What is meant by 'Informal Organisation'? State any two advantages.


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Informal Organisation: It is a network of social relationships that arise out of personal interaction among the employees of organization beyond their officially defined roles.

Advantages:

(1) It leads to faster spread of information as well towards a quick feedback.

(2) It fulfills the social needs of the members.

(3) It contributes towards fulfillment of organisational objectives by compensating for inadequacies in the formal organisation.

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