The influence of informal groups on management in selected organisations

(MBA) North-West University, Mafikeng Campus, 2006The existence of informal groups in organisations is a reality. People in organisations compete for scarce resources, positions and influence, and as a result, depend on each other or groups to achieve their objectives. The purpose of each study was to establish the perception organisational members have on informal groups and the influence these groups have on the management of organisations. The problem is whether management or leadership in organisations can effectively perform without being affected and influenced by these informal structures. the main objective s of the study was to investigate and establish whether informal groups or cabals had a particular influence on the performance of management and how that influence impacted on the managing or leadership of organisations. A case study of four organisations, namely Mafikeng and Naledi municipality, the Quality Assurance Directorate in the Department of Education and the ANC Vryburg branch was conducted. members of these organisations were randomly sampled in line with the purposive sampling strategy for the interview purpose. The empirical investigation revealed that informal groups exist in organisations and they serve their own interest. members of the informal groups are well known and influential people who have a tendency to disregard organisational processes and procedures. The study also showed that informal groups are described as destructive and detrimental to the welfare and operations of the organisation, in that they have the capacity to influence, intimidate and affect management and leadership in the performance of duties. The groups can also dominate and dictate terms to others and are a potential for conflict in the organisation. The researcher recommends that management or leadership in organisations should be proactive by pre-emptying and identifying possible informal groups and deal with them by formulating and creating structures and systems to regulate, manage, control, monitor and evaluate personnel, resources and activities. In addition, management should be transparent, involve all members fairly and channel the energies of informal groups in a positive direction, for continuous capacity building. Management should further on a continuous basis remind members on the latest developments regarding various procedures, code of conduct, the necessity and consequences of non-compliance to organisational policies, principles and procedures.Master