A group is the arrangement of the individuals who have something in common, i.e., either they possess a similar trait or falls into the same situation. This association becomes a temporary identity of the individuals who form it. Also, every group has its norms, goals, composition and criteria.

There are numerous types of groups which differ from each other because of their size, purpose, membership criteria, formation, functioning, arrangement, etc. In our daily lives, we come across this word ‘group’ indefinite times.

However, selecting a particular group may or may not be in the hands of its members; each one of us belongs to one or the other group in some manner

Formal Groups

Formal groups are created to achieve specific organizational objectives. Usually, they are concerned with the coordination of work activities.

People are brought together based on different roles within the structure of the organization. The nature of the task to be undertaken is a predominant feature of the formal groups.

Goals are identified by management and short and rules relationships and norms of behavior established. Formal groups chain to be related to permanent although there may be changes in actual membership

However temporary formal groups may also be created by management, for example, the use of project teams in a matrix organization.

Informal Groups

Within the formal structure of the organization, there will always be an informal structure.

The formal structure of the organization and system of role relationship, rule, and procedures, will be augmented by interpretation and development at the informal level.

Informal groups are based more on personal relationships and agreement of group’s members than on defined role relationships. They serve to Satisfy psychological and social needs not related necessarily to the tasks to be undertaken.

Groups may devise ways of attempting to satisfy members’ affiliations and other social motivations that are lacing in the work situation, especially in industrial organizations.


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