One of the most important assets of an organization is the individuals; the individuals are appointed and employed by an organization so as to perform some of the specific functions. When the entire individuals join together it becomes an organization, however there is a special attention given to the individuals who are doing their job alone. It is important to note the fact that the individuals work in an organization so as to show their productivity and the zeal to show that they have effectively contributed to the working environment of the organization. But in addition to this there are varied needs that must cater to their personal needs, there are things that go beyond the work environment and they look in for something that motivates them. It is important to note the fact this is the reason for the development of the informal groups develop so as to fulfill certain emotional, social and even some of the psychological needs.  Another important thing that has to be noted is the degree to which a team satisfies the needs and wants of the members determines the actual limit to which the behavior of the individual will be controlled by the group. Some of the factors that lead to the formation of the informal groups are as follows:
One of the major factors that determines the formation of the groups is the sense of belonging it is important to note the fact there are several kinds of functions that are performed by the informal groups and it is important to note that the group should be in a position so as to satisfy the affiliation needs of its group members like the friendship and a backup support. It is important to note the fact that the members of the group need to belong to it, they also need to be liked by it and even like it, they need to feel a part of it and they also need to rely on the fact that they are affected by its functioning and their work also effects the group as such.
The next factor that determines the effective functioning of the team or the development of an informal group is the identity and self esteem. It is a common scenario which prevails in the organization that the groups act as a means of developing, enhancing and even confirming a person's sense of identity and self esteem. Although there are many organizations that take the initiative to have a catch of these higher needs of their employees but the nature of some of the jobs- their technology and the prevailing environment restricts this from happening. The long communication channel further adds to a greater sense of depersonalization.
Another important factor that adds to the development of the informal groups is the impact of stress. For example one of the functions of the groups is to serve as an agent for the testing of the social relations, for instance all the group members will share the feeling that the supervisor is a slave driver and with the development of the consensus of this feeling, the informal group members are in a position to develop a unity on this feeling and reduce their anxiety associated with the job.