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Which function of the informal organization fills a gap the formal organization leaves?
AIt provides status and recognition to employees
BIt issues the written rules of the organization
CIt sets the pay scales for junior employees
DIt appoints the managers of each department
Answer & Solution
Correct answer: A. It provides status and recognition to employees
1. The informal organization provides friendship and social contact and helps members feel connected with what is going on.
2. It can also provide status and recognition that the formal organization cannot or will not provide employees.
3. Written rules, pay scales, and managerial appointments all remain formal decisions.
4. That is what makes recognition the function filling a genuine gap.
_Source: OpenStax Introduction to Business (CC BY 4.0), Ch 7 "Designing Organizational Structures", section 7.7 Functions of the Informal Organization_
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