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Understanding Informal Organizations: Behavior, Communication, and Benefits

Learn about the differences between formal and informal organizations, the controls used by informal organizations, the functioning of informal communication networks, and the advantages and disadvantages of informal organizations.

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Understanding Informal Organizations: Behavior, Communication, and Benefits

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  1. Chapter 5 The Informal Organization

  2. Learning Objectives • Compare and contrast the formal and informal organizations. • Discuss some of the behavioral controls used by members of the informal organization to ensure compliance with the norms. • Explain how the informal communication network functions. • Identify the primary benefits associated with the informal organization.

  3. Learning Objectives (contd.) • List some of the disadvantages associated with the informal organization. • Cite some of the ways in which a manager can deal with the informal organization.

  4. Features of an Informal Organization • Interpersonal relations • Informal leadership • Behavioral control • Dependency

  5. Figure 5.1 Who Helps Whom? Ed Barbara Chuck Kevin Jeff Pam Joe Larry

  6. Sociogram A sociogram shows intragroup social relationships

  7. Types of Relationships in Informal Networks • The advice network shows who provides helpful information to whom • 2. The trust network shows who shares delicate information with whom • 3. The communication network shows who regularly talks with whom about work-related matters

  8. Figure 5.2 Formal Authority (Abridged)

  9. Figure 5.3 Informal Power

  10. Figure 5.4 Organizational Goals and Individual-Group Goals

  11. Figure 5.5Informal Communication Networks Wayne Single Strand (Least frequent) Nancy Gossip Chain Ken Ken Lois Lois Nancy Don Don Al Wayne Al

  12. Figure 5.5(contd.) Don Lois Ken Probability Chain Nancy Wayne Nancy Don Lois Ken Wayne Al Al Cluster Chain (Most Frequent)

  13. Figure 5.6 Causes for Grapevine Activity • Information is lacking • Insecurity in a situation • Personal interest is involved • Possession of new information

  14. Figure 5.7 Informal versus Formal Groups

  15. Sociogram Advice network Trust network Communication network Authority Power Satisficing behavior Networking Nucleus group Fringe group Outer group Grapevine Single strand Gossip chain Probability chain Cluster chain Goal conflict Conformity Rumor Selective filtering Elaboration Key Terms in the Chapter

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