Human resources management concepts and practices

Human Resources: Informal Groups

The objective of this study is to examine the differences between informal groups and formal groups.

Informal Groups

Informal groups are those comprised by individuals who share the same interests or participate in the same type of activities. Individuals involved in informal groups generally share similar practices or adopt similar identities. Informal groups are characterized by a "sense of community" with leaders of informal groups often opposing the organization's formal directives. Informal groups enable the organization to work in a more effective manner and for example may serve to "ease communication between employers and provide encouragement to managers for planning and acting in a careful manner. The downside of informal groups is that they often serve to provide encouragement for less than desirable attitudes and often "foster interpersonal and intrapersonal conflict." (Boundless, 2013, p.1)

Informal Groups are often referred to as a community of practice and to be a group that arises "naturally from a common interest in a particular domain or area." (Boundless, 2013, p.1) The informal group may also be created "with the specific goal of gaining knowledge related to a common field." (Boundless, 2013, p.1) The informal group learns from one another due to the sharing of information and experiences which enables the group members in their personal and professional development. (Boundless, 2013, paraphrased)

II. Formal Groups

Formal groups may be defined "as the rules that are readily observable through written documents or rules that are determined and executed through formal position such as authority and ownership." (Management Skills, 2006, p.1) These types of groups are reported to be inclusive of "explicit incentives, contractual terms and firm boundaries as defined by equity positions, organizational charts and job descriptions generally reflect the formal structure or prescribed network in a given organization." (Management Skills, 2006, p.1) In order to perform effectively in the formal group, the individual would have to understand the role requirements "within the cultural and procedural context of the organization." (Management Skills, 2006, p.1)

III. Contribution of Informal Groups