1. 14Chapter PowerPoint Presentation by Charlie Cook © Copyright The McGraw-Hill Companies, Inc., 2003. All rights reserved. Groups and Teams

2. © Copyright McGraw-Hill. All rights reserved.14–2 Learning Objectives After studying the chapter, you should be able to:After studying the chapter, you should be able to:  Explain why groups and teams are key contributors to organizational effectiveness.  Identify the different types of groups and teams that help managers and organizations achieve their goals.  Explain how different elements of group dynamics influence the functioning and effectiveness of groups and teams.  Explain why it is important for groups and teams to have a balance of conformity and deviance and a moderate level of cohesiveness.

3. © Copyright McGraw-Hill. All rights reserved.14–3 Learning Objectives (cont’d)  Describe how managers can motivate group members to achieve organizational goals and reduce social loafing in groups and teams.

4. © Copyright McGraw-Hill. All rights reserved.14–4 Chapter Outline Groups, Teams, and Organizational EffectivenessGroups, Teams, and Organizational Effectiveness  Groups and Teams as Performance Enhancers  Groups, Teams, and Responsiveness to Customers  Teams and Innovation  Groups and Teams as Motivators Types of Groups and TeamsTypes of Groups and Teams  The Top-Management Team  Research and Development Teams  Command Groups

5. © Copyright McGraw-Hill. All rights reserved.14–5 Chapter Outline (cont’d) Types of Groups and Teams (cont’d)Types of Groups and Teams (cont’d)  Task Forces  Self-Managed Work Teams  Virtual Teams  Friendship Groups  Interest Groups Group DynamicsGroup Dynamics  Group Size, Tasks, and Roles  Group Leadership  Group Development Over Time

6. © Copyright McGraw-Hill. All rights reserved.14–6 Chapter Outline (cont’d) Group Dynamics (cont’d)Group Dynamics (cont’d)  Group Norms  Group Cohesiveness Managing Groups and Teams for High PerformanceManaging Groups and Teams for High Performance  Motivating Group Members to Achieve Organizational Goals  Reducing Social Loafing in Groups  Helping Groups to Manage Conflict Effectively

7. © Copyright McGraw-Hill. All rights reserved.14–7 Groups, Teams and Organizational Effectiveness GroupGroup  Two or more people who interact with each other to accomplish certain goals or meet certain needs. TeamTeam  A group whose members work intensely with each other to achieve a specific, common goal or objective. All teams are groups but not all groups are teams. Teams often are difficult to form.Teams often are difficult to form. It takes time for members to learn how to work together.It takes time for members to learn how to work together.

8. © Copyright McGraw-Hill. All rights reserved.14–8 Groups’ and Teams’ Contributions to Organizational Effectiveness Figure 14.1

9. © Copyright McGraw-Hill. All rights reserved.14–9 Groups and Teams as Performance Enhancers Performance EnhancementPerformance Enhancement  Making use of the synergy from employees in a group producing more or better output than employees working separately. Bounce ideas off one another.Bounce ideas off one another. Correct each other’s errors.Correct each other’s errors. Bring more new ideas to bear on problemsBring more new ideas to bear on problems Accomplish projects beyond the scope of individualsAccomplish projects beyond the scope of individuals  Managers should build autonomous empowered groups composed of members of complementary skills and knowledge.

10. © Copyright McGraw-Hill. All rights reserved.14–10 Groups and Teams and Responsiveness to Customers Responsiveness to CustomersResponsiveness to Customers  Difficult to achieve given the many constraints. Safety issues, regulations, costs.Safety issues, regulations, costs.  Cross-functional teams can provide the wide variety of skills needed to meet customer demands. Teams consist of members of different departments.Teams consist of members of different departments.

11. © Copyright McGraw-Hill. All rights reserved.14–11 Teams and Innovation InnovationInnovation  The creative development of new products, new technologies, new services, or new organizational structures Individuals rarely possess the wide variety of skills needed for successful innovation.Individuals rarely possess the wide variety of skills needed for successful innovation. Team members can uncover each other’s flaws and balance each other’s strengths and weaknessesTeam members can uncover each other’s flaws and balance each other’s strengths and weaknesses Managers should empower the team and make it accountable for the innovation process.Managers should empower the team and make it accountable for the innovation process.

12. © Copyright McGraw-Hill. All rights reserved.14–12 Groups and Teams as Motivators Members of groups, and particularly teams, are often better motivated and satisfied than individuals.Members of groups, and particularly teams, are often better motivated and satisfied than individuals. Team members are more motivated and satisfied than if they were working alone.Team members are more motivated and satisfied than if they were working alone. Team members can see the effect of their contribution to achieving team and organizational goals.Team members can see the effect of their contribution to achieving team and organizational goals. Teams provide needed social interaction and help employees cope with work-related stressors.Teams provide needed social interaction and help employees cope with work-related stressors.

13. © Copyright McGraw-Hill. All rights reserved.14–13 The Types of Groups and Teams in Organizations Figure 14.2 Source:

14. © Copyright McGraw-Hill. All rights reserved.14–14 The Types of Groups and Teams Formal GroupFormal Group  A group that managers establish to achieve organization goals. Informal GroupInformal Group  A group that managers or nonmanagerial employees form to help achieve their own goals or to meet their own needs.

15. © Copyright McGraw-Hill. All rights reserved.14–15 The Types of Groups and Teams

16. © Copyright McGraw-Hill. All rights reserved.14–16 The Types of Groups and Teams (cont’d)

17. © Copyright McGraw-Hill. All rights reserved.14–17 Self-Managed Work Teams Keys to effective self managed teams:Keys to effective self managed teams:  Give the team enough responsibility and autonomy to be self-managing.  The team’s task should be complex enough to include many different steps.  Select members carefully for their diversity, skills, and enthusiasm.  Managers should guide and coach, not supervise.  Determine training needs and be sure it is provided.  Teams may have trouble with performance reviews of members.

18. © Copyright McGraw-Hill. All rights reserved.14–18 Group Dynamics Group DynamicsGroup Dynamics  The characteristics and processes that affect how a group or team functions.  Group size affects how a group performs. Normally, small groups (2 to 9 members) interact better and tend to be more motivated.Normally, small groups (2 to 9 members) interact better and tend to be more motivated. Larger groups can be used when more resources are needed and division of labor is possible.Larger groups can be used when more resources are needed and division of labor is possible.  Group tasks impact how a group interacts. Task interdependence shows how the work of one member impacts another; as interdependence rises, members must work more closely together.Task interdependence shows how the work of one member impacts another; as interdependence rises, members must work more closely together.

19. © Copyright McGraw-Hill. All rights reserved.14–19 Group Dynamics: Interdependence Task Interdependence TypesTask Interdependence Types  Pooled Members make separate, independent contributions to group such that group performance is the sum of each member’s contributions.Members make separate, independent contributions to group such that group performance is the sum of each member’s contributions.  Sequential Members perform tasks in a sequential order making it difficult to determine individual performance since one member depends on another.Members perform tasks in a sequential order making it difficult to determine individual performance since one member depends on another.  Reciprocal Work performed by one group member is mutually dependent on work done by other members.Work performed by one group member is mutually dependent on work done by other members.

20. © Copyright McGraw-Hill. All rights reserved.14–20 Types of Task Interdependence Figure 14.3

21. © Copyright McGraw-Hill. All rights reserved.14–21 Group Roles Group RoleGroup Role  The set of behaviors and tasks that a group member is expected to perform because of his or her position in the group. In cross-functional teams, members are expected to perform roles in their specialty.In cross-functional teams, members are expected to perform roles in their specialty. Managers should clearly describe expected roles to group members when they are assigned to the group.Managers should clearly describe expected roles to group members when they are assigned to the group. Role-making occurs as workers take on more responsibility in their roles as group members.Role-making occurs as workers take on more responsibility in their roles as group members. Self-managed teams may assign the roles to members themselves.Self-managed teams may assign the roles to members themselves.

22. © Copyright McGraw-Hill. All rights reserved.14–22 Group Leadership Effective leadership is a key ingredient in high performing groups, teams, and organizations.Effective leadership is a key ingredient in high performing groups, teams, and organizations. Formal groups created by an organization have a leader appointed by the organization.Formal groups created by an organization have a leader appointed by the organization. Groups that evolve independently in an organization have an informal leader recognized by the group.Groups that evolve independently in an organization have an informal leader recognized by the group.

23. © Copyright McGraw-Hill. All rights reserved.14–23 Stages of Group Development FormingForming  Group members get to know each other and reach common goals. StormingStorming  Group members disagree on direction and leadership. Managers need to be sure the conflict stays focused. NormingNorming  Close ties and consensus begin to develop between group members.

24. © Copyright McGraw-Hill. All rights reserved.14–24 Stages of Group Development PerformingPerforming  The group begins to do its real work. AdjourningAdjourning  Only for task forces that are temporary.  Note that these steps take time!

25. © Copyright McGraw-Hill. All rights reserved.14–25 The Stages of Group Development Figure 14.4

26. © Copyright McGraw-Hill. All rights reserved.14–26 Group Dynamics Group NormsGroup Norms  Shared guidelines or rules that most group members follow.  Groups may set their working hours, behavior rules, and output quotas.

27. © Copyright McGraw-Hill. All rights reserved.14–27 Group Dynamics Conformity and DevianceConformity and Deviance  Members conform to norms to obtain rewards, imitate respected members, and because they feel the behavior is right.  When a member deviates, other members will try to make them conform, expel the member, or change the group norms to accommodate them.  Conformity and deviance must be balanced for high performance from the group.  Deviance allows for new ideas in the group.

28. © Copyright McGraw-Hill. All rights reserved.14–28 Balancing Conformity and Deviance in Groups Figure 14.5

29. © Copyright McGraw-Hill. All rights reserved.14–29 Group Cohesiveness Group CohesivenessGroup Cohesiveness  The degree to which members are attracted or loyal to the group.  Increases in group cohesiveness causes: Participation in the group to increase which helps get members actively involved, but too much involvement can waste the group’s time.Participation in the group to increase which helps get members actively involved, but too much involvement can waste the group’s time. Conformity to group norms to increase, although with too much conformity, group performance can suffer.Conformity to group norms to increase, although with too much conformity, group performance can suffer. Group goal accomplishment to increase in importance which can result in the group becoming more focused on itself than the organization.Group goal accomplishment to increase in importance which can result in the group becoming more focused on itself than the organization.

30. © Copyright McGraw-Hill. All rights reserved.14–30 Sources and Consequences of Group Cohesiveness Figure 14.6

31. © Copyright McGraw-Hill. All rights reserved.14–31 Factors Leading to Group Cohesiveness

32. © Copyright McGraw-Hill. All rights reserved.14–32 Three Ways to Reduce Social Loafing Figure 14.7

33. © Copyright McGraw-Hill. All rights reserved.14–33 Managing Groups and Teams for High Performance Motivating group members to achieve organizational goals:Motivating group members to achieve organizational goals:  Members should benefit when the group performs well—rewards can be monetary or in other forms such as special recognition.  Individual compensation is a combination of both individual and group performance.  Make additional resources (beyond compensation) such as choice assignments available to high- performance groups.

34. © Copyright McGraw-Hill. All rights reserved.14–34 Managing Groups and Teams for High Performance (cont’d) Social loafingSocial loafing  The human tendency to put forth less effort in a group than individually. Results in possibly lower group performance and failure to attain group goalsResults in possibly lower group performance and failure to attain group goals  Reducing social loafing: Make individual efforts identifiable and accountable.Make individual efforts identifiable and accountable. Emphasize the valuable contributions of individual members.Emphasize the valuable contributions of individual members. Keep group size at an appropriate level.Keep group size at an appropriate level.

35. © Copyright McGraw-Hill. All rights reserved.14–35 Managing Groups and Teams for High Performance (cont’d) Help groups manage conflict.Help groups manage conflict. All groups will have conflict, managers should seek ways to direct it to the goals.All groups will have conflict, managers should seek ways to direct it to the goals.