KNOW THE FORMAL ORGANIZATOIN I N MANAGEMENT
What is Formal Organization The formal organization is basically goal-oriented entity that exist to accurate the efforts of individuals and it refers to the structure of jobs and positions with clearly defined functions, responsibilities and authorities. Definition of Formal Organization According to Chester Banard “an organization is formal when the activities are coordinated towards a common objective”. He found that the essence of formal organization is conscious common purpose and that formal organization comes into being when persons: Are able to communicate with each other Are willing to act, and Share a purpose In this way, all business organizations are formal organizations they have a system of well defined jobs bearing a definite measure of authority, responsibility and accountability. All this is designed to enable the people working within the enterprise to work more effectively for achieving objectives. Characteristics of Formal Organization Following a