“Informal organization has now become acceptable.”-Explain. - Vidyadip

Question

“Informal organization has now become acceptable.”-Explain.

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Answer

Merits of Informal Organization :

Mental stress of employees is reduced
The authority of management is restrained.
This organisation complements the accomplishments of objective of formal organisation.
Risk of rumors being spread.
Social restrictions on employees are reduced.

Demerits of informal Organisation :

There is a possibility to oppose the change.
Indiscipline to be encouraged.
Industrial peace is endangered.
Risk of rumors being spread.
Possibility of obstacles being placed in management.

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