Informal organization. Its features are:-
i. Formation: It emerges on its own in a natural manner within the formal organization as a result of social interactions among people.
ii. Standards of behavior and performance: Standards of behavior and performance are determined by group norms which are evolved by mutual consent among members rather than officially **** down rules and regulation.
iii. Independent channel of communication: In this organization, relations among different people are not defined because a person at the lower level of rank can have direct contact with the person at the highest level of rank. So, the flow o communication cannot be specified.
iv. Emerges spontaneously: It emerges spontaneously and is not deliberately created by the management.
v. No definite structure: It has any definite structure or form because it is a complex network of social relationships among members.