Types of Groups in Organizations Type of Formal or Established Degree of Group Informal by Permanence Example Command Formal Organization Permanent Hierarchical Group Task Formal Organization Temporary Task Force Permanent Self Managed Work Team Cross functional Teams Committees Interest Informal Individuals Temporary Support Group Permanent Union Friendship Informal Individuals Permanent Social Groups “Teams” = Task Groups

Organizational Groups as Linking Pins

Types of Teams Used .7.6.5.4 .3 .2 .1 69% 67% = % of respondents 48% 69% 67% .7.6.5.4 .3 .2 .1 = % of respondents 48% 17% Process Parallel Project Partnership Teams Teams Teams Teams Survey of 243 employers by the Hay Consulting Group, 1997, Bulletin to Management

A Model of Team Functioning Organizational Context Team Characteristics and Processes Team Outcomes Stages of Team Development

Team Characteristics & Processes Status Structure Ascribed vs. Achieved Status Idiosyncratic Credits Communication Structure Sociogram Task vs. Social Communication Role Structure Norm Structure Cohesiveness

Positive and Negative Group Norms Norms Positive Negative Performance Continuous Improvement Just do the minimum Teamwork Work together to better It’s a dog-eat-dog the organization world. Leadership Management really Management is out cares about employees. is out to get as much work out of us as possible. Org. Pride Talk up the company Run down the as a great place to work. Company.

Factors affecting cohesiveness Increasing Cohesiveness Decreasing Cohesiveness Agreement on goals Disagreement on goals Frequency of interaction Group size Personal attractiveness Unpleasant intra-group experiences Inter-group competition Intra-group competition Favorable evaluation Domination by one individual

Stages of Team Development Norm Level of Stage Development Role of Leader Cohesion Forming Membership Heavy dependence Low on leader to set goals, etc. Storming Influence Leader’s influence Low is questioned. Norming Affection Leader willing to High or work for good of Low the team. Performing Growth/ High interpersonal skills High Performance dedicated to group.

Organizational Context and Team Performance Team Performance = f(team ability, motivation, opportunity) The Organization affects each of these factors: Ability: The organization sets up the team. The organization supports the team through information technical assistance resources authority Motivation: The org. sets the goals for the team. The org. establishes the reward system. Opportunity: The org. context must provide the opportunity for the team to perform.

Interaction of Team Development & Org. Context Team Organizational Context Development Unfavorable Favorable Nonfunctional Underfunctional Teams Teams Under-developed Developed Temporarily Functional Teams Fully Functional Teams

Team Outcomes Positive Negative Individual Organization Need Fulfillment Waste of time Problem solving/task Interpersonal conflict accomplishment and stress Communication Constraint on behavior Social Loafing Improved decision making Contradictory performance and problem solving norms Increased acceptance and Costly commitment to decisions Facilitates implementation Inter-team conflict Member control Resistance to change Promotes creativity and Groupthink innovation Escalation of commitment Individual Organization

Avoiding Groupthink Make every group member a “critical evaluator” As leader, avoid seeming partial to one course of action Create subgroups to work on same problem & share results Have members talk over their ideas with “outsiders” Bring in outside experts to observe and comment on group Have one member assume the role of “devil’s advocate” Hold a second chance meeting to review the “final” decision

Escalation of Commitment Continuing to support an unsuccessful action, even when ill-advised “Throwing good money after bad” An increased commitment to a previous decision in spite of negative feedback Why do people do this?

Reasons for escalation of commitment To save face – Individuals & groups do not like to admit that their decision making was flawed “Crowd Psychology” – Competitive situations give rise to more escalation To try to recoup “Sunk Costs” – Flawed logic Sunk costs are not recoverable

Avoiding escalation Try to set limits on you or your team’s commitment to a decision ahead of time and then stick to it. Don’t follow other individuals or teams (avoid imitation or crowd psychology) Stop to periodically assess exactly why you or your team is continuing with a course of action. Stay vigilant to avoid “creeping commitments” to previously chosen courses of action.

Group Decision Making Techniques Ordinary Criteria Groups Brainstorming NGT Delphi # ideas Low Medium High High Quality of ideas Low Medium High High Conflict Potential High Low Medium Low Time/Cost Medium Low Low High Task Orientation Low High High High Sense of Accomplishment High to Low High High Medium Commit. To Solution High n.a. Medium Low Cohesiveness High High Medium Low

Should I use individuals or teams? Individuals do better IF: When the problem has a single correct answer When the solution requires a long train of complex, interrelated steps Teams do better when: the problem is suitable to a division of labor AND group members have diverse & relevant skills the ultimate resolution of the problems depends on the acceptance of others the goal is to produce new, original or creative ideas

Tips for Using Teams Establish clear, reasonable goals for the team Have a specific reason for putting someone on a team Keep the size of each team reasonable Recognize the potential impacts (+&-) of diversity on team functioning. Recognize that teams do not automatically become high performers. Teams are not independent entities. Don’t expect too much too soon. Recognize the downside of teams. (They are not a panacea.)