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Informal organisation

The informal organisation consists of relationships, influence and patterns of communication that develop outside formally prescribed roles and procedures. It can provide support, share practical knowledge and coordinate work quickly, but may also spread rumours, resist change or exclude people. Managers should understand these networks rather than assume they can be eliminated simply by issuing a new organisation chart.

Worked example

Experienced employees from different departments exchange practical advice through an unofficial discussion group. It helps new colleagues solve problems, although incorrect rumours shared through the same network could undermine trust.

Common mistake

Do not equate informal with unauthorised misconduct or assume all informal influence is harmful. Assess its actual effects on cooperation, information and organisational objectives.

Where it appears in your exams

QualificationExamRelationshipPeriod
ACCA BT Direct September 2026–June 2027
FIA FBT Direct September 2026–June 2027