1. Organizational Behavior: An Experiential Approach 7/E Joyce S. Osland, David A. Kolb, and Irwin M. Rubin 1 ©20 01 by Prentice Hall, Inc. Chapter 9

2. Organizational Behavior: An Experiential Approach 7/E Joyce S. Osland, David A. Kolb, and Irwin M. Rubin 2 ©20 01 by Prentice Hall, Inc. Objectives Examine group effectiveness Examine the conflicting information on teamwork: –Are teams effective –Are leaders important –How are teams compensated Discuss team development Examine selection criteria for team work

3. Organizational Behavior: An Experiential Approach 7/E Joyce S. Osland, David A. Kolb, and Irwin M. Rubin 3 ©20 01 by Prentice Hall, Inc. Successful Team Designs Have clear direction – know its purpose or objectives Establish team norms on how you will work and communicate Have basic material resources Have authority (autonomy) to manage the work Have specific goals Promote strategic thinking (be aware of the environment; seek ways to improve) Are rewarded for excellence

4. Organizational Behavior: An Experiential Approach 7/E Joyce S. Osland, David A. Kolb, and Irwin M. Rubin 4 ©20 01 by Prentice Hall, Inc. Benefits of Work Teams They enhance employee commitment as members feel more ownership because of involvement in decision making They enhance quick adaptability of the organization to the environment and to customer demands

5. Organizational Behavior: An Experiential Approach 7/E Joyce S. Osland, David A. Kolb, and Irwin M. Rubin 5 ©20 01 by Prentice Hall, Inc. Benefits of Work Teams They create productivity gains due to worker flexibility They increase gains by reducing the need for managers

6. Organizational Behavior: An Experiential Approach 7/E Joyce S. Osland, David A. Kolb, and Irwin M. Rubin 6 ©20 01 by Prentice Hall, Inc. Costs of Work Teams Can’t meet production demands and organizational goals due to: –Difficulty of consensus –Effort and time for coordination –Effort and time for training

7. Organizational Behavior: An Experiential Approach 7/E Joyce S. Osland, David A. Kolb, and Irwin M. Rubin 7 ©20 01 by Prentice Hall, Inc. Saturn Car Company GM’s experiment in cutting costs and using teamwork (1990) –Self-managed work teams assemble cars, maintain equipment, order supplies, set work schedules, select team members. Workers are salaried and have a profit sharing plan Although the company started made a profit after the first three years the company has been unprofitable most years and has not yet recouped its initial investment

8. Organizational Behavior: An Experiential Approach 7/E Joyce S. Osland, David A. Kolb, and Irwin M. Rubin 8 ©20 01 by Prentice Hall, Inc. Does Empowerment meet the same objectives as teamwork Empowerment: Specify employee objectives and range of discretion Delegate process decisions Have employees to develop goals Ensure required resources are available Establish feedback processes

9. Organizational Behavior: An Experiential Approach 7/E Joyce S. Osland, David A. Kolb, and Irwin M. Rubin 9 ©20 01 by Prentice Hall, Inc. How do you compensate teams? Only as a group (Wageman) or a combination of individual and group (Lipnack and Stamps, Osland et.al.) Issues: –Types of teams – full-time, part-time, full- time temporary –Complexity of the plan

10. Organizational Behavior: An Experiential Approach 7/E Joyce S. Osland, David A. Kolb, and Irwin M. Rubin 10 ©20 01 by Prentice Hall, Inc. How do you compensate teams? Issues: –Team member control of conditions –What proportion of team versus individual There is agreement that there must be team level compensation Disagreement comes over the degree of individual compensation.

11. Organizational Behavior: An Experiential Approach 7/E Joyce S. Osland, David A. Kolb, and Irwin M. Rubin 11 ©20 01 by Prentice Hall, Inc. Punctuated Equilibrium Model of Group Development

12. Organizational Behavior: An Experiential Approach 7/E Joyce S. Osland, David A. Kolb, and Irwin M. Rubin 12 ©20 01 by Prentice Hall, Inc. Punctuated Equilibrium Groups who reported a significant transition had higher performance Groups who reported a significant transition were had lower satisfaction

13. Organizational Behavior: An Experiential Approach 7/E Joyce S. Osland, David A. Kolb, and Irwin M. Rubin 13 ©20 01 by Prentice Hall, Inc. Tuckman’s Hierarchical Stage Development Model forming>storming>norming>performing

14. Organizational Behavior: An Experiential Approach 7/E Joyce S. Osland, David A. Kolb, and Irwin M. Rubin 14 ©20 01 by Prentice Hall, Inc. Results Satisfaction –The earlier that people went through the stages the happier they were. Forming, norming, performing correlated with satisfaction in a negative direction –Group norming and performing were the primary predictors of satisfaction –Groups that did not storm were more satisfied

15. Organizational Behavior: An Experiential Approach 7/E Joyce S. Osland, David A. Kolb, and Irwin M. Rubin 15 ©20 01 by Prentice Hall, Inc. Results Groups that left performing until later had higher performance. Groups that went through norming earlier were more successful

16. Organizational Behavior: An Experiential Approach 7/E Joyce S. Osland, David A. Kolb, and Irwin M. Rubin 16 ©20 01 by Prentice Hall, Inc. Selecting to Teams What qualities would you select for when creating teams??

17. Organizational Behavior: An Experiential Approach 7/E Joyce S. Osland, David A. Kolb, and Irwin M. Rubin 17 ©20 01 by Prentice Hall, Inc. Selecting to Teams (M.J. Stevens and M.A. Campion) –Conflict Resolution Skills - Encouraging desirable conflict but discouraging undesirable conflict; and, employing integrative (win-win) negotiation strategies rather than distributive (win-lose) strategies. –Collaborative Problem Solving Skills - identifying situations requiring participative group problem solving and utilizing the proper degree of participation. –Communication Skills - Utilizing decentralized networks where possible; recognizing open and supportive communication methods; –Goal Setting Skills- Establishing specific, challenging, and accepted team goals; and monitoring, evaluating, and providing feedback on both overall team performance and individual team member performance. –Planning and Task Coordination Skills - Coordinating and synchronizing activities, information, and tasks between team members, establishing individual task and role assignments which ensure the proper balance of workload between team members.

18. Organizational Behavior: An Experiential Approach 7/E Joyce S. Osland, David A. Kolb, and Irwin M. Rubin 18 ©20 01 by Prentice Hall, Inc. Group norms Unwritten rules that guide group behavior and define what is good behavior and what is bad behavior Norms of self-managed teams will control member behavior more than organizational rules Team norms have more impact on the ethical behavior of its members than does a supervisor Norms will determine whether the group is effective/ineffective and whether member behavior supports or does not support organizational goals

19. Organizational Behavior: An Experiential Approach 7/E Joyce S. Osland, David A. Kolb, and Irwin M. Rubin 19 ©20 01 by Prentice Hall, Inc. Creating the right norms Select individuals who hold organizationally consistent standards. Training to reinforce the organizational values should be considered at the inception of teams and updates should occur during the course of a team's life. Close monitoring of the early development period of the group - the time when norms develop - to ensure the inception of organizationally responsible norms.

20. Organizational Behavior: An Experiential Approach 7/E Joyce S. Osland, David A. Kolb, and Irwin M. Rubin 20 ©20 01 by Prentice Hall, Inc....Tips for Virtual Teams Establish team norms on how you will work and communicate Determine how work will be managed and reviewed Allow for multiple leadership; avoid a controlling style