A2/The Formal and Informal Business Organisation

[Tammi]

Hi
I found out that there are too few questions about this topic

1. What is an advantage of an informal organisation?

A. The "grapevine effect"
B. Better motivation
C. Opposition to change
D. Inefficient organisation

[Snehal K]

My question

The informal organisation arises out of which of the following?

A Positions and / or responsibilities of employees
B Culture of the organisation
C Personal / social relationships between employees
D Organisational structure

[Acid]

I think the answer is C . D could also be considered as organizational structure may make it difficult to form informal groups but this is rarely the case .

Culture of organization is also of determining effect .

Acid

[Tammi]

Hi, Snehal,
The informal structure arises out of personal, social relationship, friendship, common interests, etc, so I think the asnwer to your question is C

[Snehal K]

Hi, Snehal,
The informal structure arises out of personal, social relationship, friendship, common interests, etc, so I think the asnwer to your question is C

Yes you are right. Correct option is C. The informal organisation arises out of the personal relationships and communication links that naturally occur amongst employees.

Is the correct option for your question A - The "grapevine effect"?

[Tammi]

Hi, Snehal
The correct answer to my question is B.
Better motivation is an advantage of an informal organisation
The others are disadvantages:
Opposition to change - when implementing changes the managers can encounter some opposition from the informal organisation.
The "grapevine effect" - when one department undergoes some changes another informal network will start to be conserned that "they wll be next", this is called "grapevine effect"
Inefficient organisation - we face inefficient organisation when the formal structure is in conflict with the informal one.

Hope I have explained it clearly:)