Management, by Williams South-Western College Publishing Copyright © 2003 Chapter 13 Managing Teams

Management, by Williams South-Western College Publishing Copyright © What Would You Do? Teams at GE Aircraft Engines 4When does it make sense to use teams? 4What kinds of teams should GE Aircraft Engines use and why? 4How should people who work on teams be paid?

Management, by Williams South-Western College Publishing Copyright © When Selected Companies Began Using Work Teams Adapted From Exhibit 13.1 Boeing1987 Caterpillar1986 Champion International1985 Cummings Engine1973 Digital Equipment1982 Ford1982 General Electric1985 LTV Steel1985 Procter & Gamble 1962

Management, by Williams South-Western College Publishing Copyright © After discussing this section, you should be able to: Learning Objectives Why Work Teams? 1.explain the good and bad of using teams. 2.recognize and understand the different kinds of teams.

Management, by Williams South-Western College Publishing Copyright © The Advantages of Teams CustomersatisfactionProductandservicequality Speed and efficiency in productdevelopment Employee satisfaction Better decision making and problem solving (multiple perspectives, more alternative solutions, increased commitment to decisions CrossTraining

Management, by Williams South-Western College Publishing Copyright © The Disadvantages of Teams InitiallyHighTurnoverSocialLoafingSelf-LimitingBehavior Legal Risk Disadvantages of group decision making (groupthink, inefficient meetings, minority domination, lack of accountability

Management, by Williams South-Western College Publishing Copyright © Factors That Encourage Self- Limiting Behavior in Teams 4The presence of someone with expertise 4The presentation of a compelling argument 4Lacking confidence in one’s ability to contribute 4An unimportant or meaningless decision 4A dysfunctional decision-making climate Adapted From Exhibit 13.3

Management, by Williams South-Western College Publishing Copyright © Minimizing the Legal Risks Associated with Teams and the National Labor Relations Act 4Suggestion boxes 4Greater worker control 4Don’t overrule 4Don’t turn teams into representative bodies 4Timing is important Adapted From Exhibit 13.4

Management, by Williams South-Western College Publishing Copyright © When to Use Teams Use Teams When: 4There is a clear purpose 4The job can’t be done individually 4Team-base rewards are possible 4Ample resources exist 4Teams have authority Don’t Use Teams When: 4There is no clear purpose 4The job can be done individually 4Only individual-based rewards exist 4Resources are scarce 4Management controls Adapted From Exhibit 13.5

Management, by Williams South-Western College Publishing Copyright © Kinds of Teams Autonomy, the Key Dimension Special Kinds of Teams

Management, by Williams South-Western College Publishing Copyright © Autonomy, the Key Dimension TraditionalWorkGroups Autonomy EmployeeInvolvementTeams Semi-autonomousWorkGroups Self-managingTeams Self-designingTeams

Management, by Williams South-Western College Publishing Copyright © Been There, Done That 4Implemented team concept while organization was downsizing 4Self-managed teams closer to customer Tresponse time improved Tsatisfaction level of field people increased 4Now lowest-cost provider in industry AAL and Self-Managed Teams

Management, by Williams South-Western College Publishing Copyright © Special Kinds of Teams Cross-Functional Teams Virtual Teams Project Teams

Management, by Williams South-Western College Publishing Copyright © Managing Successful Virtual Teams 4Self-starters and strong communicators 4Clear, specific goals 4Frequent feedback 4Upbeat and action-oriented interactions 4Periodically bring team members together 4Communications via more telephone calls, e- mails, internet messaging and videoconference sessions 4Ask team members for feedback Adapted from Exhibit 13.7

Management, by Williams South-Western College Publishing Copyright © After discussing this section, you should be able to: Learning Objectives Managing Work Teams 3.understand the general characteristics of work teams. 4.explain how to enhance work team effectiveness.

Management, by Williams South-Western College Publishing Copyright © Work Team Characteristics Team Norms Team Cohesiveness Team Size Team Conflict Stages of Team Development

Management, by Williams South-Western College Publishing Copyright © Team Norms 4Informally agreed-on standards of team behavior 4Develop over time 4Clarify expectations 4Can lead to positive and/or negative outcomes

Management, by Williams South-Western College Publishing Copyright © Team Cohesiveness 4The extent to which members are attracted to the team and motivated to remain in it 4Cohesive teams: Tretain their members Tpromote cooperation Thave consistent performance

Management, by Williams South-Western College Publishing Copyright © What Really Works? Cohesion and Team Performance Team Performance 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% Probability of success66% Probability of success73% Team Performance with Interdependent Tasks

Management, by Williams South-Western College Publishing Copyright © What Really Works? (cont’d) 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% Probability of success 60% Cohesion and Team Performance Team Performance with Independent Tasks

Management, by Williams South-Western College Publishing Copyright © Team Size 4Curvilinear relationship Size Performance

Management, by Williams South-Western College Publishing Copyright © Team Conflict 4C-type Conflict Tcognitive conflict Tfocuses on problems and issues 4A-type Conflict Taffective conflict Temotional, personal disagreements 4Both types often occur simultaneously

Management, by Williams South-Western College Publishing Copyright © How Teams Can Have a Good Fight 4Work with more rather than less information 4Develop multiple alternatives to enrich debate 4Establish common goals 4Inject humor into the workplace 4Maintain a balance of power 4Resolve issues without forcing consensus Adapted from Exhibit 13.8

Management, by Williams South-Western College Publishing Copyright © Team Performance Time Stages of Team Development Forming Storming Norming Performing De-Norming De-Storming De-Forming Adapted from Exhibit 13.9

Management, by Williams South-Western College Publishing Copyright © Enhancing Work Team Effectiveness TeamTraining Team Compensation and Recognition Selecting People for Teamwork Setting Team Goals and Priorities

Management, by Williams South-Western College Publishing Copyright © Setting Team Goals and Priorities 4Team goals enhance team performance 4Goals clarify team priorities 4Challenging team goals help team members to regulate effort

Management, by Williams South-Western College Publishing Copyright © Requirements for Stretch Goals to Motivate Teams 4A high degree of autonomy 4Empowered with control resources 4Structural accommodation 4Bureaucratic immunity

Management, by Williams South-Western College Publishing Copyright © Blast From The Past Work Teams: Just Horsing Around 4Hawthorne Studies Timportance of “informal” norms 4Eric Trist and work teams 4Skunkworks Ta team insulated from bureaucracy

Management, by Williams South-Western College Publishing Copyright © Selecting People for Teamwork TeamDiversity TeamLevelIndividualism-Collectivism

Management, by Williams South-Western College Publishing Copyright © Team Training 4Need for training often underestimated 4Type of training needed to work well on team Tinterpersonal skills Tdecision-making & problem-solving Ttechnical Tleadership

Management, by Williams South-Western College Publishing Copyright © Team Compensation and Recognition 4The level of reward must match the level of performance 4Three methods: Tskill-based pay Tgainsharing Tnonfinancial rewards

Management, by Williams South-Western College Publishing Copyright © What Really Happened? Teams at GE Aircraft Engines 4Newly hired employees received group training 4All employees receive feedback concerning teamwork and job performance 4Used combination of self-designing and cross- functional teams 4Used skill-based pay program 4Costs are down and performance is up