Answer to Question 1
An organization's informal structure is composed of those aspects of participants' day-to-day activities and interactions that ignore, bypass, or do not correspond with the official rules and procedures of the bureaucracy.
An example is an informal grapevine that spreads information (with varying degrees of accuracy) much faster than do official channels of communication, which tend to be slow and unresponsive. The informal structure has also been referred to as work culture because it includes the ideology and practices of workers on the job. Workers create this work culture in order to confront, resist, or adapt to the constraints of their jobs, as well as to guide and interpret social relations on the job. Two schools of thought have emerged with regard to the positive and negative aspects of informal structure. Traditional management theories are based on the assumption that people are basically lazy and motivated by greed. Consequently, informal groups must be controlled (or eliminated) in order to ensure greater worker productivity. By contrast, the other school of thought asserts that people are capable of cooperation. Thus, organizations should foster informal groups that permit people to work more efficiently toward organizational goals.
Answer to Question 2
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