State any two advantages and two limitations of informal organisation

Advantages of informal organisation:

1. It leads to faster spread of information as well a quick feedback.
2. It fulfils the social needs of the members.
3. It contributes towards fulfilment of organisational objectives by compensating for inadequacies in the formal organisation.

Limitations of informal organisation:

1. It leads to spread of rumours.
2. It may lead to resistance to change.