Formal vs. Informal org

EMPOWERING YOUR PROFESSIONAL LIFE

1. Learning to empower > control co-workers

2. Team-work environment

PRO SUCCESS TOOLSAmbidextrous professional (see Pro Orientation Mindsets topic slides)

• The formal org is the stage, the informal org, the drama. • Executives are the playwrights, employees the actors, clients the audience.• Productivity is the plot, work is the script.

1. Formal org structure = the CONTROLLING, planned out part of the org: job descriptions, org chart, rules & regulations, paperwork forms, etc.

2. Informal structure = the EMPOWERING, relational side of the org: employee work interactions, relationships, emotions, dysfunctions

Formal Org Control

The main purpose of formal org structure is to

CONTROL: •How people do work•Who gets power over others•How strategic decisions are made • The org flow of official information

FORMAL ORG CONTROL TOOLS

•Chain of command (the org chart)•Rules & polices• Job descriptions•Budgets & financial statements•Performance reviews

CONTROL-ORIENTED BUSINESS MAJORS

• Controlling people = Mgt & HR majors

• Controlling operations = HR & Supply Chain major

• Controlling customers & products = Marketing majors• Controlling information = MIS major• Controlling spending & funding =

Finance major• Controlling the flow of money =

Accounting major

The main purpose of informal org structure is to

EMPOWER workplace productivity & contributions via:

• Employees being their own bosses• Thinking innovatively outside the box (altering the status quo)• Influencing employees to internalize the org’s mission & goals

INFORMAL ORG CONTROL TOOLS

• The different org communities• Employee-directed teams• Employee social networks•Participative management

Formal org controllers get OFF-SIDES by over-controlling & thus

hampering interpersonal dynamics, innovative thinking,

employee morale, & project effectiveness.

OFF-SIDES!

• Sales reps spend too much time filling out (formal) paperwork, & not enough (informal) time with customers

• Upper level administrators (formally) choose incompatible project team members

• College students spend more time on (formal) drop/add than on course registration

The never-ending control vs. empowerment battle