Formal organization is present in every company because if a company wants to manage its workforce professionally then this form of organization is best suited. Formal organization refers to that organization in which there are set rules and regulations which every employee is expected to follow besides employees should also maintain professionalism and decorum at the workplace. In simple words just like without a complete antibiotics course the infection won’t be cured completely in the same without formal organization structure a company will not be able to work properly and effectively. In order to get a better idea about the working of formal organization, one should look at some of the major features of formal organization –
Characteristics of Formal Organization
Rules are Given Paramount Importance
The first and foremost feature of formal organization is that rules are given paramount importance and any employee or worker breaking the rule is considered to be a big mistake and appropriate punishment is given to such employee. Hence all rules like the behavior of subordinates with superiors, office work timings, dress code at the workplace, language to be used at the office all are part of the broad rules which are made in a formal organization, and all employees are expected to follow the rules and regulations made by the company for work.
No scope of Emotions
Another characteristic of formal organization is that there is no scope of emotions in case of formal organization because all employees are expected to follow certain behavior towards their colleagues as well as superiors and hence all the informal relationships and emotions should be kept outside the office as emotions and personal relationships are considered as roadblocks as far as working of the organization is concerned.
Rigid Structure
Lack of flexibility is another important feature of formal organizations because in the case of formal organizations there are predefined rules and a chain of command which every employee should follow even if it involves a loss for the company. Hence for example an employee having a brilliant idea about increasing the profits of the company then he or she cannot go directly to the owner of the company rather he or she will have to go through a proper channel which is both time consuming as well as energy-consuming and thus employees seldom give ideas or suggestions in case of formal organization.
Work Division and Predefined Positions
In the case of formal organization, there is a division of work, and each employee is expected to do his or her part of the work besides there are predefined positions, job descriptions, and promotion processes which in turn makes the whole structure of formal organization robotic in nature as everything is designed in such a way that employees will not have any say in the working of the company rather they have to just work as they are told.
Target Oriented
Formal organizations are target-oriented in the sense that the company has targets for everything whether its annual sales, profits, budgeting, and so on besides employees too are given targets or goals on the basis on which their performance appraisal is done. In simple words due to formal organizations being target-oriented the employees, as well as owners, do not pay attention to creativity and research rather their goal is to achieve success in the short term even if it involves long-term pain to themselves as well as the company.
As one can see from the above characteristics of a formal organization has some unique characteristics and is perhaps the reason why it is used extensively by all the companies all over the world as far as the working of the company is concerned.