2. Developing High Performance Teams11
Chapter
Developing High Performance Teams
McGraw-Hill/Irwin
Principles of Management
© The McGraw-Hill Companies, Inc., All Rights Reserved.

3. Learning Objectives
Define teams and discuss their benefits and limitations.
Discuss the success factors for self-directed teams.
Outline the model of team effectiveness.
Explain the influence on team effectiveness of a team’s task, composition, and size.
Describe the five stages of team development.
Identify three factors that shape team norms
List six factors that influence team cohesiveness.
Summarize the three levels of trust in teams.
Analyze the causes of and structural solutions to conflict in teams.

4. Teams All teams exist to fill some purpose
Team members are held together by their interdependence and need for collaboration to achieve common goals
Team members influence each other, although some members are more influential than others regarding the team’s goals and activities
See Learning Objective 1: Define teams and discuss their benefits and limitations.
See text page: 256

5. Why Rely on Teams?
Teams are generally more successful than individuals working alone at identifying problems, developing alternatives, and choosing from those alternatives.
Team members can quickly share information and coordinate tasks.
Teams typically provide superior customer service.
See Learning Objective 1: Define teams and discuss their benefits and limitations.
See text page: 256

6. Encouraging Teamwork
See Learning Objective 1: Define teams and discuss their benefits and limitations.
Encouraging Teamwork
This slide present the results of a Success Strategies Poll by Business Week.
26% of the respondents indicated: they strongly agree that their company encourages teamwork and 47% agreed for a total of 73% of the respondents agreeing or strongly agreeing about the teamwork encouragement by their company.
21% of the respondents disagreed and 5% strongly disagreed.
Ask the students – have they worked at an organization where teamwork was encouraged or discouraged? Explain. How was their working experience?
Source: Business Week, August 14, 2006
Source: Business Week, August 14, 2006

7. Why Belong to Informal Groups
They fulfill the innate drive to bond
We define ourselves by our group affiliation
We are motivated to become members of groups that are similar to ourselves
They accomplish personal goals that cannot be achieved working alone
In stressful situations we are comforted by the mere presence of other people and are therefore motivated to be near them
See Learning Objective 1: Define teams and discuss their benefits and limitations.
See text pages:

8. Why Join A Fraternity? Networking Professional connection
Social connection
Advice and mentoring
Having fun
Parties and Formals
Other reasons
See Learning Objective 1: Define teams and discuss their benefits and limitations.
Why join a fraternity?
This slide presents some of the reasons why individuals join a fraternity or a sorority.
Ask the students how many of them belong to a fraternity or a sorority? Which ones?
How many belong to a professional organization such as a Management Club or Marketing Club? How is it different from a fraternity or a sorority?
What may be the advantages or disadvantages of each?
Source: Adapted from Business Week Online, May 24, 2006

9. Trouble With Teams
Process losses – resources expended toward team development and maintenance rather than tasks
Social loafing - occurs when people exert less effort when working in groups then when working alone.
Likely to occur in large groups where individual output is difficult to identify
Social loafing is less likely to occur when:
Make member’s contributions more noticeable
Make the task more interesting
Members value group membership and believe in working toward group objectives
See Learning Objective 1: Define teams and discuss their benefits and limitations.
See text page: 258

10. Production/ service/ leadership teams Task force (project) teams
Types of Teams
Self-directed teams
Departmental teams
Skunkworks
Advisory teams
See Learning Objective 1: Define teams and discuss their benefits and limitations.
See text page: 259
Production/ service/ leadership teams
Virtual teams
Task force (project) teams

11. Self-directed Teams
The difference between self-directed teams and traditional production/service teams are that self-directed teams:
Complete an entire piece of work, whether it’s a product or service, or part of a larger product or service
Assign tasks that individual team members perform
Control most work inputs, flow, and outputs
Are responsible for correcting workflow problems as they occur
Receive team level feedback and rewards
See Learning Objective 2: Discuss the success factors for self-directed teams.
See text page: 260

12. Virtual Teams Difference between traditional & virtual teams:
They are not usually colocated (they do not work in the same physical area)
Due to their lack of colocation, members of virtual teams depend primarily on information technologies rather than face-to-face interaction
See Learning Objective 2: Discuss the success factors for self-directed teams.
See text page: 261

13. Team Effectiveness in U.S. Manufacturing Firms
See Learning Objective 3: Outline the model of team effectiveness.
See text page: 263

14. Team Effectiveness Model
Team design
Task characteristics Team size Team composition Team roles
Organizational and team environment
Team effectiveness
See Learning Objective 3: Outline the model of team effectiveness.
See text page: 263
Team processes
Task development Team norms Team cohesiveness Team trust Team conflict

15. Team Design Features & Team Processes
Task characteristics
Team composition
Team norms
See Learning Objective 4: Explain the influence on team effectiveness of a team’s task, composition, and size.
See text pages:
Team cohesiveness
Team size
Team roles
Team trust

16. Stages of Team Development
Performing *Task oriented, committed. *Efficient coordination *High cooperation and trust. *Conflicts resolved quickly.
Norming *Roles established *Team objectives agreed *Common mental models formed. *Cohesion developed.
Storming *Conflict with proactive behavior. *Compete for team roles *Influence goals and means. *Establish norms and standards.
See Learning Objective 5: Describe the five stages of team development.
See text page: 267
Forming
*Roles established *Team objectives agreed *Common mental models formed *Cohesion developed.
Adjourning

17. Question
Think of a team that you have been part of for a class project. Identify the five steps of its development and explore whether the team was effective. Why or why not?
See Learning Objective 5: Describe the five stages of team development.
See text page: 267
Question
Students should be able to utilize their personal experience as application exercise to the team development stages.

18. Team Norms Three factors that influence the norm formation:
Subtle events during team’s formation can initiate norms
Norms form as team members discover behaviors that help them function more effectively
Past experiences and values that members bring with them
See Learning Objective 6: Identify three factors that shape team norms.
See text page: 270

19. Team Cohesiveness Member Similarity Team Size Member Interaction
Somewhat Difficult Entry
Team Success
External Competition and Challenges
Consequences of Team Cohesiveness
See Learning Objective 7: List six factors that influence team cohesiveness.
See text pages:

20. Do You Need Corporate Retreat for Building Cohesiveness?
Get clear on what you want to accomplish
Tackle the tough stuff
Invite a crowd
Get outside help
See Learning Objective 7: List six factors that influence team cohesiveness.
Building Cohesiveness
This slide presents the points for building cohesiveness as an antidote to corporate retreat.
The author argues that corporate retreats does not work well and rather the managers should focus on these points.
Unless you have a compelling reason to have the retreat, save the money and energy. Cohesiveness comes first from having the direction and strategy to follow.
Tackle the conflict and controversy rather than just dealing with niceties.
Get more diverse minds involved in solving a problem and you will get better results and understanding.
Get professional facilitator if you really want your employees to think outside the box.
Source: Business Week Online, January 18, 2006
Source: Business Week Online, January 18, 2006

21. Question
Highly cohesive teams are always effective, productive, and good for the organization. Do you agree? Why or why not?
See Learning Objective 7: List six factors that influence team cohesiveness.
See text pages:
Question
Highly cohesive teams are good for its members but whether they are good for the organization is dependent on their norms. If their norms are in congruence to the organizations, the yes. Otherwise they are not good for the organization.

22. Three Foundations of Trust in Teams
Type of Trust
Description
High
Identification-based trust
*Based on common mental models and values. *Increases with person’s social identity with team.
Potential level of trust
Knowledge-based trust
*Based on predictability and competence *Fairly robust.
Low
Calculus- based trust
*Based on deterrence *Fragile and limited potential because dependent on punishment.
See Learning Objective 8: Summarize the three levels of trust in teams.
See text page: 273

23. Managing Team Conflict
Conflict – a process in which one party perceives that its interests are being opposed or negatively affected by another party
Since conflict is a perception, which means that it begins long before observable disagreements
Managers need to look for subtle signs of conflict perceptions to prevent dysfunctional behaviors that may follow
See Learning Objective 9: Analyze the causes of and structural solutions to conflict in teams.
See text page: 274

24. Employees’ New Year’s Resolution for Their Managers
Deal with workplace conflict faster – 18%
Be less of a micromanager – 14%
Recognize work well done – 12%
See Learning Objective 9: Analyze the causes of and structural solutions to conflict in teams.
Employees’ New Year’s Resolution for Their Managers
This slide presents the results from Business Week’s recent poll of employees.
About 18% of the employees cited their resolution for their managers to be dealing with the workplace conflict faster.
Ask the students – what would happen if the conflict were to allow to linger on? (Some very negative aspects could be on the morale and motivation of employees, lowered productivity, possible tarnished reputation, and so on.)
Source: Business Week, January 8, 2007

25. Task vs. Relationship Conflict
Task-related conflict – (aka Constructive conflict) occurs when team members perceive that the conflict is in the task or problem rather than in each other
Relationship conflict – occurs when team members view differences as personal attacks that threatens their self-esteem and resources
See Learning Objective 9: Analyze the causes of and structural solutions to conflict in teams.
See text page: 274

26. Minimizing Relationship Conflict
Emotional intelligence – conflict is less likely to occur when this is high
Cohesive team – conflict is suppressed when the team is highly cohesive
Supportive team norms – this can hold relationship conflict at bay during constructive debates
Problem-solving conflict management style – team members that take this approach are less likely to trigger strong emotions
See Learning Objective 9: Analyze the causes of and structural solutions to conflict in teams.
See text page: 275

27. Interpersonal Conflict Management Styles
High
Forcing
Problem solving
Assertiveness (motivation to satisfy one’s own interests)
Compromising
Low
Avoiding
Yielding
Cooperativeness (motivation to satisfy other party’s interests)
See Learning Objective 9: Analyze the causes of and structural solutions to conflict in teams.
See text page: 276

28. Interpersonal Conflict Management Styles (cont)
Problem solving – tries to find a mutually beneficial solution for both parties
Avoiding – Tries to smooth over or avoid conflict situations altogether
Forcing – tries to win the conflict situation altogether
Yielding – involves giving in completely to the other side’s wishes, or at least cooperating with little or no attention to your own interests
Compromising – involves actively searching for a middle ground between the interests of the two parties
See Learning Objective 9: Analyze the causes of and structural solutions to conflict in teams.
See text page: 276

29. Conflict at Siemens
Klaus Kleinfeld brought American-style management to Germany’s Siemens:
Sold money losing mobile phone unit to Taiwan’s BenQ for $1.4 billion [Public pressure required Siemens to pay $46 million to retrain workers after BenQ closed the business]
Put troubled communications-equipment unit into joint venture with Finland’s Nokia [Workers felt betrayed and now the transaction is on hold due to a scandal]
Invited workers to comment on his blog to get closer to employees [Received dozens of scathing posts accusing him of destroying the company’s culture]
See Learning Objective 9: Analyze the causes of and structural solutions to conflict in teams.
Conflict at Siemens
This slide presents some of the decisions by the Siemens CEO, Kleinfeld, and the reactions by the workers of the company.
Ask the students what types of conflict handling styles have the CEO used so far? Which style may be beneficial? (The styles so far has been forcing, avoiding and to some extend compromise with reaching out to the workers)
The CEO has been able to generate the results in financial numbers, however, employee morale is down and conflict is up. The differences in culture plays a big role here as well. German employees are big on unions and taken care of where as American CEO’s focus more on the bottom line results is conflicting.
Source: Business Week, January 29, 2007

30. Question Problem solving Yielding Compromising Avoiding
Which interpersonal conflict management style is preferred because it minimizes the risk of relationship conflict?
Problem solving
Yielding
Compromising
Avoiding
See Learning Objective 9: Analyze the causes of and structural solutions to conflict in teams.
See text page: 276
Answer: A

31. Structural Solutions to Team Conflict
Emphasize Superordinate goals – common objectives held by conflicting parties that are more important than the departmental or individual goals on which the conflict is based
Find ways for employees to understand each other’s differences
Look into ways to reduce the intensity of interdependence
See Learning Objective 9: Analyze the causes of and structural solutions to conflict in teams.
See text page: 277