1. Organizational Behaviour Canadian Edition Schermerhorn, Hunt, Osborn, Currie Prepared by: Joan Condie

2. Chapter 9 The Nature of Groups

3. Schermerhorn, Hunt, Osborn, Currie Organizational Behaviour, Canadian Edition Copyright 2005 John Wiley & Sons Canada, Ltd. Questions  What is the nature of groups in organizations?  What are the stages of group development?  What are the foundations of group effectiveness?  What are group and intergroup dynamics?  How do groups make decisions?

4. Schermerhorn, Hunt, Osborn, Currie Organizational Behaviour, Canadian Edition Copyright 2005 John Wiley & Sons Canada, Ltd. Groups in Organizations Group = two or more people who work together regularly to achieve common goals  An effective group achieves high levels of:  Task performance (quality, quantity, timeliness of results)  Member satisfaction (positive experience that meets members’ needs)  Team viability (members willing to work together again or look forward to the chance to do so)

5. Schermerhorn, Hunt, Osborn, Currie Organizational Behaviour, Canadian Edition Copyright 2005 John Wiley & Sons Canada, Ltd. Contributions of Groups to the Organization  Synergy = the creation of a whole that is greater than the sum of its parts  Superior performance (i.e., better than lone individuals) when: No clear expert to assign decision to No clear expert to assign decision to Problem-solving can be handled by dividing work and sharing information Problem-solving can be handled by dividing work and sharing information Need for creativity and innovation (groups more willing to take risks than are individuals) Need for creativity and innovation (groups more willing to take risks than are individuals)

6. Schermerhorn, Hunt, Osborn, Currie Organizational Behaviour, Canadian Edition Copyright 2005 John Wiley & Sons Canada, Ltd. Contributions of Groups to the Organization (cont’d)  Forum to learn and share information  Satisfying needs for: Social interaction Social interaction Security Security Emotional support Emotional support Ego involvement in activities Ego involvement in activities

7. Schermerhorn, Hunt, Osborn, Currie Organizational Behaviour, Canadian Edition Copyright 2005 John Wiley & Sons Canada, Ltd. Problem with Groups: Social Loafing Social loafing = when people work less hard in groups than they would by themselves Social loafing = when people work less hard in groups than they would by themselves  Why?  Individual contributions less noticeable  Prefer others to carry the workload  To deal with social loafing  Define members’ roles and tasks to maximize individual interests  Make individual rewards dependent on contributions to group  Enhance responsibility by identifying individual contributions to the group

8. Schermerhorn, Hunt, Osborn, Currie Organizational Behaviour, Canadian Edition Copyright 2005 John Wiley & Sons Canada, Ltd. Problem with Groups: Social Facilitation Social facilitation = tendency for one’s behaviour to be influenced by the presence of others in a group  The audience acts to create emotional arousal or excitement that:  Enhances behaviour when one is proficient at the task (e.g., athlete at Olympics)  Negatively affects behaviour when the task is not well learned

9. Schermerhorn, Hunt, Osborn, Currie Organizational Behaviour, Canadian Edition Copyright 2005 John Wiley & Sons Canada, Ltd. Formal Groups Formal group = one that is officially designated for a specific organizational purpose Formal group = one that is officially designated for a specific organizational purpose  Types:  Permanent workgroup/command group Unit with subordinates reporting to head who links with other parts of organization Unit with subordinates reporting to head who links with other parts of organization Perform specific function on regular basis Perform specific function on regular basis  Temporary work groups E.g., committee, cross-functional task force E.g., committee, cross-functional task force  Virtual groups Meet and work together electronically through computer networks Meet and work together electronically through computer networks

10. Schermerhorn, Hunt, Osborn, Currie Organizational Behaviour, Canadian Edition Copyright 2005 John Wiley & Sons Canada, Ltd. Informal Groups Informal group = one formed spontaneously by members without being officially designated by the organization Informal group = one formed spontaneously by members without being officially designated by the organization  Types:  Friendship groups People who like each other and choose to spend time together, e.g., on breaks, lunch People who like each other and choose to spend time together, e.g., on breaks, lunch  Interest groups Share common work or nonwork interests Share common work or nonwork interests  Impact: informal groups can influence workflow through individuals helping each other and can satisfy needs for belonging, security, social interaction

11. Schermerhorn, Hunt, Osborn, Currie Organizational Behaviour, Canadian Edition Copyright 2005 John Wiley & Sons Canada, Ltd. Stages of Group Development  Tuckman’s five stages:  Forming Getting to know each other, exploring task and approach Getting to know each other, exploring task and approach  Storming Conflict over who will do what and how; dealing with tension and defining group task Conflict over who will do what and how; dealing with tension and defining group task  Norming Initial integration of comfortable relationships and working together; sense of harmony but not fully mature Initial integration of comfortable relationships and working together; sense of harmony but not fully mature  Performing Maturation in relationships and in task performance; can deal with complex tasks and internal disagreements Maturation in relationships and in task performance; can deal with complex tasks and internal disagreements  Adjourning Disbanding and celebrating accomplishments Disbanding and celebrating accomplishments

12. Schermerhorn, Hunt, Osborn, Currie Organizational Behaviour, Canadian Edition Copyright 2005 John Wiley & Sons Canada, Ltd. Features of a Mature Group 1.Excellent feedback mechanisms 2.Effective decision- making methods 3.High group loyalty/cohesion 4.Flexible operating procedures 5.Excellent use of member resources 6.Clear communications 7.Goals accepted by members 8.Interdependent authority relations 9.High leadership participation 10.High acceptance of minority views

13. Schermerhorn, Hunt, Osborn, Currie Organizational Behaviour, Canadian Edition Copyright 2005 John Wiley & Sons Canada, Ltd. Systems Model of Group InputsThroughputsOutputs Tasksgroup process- performance Goals (how people work together)- satisfaction Rewards- team viability ResourcesTechnology Member characteristics Group size

14. Schermerhorn, Hunt, Osborn, Currie Organizational Behaviour, Canadian Edition Copyright 2005 John Wiley & Sons Canada, Ltd. Input: Tasks  Group effectiveness influenced by:  Complexity of task demands Task’s routineness, difficulty, information requirements Task’s routineness, difficulty, information requirements  Complexity of social demands Challenge in deciding co-operatively what is to be done and how Challenge in deciding co-operatively what is to be done and how  Both types of complexity make performance more challenging but also lead to high satisfaction when successful

15. Schermerhorn, Hunt, Osborn, Currie Organizational Behaviour, Canadian Edition Copyright 2005 John Wiley & Sons Canada, Ltd. Input: Goals, Rewards, Resources  Group’s performance can suffer from:  Goals that are unclear, unchallenging, arbitrarily imposed, or focused too much on individuals  Poorly designed reward systems that focus too much on individual achievements  Inadequate budgets, poor facilities  Effective performance rests partly on having appropriate goals, well-designed rewards systems and adequate resources

16. Schermerhorn, Hunt, Osborn, Currie Organizational Behaviour, Canadian Edition Copyright 2005 John Wiley & Sons Canada, Ltd. Input: Technology  Technology = the means to get the work accomplished  Type of workflow technology influences how people interact with each other  E.g., nonroutine craft technology that customizes product to customer request as opposed to assembly line

17. Schermerhorn, Hunt, Osborn, Currie Organizational Behaviour, Canadian Edition Copyright 2005 John Wiley & Sons Canada, Ltd. Input: Member Characteristics  Ability Competence in skills needed by group tasks Competence in skills needed by group tasks  Personality Is there a matching of needs (e.g., FIRO-B identification of varying needs to express and receive inclusion, control and affection)? Is there a matching of needs (e.g., FIRO-B identification of varying needs to express and receive inclusion, control and affection)?

18. Schermerhorn, Hunt, Osborn, Currie Organizational Behaviour, Canadian Edition Copyright 2005 John Wiley & Sons Canada, Ltd. Input: Member Characteristics  Status Is there status congruence (consistency of person’s status inside/outside the group) or incongruence? Is there status congruence (consistency of person’s status inside/outside the group) or incongruence?  Membership diversity Homogeneity is comfortable but may have performance limitations Homogeneity is comfortable but may have performance limitations Heterogeneity in membership less comfortable but offers wider pool of talent and viewpoints, with better performance potential Heterogeneity in membership less comfortable but offers wider pool of talent and viewpoints, with better performance potential

19. Schermerhorn, Hunt, Osborn, Currie Organizational Behaviour, Canadian Edition Copyright 2005 John Wiley & Sons Canada, Ltd. Input: Group Size  Growth helps to a point by providing more people to share the work but, beyond a point, advantages are countered by disadvantages of communication and coordination problems, and by social loafing  Five to seven is effective for problem-solving  Odd number makes it easy to use majority voting for quick decisions  Even number preferred for careful deliberations when emphasis is on consensus

20. Schermerhorn, Hunt, Osborn, Currie Organizational Behaviour, Canadian Edition Copyright 2005 John Wiley & Sons Canada, Ltd. Throughputs: Group Dynamics  Homans describes groups as having two types of behaviour  Required behaviour Behaviour that is formally defined and expected by the organization Behaviour that is formally defined and expected by the organization  Emergent behaviour Behaviour voluntarily performed by members beyond formal job requirements; based on personal initiative Behaviour voluntarily performed by members beyond formal job requirements; based on personal initiative  Concept of empowerment relies on unlocking potential of effective emergent behaviours

21. Schermerhorn, Hunt, Osborn, Currie Organizational Behaviour, Canadian Edition Copyright 2005 John Wiley & Sons Canada, Ltd. Throughputs: Intergroup Dynamics  Cooperation between groups in an organization desirable but relationships often characterized by competition  Positive competition: enhances motivation  Negative competition: leads to greater focus on dislike for other group than performance of tasks

22. Schermerhorn, Hunt, Osborn, Currie Organizational Behaviour, Canadian Edition Copyright 2005 John Wiley & Sons Canada, Ltd. Throughputs: Intergroup Dynamics  Dealing with negative competition: Refocus groups on common enemy or goal Refocus groups on common enemy or goal Arrange direct negotiations between groups Arrange direct negotiations between groups Train members to work more cooperatively Train members to work more cooperatively Change reward systems to focus on contributions to organization and cooperation, not win-lose Change reward systems to focus on contributions to organization and cooperation, not win-lose Increase interaction between groups Increase interaction between groups

23. Schermerhorn, Hunt, Osborn, Currie Organizational Behaviour, Canadian Edition Copyright 2005 John Wiley & Sons Canada, Ltd. Decision-Making in Groups  Schein’s types:  Decision by lack of response  Decision by authority rule  Decision by minority rule  Decision by majority rule  Decision by consensus  Decision by unanimity  Note: decision method should be matched to situation; there is no one “best”

24. Schermerhorn, Hunt, Osborn, Currie Organizational Behaviour, Canadian Edition Copyright 2005 John Wiley & Sons Canada, Ltd. Advantages and Disadvantages of Group Decision-Making  Advantages  More information  More alternatives considered  Better understanding and acceptance of decision  Greater commitment to decision  Disadvantages  S ocial pressure to conform  Minority domination  Time demands

25. Schermerhorn, Hunt, Osborn, Currie Organizational Behaviour, Canadian Edition Copyright 2005 John Wiley & Sons Canada, Ltd. Potential Problem – Groupthink Groupthink = tendency of group members of cohesive groups to lose their ability to evaluate critically  Some ways to avoid groupthink:  Assign role of “devil’s advocate” at meeting  Impartial leader  Subgroups work on same problem  “second-chance” meetings  Members discuss issues with outsiders and report back

26. Schermerhorn, Hunt, Osborn, Currie Organizational Behaviour, Canadian Edition Copyright 2005 John Wiley & Sons Canada, Ltd. Special Group Decision-Making Techniques  Brainstorming Generate ideas through “free-wheeling” and no criticism Generate ideas through “free-wheeling” and no criticism  Nominal group technique Highly structured approach to generating and prioritizing ideas Highly structured approach to generating and prioritizing ideas  Delphi technique Series of questionnaires used to generate and evaluate ideas Series of questionnaires used to generate and evaluate ideas  Computer-mediated decision-making

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