What is informal communication? Explain briefly the advantages and limitations of informal communication.

Meaning: It refers to interchange of information unofficially.

Advantages: The informal channel of communication has the following advantages:

(i) Fast and Effective Communication: Under this communication, the messages move fast and their effect is equally great on the people.

(ii) Free Environment: Informal communication is done in a free environment. Free environment means that there is no pressure of any office — big or small. The attached reactions of the employees can easily be collected.

(iii) Better Human Relations: Informal communication saves the employees from tension. Freedom from tension helps the establishment of better human relations. This also affects favourably the formal communication.

Limitations: The defects or limitations of the informal communication are as under:

(i) Unsystematic Communication: This communication is absolutely unsystematic and it is not necessary that information reaches the persons concerned.

(ii) Unreliable Information: Most of the information received through this communication is undependable and no important decision can be taken on its basis.