Business Organisations

Business Organisations

Business Organisations Assignment

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Question 1 2

Question 2.1 4

Question 2.2 5

Bibliography 7

In organizations, groups are one of the largest and important features. Every department and unit in an organization consists of groups. In this essay I am going to explain the difference between formal and informal groups in organisations and explain the importance of these groups in organizations. I am also going to analyze why an informal organization is essential to the long '' term success of the firm and how the informal organization can work against the interests of the formal.

An organization consists of groups, for example a football team or a group of doctors working in a hospital at the same shift. A group can be identified as “two or more persons who interact with one another,” (Shaw, M. 1981).
Many people belong to groups in society like local cricket teams, families, people sitting on the bus etc. Groups can also be categorized into two categories, formal and informal.
An organisation is ‘a clearly definable group of people who work together to achieve a common goal or set of objectives.’ (Hucynski, A. and Buchanan, 1997.)
In an organization groups are essential because in order to get the work completed, the people involved in the group must co-operate and communicate effectively with one another. Groups can also develop their own leaders and hierarchies too, which can lead to pressure being put on a certain individual to improve their attitude or work pattern. The leaders’ style of managing the group is also a major factor in influencing the members of the group.
Groups can develop in organizations by working at the same level like, for example, working on an assembly line, where everyone maybe doing different things but they are all treated the same and also people who have the same...

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