ACHARYA INSTITUTE OF GRADUATE STUDIES

(NAAC Re Accredited ‘A’ Grade & Affiliated to Bengaluru City University)

Soladaevanahalli, Bengaluru-560107

DEPARTMENT OF MANAGEMENT
ACADEMIC YEAR 2023-2024 ODD

FACULTY NAME : MANJULA BK

COURSE : BBA
SEMESTER : III SEM
SECTION : D
SUBJECT : ORGANISATIONAL BEHAVOIUR

LECTURE NOTES

MODULE NO. 2: GROUP AND TEAM DYNAMICS

GROUP DYNAMICS:

“People easily form clubs, fraternal societies, and the like, based on congeniality, which may give
rise to real intimacy.... where there is a little common interest and activity, kindness grows like
weeds by the roadside.”

- Charles Horton Cooley.

Human beings are sociable in nature, spending much of their time in groups. There are various
reasons for individuals to join groups. Individuals get themselves associated with groups for status,
security or for any personal interest. The success of any organisation is determined by the ‘team’-
its people, their potential and attitude to give higher performance.

A group is an important subsystem in any organisation. Although many students and managers
think of organisations as comprising individuals, each doing a separate and distinct job, a large
and increasing portion of the world’s work is actually done in some kind of group. Even when an
employee is not formally assigned to a group, much of his or her work is likely to be carried out
in conjunction with a particular set of other people and feelings of “being part of a group” will
emerge.

Meaning and Definition:

In the broad sense, a group is any collection of individuals who have mutually dependent
relationships. A formal definition of group is that it refers to “a collection of two or more
interacting individuals with a stable pattern of relationships between them, who share common
goals and who perceive themselves as being a group.”

“A group is a composition of two or more freely interacting individuals who share a common
identity and purpose.” - Joseph A. Litterer.

“A group may be defined as some people getting together for a common ideology.”

“A group is an aggregation of people interacting and interdependent and are aware of one another.”

Group Features/characteristics:

1) Two or more persons: The group must be combination of two or more persons which is
considered as a social unit.

2) Free interaction among them: Some sort of interaction should be there between them. An
organisation may be considered as a social group, if the authorities allow the members to interact
freely with each other. The organisation should be small enough to provide scope for interaction.
However, in large organisations with bureaucratic tendencies many overlapping groups can be
observed.

3) Common Identity: The group members shall interact to share a common identity. That means
each one in the group should recognise oneself as a member of the group.

4) Common Purpose: Interacting members with common identity should also have common
purpose. At least they should have an idea as to why group is formed or exists.
Group Dynamics:

The social process by which people interact with each other in small groups is called group
dynamics. Group dynamics is the study of forces operating within a group.

Types of Groups:

In an organisational work setting there might be different groups. Generally groups differ
based on the size, the flow of authority and communication. The major classification of groups are
given below,

Work group – A group of people working together

Ex: the mechanics in a sears Auto Center

Team – A group of people working together toward a common goal

Ex: The quality circle group working in a manufacturing unit.

a) Formal Groups :
The line of authority forms the members of this group formally. They are formed
for specific purpose. The purpose or objective of forming is given by the
management.
Members are usually appointed by the organisation, but it may not always be the
case. A number of people assigned to a specific task form a formal group.
Example of such a group : committee and other examples are work units, such as
a small department, a research and development laboratory, a management team or
a small assembly line. A distinctive feature of formal groups is that a hierarchy of
authority exists, with specified members rules and regulations. Rules, regulations,
incentives and sanctions guide the behaviour of small groups.

Formal Groups further subdivided into two

1) Standing task group
2) Task group
1) Standing task group:
Also known as command group, is permanently specified in the organisational structure
and consists of a supervisor who exercises formal authority over subordinates.
In the field of organizational behaviour (OB), the concept of a standing task group refers
to a permanent work unit within an organization that is responsible for carrying out specific
tasks or functions. These groups are often formed based on the nature of the work required
or the skills and expertise needed to accomplish the tasks. Standing task groups in OB are
designed to provide stability, efficiency, and specialization in performing recurring
activities within an organization. They allow members to develop deep knowledge and
expertise in their assigned tasks, leading to increased productivity and effectiveness.
2) A Task Group:
Is a temporary formal group that is created to solve specific problems? The group
comprises employees who work together to complete a particular task or project, but who
do not necessarily report to the same supervisor. The employees belong to different
departments. They stay together till the task is completed and once the work is completed,
the task group usually disbands and member return to their respective task groups.

b) An Informal Group:

Members of this group belong to various divisions or sections irrespective of their jobs.
These groups are formed for the purpose of solving any serious problems, or generally for
sharing their ideas about any matter related or unrelated to the organisation. Informal
groups might positively or negatively affect the performance of the organisation. Also
called a clique is an alliance that is neither formally structured, nor organizationally
determined. Informal groups are natural formations in the work environment which appear
in response to the need for social contact. They often develop within formal group out of
certain values or concerns which some member find they share. They may also develop
across or outside of formal groups. Whatever the way of formation, informal groups
obviously do not possess formal structures. Rather, member roles are loosely defined,
based on member expectations and the needs of a group at any particular moment. A
member’s behaviour is guided by his own internalised perception of what is appropriate
and sanctioned by the bestowing or withholding of social approval.
 Interest group, friendship group and reference group are part of informal groups.

a) An Interest Group:
It is made up of individuals who affiliate to achieve an objective of mutual interest
that may have nothing to do with their formal task group memberships.
Ex: working mothers who lobby together to get their organisation to fecilitate their
multiple roles by providing day care facilities on the premises,. flexi time and
shared job assignment is an example.
b) A Friendship Group:
Also develops on common characteristics such as marital status, political views,
college affiliations and sports. Friendship groups are important because they satisfy
affiliation needs of their members. Enlightened managers maintain good relations
with friendship groups because these groups have tremendous influence on their
members that managers would prefer to have directed towards organisational goals.
c) A reference group:
It is any group with which an individual identifies for the purpose of
forming opinions or making decisions. Reference group are the base for many
interest and friendship groups, but they may also exist outside of the organisation
and still influence a person’s behaviour at work. Reference groups are based on
such factors as race, gender, politics, religion, social class, education level,
profession and the like. Reference groups provide values for individuals on which
to base personal decisions and norms that justify social behaviour, both of which
may or may not be congruent with organisational preferences.
The members of these group act as a comparisons or reference for other
individuals. Individuals outside the reference groups form their attitudes and frame
their personality by referring or identifying themselves with reference groups. Thus
these reference groups may directly or indirectly affect the individual’s attitude who
may or may not be the member of the reference groups. The reference groups have
power and attractiveness compared to other groups.
 Although informal groups exist to satisfy individual needs, they also provide
contributions to the formal organisation.
Depending on the number of members and the size of the groups, the groups
can be further classified as small groups, medium-sized groups and larger groups.
i) Small groups:
Are highly effective for short-term decision-making process. Here the number of
group members are restricted up to 5. The decision-making process is much
facilitated in the medium sized groups. Here the number of members are limited.
The number of members may vary from 7 to 12. The communications among the
members are fast.
ii) Large groups:
In large group the decision-making is conventional as the number of members are
large. Communication is difficult.
iii) Self-managed team:
A group of people working together in their own ways toward a common goal
which is defined outside the team.
Ex: In XYZ company there is a team named BETA. They manufacture cardboard
boxes as defined by executive leadership. Team does their own scheduling,
training, rewards and recognition, etc.
iv) Self-directed team:
A group of people working together in their own ways toward a common goal.

Group Development

Group development refers to the process by which members of newly formed work teams learn
about their teammates, establish their roles and responsibilities, and acquire the task work and
teamwork capabilities required to coordinate their effort to perform effectively as a team.

Group development involves forming and operating a productive team towards a shared goal. The
group development process has five main stages: forming, storming, norming, performing, and
adjourning.
 Stages of Group Development :

These stages are commonly known as: Forming, Storming, Norming, Performing, and Adjourning.
Tuckman's model explains that as the team develops maturity and ability, relationships establish,
and leadership style changes to more collaborative or shared leadership.

1. Forming: Forming stage is the first stage in group development. This stage has two
phases. In a formal group, people join because of some work assignment. The second phase
begins when the people joined the formal group. Then these people define the group’s
purpose, structure, and leadership. This stage is complete when members begin to think of
themselves as part of a group.

Observable Behaviours

 Politeness
 Tentative joining
 Orienting with others personally
  Avoids controversy
 Cliques may form
 Need for safety and approval
 Attempts to define tasks, processes, and how it will be decided here
 Discussion of problems not relevant to the task

Feelings and Thoughts

 Many feel excited, optimistic, and full of anticipation

 Others may feel suspicious, fearful, and anxious working with others
 What is expected of me
 Why are they here
 Uncertainty and Apprehension

Team Needs

 Team mission and vision

 Establish specific objectives and tasks
 Identify roles and responsibilities of team members
 Establish team ground rules
 Team member expectations
 Operational guidelines for team
 Effective in class meetings
 Effective Chat meetings
 1st set of feedback from project guides

Leadership Required

 Project Guides & Instructors

 provide structure and task direction
 Allow for get-acquainted time
 Create an atmosphere of confidence and optimism
 Active involvement
  Team members believe an appointed leader necessary to make decisions
 One-way communication from leader to team-members

To advance from this stage to the next stage, each member must relinquish the comfort zone of
non-threatening topics and risk the possibility of conflict.

2. Storming

When group members get to know each other better, the storming stage begins. This storming
stage named because of the intragroup conflict that occurs over who will control the group and
what the group needs to be doing. This stage is characterized by a bid for power. There are six
characteristics of the storming stage which is competition, strained relationships, leader is
challenged, tension and disunity, differences are uncomfortable, and the issues of autonomy vs.
control support vs. competition influence decision-making. When this stage is complete, there is a
relatively clear hierarchy of leadership and agreement on the group’s direction.

Observable Behaviours :

 Arguing among members

 Vying(competing) for leadership
 Differences in points of view and personal style are evident
 Lack of role clarity
 Team organizing itself
 Power struggles and clashes
 Lack of consensus-seeking behaviors
 Lack of progress
 Establishes unrealistic goals
 Concern over excessive work

Feelings & Thoughts

 Feel Defensive
 Confusion, loss of interest can result
  Resistance to tasks
 Fluctuations in attitude about the team
 Unsure if I agree with teams mission and purpose
 Question the wisdom of team members
 Increase in tension and jealousy
 Unsure about my personal influence and freedom in the team
 We're not getting anywhere

Team Needs

 Inter & intra personal relationships

 Identify stylistic and personal differences
 Effective listening
 Giving and receiving feedback
 Conflict resolution
 Clarify and understand the team’s purpose
 Reestablish roles and ground rules
 How to deal with ‘some’ team members violating team codes of conduct
 Receiving Feedback from project guide

Leadership Required

 Project guide & Instructors acknowledge conflict

 Project Guides suggest that consensus among team members
 Get members to assume more task responsibility
 Concept of Shared Leadership emerges
 Teach conflict resolution methods
 Offer support and praise
 Actively involved Team members begin consulting one another – shared leadership
emerging but have difficulty with decision making
In order to progress to the next stage, group members must move from a "testing and proving"
mentality to a problem-solving mentality. The most important trait in helping teams move to the
next stage is the ability of team members to listen to their team mates - what are they trying to say?

3. Norming

The norming stage is one in which close relationship develop and the group become cohesive and
has begun to be effective. There’s now a strong sense of group identity and camaraderie. This stage
will be complete when the group structure has been assimilated as a common set of expectations
about behavior and become solid. There are some characteristics about this stage :

Issues of strengthening relationships, open communication, positive/constructive feedback.

Increased cohesion

Emerging trust

More collaboration

Appreciation of differences

Observable Behaviors

 Processes and procedures are agreed upon

 Comfortable with relationships
 Focus and energy on tasks
 Effective conflict resolution skills
 Sincere attempt to make consensual decisions
 Balanced influence, shared problem solving
 Develop team routines
 Sets and achieves task milestones

Feelings & Thoughts

  Sense of belonging to a team
 Confidence is high
 Team members feel a new ability to express criticism constructively
 Acceptance of all members in the team
 General sense of trust
 Assured that everything is going to work out okay
 Freedom to express and contribute

Team Needs

 Develop a decision making process

 Be prepared to offer ideas and suggestions
 Problem solving is shared
 Utilizing all resources to support the team effort
 Team members take responsibility in shared leadership skills
 Receiving Feedback from project guides

Leadership Required

 Shared leadership
 Give feedback and support from Project Guides
 Allow for less structure
 Promotes team interaction
 Asks for contributions from all team members
 Collaboration becomes clearer
 Encouraging others in making decisions
 Continues to build strong relationships

The major task function of stage three is the data flow between group members: They share
feelings and ideas, solicit and give feedback to one another, and explore actions related to the task.
Creativity is high. Collaboration emerges during this stage when team work ethic and shared
leadership is understood.
The major drawback of the norming stage is that members may begin to fear the inevitable future
breakup of the team; they may resist change of any sort.

4. Performing

The fourth stage of group development is performing. Many groups never reach the performing
stage. This is the stage at which would be an excellent customer service and to create an impressive
examples. The group structure is in place and accepted by group members. In this stage,
characteristics include productivity, full development of the potential of the group and the
individuals in the group, harmony and effective problem-solving. This is the last stage of
development for permanent work groups.

Observable Behaviors

 Fully functional teams

 Roles are clearer
 Team develops independence
 Team able to organize itself
 Flexible members function well individually, in subgroups or as a team
 Better understand each other’s strengths and weaknesses and insights into group
processes

Feelings & Thoughts

 Empathy for one another

 High commitment
 Begin understanding collaborative work ethic
 Tight bonds emerge
 Fun and excitement
 Lots of personal development and creativity
 General sense of satisfaction
 Continual discovery of how to sustain feelings of momentum and enthusiasm
Team Needs

 Project guides assure team is moving in collaborative direction

 Maintain team flexibility
 Measure knowledge performance – post test
 Provide information
 Giving and Receiving
 Feedback and Dialogue with project guides

Leadership Required

 Shared Leadership being practiced

 Observing, Inquiring, Fulfilling, team needs
 Collaborative efforts among team members
 Project guides provides little direction
 Team members offer positive reinforcement and support
 Share new information

The Performing stage is not reached by all groups. If group members are able to evolve to stage
four, their capacity, range, and depth of personal relations expand to true interdependence. In this
stage, people can work independently, in subgroups, or as a total unit with equal competencies.

5. Adjourning

In this stage typically team members are ready to leave (course termination) causing significant
change to the team structure, membership, or purpose and the team during the last week of class.
The final stage is adjourning. In this stage, the group prepares to disband. Group members will
react in some way that is independent of a confident and excited about the performance of their
group. While, others may be sad over the loss of camaraderie and friendship. That’s why more
attention is focused on wrapping activities rather than task performance.

Observable Behaviors
  Visible signs of grief
 Momentum slows down
 Restless Behavior
 Bursts of extreme energy usually followed by lack of energy

Feelings & Thoughts

 Sadness
 Humor (that to outsiders could appear cruel)
 Glad it is over – relief

Team Needs

 Evaluate the efforts of the team

 Tie up loose ends and tasks
 Recognize and reward team efforts

Leadership Required

 Project guides help team develop options for termination

 Good listening
 Reflection and carry forth collaborative learning to next opportunity

The final stage, adjourning, involves the termination of task behaviors and disengagement from
relationships. A planned conclusion usually includes recognition for participation and achievement
and an opportunity for members to say personal goodbyes. Concluding a group can create some
apprehension – in effect, a minor crisis. The termination of the group is a regressive movement
from giving up control to giving up inclusion in the group.
Determinants of Group Behaviour - Organizational Behaviour:

There are many factors which determines a Group Behaviour. Group resources, Group role,
Group cohesiveness, Group structure, Group norms, Group processes.

1. Group Norms: The shared expectations and unwritten rules that guide the behaviour of group
members. By identifying acceptable and unacceptable behaviours, norms tell group members
when a behaviour or topic is damaging to another member. For example, a norm against swearing
signals group members that such action would be hurtful to someone in the group and should be
avoided

2. Group Cohesion: The level of unity and connectedness among group members, which can
affect cooperation, collaboration, and overall group performance. (Sticking together.)

3. Leadership: The presence of a group leader or influential individuals who exert influence and
guide the group's behaviour and direction.

4. Group Size: The number of individuals in a group, which can impact communication, decision-
making, and social dynamics.

5. Roles and Status: The specific positions and responsibilities held by group members, as well
as their perceived social standing within the group.

6. Group Goals: The shared objectives and targets that the group aims to accomplish, which can
motivate and shape the behaviour of its members.

7. Diversity: The presence of diverse backgrounds, perspectives, and experiences within a

group, which can impact creativity, problem-solving, and decision-making processes.

It's worth noting that these determinants can interact with and influence each other, creating a
complex dynamic within the group.
TEAM DYNAMICS:

Meaning: A team is defined as a group of people who perform interdependent tasks to work
toward accomplishing a common mission or specific objective. Team dynamics refers to the
relationships and interactions between team members that can affect their productivity and
performance. It encompasses how team members communicate, collaborate, and coordinate their
efforts to achieve a shared goal.

Types of Team

There are various types of teams and their functions and objectives are also different. The types of
teams are discussed are below:

Problem-Solving Team: Often, problem-solving teams are assembled temporarily. Usually, team
members in problem-solving teams are gathered in case of a crisis or an unplanned matter at work.
Thus, such teams try to address the issue and drive the organizations out of the ongoing crisis.

A problem-solving team consists of 5-10 members from the same department. The team will have
a number of weekly meetings to resolve specific business problems.

In fact, this type of team can alleviate possible risks associated with certain crises while developing
thorough solutions that address multiple business segments.

Self-Managed Work Team

Unlike problem-solving teams, of which desirable outcomes focus on recommendations, self-

managed work teams are more concerned about implementing and revising solutions.

A self-managed work team consists of a small group of members who are fully responsible for
delivering a product or a service through peer collaboration. In this type of team, a manager's
guidance is often absent.

Normally, around ten employees will take on supervisory responsibilities while performing
interdependent tasks. Together, this type of team unites for long-term purposes.
Cross-Functional Team: Nowadays, more and more organizations have embraced the use of
cross-functional teams in their operations.

A cross-functional team consists of members on the same hierarchical level but from various
departments within an organization.

Despite its growing importance, about 75 percent of global cross-functional teams face
dysfunctional challenges.

To illustrate, while cross-functional teams gather people from different areas of expertise to
coordinate complex projects, such teams are tough to manage due to leadership ambiguity. Further,
such diversity in team members also entails a high risk of workplace conflicts.

Virtual Team: Virtual teams have recently arisen as new global group dynamic trends. Also
known as geographically dispersed or remote teams, virtual teams imply people working together
without being physically present.

A virtual team relies on digital technology to unite virtual members to work towards common
goals.

Accordingly, virtual teams' most significant advantage is that they can stay connected and
informed anywhere and at any time, regardless of their physical locations.

70 percent of professionals work remotely in some capacity at least once a week, with 53% doing
so for half the week.

Multi team System: If you are wondering about a team that can unite different departments
within your organization, not just the individuals, perhaps a multi team system is ideal for you.

A multi team system is a team that consists of different teams working together to realize
overarching goals.

The multi team system is quite a new concept for organizations worldwide. While a multiteam
system is larger than a team, it is still smaller than an organization. Organizations often need to
form multi team systems to resolve highly complex tasks requiring higher coordination and
expertise.

Examples of Teams Types

What do different types of teams look like in real-life contexts? Let's then go
through some real-life examples of the different types of teams.

Types of
Example
Teams

From the 2008 world financial crisis onwards, organizational task force teams
Problem-
and governmental committees teamed up in the US to drive the country out of
solving team
a looming economic recession.

A start-up company has received new funding from its angel investors. Thus,

the company wishes to make appropriate funding reallocation to develop its

Cross-
new sales department. Accordingly, a cross-functional team has been created
functional
with members from each existing department. Together, the members
team
represent their own departments and determine how to reallocate the new

funding.

Within the sales team, members have to deliver a monthly sales pitch to their
Self-
sales manager. Thus, to discuss their next sales pitch's theme and objectives,
managed
sales members gather in a self-managed team without the presence of the sales
team
manager.

The virtual Yelp Community Team is a perfect example of virtual teams.

Virtual team Accordingly, at Yelp, there are remote full-time community managers (in big
cities) and remote, part-time community ambassadors (in small cities), who all
 act as local representatives of the company. Thus, these remote positions

connect the entire community of Yelp's users, business owners, and

representatives without needing physical appearance.

A popular example of a multiteam system is the Provincial Reconstruction

Team created by the United States government. Accordingly, the Provincial

Multiteam
Reconstruction Team involves nationwide military officers, diplomats, and
System
reconstruction experts working together to improve unstable states'

reconstruction development across the country.

Differences between Groups and Teams

Groups Teams

Individual accountability. Individual and mutual accountability.

Frequently come together for discussion,

Come together to share information
decision making, problem-solving, and
and perspectives.
planning.

Focus on individual goals. Focus on team goals.

Produce individual work products. Produce collective work products.

Define individual roles, responsibilities, and

Define individual roles,
tasks to help the team do its work; often share
responsibilities, and tasks.
and rotate them.

Concerned with one’s own outcome Concerned with the outcomes of everyone and
and challenges. challenges the team faces.

Purpose, goals, approach to work Purpose, goals, approach to work shaped by the
shaped by the manager. team leader with team members.

The leader dominates and controls the

The leader acts as a facilitator.
group.

The leader is apparent and will conduct The members have active participation in the
the meeting. discussions and eventual outcome.

The leader usually assigns work to the The team members decide on the
members. disbursements of work assignments.

Groups do not need to focus on specific Teams require the coordination of tasks and
outcomes or a common purpose. activities to achieve a shared aim.

Individuals in a group can be entirely Team members are interdependent since they
disconnected from one another and not bring to bear a set of resources to produce a
rely upon the fellow members at all. common outcome.
Groups are generally much more
Team members’ individual roles and duties are
informal; roles do not need to be
specified and their ways of working together
assigned and norms of behavior do not
are defined.
need to develop.

Conflict-sources of conflict and ways of resolving conflict.

Team Conflict: Team or workplace conflict, is the breakdown of interpersonal

relationships between members of a team. Team conflicts can happen between employees, a
team leader/ manager and an employee or even between two or more teams within a company.

Sources of conflict :

1. Lack of role clarification: Conflict can emerge when it is unclear who is responsible
for what task or what part of a project. Clear job descriptions and expectations can reduce this
contributor to conflict.

2. Poor processes

Often poorly constructed processes and procedures can create conflict. To avoid this pitfall,
it is helpful to regularly review your procedures and policies to ensure they support teamwork
and collaboration.

3. Communication problems

This is a common contributor to conflict and can occur among all levels of staff. Keeping
communication channels open and having a culture where questions are welcomed will go a
long way in mitigating this contributor to conflict.

4. Lack of performance standards

When performance and quality standards are not clear, individuals quickly sort out their own
personal expectations around work quantity and quality. This can put them at odds with others
whose standards are different. Leadership and management should be fair, clear, and
consistent in articulating performance standards.

5. Lack of resources

If employees have to compete for resources, whether it’s managerial support, tools,
equipment, or financial resources, the stage is set for competition and conflict. Asking
employees what’s needed and then providing it (if possible) will build a spirit of collaboration
rather than competition.

6. Unreasonable time constraints

Workplace conflict can occur when coworkers are not aware of the steps involved and the
time others need to complete their portion of a task or project. As a result, they may expect
more of each other than is reasonable. Taking time to consider job design and cross-training
employees can work to mitigate this contributor to conflict.