Group and Team Dynamics

 Group is defined as a collection of two or

more interacting individual with stable
pattern relationship between them, who
share common goals and who perceive
themselves as being a group.
 Severalvariables influences group
performance and satisfaction. External
condition, resources of group members and
group structure are important input in group
behaviour.
 1.Group composition
 2Group size
 3.Group norms
 4.Group Cohesiveness
 1.Group composition
 Group composition is understood in terms of
group’s heterogeneity or group’s
homogeneity.
 In Projects co operation require among group
members
 Group member share common goal and also
understanding
 Homogenous groups in terms of age, culture,
technical experience and work experience
become important.
 Heterogeneous groups are group varied in
terms of age, size, technical experience,
culture, background, religion, work
orientation
 Different company have different languages,
work style, thought process and methods of
working example when Tata company
collaborated with company in Mexico. so
they had change their lunch timing and make
it two to three hours to suit Mexican culture.
 2)Group Size
 A group size have more than two members
interact and influence one another.
 It is brought that large groups tends to
concentrate on greater social interaction
and when group is large ,task orientation
and work distribution get affected is called
Social Loafing
 Social loafing assume that if some of
members do not work hard then other
members in group would pick slack
 Hence ideal group size is determined by
group members’ ability to interact and
influence each other
 3) Group Norms:
 A norm is measure or a standard against
appropriateness of behaviour is judged
 Group norms help to predict behaviour and
enable people of group for better
performance.
 Group norms express central values of group
and identify the group to other.
 Certain clothes, mannerism or behaviours in
particular situations may signify to other
about membership of group.
 4)Group Cohesiveness
Group cohesiveness is the extent to which
group dynamics like maturity, size,
homogeneity and frequency of interaction.
Example Group think occurs when group’s
overriding concern is getting a majority or
consensus on issue having an objective and
analytical discussion of same.
 The term Group Dynamics refers to complex
of forces that determine group formation,
its size and structure, conflict ,change and
cohesiveness, interaction and behaviour.
According to fred Luthans, Group dynamic
is the interaction of forces between group
members in social situation.
 1) Formal groups and Informal Groups
 2) Open groups and Closed groups
 3)In groups and out groups
 4)Friendship group and reference group
 1)Formal Group : A formal group is one that
is deliberately created to perform a specific
task. Members are appointed by the
organization, but it may not be the case. A
number of people assigned to specific task
form a formal group. example group of
committee and work unit such as small
department, a research and development
laboratory, a management team or small
assembly line.
A) Command group : It is permanently specified
in the organizational structure
and consists of a supervisor who exercises
formal authority over subordinates.
B) Task Group is temporary formal group that is
created to solve specific problems.
The group comprises employees who work
together to complete a particular task but who
do not necessarily report to same supervisor
.The employees belong to different
departments. They stay together till task is
completed and once work is completed task
groups.
 2)Informal Group
It is also called clique .The groups are natural
Formations in the work environment which
appear in response to need for social contact.
a)Interest group: It is made up of individual who
affiliate to achieve an objective of mutual
interest that may have to do nothing with their
formal task group memberships. Working
Mothers who lobby together to get their
organization to facilitate their multiple roles by
providing day care facilities on premises and
shared job assignment.
 B)Friendship group develops characteristics
such as marital status, political views,
college affiliation and sports. Friendship
groups are important because they satisfy
affiliation needs of their members. Managers
maintain good relations with friendship group
because these group have tremendous
influence on their members that managers
would prefer to have directed towards
organizational goals.
 C)Reference group: It is group which an
individual identifiers for the purpose of
forming opinion. Reference group are based
on such factors as race, gender, politics,
religion, social class, education level,
profession. Reference group provide values
for individuals on which to base personal
decisions and norms that justify social
behaviour may or may not congruent with
organizational preferences.
 3)Open and closed group
 Open group is constant state of change. Open
group has relatively short time perspective.
The instability and constant change of an
open group make it difficult for group
activities are oriented towards present or
near future.
 Closed group: It enables it to maintain a
much longer time and able to recollect the
history of group and their expectation for
continued long association enabled them to
use long term planning
 A distinction is made between in groups and out
groups. The groups to which we do not
belong are out group concept is applicable to
friendly rivalries between schools, clubs and
associations, but is applicable to much more
hostile groups. On small scale it is descriptive of
violent neighborhood gangs on larger scale it is
descriptive of wars between nations. The in-
group versus out-group concept is intimately
linked to ethnocenticism, which means that
one’s own group is the best and other is to be
judged on its terms. Ethnocentric attitudes are
mentioned most frequently in relation to
national rivalries, but ethnocentric attitudes
are
 Mentioned most frequently in relation to
national rivalries but ethnocentricism has
many applications. One can be ethnocentric
about one’s community, state, social class.
 FORMING
Awareness
Acceptance
STROMING
Conflict,
clarification
NORMING
Cooperation
Support
PERFORMING
Productivity
Achievement
ADJOURING
Separation
Satisfaction
 Group passes through five stages in its life cycle.
Different group various stages of development for
different time and given stage permanently.
 1)Forming :there is great deal of uncertainty about
group’s purpose structure and leadership. Members
are concerned about
 Exploring friendship and task potentials.
 They do not have strategy for addressing group’s
task. They are not sure about satisfaction for
acceptance and personal goal satisfaction. As
awareness increases this stage of group
development is completed when members accept
themselves as a group and commit group goals.
 2)Storming: At this stage of group development
conflict arises because of need to clarify roles and
behavioural expectation. Disagreement is inevitable
 As members attempt to decide on task
procedure, role assignment ways of relating
and power allocations. One objective at this
stage is to resolve the conflict about power
allocation .1)objective is to resolve the
conflict about power and task structure.
 2)Work through accompanying hostility and
Sense of acceptance and belongingness is
necessary. failure to realize These objective
Results in splitting group itself.
 3)Norming: At this stage leader emerges and
bring about group cohesion There is a strong
sense a group identity. New group standard
roles and behaviour expectation are formed
for member. Desired outcomes for this sage
of group development are increased member
involvement and mental support as group
harmony emerges. If group become too
contended they can get stalled at this stage
they do not want to create conflict or
challenge established ways.
 4)Performing: This stage is marked by team
work, role ,clarity and task accomplishment.
Group energy moves from conflict to task
accomplishment. Productivity is at is peak.
Desire outcomes are achievement and pride
and major concern include preventing loss of
enthusiasm and sustaining momentum.
Performing happens to be last stage in
permanent work groups.
 At this stage of development, a group is
made up of members who
 1) Continue to work well together
 2) Understand their individual and collective
responsibilities to other group and to the
larger organization
 Able to adapt successfully as opportunities
and demands change over time.
 5) Adjourning: for temporary task forces an
similar group which have specific tasks to
perform, adjourning happens task forces and
similar other groups which have specific task
to perform , adjourning happens to be the last
stage. The groups task has been accomplished.
Feeling about disbanding range from sadness and
depression at the loss of friendship to happiness
and rewarding group performance. Ceremonial
events bring closure to desired emotional
outcome a sense of satisfaction and
accomplishment.
 Team effectiveness signifies the system of
getting people in company or institution to
work together effectively.
 Strategies for building winning and effective
team
 1) Goal Setting
 2) Leadership
 3)Structural changes like reporting
relationship ,required relationships, required
interaction
 4) Allow group Decision making and problem
solving.
 5)In performance management in area of
reward or behaviour link
 6) Formal Training in deficient Area
 7) Team member coaching by Team leaders
or Peers.
 8) Behaviour Modification through shaping.
 9) Constructive feedback.
 10) Changing Membership (Transfers, Infusion
of new members etc.)
Leader v/s Manager:
Point of Difference Leader Manager
a) Origin: A person becomes a A person becomes a
leader on the basis manager by virtue of
of his personal his position.
qualities.
b) Formal Rights: Rights are not Manager has got
available to a formal rights in an
leader. organization
because of his status
c) Stability: Leadership is It is more stable.
temporary
d) Mutual All leaders are not All managers are
Relationship: managers. leaders.
Leader v/s Manager:
Point of Difference Leader Manager
e) Functions: Leader influences A manager performs
people to work all five functions of
willingly for group management.
objectives.
f) Followers: The group of The subordinates
employees whom are the followers of
the leader leads are managers.
his followers.
g) Necessity: A leader is required A manager is very
to create cordial essential to the
relation between concern.
person working in
and for organization
Leader v/s Manager:
Point of Difference Leader Manager
h) Accountability: Leaders have no Manager is
well defined accountable for self
accountability. and subordinates
behaviour and
performance.
i) Approach: Sets Direction. Plan details.
j) Style: Transformational Transactional
k) Attribute: Foresightedness Mind
l) Decision: Facilitates decision Makes decision
m) Focus: People Process & procedure
n) Change: Leaders promote Managers react to
change. change.
Leader v/s Manager:
Point of Difference Leader Manager
o) Aim: Growth and Attainment of the
development. required result.
p) People: Aligns people. Organises people.
q) Conflict: Uses conflict as an Avoid conflict.
asset.
r) Strives: For effectiveness. For efficiency.
s) Dependence: Depends on Depends on
goodwill. authority.
t) Outcomes: Produces positive Produces order,
and sometimes consistency and
dramatic change. predictability.
Following are the common types of leadership
styles.
A. Change Oriented Leadership:
. Today organizations should be thriving and
must be led by individuals, who have a strong
commitment to change. As such, leaders must
have a clear vision about what the future
holds.
. According to a survey of CEO’s of 20 different
countries, having a strong sense of vision was
identified as the single most important
characteristics for a CEO to have.
• Hence, it is not a surprise that companies
with the most visionary leaders tend to
outperform the most.
B. Charismatic Leadership:
• There are various examples to demonstrate
how charismatic leaders show their
outstanding qualities through their words and
action.
• Examples of the same are Nelson Mandela,
Mahatma Gandhi and Steve Jobs. They have
changed entire societies and have had
powmrful effects on the subordinates.
1. Self Confidence:
• Charismatic leaders are highly confident of
themselves and their technical expertise and
abilities. Ratan Tata, Ex Chairman of Tata
group of Companies, is an appropriate
example of a charismatic leader.
2. Vision:
• He or she must have a vision that clearly
challenges the status quo and helps to realise
a dream. For example, Steve Jobs had a
vision for Apple and the popularity and the
transformation of apple is attributed to him.
3. Extraordinary Behaviour.
• Charismatic leaders show extraordinary
behaviour in terms of ethics, earning respect or
technical expertise. Narayan Murthy of Infosys
shows extraordinary behaviour in dealing with
challenges and projects.
4. Recognized as Change Agents:
• Charismatic leaders are treated as Change
Agents and they are constantly looking for
change. Like Azim Premjee initiated cloud
computing as a measure of reducing costs, and
this was a change, which other companies
followed.
3) Laissez-faire Leadership:
• Laissez-faire leader lacks direct supervision
of employees and fails to provide regular
feedback to those under his supervision.
• Highly experienced and trained employees
require little supervision, which comes under
the laissez-faire leadership style. However,
not all employees possess those
characteristics.
• This leadership style hinders the production
of employees needing supervision. The
laissez-faire style produces no leadership or
supervision efforts from managers which can
lead to poor production, lack of control and
increasing costs.

4) Autocratic Leadership:
• The autocratic leadership style allows
managers to make decisions alone without
the input of others. Managers possess total
authority and impose their Will on
employees.
. No one challenges the decisions of autocratic
leaders. Countries such as Cuba and North
Korea operate under the autocratic
leadership style.
. This leadership Style benefits employees who
require close supervision. Creative
employees who thrive in-group functions
detest this leadership style.
5. Participative Leadership:
. Often called e democratic leadership style or
participative leadership, it values the input
of team members and peers, but the
responsibility of making the final decision
rests with the participative leader.
. Participative leadership boosts employee
morale because employees make
contributions to the decision-making process.
It causes them to feel as if their opinions are
taken into consideration.
. When a company needs to make changes within
the organization, the participative leadership
style helps employees to accept changes easily
because they play a role in the process.
. This style meets challenges, when companies
need to make a decision in a short period.

6. Transactional Leadership:
. Managers using the transactional leadership style
receive certain tasks to perform and provide
rewards or punishments to team members based
on performance results.
. Managers and team members set
predetermined goals together, and
employees agree to follow the direction and
leadership of the manager to accomplish
those goals.
. The manager possesses power to review
results and train or correct employees, when
team members fail to meet goals. Employees
receive rewards, such as bonuses, when they
accomplish goals.
7. Transformational Leadership:
. The transformational leadership style
depends on high levels of communication
from management to meet goals.
. Leaders motivate employees and enhance
productivity and efficiency through
communication and high visibility. This style
of leadership requires the involvement
management to meet goals.
. Leaders focus on the big picture within an
organization and delegate smaller tasks to
the team members.
. According to Bass and Avolio.
transformational leadership is characterized
by the following: idealized influence,
inspirational motivation, intellectual
stimulation, individualized consideration and
servant leadership.
. Transformational leadership is that stage
where leaders and followers raise one
another to such high levels of values and
motivation that it has a transforming effect
in both of them. Transformational leaders
are very relevant in today's work place.
. They can bring the organization into futures
not yet imagined. They fit the present
organizational focus of revitalizing and
transforming organizations to meet
competitive challenges.
. Moreover the model of transformational
leadership places considerable emphasis on
the importance of the direct reports,
perceptions of leader effectiveness and the
impact of the leader's behaviour on the
direct reports.
. This means that in order to a manager to be
aware of how effective he or she is in
adopting a transformational approach, he
must obtain feedback from direct reports.
. Clearly, it is also important that the manager
obtains feedback from other work
colleagues, including their line managers and
their peers.
. Servant leadership has roots in both eastern
and western thought, whereas the Taoist
sages encouraged leaders to be humble. The
basic premise of servant leadership is simple
yet profound.
. Leaders should put the needs of followers
before them. The followers judge leaders.

8. Situational Leadership:
• While the Transformation Leadership
approach is often highly effective, there is
no one right way to lead or manage that suits
all situations.
• To choose the most effective approach a
leader consider:
a) The skil levels and experience of the
members of his team.
b) The work involved (routine or new and
creative).
c) The organizational environment (stable or
radically changing, conservative or
adventurous).
d) His own preferred or natural style.
• A good leader will find he/she switching
instinctively between various styles
according to the people and work, they are
dealing with. This is often referred to as
"situational leadership".
• for example, the manager of a small factory
trains new machine operatives using a
bureaucratic style to ensure operatives
should know the procedures that achieve the
right standards of product quality and
workplace safety.
• The same manager may adopt a more
participative style of leadership, when
working on production line improvement
with his or her team of supervisors.