ORGANISING

Topic 5: Group Dynamics and Teamwork

1. LEARNING OBJECTIVES

At the end of the lecture, students should be able to apply the organising
concepts to achieve effective organisational performance.

1.1 Describe how psychological factors such as motivation and group

dynamics can impact individual and group behaviour within the
workplace.
1.2 Explain the stages of group development and the challenges associated
with each stage.

2.1 Motivation

Herzberg proposed the Herzberg's Two-Factor Theory which states that there
are motivator factors (such as recognition, responsibility, and opportunities for
advancement) and hygiene factors (such as salary, working conditions, and
company policies) that influence job satisfaction and motivation. This theory can
help identify factors that contribute to employee satisfaction and motivation
within the workplace.

2.2 Group Dynamics

Group dynamics theories help explain how individuals interact and influence one
another within teams and organizations. Organizational structure (e.g., team
composition, communication channels) and culture (e.g., group norms,
cohesion) shape group dynamics, affecting decision-making processes, conflict
resolution strategies, and overall team effectiveness. Group dynamics also
contribute towards creating environments that foster collaboration, trust, and
psychological safety among team members.

2.3 Types of Power

In organizational psychology and management, power refers to the ability of an

individual or a group to influence others and achieve goals. Understanding these
five sources of power can help employees navigate complex social dynamics in
the workplace.

 Legitimate Power: This power is derived from an individual's position or

role within an organization. It is based on the formal authority granted to
someone by the organization's hierarchy. For example, a manager has
legitimate power over their subordinates because of their position in the
organizational structure.
  Referent Power: Referent power is based on the interpersonal
relationships and connections that an individual has with others. It stems
from admiration, respect, or identification with the person exerting
influence. People with referent power are often seen as charismatic or
likable. Celebrities and influential leaders often possess referent power.

 Expert Power: Expert power comes from possessing specialized

knowledge, skills, or expertise that others value and respect. Individuals
with expert power are seen as credible and trustworthy sources of
information in their respective fields. Professionals such as doctors,
lawyers, and scientists typically have expert power.
 Reward power is a type of influence that stems from an individual's ability
to control and distribute rewards to others. It's a key concept in
understanding leadership, organizational behavior, and the dynamics of
power in various settings.

 Coercive Power: Coercive power is based on the ability to impose

penalties, punishments, or negative consequences on others for non-
compliance or resistance. It relies on the fear of punishment or loss.
Individuals or groups with coercive power can use threats, reprimands, or
disciplinary actions to influence behavior. For example, a manager may
use coercive power by threatening to demote or fire employees who fail to
meet performance expectations.

3.1 WHAT IS A GROUP

A group has been defined as two or more people who interact with and
influence one another in pursuit of common goals.

Example: Five people waiting for a bus is not a group because there is
no interaction among them. If they started having an active discussion
about how to improve bus service in the city and decided to send their
proposal to the bus company, however, then they would become a
group.

3.2 Types of Groups

Groups can be categorised as formal or informal groups.

Formal Groups

Formal groups are established by the organisation to achieve its goals.

They are usually found in the organisation chart. Formal groups include:

i command group - also known as functional group. It is relatively

permanent and is characterised by functional reporting
relationships. Example: An IT Centre headed by the IT manager
and two IT support staff.
 ii task group - this type of group is established to complete a job
task which may involve cooperation across different functional
areas. Example: The TP Graduation Organising Committee would
see representatives from Registrar who will confirm the results of
graduating students, all the 6 schools as the Graduation involves
students from all schools as well as Estates and Facilities who will
arrange for the setup of the venue as well as security to block off
carpark lots.

All command groups are task groups but task groups are not always
command groups, as task groups may cut across different functional
areas.

Informal Groups

Informal groups are not formally structured nor organisationally

determined. They are established by members who value the need for
social contact. Informal groups include:

iii interest group - It is a group of people working together to achieve

a specific objective which is not determined by the organisation.
Example: A group of TP students who petition to have fast food
outlets on campus.

iv friendship group - is formed by people who share one or more

common characteristics. Members enjoy each other's company and
often meet after work to participate in these activities. Examples of
common characteristics are people who are of common age or
ethnic group or who enjoy similar social activities, political beliefs.
Example: A group of friends who meet up during the EPL to
support Manchester United.

3.3 WHY PEOPLE JOIN GROUPS?

i Power - the most important reason, from a behavioural expert’s

perspective, regarding why people join groups. Informal groups provide
opportunities for individuals to exercise power over others.
For individuals who desire to influence others, groups can offer power
without a formal position of authority in the organisation. As a group
leader, one may be able to make requests of group members to comply
without any responsibilities that go with formal managerial positions.
There is power in numbers. For example: a Tug-of-War team with more
members is more powerful.

ii Status - inclusion in a group that is viewed as important by others

provides recognition and status for its members. Example: to be elected
a member of the Student Union.
 iii Self-esteem - groups can provide its members with the feeling of self-
worth. In addition to conveying status to those outside the group,
membership can also give increased feelings of worth to the group
members themselves. Example: being a member of a happy family gives
you a sense of self-worth and self-esteem.

iv Security - by joining a group the sense of insecurity of "standing alone"

is reduced. In a group, an individual would feel stronger and more
resistant to threats. There is a sense of reassurance from interacting
with others. Example: employees join the staff union so as to improve
bargaining power for job security.

v Affiliation - for most people, work groups significantly contribute to

fulfilling their needs for friendships and social relations. Example:
Friendship in a team is deepened through a past experience of project
work together.

vi Goal achievement - groups may be able to achieve certain goals which

individual members would not be able to achieve on their own. Example:
TP has entered the Guinness Book of records for the Largest Human
Wheelbarrow Race.

3.4 THE FIVE STAGES OF GROUP DEVELOPMENT

Groups mature and develop. Like individuals they have a fairly

clearly defined growth cycle. This has been categorised by the
following successive stages:

i forming - the group is not yet a group but a set of individuals.

- individuals talk about the purpose of the group and
get acquainted with each other.
- individuals are courteous and cautious.
- members are testing each other to see how
compatible they are.

ii storming - members are jockeying for position, trying to

determine how they will work together.
- conflict is frequent .
- members are aware of their differences.
- there is a lack of unity.

iii norming - the group has established its rules and standards.
- members are clear on their roles and responsibilities.
 - there is cohesiveness, co-operation and commitment.

iv performing - the group is ready to focus its attention on

accomplishing its tasks.
- issues concerning inter-personal relations, member
status, and division of task assignments are resolved.
- members know how to work with each other.

Examples of high performing teams: commando sky-

diving team; fighter pilot aerobatic team; F1 Racing; 4 by
100m Relay Team; Soccer Team; an unusually big but
happy family!

v adjourning - the group is concerned with finalising its tasks and

wrapping up its activities. (This stage applies to
temporary groups only).

Explanations and examples (Forming to Performing): https://www.youtube.com/watch?

v=nFE8IaoInQU

Illustration of all 5 stages with the Avengers: https://www.youtube.com/watch?

v=ADAuXLK2Iw4

3.5 GROUP DECISION MAKING TECHNIQUES

Today, many decisions are made by groups and committees. Special

task forces, project teams and quality circles are examples of groups
formed to problem-solve or develop new products. Largely, group
decision making can be described in two ways: unstructured and
structured. The following described an example for each technique:

Brainstorming – an unstructured technique

In a typical brainstorming session, the group meets to generate ideas.

Four rules govern the process:

a. All criticism is ruled out.

b. “Freewheeling” is welcomed. The more radical the idea, the better.

c. Quantity is wanted. The greater the number of ideas, the greater

the likelihood of getting a superior idea.
 d. Combination and improvement are sought.

By prohibiting evaluation, brainstorming reduces fears of criticism or

failure on the part of group members.

Nominal group technique – a structured technique

This technique restricts discussion or interpersonal communication

during the decision-making process. Working alone, the group members
write down various solutions to a stated problem. These ideas are read
aloud in round-robin fashion, without any criticism or discussion. The
ideas are recorded as they are read aloud. The solutions are discussed
individually in a round-robin way for purposes of clarifications only;
evaluative comments are not allowed. Each member silently and
independently rank-orders the ideas. The idea with the highest
aggregate ranking determines the final decision.

The advantage of this technique is that it permits the group to come up

with ideas without pressure or fear of ridicule from other group members.
The final procedure allows group members to independently evaluate the
alternatives and through voting select the most highly ranked idea as the
solution to the problem.

3.6 ADVANTAGES & DISADVANTAGES OF GROUP DECISION MAKING

Group decision making has certain advantages:

i more complete information and knowledge

ii increased diversity of views

iii increased acceptance of a solution

iv increased legitimacy

Group decision making also has its drawbacks. These are:

i time consuming

ii domination by a few

iii ambiguous responsibility

iv social loafing

v groupthink
3.7.1 Social Loafing

Social loafing refers to the reduced efforts of individual group members

when they perform as part of a group rather than by themselves. It is
important to note that reluctance to participate due to shyness or
discomfort is not considered social loafing.

This phenomenon appears to centre on the extent to which the

performance of individual group members can be identified. Group size
appears to have an important factor - individual effort decreases with
increased size. This may occur because individuals are less noticeable
in larger groups than they are in smaller ones.

3.7.2 Groupthink

Groupthink happens when individuals who hold a position different from

that of the dominant majority are under pressure to suppress, withhold or
modify their true feelings and beliefs. Some symptoms of groupthink are:

 rationalising conflicting data.

 the group applies direct pressure to any member who

expresses doubts or questions the validity of arguments
supporting the group’s decision.

 self-censorship by members.

 illusions of unanimity. Example: silence means consent.

Groupthink can result in poor decisions because of inaccurate

information, failure to consider alternatives, and failure to examine risks.
To avoid the negative consequences of groupthink, group members
should be encouraged to critically evaluate ideas and courses of action.
The following actions can be used by a group to improve decisions and
avoid groupthink:

 keep to small group sizes of less than 10 members.

 discuss issues and courses of action with outsiders without

jeopardising information confidentiality.

 have a group member play devil's advocate at each

meeting.

 use subgroups to work on the same problem to get different

views.

 to get input, the leaders should avoid taking a position

during discussion
REFERENCES

Daft, R. L. (2021). Management. (14th ed.). Boston, MA: Cengage Learning

Lim, G. S., Chua, S. B., Usa, S., & Daft, R. L. (2015). New era of management in a
globalized world. An Asian perspective (1st ed.). Singapore: Cengage Learning Asia Pte
Ltd.

Angelo Kinicki, Brian K Williams, (2009), Management, 4th Edition, McGraw Hill
International.

Thomas S. Bateman, Scott A. Snell, (2009), Management –Leading & Collaborating in a

Competitive World, 8th Edition, McGraw Hill Irwin.