Groups in Organizations

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Topic 3 Groups in Organizations
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Usefulness of Groups

• Why are groups good for organizations?
• According to Harold J. Leavitt
• - Groups seem to be good for people
• - Groups seem to be useful in promoting
  innovation and creativity
• - Groups can gain commitment of members for
  carrying out decisions
• - Groups can control members in ways it is
  otherwise difficult to do
• - Groups help are natural phenomena in
  organizations

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Usefulness of Groups

• Groups and Task Performance
• - Synergy
• Defined as the creation of a whole that is
  greater than the sum of its parts.
• - When synergy occurs, groups accomplish more
  that the total of their members individual
  capabilities.

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Usefulness of Groups

• Groups and Task Performance
• - Social loafing
• We must also recognize that groups have both
  positive and negative reaction.
• - A camel is a horse put together by
  committee.
• - Ringelman effect. A German psychologist,
  using a rope pulling task found that the
  average productivity dropped as more people
  joined the group.

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Usefulness of Groups

• Groups and Individual Needs
• - Groups are a major influence on individual
  work attitudes and behaviors.
• - Groups members communicate expectations to
  one another, and influence one anothers beliefs
  and views of work and the organization.
• - Groups provide for social interaction and
  interpersonal fulfillment.

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Types of Groups in Organizations

• Work Groups
• - A group created by the formal authority of an
  organization to transform resource inputs into
  product outputs.
• - Work groups may be permanent or temporary.

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Types of Groups in Organizations

• Formal and Informal Groups
• - Formal groups or work groups are created by
  formal authority for some purpose.
• - Informal groups emerge unofficially and
  without formal approval of the organization.

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Types of Groups in Organizations

• Why do informal groups form?
• They help people get their job done.
• They help individuals satisfy unmet needs.
• - Social satisfaction
• - Security
• - Identification

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Group Effectiveness

• What is an Effective Group?
• High level of task performance
• High level of human resource maintenance

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Types of Groups in Organizations

• A classic listing of the characteristics of an
  effective group.
• The members are loyal to one another
• The members and leaders have confidence and trust
  in each other
• Group values and goals are relevant
• There is a supportive atmosphere in the group
• Group members communicate fully and frankly with
  each other.
• The members feel secure in making decisions that
  seem appropriate to them.

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Types of Groups in Organizations

• Groups as Open Systems
• A model of the work group as an open system

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General Membership Characteristics

• Interpersonal Compatibilities
• Need for inclusion
• Need for control
• Need for affection

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General Membership Characteristics

• Membership Homogeneity Heterogeneity
• Homogeneity consist of members with similar
  backgrounds, interests, values, attitudes, and
  the like.
• Heterogeneity groups are diverse on these
  dimensions.
• The nature of the task is an important factor in
  determining membership homogeneity or
  heterogeneity.

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General Membership Characteristics

• Status Congruence
• A persons status is an indicator of relative
  rank, worth, or standing on prestige or esteem
  within the group.
• Status congruence occurs when a persons standing
  on each of these factors is consistent with his
  or her standing on the other factors.

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General Membership Characteristics

• Group Size
• Trade-offs between group size and group
  effectiveness.

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Team-Building

• What do you think of when you hear the word
  teams?
• Team-building is a sequence of planned action
  steps designed to gather and analyze data on the
  functioning of a group and implement changes to
  increase its operating effectiveness.

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Team-Building Cycle
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Team-Building

• Stages of Group Development
• Forming stage managing individual entry
• Storming stage managing group norm development
• Initial integration stage managing group
  cohesion
• Total integration stage managing decision making

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Communication Patterns in Groups
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Decision Making in Groups

• How Groups Make Decisions
• Decision by lack of response
• Decision by authority rule
• Decision by minority
• Decision by majority rule
• Decision by consensus
• Decision by unanimity

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Case Study

• The Case of the Changing Cage
• Group Discussion 30 minutes
• Class Reports 30 minutes