Chapter 2.2.pdf

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GROUP

Meaning and Definition of GroupA group consists of two or more persons who interact with each other, consciously for the achievement ofcertain common objectives. The members of the group are inter-dependent and are aware that they are part ofa group.

According to David H. Smith: A group is a set of two or more individuals who are jointly characterized by anetwork of relevant communications, a shared sense of collective identity and one or more shared dispositionswith associated normative strength.

According to Edgar H. Schien: A group may be defined as a social phenomenon in which two or morepersons decide to interact with one another, share common ideology and perceive themselves as a group.

In order to be called a group, an aggregation of persons must satisfy the following conditions:i) People must interact with one another.ii) People must be psychologically aware of one another.iii) People should perceive themselves to be a group.

Characteristics of a Group1) Social Interaction: One of the most obvious characteristics of group is that they are composed of two or

more people in social interaction. In other words, the members of group must have influence on each other.The interaction between parties may either verbal on non-verbal, but the parties must have some impact oneach other to be considered as a group.

2) Stable Structure: Group also must posses a stable structure. Although groups can change, and often do,there must be some stable relationships that keep group members together and functioning as an unit.

3) Common Interest: Another characteristic of groups is that their members share common interests or goals.

4) Perceive themselves as Part of Group: Finally, to be a group, the individuals involved must perceivethemselves as a group. Group is composed of people who recognize each other as a member of theirgroup and can distinguish these individuals from non-members.

Types of GroupsGroups may be classified into different types. The basis of differentiation may be purpose, extent of structuring,process of formation, and size of the group membership.i) Primary and Secondary Groups: Primary groups are those characterized by intimate, face-to-face

association and co-operation. For example, family, and peer group.

Secondary groups are characterized by large size and individuals identification with values and beliefprevailing in them rather than actual interaction. For example, Occupational association and ethnic groups

ii) Membership Groups and Reference Groups: Membership groups are ones to which the individualactually belongs. For example - Clubs, Co-operative societies, Workers union, etc.

Reference groups are the ones with which an individual identifies or to which he would like to belong.

iii) In-groups and Out-groups: In-groups represents a clustering of individuals holding prevailing values in a societyor at least having a dominant place in social functioning. For example: Members of a team, family members, etc.

Out-groups are the masses or conglomerate viewed as subordinate or marginal in the culture. Forexample: Street performers for an office worker, a hawker for a surgeon.

CHAPTER2.2

Foundation of GroupBehavior


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B - 100 Thakurs MBA First Semester HB (Organizational Behavior)

iv) Interest vs. Friendship Groups: Interest group involves people who may come together to accomplish aparticular goal with which they are concerned.

Friendship groups are formed by people who have one or more common features. People coming from aparticular region or holding a particular viewpoint or speaking a particular language tend to form friendship groups.

v) Formal and Informal Groups: Formalgroups are established by the organization to accomplish specifictasks. It is a designated work-group defined by the organizational structure. It includes:

a) Command Groups: Command groups are composed of the subordinates who report directly to acommon superior. For example: A college principal and teachers, a production manager and hissubordinates in his department and so on.

b) Committees and Taskforces/Groups: Committees and Taskforces are created to carry out specificorganizational assignment or activities.

Informal groups are those groups, which appears in response to the need for social contact. These groupsare formed within the structure of the organization but by the members themselves. They are formed tosatisfy the social needs on the job.

vi) Temporary and Permanent Groups: Groups are formed for achieving certain objectives. They have a veryshort life. After attaining the objectives, they are dissolved. Solving problems and discussing ideas are the mainfunctions of temporary groups. Meetings, committees, and small groups are examples oftemporary groups.

There are certain natural and permanent groups. They have group activities, group performances, jobassignments and so on. A team is a permanent group. Trade union and business associations are

examples of permanent groups.

vii) Nominal and Non-performing Groups: Nominal groups are presented with problems to be solved.Members of the groups share their ideas in a structured format. Their alternative suggestions are discussedfor arriving at more effective suggestions. This is a nominal group because the employees are members ofthe group for name sake only.

Non-performing groups are only on paper. They are formed and developed without any performances.They have certain goals but there is no attempt to achieve those goals.

Groups at the Work PlaceWork place is more prominent for the formation and development of groups. Groups are formed both officiallyand unofficially at the work place. Officially formed groups are called formal groups and unofficially formedgroups are called informal groups.

1) Formal GroupA formal group is one that is deliberately created to perform a specific task. Members are usually appointed bythe organization, but it may not always be the case. A number of people assigned to a specific task form aformal group. One example of such a group is a committee and other examples are work units, such as asmall department, a research and development laboratory, a management team or a small assembly line. Adistinctive feature of formal groups is that a hierarchy of authority exists, with specified member rules andregulations. Rules, regulations, incentives and sanctions guide the behavior of small groups, brings out thecontributions of formal groups. Standing task group and task group are two variations of formal groups.i) A standing task group, also known as command group, is permanently specified in the organizational

structure and consists of a supervisor who exercises formal authority over subordinates. The foreman andhis group of subordinates constitute a command group.

ii) A task group is a temporary formal group that is created to solve specific problems. The group comprisesemployees who work together to complete a particular task or project, but who do not necessarily report to thesame supervisor. The employees belong to different departments. They stay together till the task is completed andonce the work is completed, the task group usually disbands and members return to their respective task groups.

Contributions of Formal Groups1) Contributions to Organizations

i) Accomplish complex, Independent tasks that are beyond the capabilities of individuals.ii) Create new ideasiii) Coordinate interdepartmental efforts.iv) Solve complex problems requiring varied information and perspectives.v) Implement action plans.vi) Socialize and train newcomers.


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Foundation of Group Behavior (Chapter 2.2) B - 101

2) Contributions to Individualsi) Satisfy needs for affiliation.ii) Confirm identity and enhance self-esteem.iii) Test and share perceptions of social reality.iv) Reduce feelings of insecurity and powerlessness.v) Provide a mechanism for solving personal and interpersonal problems

2) Informal GroupInformal groups are those groups, which appears in response to the need for social contact. These groups areformed within the structure of the organization but by the members themselves. They are formed to satisfy thesocial needs on the job.

Importance of Informal Groups to the OrganizationInformal groups are important not only from the point of view of their members; they have a great utility fromorganizations point of view also. They help the organization in better administration by performing the followingfunctions:1) Filling in Gaps in Managers Abilities: Informal organization may act to fill in gaps in a managers abilities. For

example, if a manager is weak in planning, one of his subordinates may help him informally in such a situation.

2) Solving Work Problems: Informal organization helps in solving the work problems of members. It allowsthem sharing job knowledge and taking decisions which affect a number of jobs.

3) Better Coordination: Informal groups evolve short-cuts and eliminate red tapism. They facilitate smoothflow of information and quick decision-making. All these ensure better coordination among variousindividuals and departments.

4) Channel of Communication: Informal groups act to fill up the communication gaps, which arise in theorganization. Informal communication cuts across the hierarchical and departmental boundaries andtransmits information with greater speed.

5) Restraint on Managers: Informal groups do not allow the managers to cross their limits. They restrict themfrom acquiring unlimited power and from using their power injudiciously.

6) Better Relations: A manager can build better relations with subordinates through informal contacts. He canconsult the informal leaders and seek their cooperation in getting the things done from the workers.

7) Norms of Behavior: Informal groups develop certain norms of behavior, which differentiate between good and badconduct and between legitimate and illegitimate activities. These bring discipline and order among the employees.

8) Satisfied Workforce: Cohesive informal groups provide satisfaction to the workers. As a result, laborturnover and absenteeism are reduced and organizations productivity is increased.

9) Developing Future Executives: Informal groups recognize talented workers as their leaders. Such leaderscan be picked by the management to fill vacancies at the junior executive level in the future.

Problems Created by Informal GroupsInformal groups have dysfunctional aspect too. They may create the following problems for the organization:1) Negative Attitude of Informal Leaders: The informal leader may turn out to be a troubleshooter for the

organization. In order to increase his influence, he may work against the policies of management and manipulatethe behavior of his followers. Thus, he can be a source of conflict between the management and the workers.

2) Conformity: The informal group exerts strong pressure on its members for conformity. The members maybecome so loyal to their group that following the group norms becomes a part of their life. This implies thatmembers become subject to willful control of the group leader who may lead the group towards selfish

ends. This will lead to dilution of the effect of organizational policies and practices on the group members3) Resistance to Change: Informal groups generally have a tendency to resist change. Change requires

group members to make new adjustments and acquire new skills. But groups want to maintain status quo.

4) Rumor: Informal communication may give rise to rumors. This is not desirable from organizations point ofview. Rumor originates for a number of reasons. One cause is plain maliciousness, but it is probably not themost important. A more frequent cause is employees anxiety and insecurity because of poorcommunication in the organization.

5) Role Conflict: Every member of the informal group is also a member of the formal organization. Sometimes,there may be role conflict because what the informal group requires of a member is just the opposite of what isexpected of him by the formal organization. In such a situation, group members may conform to their social norms.


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Formal group vs. Informal group

Basis Formal Group Informal Group

1) Formation Formal group is well planned andcreated deliberately.

Informal group is unplanned and it originatesautomatically.

2) Purpose It is created to achieve predeterminedobjectives.

It has no predetermined objectives.

3) Structure It is an official hierarchy of relations. It

refers to the structure of well definedauthority and responsibility relationships.

Its structure is based on human emotions and

sentiments. It refers to the personal relationshipswhich develop automatically when people worktogether.

4) Authority Formal authority is institutional, i.e., itattaches to a position and a personexercises it by virtue of his position. Formalauthority flows sown-ward as it isdelegated.

Informal authority is personal i.e., attaches to aperson. It flows downward, upward andhorizontally. Formal authority is replaced byinformal influence.

5) Chain ofCommand

Formal group follows the official chain ofcommand which cant be changed.Communication has to follow formalchannels.

Informal group does not have a fixed chain ofcommand. It is based on the sentiments of themembers. There are no fixed patterns ofcommunication.

6) Leadership The managers who have formal authorityprovide leadership to the workers.

Informal leaders are not appointed, but arechosen by the group members.

7) Communication Communication is formal and follows the

channels and direction laid down by themanagement.

The flow of communication has no pre-decided

pattern. It can flow in any direction irrespective ofthe status or position of the parties.

8) Pattern ofBehavior

It has a prescribed pattern of behavior forits members. There is an official system ofrewards and punishments to regulate thebehavior of members.

It develops social norms of behavior throughmutual consent of the members. Rewards includesatisfaction, esteem, recognition, etc. andpunishments include censure, isolation, boycott,etc.

9) HumanRelations

Formal group reflects technological side ofthe organization. It does not take care ofhuman sentiments.

Informal group reflects human aspect. It is basedon attitudes, likes and dislikes tastes, language,etc. of people.

10) Flexibility It follows a rigid structure of relationships. It is loosely structured. It is highly flexible innature.

11) Stability Formal group is usually stable. It has thecapacity to survive despite changes in theexternal environment.

Informal group may not last so long. It may haveto be dissolved because of internal or externalchanges.

Group Formation

Group formation has certain objectives. The purpose behind group formation may be task achievement,problem-solving, proximity or other socio-psychological requirements. Group formation is based on activities,interactions and sentiments.

1) Task Accomplishment: The basic purpose of group formation is the achievement of certain objectivesthrough task performance. Individuals come closer in order to understand the tasks and decide on theprocedures of performance. In any organization, task accomplishment is the reason for which differentgroups such as an engineering group; marketing group, foreman's group and personnel group are formedfor achievement of the organizations' goals. When an organization faces some procedural difficulties,concerned groups discuss them and evolve new techniques of production, marketing and other functions.

2) Problem Solving: When people foresee or face certain problems, they unite to solve the problems. Unityhas strength. A group provides strength to members who are willing to challenge any problem. Groupbehavior gives more strength to come down heavily on problems.

3) Proximity: People form groups because of proximity and attraction towards each other. The groupformation theory is based on proximity, which means that individuals affiliate because of spatial orgeographical proximity. They interact frequently with each other on many topics, because this interactivecommunication is rewarding.

4) Socio-Psychological Factors: Sentiments and action-uniformities bring people closer. They also formgroups for safety, security and social achievements. People cooperate with members of the group on socialas well as economic grounds to reach satisfactory levels.


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People form groups basically for activities, interaction and due to sentiments. People living in proximityfrequently discuss their problems. They try to reduce their tensions and achieve satisfaction. Individualsinterest each other only when they have common attitudes and sentiments. People with diverse attitudesform groups under certain compulsions to meet unexpected problems. Employees form unions to ensurethe safety and security of jobs. Outside the factory, they form groups for religious, social, cultural andpolitical activities.

Theories of Group FormationThere are four theories, which explain why the groups are formed. These include:

1) Propinquity Theory: Quite often, individuals affiliate with one another because of spatial or geo-graphicalproximity. In an organization, employees who work in the same area of the plant or office would moreprobably form into groups than those who are not physically located together. The propinquity theoryexplains a basic factor, i.e., proximity of people at the workplace, which leads to formation of groups. Thisphenomenon is observed in daily practice by all of us.

2) Homans Theory: According to George C. Homans, The more activities persons share, the morenumerous will be their interactions and the stronger will be their shared activities and sentiments; and themore sentiments persons have for one another, the more will be their shared activities and interactions.The Homans theory has contributed a great deal to the

understanding of group formation. It is based on threeconcepts, namely, activities, interactions andsentiments, which are directly related to each other asshown in figure below. The members of a group shareactivities and interact with one another not just becauseof physical proximity, but also to accomplish groupgoals. The key element is interaction because of whichthey develop common sentiments for one another.

3) Balance Theory: The theory as proposed by Theodore Newcomb States that Persons are attracted toone another on the basis of similar attitudes towards commonly relevant objects and goals. Once arelationship is formed, it strives to maintain a symmetrical balance between the attraction and the commonattitudes. If an imbalance occurs, attempts are made to restore the balance. If the balance cannot berestored, the relationship dissolves. Both propinquity and interaction play a role in the balance theory.

Thus, the balance theory is additive in nature in thesense that it introduces the factor of balance to thepropinquity and interaction factors. There must be abalance in the relationship between the group membersfor the group to be formed and for its survival. As shownin figure aside, Mr. T will interact with Mr. N and form agroup because of some common attitudes and valuessuch as authority, work, life style, religion, politics, etc.They will strive to maintain a symmetrical balancebetween the attraction and the common attitudes. Ifthey fail in their efforts, the group will get dissolved.

4) Exchange Theory: This theory is based on reward-cost outcomes of interaction between people. To beattracted towards a group, a person thinks in terms of what he will get in exchange of interaction with the

group members. Thus, there is an exchange relationship in terms of rewards and costs of associating withthe group. A minimum positive level (rewards greater than costs) of an outcome must exist in order forattraction or affiliation to take place. Rewards from interactions gratify needs while costs incur anxiety,frustrations, embarrassment, or fatigue. Propinquity, interaction and common attitudes all have roles in theexchange theory.

Why do People Join Groups?There is no single reason why individuals join groups. Since most people belong to a number of groups, it isobvious that different groups offer different attractions and benefits to their members. The most popular reasonsfor joining a group is related to our needs for security, status, self-esteem, affiliation, power, identity, huddlingand task functions.

C

Mr. NMr. T

Figure: Balance Theory of Group Formation

[Authority, work, Life Style,Religion, Policies, etc]

Common Attitudes

Sentiments

InteractionsActivities

Interaction Theory of Group Formation


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1) Security: The group provides the members a sense of social security and strength of collectivity.Individually a man feels weak, helpless and exposed to several hazards. As a member of the group, hefeels stronger and finds himself in a position to face hazards and problems more vigorously.

2) Status: Inclusion in a group that is viewed as important by others provides recognition and status for its members.

3) Self-esteem: Groups can provide people with feelings of self-worth. That is, in addition to conveying status to thoseoutside the group, membership can also give increased feelings of worth to the group members themselves.

4) Affiliation: Groups can fulfill social needs. People enjoy the regular interaction that comes with groupmembership. For many people, these on-the-job interactions are their primary source for fulfilling theirneeds for affiliation.

5) Power: The group also provides power to the members by common consensus. Group members standbehind their group leader. The unity of the group members becomes a strong force. This force of unity canbe utilized by the group leader or its members to fight their common interests and problems.

6) Goal Achievement: There are times when it takes more than one person to accomplish a particular task there is a need to pool talents, knowledge, or power in order to complete a job. In such instances,management will rely on the use of a formal group.

7) Huddling: One more reason why individuals want to join groups is for huddling. Because of the way

bureaucracies work, individuals, particularly executives, make use of informal get-togethers called huddles.These are intimate task-oriented encounters of executives trying to get something done.

Phases in Group Development

Groups generally pass through a standardized sequence in their evolution. We call this sequence as the five-stage model of group development.

The Five-stage ModelThe five-stage group development model given by Tuckman and Jensen characterizes groups as proceedingthrough five distinct stages: forming, storming, norming, performing, and adjourning.1) Forming: This first stage is characterized by a great deal of uncertainty about the groups purpose,

structure and leadership. Members are testing the waters to determine what types of behavior areacceptable. This stage is complete when members have begun to think of themselves as part of a group.

2) Storming: The storming stage is one of the intra-group conflicts. Members have accepted the existence of

the group, but there is resistance to the constraints that the group imposes on individuality. Furthermore,there is conflict over who will control the group. When this stage is complete, there will be a relatively clearhierarchy of leadership within the group.

3) Norming: In this stage, the close relationships develop and the group demonstrates cohesiveness. There isnow a strong sense of group identity and companionship. This norming stage is complete when the groupstructure solidifies and the group has assimilated a common set of expectations of what defines correct

member behavior.4) Performing: The structure at this point is fully functional and accepted. Group energy has moved from

getting to know and understand each other to performing the task at hand.

For permanent work groups, performing is the last stage in their development. However, for temporarycommittees, teams, taskforces, and similar groups that have a limited task to perform, there is anadjourning stage.

5) Adjourning: In this stage, the group prepares for its disbandment. High task performance is no longer thegroups top priority. Instead, attention is directed toward wrapping up activities. Responses of groupmembers vary in this stage. Some are upbeat, basking in the groups accomplishments. Others may bedepressed over the loss of companionship and friendships gained during the work groups life.

Pre-stage I Stage IForming

Stage IIStorming

Stage III

Norming

Stage IVPerforming

Stage VAdjourning

Stages of Group Development


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Six Stage ModelLinda Jewel and Joseph Reitz had developed a six stage model of group development it includes: orientation,conflict and challenge, cohesion, delusion, disillusion and acceptance.

1) Orientation: In this stage, uncertainty exists about the groups structure, purpose, leadership, procedures,and norms of behavior, roles of members and so on. In the first meeting, members discuss why there is aneed for them to come together for a particular purpose, which should constitute the group, who the leader

should be, what the roles of other members should be, how group goals should be accomplished and thelike. Emphasis is usually placed on making acquaintances, sharing information, testing each other, and soforth. Members attempt to discover which interpersonal behaviors are acceptable or unacceptable in thegroup and a new member is heavily dependent upon others for providing cues to acceptable behavior. Ifthere are some strong personalities attempting to dominate other group members or dictate how the groupshould operate, the issues of power, influence and authority may come up. Once the group establishes acomfortable level of mutual trust and acceptance, it can focus its attention on the work of the group. Thus,broadly, individual members here mighti) Keep feelings to themselves until they know the situation.

ii) Act more secure than they actually feel.

iii) Experience confusion and uncertainty about what is expected of them.

iv) Be polite.

v) Try to size up the personal benefits relative to the personal costs of being involved in the group.Tuckman and Jensen called this stage a forming stage.

2) Conflict and Challenge: Conflict over goals and competition over the leadership role are dominant themesat this stage. Some members may withdraw or try to isolate themselves from the emotional tensiongenerated. The key is to manage conflict during this stage, not to suppress it or withdraw from it. Tuckmanand Jensen call it storming.

3) Cohesion: Co-operation within the group is a dominant theme. A sense of shared responsibility for thegroup develops. Overtime, the group begins to develop a sense of oneness. As the group is cohesive, thework of the group really gets going. Thus this stage is marked by rapid increases in-group effectiveness.Tuckman and Jensen call it norming. Group norms emerge (norming) to guide individual behavior.

4) Delusion: This is a pleasant stage in development where members because of mutual acceptance andtrust believe that everything within the group is okay. Interpersonal conflicts in this stage are ignored orglossed over. Some groups continue to learn and develop from their experience thereby improving theirefficiency and effectiveness. Other groups may perform only at the level needed for their survival. Aminimally adequate level of performance may be caused by excessive self-oriented behaviors by group

members, the development of norms that inhibit task effectiveness and efficiency, poor group leadership, orother factors. Tuckman and Jensen call it performing stage. In this stage, the group focuses its attentionon the advantage of task specialization in order to facilitate goal attainment.

5) Disillusion: When persistent doubts are glossed over member attitudes are hardened and the danger ofdisillusionment starts staring in the face. The bubble soon bursts and group effectiveness shows littleimprovement as interpersonal problems crop up. It is a situation of group puberty before full maturationof the group. Because of disillusionment, some members may leave the group. If the groups membership

CohesionConflict &Challenge

Orientation

Immature,Inefficient

(ineffective)

GroupMaturity

MatureEfficient

(Effective)

AcceptanceDelusion Disillusion

Developing Power and Developing Interpersonal

Authority Structures Relationships

Stages of Group Development


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changes, either through the loss of an established member or the inclusion of a newcomer, it may wellengage in some activities common in earlier stages of development as it accommodates the newcomer oradjusts to the loss. Through this stage is negative in nature, it is not to be discouraged. Deviants will eitherget converted to the groups views or depart from the group leaving it more cohesive.

6) Acceptance: In this final stage of development, the group has become a mature, effective, efficient andproductive unit. The group has successfully worked through necessary interpersonal task and authorityissues. It is now characterized by a clear purpose or mission; a well understood set of norms of behavior; a

high level of cohesion; and a clear, but flexible, status structure of leader-follower relationships. This stagein Tuckman and Jensen is adjourning. This stage involves the termination of task behaviors anddisengagement from relations-oriented behaviors. Some groups with a time bound program such as projectteams with a specific objective have a well-defined point of adjournment. When the task is accomplished orthe group fails to accomplish it, it may be disbanded or have a new composition, and the stages will start allover again. Other groups may go on indefinitely, till some key members leave the organization.

Four Stage ModelHere has given four stages of Group Development:1) Latent: This stage stands for latent pattern, maintenance and tension reduction. It is marked by the groups

natural need to reach agreement as to its purposes, work methods, and expectation and participationobligation. This agreement reduces the tension surrounding the groups direction, priorities andmaintenance in the problem-solving process.

2) Adaptation: During this phase, the group generates critical information necessary to solve the problem athand. It lays out facts and identifies the necessary skills and resources required for solution and alsoparticipants identify and take on essential roles that are key to the problem-solving efforts.

3) Integration: This phase requires flexibility reassessment and innovation on the part of members and leaders alikeas they struggle to compromise and create the alternatives necessary to move the group into the final phase.

4) Goal Attainment: This is the last phase, in which the solution has been finally find out.

Punctuated-Equilibrium ModelTemporary groups with deadlines do not seem to follow the previous model. Studies indicate that they havetheir own unique sequencing of action (or inaction):i) Their first meeting sets the groups direction.ii) This first phase of group activity is one of inertia.iii) A transaction takes place at the end of this first phase, which occurs exactly when the group has used a

half its allotted time.iv) A transaction initiates major changes.v) A second phase of inertia follows the transaction, andvi) The groups last meeting is characterized by marked accelerated activity.

This pattern is called be punctuated equilibrium model and is shown in figure below:

1) The first meeting sets the groups direction. A framework of behavioral patterns and assumptions throughwhich the group will approach its project emerges in this first meeting. These lasting patterns can appear asearly as the first few seconds of the groups life.

2) Once set, the groups direction becomes written in stone and is unlikely to be reexamined throughout thefirst half of the groups life. This is a period of inertiathat is, the group tends to stand still or becomelocked into a fixed course of action. Even if it gains new insights that challenge initial patterns andassumptions, the group is incapable of acting on these new insights in Phase 1.

Time

Performance

FirstMeeting

Phase 1Transition

Phase 2 Completion

A B(A+B)/2(Low)

(High)

Punctuated-Equilibrium Model


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3) One of the more interesting discoveries made in these studies was that each group experienced itstransition at the same point in its calendarprecisely halfway between its first meeting and its officialdeadlinedespite the fact that some groups spent as little as an hour on their project while others spent sixmonths. It was as if the groups universally experienced a midlife crisis at this point. The midpoint appears towork like an alarm clock, heightening members awareness that their time is limited and that they need toget moving.

4) This transition ends Phase 1 and is characterized by a concentrated burst of changes in which old patterns

are dropped and new perspectives are adopted. The transition sets a revised direction for Phase 2.5) Phase 2 is a new equilibrium or period of inertia. In this phase, the group executes plans created during the

transition period.

6) The groups last meeting is characterized by a final burst of activity to finish its work.

In summary, the punctuated-equilibrium model characterizes groups as exhibiting long periods of inertiainterspersed with brief revolutionary changes triggered primarily by their members awareness of time anddeadlines. Keep in mind, however, that this model does not apply to all groups. Its essentially limited totemporary task groups that are working under a time-constrained completion deadline.

Determinants of Group BehaviorGroup behavior in an organization is quite complex. As shown in figure below,group behavior is influenced by

a number of factors, which can be classified as follows:1) External Factors2) Group Members Resources3) Group Structure4) Group Processes5) Group Tasks6) Performance and Satisfaction

1) Group and External Factors: There are generally several groups in an organization. Each group is a sub-

system of the organization. It interacts with other sub-systems and the organization system. Theorganization system influences the groups through corporate strategy, organization structure, rules andregulations, organizational resources, staffing policies, appraisal and reward system, organizational culture,physical work environment such as layout, lighting, interior decoration, seating arrangement, temperature,etc.

2) Group Members Resources: Group performance depends, to considerable extent, on the numberresources, which comprise:

i) Abilities of Members: The performance of a group may be influenced by the task relevant intellectualabilities of each of its members. Research evidence indicates that individuals, who hold crucial abilitiesfor attaining the groups task tend to be more involved in group activity, generally contribute more, and

more likely to emerge as the group leaders, and are more satisfied if their talents are effectively utilizedby the group. Further, intellectual ability and task relevant ability have both been found to be related tooverall group performance. However, the correlation between abilities of members and groupperformance is subject to the impact of such variables as size of the group, the nature of the task, theaction of its leader and the level of intra group conflict or cooperation.

ii) Personality Characteristics: The personality traits of group members can shape group attitudes andbehavior. The attributes that have a positive connotation tend to be positively related to groupproductivity, morale and cohesiveness. These include traits such as sociability, self-reliance, andindependence. In contrast, negatively evaluated traits such as authoritarianism, dominance, andmanipulation tend to have adverse effect on group performance in the long run.

ExternalFactors

GroupStructure

GroupProcesses

GroupTask

Performanceand

Satisfaction

Determinants of Work-Group Behavior

GroupMember

Resources


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3) Group Structure: Work groups are not unorganized mobs. They have a structure that shapes the behaviorof members and makes it possible to explain and predict a large proportion of individual behavior within thegroup as well as the performance of the group itself.

i) Formal Leadership:Almost every work group has a formal leader. He or she is typically identified by titles

such as unit or department manager, etc. This leader can play an important part in the groups success. Theleader is responsible for the direction and goal accomplishment of the group and can reward or punishindividual members when they do not comply with directions, orders or rules of the group. The leader has

the power to make the group members comply with directives because he has the organizations support.ii) Roles:A setof expected behavior patterns attributed to someone occupying a given position in a social unit.

a) Role Identity: Certain attitudes and behavior consistent with a role. These attitudes and behaviorscreate role identity.

b) Role Perception:An individuals view of how he or she is supposed to act in a given situation.c) Role Expectations: How others believe a person should act in a given situation.d) Role Conflict:A situation in which an individual is confronted by divergent role expectations.

iii) Norms: Norms are acceptable standards of behavior within a group, which are shared by the groups

members.

Common Classes of Normsa) Performance Norms: It explains how hard members should work, how to get the job done, their

level of output, appropriate levels of tardiness and the like.b) Appearance Norms: It explains how to appear yourself

c) Social Arrangement Norms: These norms primarily regulate social interactions within the group.d) Allocation of Resources Norms: These norms cover things like pay assignment of difficult jobs,

and allocation of new tools and equipment.

iv) Status: Status is a socially defined position or rank given to groups or group members by others.

v) Size: The size of a group affect the groups overall behavior but the effect depends on what dependentvariables you look at. One of the most important findings related to the size of a group has been labeledsocial loafing.

Social loafing is the tendency for individuals to expend less effort when working collectively than whenworking individually.

vi) Composition: Most group activities require a variety of skills and knowledge. Given this requirement itwould be reasonable to conclude that heterogeneous groups-those composed of dissimilar individuals-would be more likely to have diverse abilities and information and should be more effective.

4) Group Processes: Group processes refer to the communication patterns used by members, groupdecision processes, leader behavior, power dynamics, and conflict interactions. Group processes aresignificant as they can create outputs greater than the sum of their inputs because of the effect ofsynergy.The term synergy is drawn from biology that refers to an action of two or more substances that results inan effect that is much more than the summation of the individual substances.

5) Group Tasks: Groups are created to accomplish some tasks. Group tasks can range from simple tocomplex tasks. Simple tasks are routine and standardized in nature whereas complex tasks tend to benovel and non-routine. Generally, the more complex task, the more group will benefit from discussionamong members on various alternatives. If the task is simple, the search for alternatives and thusdiscussion between group members would be limited.

6) Performance and Satisfaction: Group Performance and Satisfaction tend to be more on complex tasksthan when tasks are simple. This is because of three reasons:i) The group task requires members to take initiative and use a variety of high-level skills.

ii) Complex task is perceived as meaningful.iii) Task accomplishment would increase the prestige of the group.

Group Structure

A group is not an unorganized mob of few individuals but a conscious and purposive creation. Therefore, thegroup must have structure just like an organization has structure. In a simple term, structure is the pattern in whichvarious parts or components of an object are interrelated or interconnected, in the case of a physical object, sucha pattern is visible but in the case of a social object like work group, this is not visible. Therefore, the structure of awork group has to be deduced from its various components and how they work. These are group composition,group size, roles, leadership, group norms, group cohesiveness, and status. All these affect group performance.


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1) Group CompositionGroups are formed with a number of people, may be with the diversified skills and characteristics or with unifiedskills and characteristics. The modern and global organization prefers diversified groups because diversifiedgroups have members with varied skills, cultures and heterogeneous background which bring a variety ofinformation to the company. Such information is useful to the company for making organizational strategies. Further,diversified composition of the group in terms of skills, knowledge, age, education, experience, gender, functionalspecialization, personality traits, culture etc. make creative decisions and perform creativity-demanding tasks.

Group members belonging to the same demography can do the non-creative jobs more efficiently. Groupdemography is the degree to which group members share a common demographic attributes such as age, sex,race, educational level or length of service in an organization.

The appropriate group structure should result in efficient group performance and sound group decision-making.

2) Group SizeA group can have as few as two members or as many members as can interact meaningfully and influence oneanother. Group size can have an important effect on group performance. While a larger group has advantageover a smaller group in terms of idea generation and availability of resources, it may produce inhibition forinteraction and communication among group members. Further, a larger group's behavioral pattern may resultinto social loading which affects group performance adversely. A smaller group may be effective in terms ofinteraction and communication among group members but lacks ability to handle complex tasks. Therefore, thegroup size should be determined by taking into consideration such factors as nature of tasks to be performed,maturity of group members, and the ability of group leader to manage communication, conflict, and groupactivities. Though experts view that group size of 5-7 members is the most effective; in certain cases, groupsize beyond these numbers may be effective if the above factors are highly positive.

3) RolesA role is the pattern of behaviors expected of a person occupying a particular position in a social unit. Since aperson may be part of several social units like family, friendship group, organization, etc. he may occupyseveral positions at the same time. Even in an organization working as an employee, a person may hold aposition; say chief accountant but the same person may be a superior, a subordinate, a peer, a member offinance committee, and so on. In every such form of position, behaviors expected from him may be different.Thus, there are certain actual behaviors and they create role identity. There are two elements that define thisrole identity: role perception and role expectations.

i) Role Perception: An individual is expected to behave according to his own perception in the group ororganization. The person forms this perception on the basis of certain stimuli like job description, cluesprovided in training programmes, role narration by peers, and so on. However, this perception may or may

not be correct. In order to correct this perception, analysis of role expectations is required.

ii) Role Expectations: Role expectations are defined as how others believe one should behave in a givensituation. Combining both role perception and role expectations, actual role prescription for an individual,say an employee, proceeds in the following way:a) Initial perception of employee's own role.b) Manager's expectations from employee based on manager's perception of employee's role.c) Interaction of two sets of perception leading to develop employee's perception of the employee's role

as seen by the manager.d) Prescription of actual role of the employee.

This process takes place in the case of group members too and each member becomes clear what role one isrequired to perform to achieve group objectives. Unless roles are clarified and agreed upon by group members,conflicts will inevitably arise.

4) LeadershipA group leader plays an important role in the functioning of the group. He may take the group to a new heightby channelizing the group members' resources through effective use of his leadership or may bring the group tolow level through ineffective use of his leadership. Role of leadership in managing an organization has becomeso important that it has attracted the attention of both management academicians and practitioners.

5) Group Norms

Technical Personnel do not speak much. Marketing people do not speak close to reality. 'Administrativepersonnel mostly confirm to the precedents. 'Bureaucrats strictly follow rules.' These are some of the commonbehaviors of groups. Groups of people behave in a similar pattern. This type of similar behavior of groups iscalled the normative function of groups. Normative function enables the managers why and how the groupmembers behave as per the group norms. Now we shall study what is a norm? And group norms.


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According to Stephen R. Robbins, Norms are acceptable standards of behavior within a group that areshared by the group members." Norms specify the group members Dos and Donts. They also indicate theexpectations of the group from its members. Thus, norms influence and shape the individual behavior inaccordance with the group expectations.

Norms vary from group to group, but certain norms are common for groups. All the work groups have the commonnorms of achieving high performance, improving productivity, doing the job in the right time, working smart, etc.Other common norms include appearance norms including dress, facial expressions, body language, social normslike treating the guests, friends, respecting the elders and superiors, salary levels, job family etc.

Individuals values and behavior vary from that of the group's norms. But the groups influence the individuals tomodify their behavior in accordance with the group's norms. Adjustment of employee's behavior to align with thenorms of the group is called conformity. Employees sometimes modify their attitude and behavior willingly toconfirm with the expectations of the group as the employee is aware of other members of the group. Suchgroups are called reference groups.'

Thus employees modify their value, attitudes and behavior in accordance with the group norms.

6) Group CohesivenessGroup cohesiveness means the degree of attachment of the members to their group. If group cohesion is high,the interaction between members of the group is high and the degree of agreement in group opinion is high.

Features ofCohesive GroupA cohesive group usually has the following features:i) The members share the group goals and norms and have common interests and backgrounds.ii) The number of members is small.iii) The members interact among themselves quite frequently and interpersonal communication is very effective.iv) Group loyalty among the members is high because the group enjoys high status.v) The members stand united against any perceived external threats to the group.vi) The members keep themselves glued to the group as they feel that their needs would be satisfied by the group.vii) The group has a history of past success.

Effects of Cohesivenessi) Cohesiveness influences productivity. Cohesiveness along with induction and performance norms

influences productivity.ii) High cohesiveness along with positive induction of the employee to the work, company, colleagues etc.

leads to high productivityiii) Low cohesiveness along negative induction leads to low productivity.iv) High cohesiveness along with high performance norms result in high productivity.v) High cohesiveness along with low performance norms leads to low productivity.vi) Low cohesiveness along with high performance norms results in moderate productivity.vii) High cohesiveness along with negative induction results in low productivity.

Exhibit : Factors that Increase and Decrease Group Cohesiveness

Factors that Increase Group Cohesiveness Factors that Decrease Group Cohesiveness

1) Group members spend more time with eachother

1) Spend less time with each other

2) Small size of the group 2) Large size of the group

3) Frequent interaction among members 3) Infrequent interaction among member

4) Group members have common threats 4) No threats

5) Agreement on Common Goals 5) Disagreement on Common Goals6) High competition with other groups 6) No competition with other groups

7) Personal attractiveness 7) Unpleasant experiences

8) Favorable evaluation 8) Domination by one or more members

7) Group StatusDuring the initial days of industrialization, production group in the industries was treated on a priority basiscompared to that of the marketing group, finance group and human resources group. This priority has beenshifted to other groups over the period. This is because of the social requirements. In other words, when avariety of products were not available, the society used to give top priority to the production group. This type ofpriority or position given by the society to groups and group members is referred to as status.


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Status is a socially defined position or rank given to groups or group members by others. Group members gethigh status or low status in the group based on their authority and performance. High-status members of thegroup have more freedom to deviate from the norms. This facility enables them to have the discriminatorypowers in decision-making. Low-status members of the group should not have freedom to deviate from thenorms as it leads to status inequality. Similarly, high-status groups should also have freedom to deviate fromnorms as it enables high organizational performance. In such cases, group members believe that there is statusequality. Otherwise it results in status disequilibrium, which needs corrective behavior.

Group Processes

In every group, there are different processes that are used to getting things done. A process can be defined as asystematic method of handling activities. Within a work group, processes that have important implications for groupperformance are communication, leader behavior, power dynamics, conflicts and cooperation, and group decisionmaking. Group processes have effect on group performance because of operation of social facilitation effect.

Social Facilitation EffectSocial facilitation effect refers to the tendency for performance to improve or decline in response to thepresence of others. Though this tendency is applicable to individual performance also as some individuals dobetter in presence of some but poor in presence of some others, social facilitation effect is more applicable inthe case of group performance. The research on social facilitation effect suggests that performance of simple,routine tasks tends to be speeded up and made more accurate by presence of others. When the work is morecomplex, requiring closer attention, the presence of others is likely to have a negative effect on performance,Because of operation of social facilitation effect and effect of group factors, two types of features may appear ingroups: synergy in group and social loafing.

1) Synergy in Group: Groups are created basically to take advantages of synergistic effect.

"Synergy is the process of putting two or more elements together to achieve a sum total greater than thesum total of individual elements separately. This effect can be described as 2 + 2 = 5 effect.

Thus, synergistic effect is not automatic but depends on the complementarily of different elements that are puttogether and the way they interact among themselves, that is, how a particular element affects another and isaffected by it. Putting the concept of synergy in group work means members of the group are complementary toeach other and they contribute positively to one another. In fact, a group is created to undertake a task whichrequires a variety of skills and single individual cannot perform that task alone. To the extent, thecomplementarily among members is achieved, the group would be effective, other factors remaining the same.

2) Social Loafing: Social loafing is antithesis of synergy in group work which suggests that people workingtogether on a common task may actually decrease their individual efforts; group work does not necessarilyspurt group efforts. A simple phenomenon of social loafing may be observed in a group assignment tostudents during their study. In such an assignment, students find that one or two students do not put theirweight for the completion of the project. These students may be called loafers (not attaching the sameconnotation which is attached with the term loafer in our social phenomenon) who frequently miss theproject group's meetings, fail to perform their assigned tasks, and so on. They rely on the fact that the morereliable members will complete the project without their help, and still expect to share the credit and obtainthe same marks from the professor since he will not be concerned with determining who worked and whodid not, This phenomenon may happen in groups in work organizations too, For example, in one

experiment, it was found that individual's total efforts were much higher than the group efforts. Individualswere asked to pull alone as hard as possible on a rope attached to a strain gauge. They averaged 138.6pound of pressure while tugging on the rope. When the same individuals pulled on the rope of groups of

three, they exerted only 352 pounds of pressure with an average of 117.3 pounds each. In a group of eight,the individual average dropped down still lower68.2 pounds. Dropping of average output in group effortsindicates that some members of the group were not contributing as much as they did individually. Thepossibility of occurring of social loafing in a group work increases because of the following reasons:

i) When the division of work cannot be accomplished properly and individual efforts are hard todetermine, group efforts tend to slacken.

ii) When the group is not cohesive with high output norms, individual members do not contribute to thefullest extent. A group is not merely an assemblage of individuals but there should be a feeling that theyare members of the group and share common interests, goals, and attitudes.

The phenomenon of social loafing can be minimized by constituting effective group.


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Guidelines for Effective Use of Group DynamicsGroup cohesiveness or solidarity may produce resistance to change or acceptance of it. It is the responsibilityof a manager to use group dynamics in such a way that the solidarity of the group contributes to a favorableattitude towards high standards and acceptance of necessary changes. In order to achieve this, the followingprinciples of group dynamics laid down by Dorwin Cartwright should be followed:

1) If the group is to be used effectively as a medium of change, those people who are to be changed andthose who are to exert influence for change must have a strong sense of belongingness to the same group.

2) The more attractive the group is to its member, the greater is the influence that the group can exert on its members.

3) In attempts to change attitudes, values or behavior, the more relevant they are to the basis of attraction tothe group, the greater will be the influence that the group can exert upon the members.

4) The greater the prestige of a group member in the eyes of the other members, the greater the influence hecan exert.

5) Efforts to change individuals or subparts of a group, which if successful, would have the effect of makingthem deviate from the norms of the group will encounter strong resistance.

6) Strong pressure for change in the group can be established by creating a shared perception by themembers of the need for change, thus making the source of pressure for change lie within the group.

7) Information relating to the need for change plans for change, and consequences of change must be sharedby all relevant people in the group.

8) Changes, in one part of a group, produce strains in related parts which can be reduced only by eliminatingthe change or by bringing about readjustment in related parts.

Group Decision-Making

Decision-making is an act of choice wherein an individual or a group selects a particular course of action fromthe available alternatives in a given situation. The basic characteristics of the group decision-making processare as follows:i) It is a human process involving to a great extent the application of intellectual abilities.ii) It is a process of choosing a course of action from among the alternative courses of action.iii) Decision-making in business is always related to certain objectives.iv) It is the end process preceded by deliberation and reasoning.v) It is always related to a situation. A manager may take one decision in a particular set of circumstances and

another in a different set of circumstances.vi) It involves some commitment, may be even for a short period.

Decision-making is at the core of managerial planning. It involves establishing goals, defining tasks, searchingfor alternatives and choice of the best alternative. In an organization, decision-making may be carried out byboth individuals and groups. In modern organizations facing the environmental uncertainties, group decision-making has become almost indispensable.

In any organization, many decisions are made by individuals without taking the help of the group memberswhile more decisions are made by group. Therefore, the question arises: what are the situations in whichindividual decisions should be preferred and what are the situations in which group decisions should bepreferred? Following is the analysis of situations for individual and group decisions:

1) Nature of Problem: If the policy guidelines are given, individual decision-making will result in greatercreativity as well as more efficiency. Where the problem requires a variety of expertise, group decision-making is suitable.

2) Acceptance of Decision: Where organizational prescription makes it mandatory to go for group decision,the decision would be accepted only when it has been made by the appropriate group, for example,committee decision. In other cases also, group decision is more accepted for implementation.

3) Quality of Decision: Group decision-making generally leads to higher quality solutions unless an individualhas expertise in the decision area and this is identified in advance.

4) Climate of Decision-Making: Supportive climate encourages group problem solving whereas competitiveclimate stimulates individual problem solving.

5) Time Availability: Group decision-making is a time-consuming process and, therefore, when time at thedisposal is sufficient, group decision-making can be preferred.


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Group Decision-Making Techniques

1) Interacting Groups: The most common form of group decision-making takes place in interacting groups. Inthese groups, members meet face-to-face and rely on both verbal and nonverbal interaction to communicatewith each other. But interacting groups often censor themselves and pressure individual members towardconformity of opinion. Brainstorming, the nominal group technique, and electronic meetings have beenproposed as ways to reduce many of the problems inherent in the traditional interactive group.

2) Brainstorming: Brainstorming is meant to overcome pressures for conformity in the interacting group thatretard the development of creating alternatives. It does this by utilizing an idea-generation process thatspecifically encourages any and all alternatives, while withholding any criticism of those alternatives.

In a typical brainstorming session, a half dozen to a dozen people sit around a table. The group leaderstates the problem in a clear manner so that it is understood by all participants. Members then freewheelas many alternatives as they can in a given length of time. No criticism is allowed, and all the alternativesare recorded for later discussion and analysis. That one idea stimulates other and that judgments of even

the most bizarre suggestions are withheld until later encourage group members to think the unusual.The fourbasic rules of brainstorming are as under:i) No criticism is allowed.ii) Freewheeling is always welcome: The wilder the idea the better it is. It is easier to jot down than to think

up ideas.iii) Quantity is desirable.iv) Combination and improvements are sought from the members.

Brainstorming, however, is merely a process for generating ideas. The following two techniques go furtherby offering methods of actually arriving at a preferred solution.

Advantages of the Brainstorming Techniquei) The main advantages of this technique are broader participation, enthusiasm, deferred judgment,

greater task orientation, team work and stimulated thinking.

ii) This technique is very effective when the problem is comparatively specific and can be simply defined. Acomplex problem can be broken up into in many parts and each part can be taken up separately at a time.

Disadvantages of the Brainstorming TechniqueThe process is very time consuming and it is quite possible that none of the ideas generated would beoptimal. But the wasted time can be minimized if the members of the group are chosen carefully so thatthey understand the problem and feel that their contribution towards idea generation will be substantial.

3) Nominal Group Technique: The Nominal Group Technique restricts discussion or interpersonal

communication during the decision-making process, hence, the term nominal. Group members are allphysically present, as in a traditional committee meeting, but members operate independently. Specifically,a problem is presented and then the following steps take place:

i) Members meet as a group but, before any discussion takes place, each member independently writes

down his or her ideas on the problem.

ii) After this silent period, each member presents one idea to the group. Each member takes his or herturn, presenting a single idea until all ideas have been presented and recorded. No discussion takesplace until all ideas have been recorded.

iii) The group now discusses the ideas for clarity and evaluates them.

iv) Each group member silently and independently rank-orders the ideas. The idea with the highestaggregate ranking determines the final decision.

The chief advantage of the nominal group technique is that it permits the group to meet formally but doesnot restrict independent thinking, as does the interacting group.

Group Decision Making Techniques

InteractingGroups

Brainstorming Nominal GroupTechnique

ElectronicMeeting


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Advantages of Nominal Group Techniquei) This technique integrates the advantages of both individual creativity and group creativity.ii) In many situations, it saves a great deal of time.iii) There is possibility of equal participation by all the members.

4) Electronic Meeting: The most recent approach to group decision-making blends the nominal grouptechnique with sophisticated computer technology. It is called the computer-assisted group or electronicmeeting. Once the technology is in place, the concept is simple, up to 50 people sit around a horse shoe-shaped table, empty except for a series of computer terminals. Issues are presented to participants andthey type their responses onto their computer screen. Individual comments, as well as aggregate votes, aredisplayed on a projection screen in the room.

Advantages of Electronic Meeting Technique

i) It is a quite speedy decision making techniques.ii) This technique ensures honesty on the part of the participants, as their names are not disclosed.iii) The ideas are processed very fast.iv) This technique involves very low social pressure.v) The potential for interpersonal conflict is very low.

Disadvantages of Electronic Meeting Techniquei) The main criticism lies in the high cost involved in installations of computer terminals.ii) This technique involves very low commitment to solutions on the part of the participants.

iii) This technique eliminates the sense of cohesiveness.

5) Delphi Technique: This technique is a modification of brainstorming technique, except that it involvesobtaining the opinions of experts physically separated from each other and unknown to each other.Generally, the type of problems handled by this technique is not specific in nature or related to a particularsituation at a given time. The process is more involved in predicting and assessing the impact on oursociety of future events in a given area. For example, the Delphi technique may be used to understand theproblems that could be created in the event of a war and after.

The technique is characterized by the following sequential steps:i) The problem is identified and a set of questions is built

relating to the problem so that the answers to thesequestions would generate solutions to the problem. Thesequestions are consolidated in the form of a questionnaire.

ii) Experts in the problem area are identified and contacted.The questionnaire is sent to each member whoanonymously and independently answers the questions andsends it back to the central co-ordinator.

iii) Once received, the results of this questionnaire are compiledand analyzed and on the basis of the responses received, asecond questionnaire is developed that is mailed to theparticipating members.

iv) The members are asked again to react to these responsesand to comment, suggest, evaluate and answer the newquestions, possibly generating some new ideas and solutions.

v) The responses to this second questionnaire are compiled andanalyzed by the central co-ordinator and if a consensus hasnot been reached, then a third questionnaire is developed,

pinpointing the issue and unresolved areas of concern.vi) The above process is repeated until a consensus is

obtained. Then final report is prepared and a solution isdefined and developed if possible.

Advantages of Delphi Techniquei) It is simple to conduct.ii) Can be used where quantitative data is not possible.iii) The forecast is reliable as it is based on the opinion of people who know the product very well.iv) It is inexpensive.v) It takes little time.

The problem is defined by the Delphileaders

A sample of experts is selected

Questionnaires are developed and sentout to participants

The new responses are compiled andnew questions may be prepared

Participants are asked to re-evaluateresponses

Responses are compiled andsummarized into a questionnaire

Cycle stops when consensus is reached

Solution is developed


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Disadvantages of Delphi Techniquei) The results are based on mere hunch of one or more persons and not on scientific analysis.ii) The experts may be biased.iii) The method is subjective and the forecast could be unfavorably influenced by persons with vested interests.

Positive Aspects of Group Decision-Making1) Pooling of Knowledge and Information: Since many individuals involved in-group decision-making, more

data and information can be brought to bear on the decision. The group provides specialized inputs indefining variables and suggests alternatives that the individual alone is unlikely to come up with.

2) Satisfaction and Communication: Individual satisfaction and comment in group decision-making are oftenenhanced. This may be caused by an attitude change regarding the alternatives a result of discussion. Itmay also be caused by the development of group spirit as people discover similarities among themselves.

3) Personnel Development: Group decision-making is a source of development of individuals in theorganization. Learning is enhanced when one observes others, practices what has been seen, andexperiences the positive rewards received for successfully repeating the new behavior. These threelearning factors are present in group decision-making. Individuals can learn to know to gather data,evaluate it, generate alternatives, calculate risks, and choose the best solution by practicing with others ingroup decision. Thus the problem of succession in the organization can be overcome.

4) More Risk Taking: Every decision involves some kind of risk because a decision affects future events andone can never be sure whether a particular decision varies in terms of risk-taking aptitudes and capabilities,risk taking increases when these individuals are pooled in a group. Thus the risk taking tends to be higherin group decision-making. Higher risk taking generates in group decision making because:i) Group is able to share information in an open environment; members become more familiar with the

problem being discussed; initially they may be cautious about risk, andii) If the outcome of the decision is negative, it is easy to pass the buck by individual.

Therefore, when amount of risk involved in a decision is significant, group decision-making is more appropriate.

5) Different Perspectives: Individuals with varied experience and interests help the group to see decisions,situations, and problems from different angles.

Negative Aspects of Group Decision-MakingGroup decision-making has following negative features, which may either affect the quality of decision or cost ofdecision.1) Time-Consuming and Costly: Inevitably, groups take more time to reach decisions than individuals.

2) Individual Domination: Because of the group dynamics prevailing in group interaction, some individualsdominate the group processes and have considerable bearing on decision outcomes. This may be becausesuch individuals may enjoy higher status because of their age, experience, expertise, or other influencingcharacteristics.

3) Problem of Responsibility: No doubt, group decision brings more commitment from members and itsimplementation is easier but this is true when the decision implementation outcome is positive. When thisoutcome is negative, no one can be held responsible.

4) Groupthink: Groupthink is type of thinking that occurs when reaching agreement becomes more important togroup member than arriving at a sound decision. Groupthink is more likely to happen in cohesive groupsbecause there is pressure for conformity to group norms and members avoid being too harsh in their judgmentsof fellow members. They try to avoid bickering and conflict, which they perceive as a threat to the team spirit.

5) Goal Displacement: Sometimes, secondary considerations such as winning an argument, making a point,or getting back at a rival displace the primary task of making a sound decision or solving a problem.

Work Team

Meaning and Definition of TeamA team is a cooperative group whose members interact with each other towards the accomplishment ofspecified objectives. In many organizations, employees work in regular small groups called teams where theirefforts must fit together like the pieces of a picture puzzle. When their work is interdependent, they act as awork team and seek to develop a cooperative state called teamwork.


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According to Katzenbach and Douglas Smith, A team is a small number of people with complementaryskills who are committed to a common purpose, set of performance goals and approach for which they holdthemselves mutually accountable.

According to Stephen P. Robbins, A work team is a collection of people whose individual efforts result in alevel of performance which is greater than the sum of their individual contributions.

Nature of Work-TeamA team may be defined as a group whose members have complementary skills and are committed to acommon purpose or goals for which they hold themselves mutually accountable. The practice of working inteams for a coordinated is known as teamwork.

A work-team generates positive synergy through the coordinated efforts of team members. The team effortsresult in a level of performance that is greater than the sum of the individual inputs of the team members. Thisis why, many organizations structure their processes around teams. The team members focus on collective,rather than individual efforts, have common goals and are mutually accountable to each other.

Importance of Teams1) Improved Employee Motivation: Work teams help in enhancing the employee motivation. Because work

teams encourage employee involvement, these make the jobs more interesting and fulfill the social needsof the employees. Individuals are likely to perform better when they are working in the presence of otherpeople. Individuals will work harder and put in a lot of extra efforts to remain in the teams good graces.

2) Positive Synergy: Teams have the potential to create high levels of productivity due to positive synergy createdby them. The output in the form of performance productivities is generally more than the summation of inputsput in the form of employee efforts. There is a draw back of positive synergy also. Sometimes, managementsresort to cuts in staff to use the positive synergy to get the same or greater output from fewer people.

3) Satisfaction of Social Needs: Man is a social animal. He always feels the need of affiliation. Teams cansatisfy this need of the employees by increasing worker interactions and creating a feeling of brotherhoodand friendship among team members. Such employees are always in a better position to cope with stressand they enjoy their jobs more.

4) Commitment to Team Goals: Teams generally develop a common purpose, commitment to that purposeand agreement upon specific goals. All this combined with the social pressures exerted by the team; resultin a high degree of commitment to common team goals. The individual members sublimate their individualgoals for the common goals of the group.

5) Improved Organizational Communication: As the teams encourage interactions, it will lead to improvedcommunication. In case of self managed teams, interpersonal dependencies are created which require themembers to interact considerably more than when they work on jobs alone. Cross functional teams createinter-functional dependencies and increase organization wide communication.

6) Benefits of Expanded Job Training: The implementation of team work always leads to expanded jobtraining. Through this training employees build their technical, decision making and interpersonal skills.

7) Organizational Flexibility: Management has found that teams are more flexible and responsive tochanging events than are traditional departments or other forms of permanent groupings. Teams have thecapability to quickly assemble, deploy, refocus and disband. All this is because of the reason that teamsfocus on processes rather than functions. They encourage cross training so members can do each othersjobs and expansion of skills. This expansion of skills increases organizational f lexibility.

Team vs. Group

Teams are specific kinds of groups; all groups can't be called teams. A group consists of a number of people whointeract with one another, are psychologically aware of one another, and think of themselves as a group. A team isa group whose members influence one another toward the accomplishment of organizational objectives.

In groups, work performance primarily depends on the work of individual members. But performance of a teamdepends on both individual contributions and collective efforts of team members working in concert as in caseof musical orchestra.

Not all groups in organizations are teams, but all teams are groups. A group qualifies as a team only if itsmembers focus on helping one another to accomplish organizational objectives. In today's quickly changingbusiness environment, teams have emerged as a requirement for success. Therefore, good managers shouldconstantly try to help groups become teams.


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Team vs. Group

Basis Work Groups Work Teams

1) Purpose The basic purpose of a work group is tointeract primarily to share information.

The basic purpose of a work team iscollective performance.

2) Synergy The performance of a work group is merely

the summation of each group membersindividual contribution. There is no positivesynergy.

A work team generates positive synergy

through coordinated effort. The level ofperformance of a team is greater than thesum of individual inputs.

3) Leadership Every work group must have strong andclearly focused leaders.

The teams do not have a clearly focusedleader, they has shared leadership roles.

4) Responsibility The responsibility is individual. The responsibility is collective.

5) Accountability In the work group, the members areindividually accountable.

In a team, there is both individual andmutual accountability.

6) Objective The basic objective of work groups is theattainment of the goals of the organization.

The teams have their own specificobjectives that the teams themselvesdeliver.

7) Meetings The work group has formal and efficientmeetings.

The team, generally, encourages openended active problem solving meetings.

8) MeasurementofEffectiveness

The effectiveness of the work group ismeasured indirectly. For example, if theoverall financial performance of thebusiness is good, it will be presumed thatthe groups have also effectively contributedto the performance.

The effectiveness of the teams is directlymeasured by the teams by assessing thecollective work products.

9) Functioning The functioning of the work group is that itdiscusses, decides and delegates.

The functioning of the team is that itdiscusses, decides and does real work.

10) Size Groups can be of any size. Teams are needed to be small.

Types of TeamIn many organizations, there are three types of team:

1) Problem-Solving Teams: A team set up to help resolve a specified problem

within the organization is called a problem-solving team. The typical problem-solving team has 5 to 10 members and is formed to discuss ways to improvequality in all phases of the organization, to make organizational processesmore efficient, or to improve the overall work environment. After the problem-solving team reaches a consensus, it makes recommendations tomanagement about how to deal with the specified problem. Management mayimplement these recommendations with or without modification and theproblem-solving team may be disbanded.

2) Self-Managed Teams: Also known as self-directed work group, a self-

managed team is set up to plan, organize, influence and control its own worksituation with only minimal intervention and direction from the topmanagement. This creative team design involves a highly integrated group ofseveral skilled individuals who are cross-trained and have the responsibilityand authority to perform some specified activity. It is responsible for wholetasks in the area of its responsibility.

Self-managed team is an important way of structuring, managing andrewarding work. Such teams require only minimum attention of the topmanagement which can concentrate on strategic planning. The activities whichmay be delegated to the self-managed teams include setting of workschedules, establishing work-pace, determining the level of increase in thesalary and perquisites, designing the performance appraisal system, etc. Self-managed teams are being increasingly used in industrial organizations ex-posed to greater environmental changes. For the success of such teams, themembers of such teams should be selected carefully and adequately trained.

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Self-managed teams are catching on everywhere, India being no exception. Companies as diverse as Titan,Reliance, ABB, Tata Information Systems (TISL), GE plastics India and Phillips are empowering employees-both frontline as well as production staff. Wipro had 29 such team and their number was expected to goupto 130. Wipro Infotech has 10 such and the plan was to hike them to around 40 to 50.

Self Directed Teams will have the Following Characteristicsi) They are empowered to share the management and leadership functions.

ii) They plan, control and improve their own work processes.iii) They set their own goals and inspect their own work.iv) They often create their own schedules and review their performance as a group.v) They may prepare their own budgets and coordinate their work with other departments.vi) They usually order materials, keep inventories and deal with suppliers.vii) They are frequently responsible for acquiring any new training they might need.viii) They may hire their own replacement or assume responsibility for disciplining their own members.ix) They, and not others outside the team, take responsibility for the quality of their products or services.

3) Cross-Functional Teams: A cross-functional team is composed of personnel from different functional

areas (e.g., finance, marketing, human resources, quality control and operations) of the organization whoare all focused on a specified objective.) For example, Hindustan Sanitary Wares Ltd. uses cross-functional teams to reduce wastage and improve quality. Such learns are also suitable to control productcosts, to choose and implement new technology and to achieve effective coordination among different

departments.

Cross-functional teams may or may not be self-managed, though self-managed teams are generally cross-functional. Because cross-functional team members are from different departments within the organization,the team possesses the expertise to coordinate all the activities within the organization (hat impact its ownwork. Even the problem-solving team in an organization may be composed of representatives of differentdepartments, i.e., have the cross-functional characters.

Cross-functional teams are generally made up of employees from about (he same hierarchical level, butfrom different functional areas, who come together to accomplish a task. The common examples of suchteams are taskforces and committees. A task force is just a temporary cross-functional team whereas acommittee is composed of members drawn from different departments.

4) Virtual Teams:With the advent of advanced information technology, members can now communicate at adistance through electronic means, such as e-mail, chat rooms, phone conferencing, faxes, satellitetransmissions, and websites. Knowledge-based tasks performed by members in remote locations canbecome members of so-called virtual teams.

Virtual teams are increasingly evident in global and partnered operations.

One key to effective use of virtual teams is called synchronous technologies, which allow members tointeract at the same time, or in real time. Audio and videoconferencing are examples of synchronoustechnologies, whereas asynchronous technologies, such as e-mail, chat rooms, group calendars, bulletinboards, and Web pages may be used when delayed interaction is acceptable.

Virtual teams can be effective because they are flexible and are driven by information and skills rather thantime and location.

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Stages of Team Development

Handy identifies four stages of team development:1) Forming, 2) Storming,3) Norming, 4) Performing.

Woodcock suggests corresponding four stages as follows:

1) Underdeveloped, 2) Experimental,3) Consolidating, 4) Mature.

Forming/Underdeveloped StageDuring this stage, new teams are varying of their leaders as well as eachother. They are likely to question each other. However, they reveal very littleabout themselves. They play it safe and conform to the company line. Theyconceal their mistakes. Of course, they challenge others and do not listen.

Storming/Experimental StageThere may prevail, varied negative opinions and contradictory feelingsamong team members. However, these conflicts are effectively handled bythem. Once the conflict is constructively resolved, a positive approach mayemerge. The worst of the storm is over. The individual starts perceiving

himself as a part of the team and begins understanding his role in it.

Norming/Consolidating StageAs soon as the how to proceed issue is settled, a general consensustakes place. Here members establish standards of behavior and agreewith procedural rules. There may be raised searching questions tochallenge the intellect of members. An attempt is also made to encourageeach other to evolve an agreed plan of action embracing norms of behavior(i.e., how to resolve conflict, time keeping and housework, etc.).

Performing/Maturity StageIn this stage, there exists high level of clarity of goals, participation, trust and creativity. Members listen to eachother and make decisions through consensus. They are able to manage conflict effectively.

Advantages of Work TeamsThe use of teams in organizations has increased because teams perform better than traditional work groups.Moreover, work teams provide significant benefits to organizations. The use of teams have resulted inimprovemen

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