Formal organization

A formal organization is an organization with a fixed set of rules of intra-organization procedures and structures. As such, it is usually set out in writing, with a language of rules that ostensibly leave little discretion for interpretation.

Sociologist Max Weber devised a model of formal organization known as the bureaucratic model that is based on the rationalization of activities through standards and procedures.^[1] It is one of the most applied formal organization models.

In some societies and in some organizations, such rules may be strictly followed; in others, they may be little more than an empty formalism.

• To facilitate the accomplishment of the goals of the organization: In a formal organization, the work is delegated to each individual of the organization. He/She works towards the attainment of definite goals, which are in compliance with the goals of the organization.
• To facilitate the co-ordination of various activities: The authority, responsibility, and accountability of individuals in the organization are very well defined. Hence, facilitating the co-ordination of various activities of the organization very effectively.
• To aid the establishment of logical authority relationship: The responsibilities of the individuals in the organization are well defined. They have a definite place in the organization due to a well-defined hierarchical structure that is inherent in any formal organization.
• Permit the application of the concept of specialization and division of Labor. Division of work amongst individuals according to their capabilities helps in greater specializations and division of work.
• Incite a sense of group cohesiveness.