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    Compiled by

    A Srinivasa Rao

    The dynamics of OB

    - Groups and teams

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    Types of Groups Formal Groups

    created by managerialdecision to accomplishstated goals of theorganization.

    Command Group

    Task Group

    Formal Groups

    created by managerialdecision to accomplishstated goals of theorganization.

    Command Group

    Task Group

    Informal Groups

    arise from individualefforts and developaround commoninterests andfriendships rather thandeliberate design.

    Interest Groups

    Friendship Groups

    Informal Groups

    arise from individualefforts and developaround commoninterests andfriendships rather thandeliberate design.

    Interest Groups

    Friendship Groups

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    Why People Form Groups

    The Satisfactionof Needs

    Proximity andAttraction

    Group GoalsEconomics

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    Mutual Acceptance

    Communication and Decision Making

    Motivation and Productivity

    Control and Organization

    Stages of Group Development

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    Characteristics of Groups

    Structure StatusHierarchy

    Roles

    Leadership

    CohesivenessNorms

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    44 Expected role:Expected role: Formal requirements ofFormal requirements of

    the role within the group.the role within the group.

    44

    Perceived role:Perceived role: The set of behaviorsThe set of behaviorswhich the group member believeswhich the group member believes

    he/she should enact.he/she should enact.

    44 Enacted role:Enacted role: The behaviors which theThe behaviors which the

    member actually carries out.member actually carries out.

    Role Types in Groups

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    Group Norms Standards of behavior shared by group

    members Formed only for things important to the

    group

    May be written, but more often orallycommunicated; can be implicit

    Accepted in various degrees by groupmembers

    May apply to all or to only some group

    members

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    Leadership Roles in Groups

    In Formal Groups

    Can exercise legitimately sanctioned power (i.e., rewardsand punishment)

    In Informal Groups

    Helps accomplish group goals

    Enables members to satisfy needs

    Embodies the values of the group

    Represents groups viewpoint with other group leaders

    Facilitates group conflict, initiates group actions,maintains the group as a functioning unit

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    Group Cohesiveness: Sources of

    Attraction to a Group

    The goals of the group and the members

    are compatible and clearly specified The group has a charismatic leader

    The group has a reputation foraccomplishment

    The group is small enough to have

    members opinions heard The members support one another and

    help each other overcome obstacles

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    Degree of

    group

    cohesiveness

    Low

    Performance

    probably orientedaway from

    organizational goals

    Performance

    probably oriented

    toward achievement

    of organizational

    goals

    High

    Performance

    oriented away from

    organizational goals

    Performanceoriented toward

    achievement of

    organizational goals

    Low High

    Agreement with organizational goals

    Relationship Between Group Cohesiveness and

    Agreement with Organizational Goals

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    Groupthink A cohesivegroups desire for agreement

    interferes with the groupsconsideration of alternative

    solutions.

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    Characteristics of Groupthink

    Illusion of invulnerability.

    Members believe that they are invincible.

    Tendency to moralize.

    Any opposition to group views is characterized bymembers as weak, evil, or unintelligent.

    Feelings of unanimity.

    Each member of the group supports the leadersdecisions. Members may have reservations aboutdecisions, but do not share their views.

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    Characteristics of Groupthink (continued)

    Pressure to conform.

    Formal and informal attempts are made todiscourage discussion of divergent views.

    Opposing ideas dismissed.

    Any individual or outside group that criticizes oropposes a decision receives little or no attentionfrom the group.

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    Types of TeamsProblem-Solving

    Teams

    Virtual Teams

    Cross-FunctionalTeams

    Sunk works

    Self-Directed WorkTeams

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    Why are Teams Formed?

    To enhance

    organizationalproductivity

    To assume thetasks of managers

    eliminated bydownsizing

    To provide flexibility

    and faster decisions

    To enhance

    organizationalproductivity

    To assume the

    tasks of managerseliminated bydownsizing

    To provide flexibilityand faster decisions

    To take advantage

    of the benefits ofdiversity

    To improve quality

    To increase

    customer

    satisfaction

    To take advantage

    of the benefits ofdiversity

    To improve quality

    To increase

    customer

    satisfaction

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    Teams should be used when thefollowing factors are present:

    A serious commitment from group members. A complicated problem that requires

    employees with diverse talents and functional

    expertise. A goal of improving on an existing product,

    service, or process.

    A task that lends itself to a division of labor.

    A situation in which making the wrong

    decision is too costly.

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    Before placing employees into teams,

    decision makers should ask the followingquestions:

    Can the work be performed better by more thanone individual?

    Does the work lend itself to a common set ofgoals for the people in a team?

    Are members of the team interdependent?

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    Requirements for Effective Teams

    Top-level commitment and provision

    of clear goals.

    Management-employee trust.

    Willingness to take risks and shareinformation.

    Time, resources, and a commitmentto training.

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    The Role Concept Role: Organized set of behaviors expected

    of an individual in a specific position Multiple roles: Roles performed

    simultaneously because the individual holds

    many positions in a variety of organizationsand groups

    Role set/role perception: Individuals

    expectations for behavior of a person in aparticular role; different groups havedifferent expectations

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    Role Conflict

    Person-role conflict: role requirements

    violate the basic values, attitudes, andneeds of the individual

    Intra-role conflict: difficulty in satisfyingthe role requirements of people withdifferent expectations

    Inter-role conflict: difficulty in fulfillingmultiple roles with conflicting expectations

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    Results of Role Conflict

    An individual confronted with role conflict

    experiences psychological stress that mayresult in emotional problems and indecision.

    Role conflict occurs frequently and with

    negative effects on performance over a widespectrum of occupations.

    When individuals are faced with conflicting

    expectations or demands from two or moresources, the likely result is a decline inperformance.

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    Groups, Teams andOrganizational Effectiveness

    Group

    Two or more people who interact with each other toaccomplish certain goals or meet certain needs.

    Team

    A group whose members work intensely with eachother to achieve a specific, common goal or objective.All teams are groups but not all groups are teams.

    Teams often are difficult to form. It takes time for members to learn how to work together.

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    Groups and Teams Contributionsto Organizational Effectiveness

    Figure 14.1

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    Groups and Teams as

    Performance Enhancers

    Performance Enhancement

    Making use of the synergy from employees in a groupproducing more or better output than employeesworking separately.

    Bounce ideas off one another. Correct each others errors.

    Bring more new ideas to bear on problems

    Accomplish projects beyond the scope of individuals

    Managers should build autonomous empoweredgroups composed of members of complementaryskills and knowledge.

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    Groups and Teams andResponsiveness to Customers

    Responsiveness to Customers Difficult to achieve given the many

    constraints.

    Safety issues, regulations, costs. Cross-functional teams can provide the wide

    variety of skills needed to meet customer

    demands. Teams consist of members of different

    departments.

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    Teams and Innovation Innovation

    The creative development of new products,new technologies, new services, or neworganizational structures

    Individuals rarely possess the wide variety of skillsneeded for successful innovation.

    Team members can uncover each others flaws

    and balance each others strengths andweaknesses

    Managers should empower the team and make itaccountable for the innovation process.

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    Groups and Teams as

    Motivators Members of groups, and particularly

    teams, are often better motivated andsatisfied than individuals.

    Team members are more motivated and satisfied

    than if they were working alone. Team members can see the effect of their

    contribution to achieving team and organizationalgoals.

    Teams provide needed social interaction and helpemployees cope with work-related stressors.

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    The Types of Groups and Teams in

    Organizations

    Figure 14.2Source:

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    The Types of Groups and Teams Formal Group

    A group that managers establish to achieveorganization goals.

    Informal Group

    A group that managers or nonmanagerial

    employees form to help achieve their owngoals or to meet their own needs.

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    The Types of Groups and Teams

    Type of Team

    Top-management

    team

    A group composed of the CEO, the president,

    and the heads of the most importantdepartments

    Research anddevelopment team

    A team whose members have the expertiseand experience needed to develop newproducts

    Command groups A group composed of subordinates whoreport to the same supervisor, also called adepartment or unit,

    Task forces A committee of managers or nonmanagerialemployees from various departments ordivisions who meet to solve a specific,mutual problem; also called an ad hoccommittee

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    The Types of Groups and Teams (contd)

    Type of Team

    Self-managed work

    team

    A group of employees who supervise their

    own activities and monitor the quality of thegoods and services they provide.

    Virtual team A team whose members rarely or never meetface to face and interact by using variousforms of information technology such as

    email, computer networks, telephone, fax andvideo conferences.

    Friendship group An informal group composed of employeeswho enjoy each others company and

    socialize with each other.

    Interest group An informal group composed of employeesseeking to achieve a common goal related totheir membership in an organization.

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    Group Dynamics Group Dynamics

    The characteristics and processes that affect how agroup or team functions.

    Group size affects how a group performs.

    Normally, small groups (2 to 9 members) interact better and

    tend to be more motivated.

    Larger groups can be used when more resources are neededand division of labor is possible.

    Group tasks impact how a group interacts.

    Task interdependence shows how the work of one memberimpacts another; as interdependence rises, members mustwork more closely together.

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    Group Dynamics: Interdependence Task Interdependence Types

    Pooled Members make separate, independent contributions to group

    such that group performance is the sum of each memberscontributions.

    Sequential Members perform tasks in a sequential order making it difficult

    to determine individual performance since one memberdepends on another.

    Reciprocal Work performed by one group member is mutually dependent

    on work done by other members.

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    Types of Task

    Interdependence

    Figure 14.3

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    Group Leadership Effective leadership is a key ingredient in

    high performing groups, teams, andorganizations.

    Formal groups created by an organizationhave a leader appointed by theorganization.

    Groups that evolve independently in anorganization have an informal leaderrecognized by the group.

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    Stages of Group Development Forming

    Group members get to know each other andreach common goals.

    Storming

    Group members disagree on direction and

    leadership. Managers need to be sure theconflict stays focused.

    Norming

    Close ties and consensus begin to develop

    between group members.

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    Stages of Group Development Performing

    The group begins to do its real work.

    Adjourning

    Only for task forces that are temporary.

    Note that these steps take time!

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    The Stages of Group Development

    Figure 14.4

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    Punctuated equilibrium model For temporary groups with deadline

    Alarm clock at half way of deadline Phase one

    Period of inertia

    Directions written in stone not reexamined

    Transition

    burst of changes

    Dropping of old patterns

    New perspectives

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    Punctuated equilibrium model cont

    Phase 2- Execution and completion.

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    Group Dynamics Group Norms

    Shared guidelines or rules that most groupmembers follow.

    Groups may set their working hours, behavior

    rules, and output quotas.

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    Group Cohesiveness Group Cohesiveness

    The degree to which members are attracted or loyalto the group.

    Increases in group cohesiveness causes:

    Participation in the group to increase which helps get

    members actively involved, but too much involvement canwaste the groups time.

    Conformity to group norms to increase, although with toomuch conformity, group performance can suffer.

    Group goal accomplishment to increase in importance whichcan result in the group becoming more focused on itself thanthe organization.

    Sources and Consequences of

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    Sources and Consequences of

    Group Cohesiveness

    Figure 14.6

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    Factors Leading to Group Cohesiveness

    Factor

    Group Size Smaller groups allow for high cohesiveness;

    Low cohesiveness groups with manymembers can benefit from splitting into twogroups.

    Managed Diversity Diverse groups often come up with bettersolutions.

    Group Identity Encouraging a group to adopt a uniqueidentity and engage in competition withothers can increase cohesiveness.

    Success Cohesiveness increases with success;finding ways for a group to have some smallsuccesses increases cohesiveness.

    44

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    Ways to Reduce Social Loafing

    Make individualcontributions identifiable

    Make individuals feel

    that they are makingvaluable contributionsto a group

    Keep the group assmall as possible

    55

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    Advice to Managers Whenever feasible, make individual contributions or

    individual levels of performance in a group identifiable,

    and evaluate these contributions.

    When work is performed in groups, let each member knowthat he or she can make an important and worthwhile

    contribution to the group. When you are unable to evaluate individual contributions

    to a group, consider having group members evaluate eachothers contributions and rewarding group members on

    the basis of group performance. Keep work groups as small as possible while making sure

    that a group has enough resources (member knowledge,

    skills, experiences) to achieve its goals.

    Whenever feasible, make individual contributions orindividual levels of performance in a group identifiable,

    and evaluate these contributions.

    When work is performed in groups, let each member know

    that he or she can make an important and worthwhilecontribution to the group.

    When you are unable to evaluate individual contributions

    to a group, consider having group members evaluate eachothers contributions and rewarding group members on

    the basis of group performance.

    Keep work groups as small as possible while making sure

    that a group has enough resources (member knowledge,skills, experiences) to achieve its goals.

    Task Interdependence66

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    Task Interdependence

    Thompsons model of group tasks helps managersidentify

    Task characteristics that can lead to process losses.The most effective ways to distribute outcomes orrewards to group members to generate high motivation.

    The model is based on the concept of taskinterdependence, which is the extent to which thework performed by one member of a group affectswhat other members do. There are three types:

    Pooled Task InterdependenceSequential Task Interdependence

    Reciprocal Task Interdependence

    77

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    Task Interdependence

    Pooled Task Interdependence: each member ofa group makes separate and independentcontributions to group performance.

    Sequential Task Interdependence: requiresspecific behaviors to be performed by group

    members in a predetermined order.Reciprocal Task Interdependence: theactivities of all work group members are fully

    dependent on one another so that each membersperformance influences the performance of everyother member of the group.

    88

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    Task Interdependence99

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    Task Interdependence

    As task interdependence moves from pooled tosequential to reciprocal interdependence, thepotential for process lossesincreases because

    Identifying individual performance becomesincreasingly harder.Coordination becomes more difficult.

    The potential for process gainsalso increases

    as task interdependence becomes morecomplex because of the increased likelihood ofsynergy.

    Synergy: A process gain that occurs when members

    of a group acting together are able to produce moreor better output than would have been produced bythe combined efforts of each person acting alone.

    Advice to Managers

    1010

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    Advice to Managers

    When a group task involves pooled interdependence, allocateindividual tasks to group members to avoid duplication ofeffort, and evaluate individual levels of performance and rewardgroup members for their individual performance.

    When a group task involves sequential interdependence, do asmany of the following as feasible: Monitor on-the-job behaviorsof group members. Reward group members for groupperformance. Assign workers with similar ability levels to the

    same group. Reward workers for good attendance. Havemultiskilled workers available to fill in when needed.

    When a group task involves reciprocal interdependence, do asmany of the following as feasible: Keep group size small. Make

    sure that each group member knows that he or she can make acontribution. Reward group members for group performance.Increase physical or electronic proximity of members.Encourage clear and open communication. Encouragemembers to help one another as needed.

    1111

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    Signs of Cohesiveness1212

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    Signs of Cohesiveness

    Low cohesivenessLow cohesiveness: Information flows slowly within thegroup, the group has little influence over its membersbehavior, and the group tends not to achieve its goals.

    Moderate cohesivenessModerate cohesiveness: Group members work welltogether, there is a good level of communication andparticipation in the group, the group is able to influence

    its members behavior, and the group tends to achieveits goals.

    Very high cohesivenessVery high cohesiveness: Group members socializeexcessively on the job, there is a very high level of

    conformity in the group and intolerance of deviance, andthe group achieves its goals at the expense of other

    groups.

    Consequences of High Cohesiveness

    1313

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    Consequences of High Cohesiveness(Table 11.1)

    Consequences of

    High Cohesiveness

    A high level of

    participation and

    communication

    within the group

    A high level of

    conformity to group

    norms

    Group goal

    accomplishment

    Advantages

    Group members are more likely to

    perform behaviors necessary for

    the group and organization to

    achieve their goals, information

    flows quickly in the group, and

    turnover may be relatively low.

    The group is able to control its

    members behavior to achieve

    group goals.

    The group achieves its goals

    and is effective.

    Group members may waste

    time socializing on the job

    and chatting about nonwork

    matters.

    Excessive conformity within the

    group may result in resistance to

    change and failure to discard

    dysfunctional norms.

    Group members may not

    cooperate with other groups

    as much as they should.

    Potential

    Disadvantages

    1414

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    Disadvantages of High Cohesiveness(Table 11.2)

    Consequences of

    High Cohesiveness

    Consequences of

    High Cohesiveness

    A high level of

    participation and

    communication

    within the group

    A high level of

    conformity to group

    norms

    Group goal

    accomplishment

    A high level of

    participation and

    communication

    within the group

    A high level of

    conformity to group

    norms

    Group goal

    accomplishment

    DisadvantagesDisadvantages

    Group members waste time socializing

    on the job and chatting about nonwork

    matters.

    Group members behave in ways that are

    dysfunctional for the organization.

    The group achieves its goals at theexpense of organizational goals.

    Group members waste time socializing

    on the job and chatting about nonwork

    matters.

    Group members behave in ways that are

    dysfunctional for the organization.

    The group achieves its goals at the

    expense of organizational goals.

    Advice to Managers

    1515

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    d ce to a age s

    If group and organizational goals are aligned and group

    cohesiveness is very low, try to increase cohesiveness bydecreasing the size of the group, increasing the level of

    similarity of group members, introducing some element ofcompetition with other groups, giving special rights orprivileges, and encouraging small successes.

    If group and organizational goals are aligned and group

    cohesiveness is very high, try to lower it by increasing groupsize, introducing more diversity within the group, discouragingcompetition with other groups, and encouraging cooperation.

    If group and organizational goals are not aligned, do not try to

    increase cohesiveness. Try to realign group goals withorganizational goals by ensuring that group members benefit

    when their efforts help the organization achieve its goals.

    If group and organizational goals are aligned and group

    cohesiveness is very low, try to increase cohesiveness bydecreasing the size of the group, increasing the level of

    similarity of group members, introducing some element of

    competition with other groups, giving special rights orprivileges, and encouraging small successes.

    If group and organizational goals are aligned and group

    cohesiveness is very high, try to lower it by increasing groupsize, introducing more diversity within the group, discouraging

    competition with other groups, and encouraging cooperation.

    If group and organizational goals are not aligned, do not try to

    increase cohesiveness. Try to realign group goals withorganizational goals by ensuring that group members benefit

    when their efforts help the organization achieve its goals.

    Important Organizational Groups1616

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    Important Organizational Groups

    The Top Management TeamTop Management Teamis the team ofmanagers who report to the chief executive officer(CEO).

    SelfSelf--Managed Work TeamsManaged Work Teamsare teams in whichteam members have the autonomy to lead andmanage themselves and determine how the teamwill perform its tasks.

    Research and Development TeamsResearch and Development Teamsare usuallycross-functional teams that are formed to developnew products.

    Virtual TeamsVirtual Teamsare teams in which a significantamount of communication and interaction occurselectronically rather than face to face.

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    Thank you