What is a key aspect of formalization's impact on employees?

Setting clear expectations through rules is a key aspect of formalization's impact on employees. Formalization refers to the extent to which policies, procedures, job descriptions, and rules are documented and made explicit within an organization. By establishing clear guidelines and expectations, employees can understand their roles, responsibilities, and the standards of performance required from them. This clarity minimizes ambiguity, which can lead to increased efficiency and productivity, as employees are more aware of what is expected and how to achieve it.

When employees are provided with these formal guidelines, they are better equipped to align their actions with organizational goals, making it easier to coordinate efforts and assess performance. While some may argue that formalization limits creativity or individual decision-making, it predominantly serves to establish a structure within which employees operate, ultimately benefiting organizational coherence and effectiveness.