Distinguish between formal and informal organisation.

(i) Meaning (ii) Origin (iii) Authority (iv) Behaviour (v) Flow of communication (vi) Nature

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Solution

Basis of difference Formal organisation Informal organisation
Meaning 'Formal organisation' refers to the relationship between authorities as defined by the management. Refers to the relationship based on personal and informal relationship among the employees.
Origin The structure originates from the rules and policies of the management. The structure originates from the social interactions among the employees.
Authority Authority is defined by the profile and managerial positions. Authority is defined by the personal qualities of the employees.
Flow of communication Communication flows through the scalar chain. No planned route of communication is followed.
Nature Formal organisations are rigid Informal organisations are flexible

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Basis of difference	Formal organisation	Informal organisation
Meaning	'Formal organisation' refers to the relationship between authorities as defined by the management.	Refers to the relationship based on personal and informal relationship among the employees.
Origin	The structure originates from the rules and policies of the management.	The structure originates from the social interactions among the employees.
Authority	Authority is defined by the profile and managerial positions.	Authority is defined by the personal qualities of the employees.
Flow of communication	Communication flows through the scalar chain.	No planned route of communication is followed.
Nature	Formal organisations are rigid	Informal organisations are flexible