top management Authority is given by the people in the peer group
Formed for a specific purpose, it may be permanent or temporary. The informal group is permanent group, members may join or leave the group with their own interest
Behavior of Members
Behaviour of the members of the formal group is according to rules and regulations set by the management. Behaviour of the members of the informal group is according to the individual and group interests.
Communication Pattern
A systematic communication pattern is followed while communication in the formal organisation. Members of the informal group communicate according to the relationship what they maintain with others in the group.
The Job of managing the people in the formal organisation is easy. The Job of managing the people in the informal organisation is difficult.
The members of the formal group face pressures from the superiors. The members of the informal group have no pressures from superiors and have freedom.