CHART OF COMPARISON

BASIS FOR FORMAL INFORMAL

COMPARISON ORGANIZATION ORGANIZATION
An organization formed
An organization type in
within the formal
which the job of each
organization as a network
member is clearly
of interpersonal
Meaning defined, whose authority,
relationship, when people
responsibility and
interact with each other,
accountability are fixed is
is known as informal
formal organization.
communication.
Deliberately by top Spontaneously by
Creation
management. members.
To fulfill, the ultimate
To satisfy their social and
Purpose objective of the
psychological needs.
organization.
Stable, it continues for a
Nature Not stable
long time.
Communication Official communication Grapevine
Norms, values and
Control mechanism Rules and Regulations
beliefs
Focus on Work performance Interpersonal relationship
Members are bound by
Authority All members are equal.
hierarchical structure.
Size Large Small