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    Group behaviour Group behaviour Document Transcript

    • Group No 5 Group Behaviour Sr.Sr. No.No. ParticularParticular Page No.Page No. 1. IntroductionIntroduction 3 2. Formal organization differs from informal organization.Formal organization differs from informal organization. 4. 3. Formation of Informal group in organizationFormation of Informal group in organization 5. 4. Why do people joint groups?Why do people joint groups? 7. 5. Types of groups.Types of groups. 8. 6. Characteristic feature of informal groupsCharacteristic feature of informal groups 10 7. Informal group are Informal organisationInformal group are Informal organisation 11. 8. Group BehaviourGroup Behaviour 12. 9. Concept of Group DynamicsConcept of Group Dynamics 13 10. Team v/s GroupsTeam v/s Groups 14. 11. Group Decision MakingGroup Decision Making 15. 1
    • Group No 5 Group Behaviour INTRODUCTION Groups are an integral part of modern organisation. They are presentGroups are an integral part of modern organisation. They are present everywhere, from the shop floor to the highest levels of management. Weeverywhere, from the shop floor to the highest levels of management. We cannot study behaviour in organisation without attempting to understand thecannot study behaviour in organisation without attempting to understand the behaviour of people in-group setting. An organisation is not mere collectionbehaviour of people in-group setting. An organisation is not mere collection of individuals who somehow flock together to purse their goals, needs andof individuals who somehow flock together to purse their goals, needs and interests. It consists of a network of several formal work groups and informalinterests. It consists of a network of several formal work groups and informal social group of people. Every member of an organisation invariably belongssocial group of people. Every member of an organisation invariably belongs to some formal work group or the other and almost invariably associatesto some formal work group or the other and almost invariably associates himself with one or more informal social groups. Groups extensivelyhimself with one or more informal social groups. Groups extensively influence the behaviour and performance of the member as also the over allinfluence the behaviour and performance of the member as also the over all behaviors of the organisation. An understanding of the formation, structurebehaviors of the organisation. An understanding of the formation, structure and functioning of groups in an organisation is important for a betterand functioning of groups in an organisation is important for a better understanding of the organisation and for managing the groups andunderstanding of the organisation and for managing the groups and organisation in a more effective manner.organisation in a more effective manner. DEFINITIONDEFINITION The term ‘group’ is defined as a cluster of two or more individualsThe term ‘group’ is defined as a cluster of two or more individuals who interact with each other on a relatively enduring basis, identifywho interact with each other on a relatively enduring basis, identify themselves as belonging to a distinct unit and who share certain commonthemselves as belonging to a distinct unit and who share certain common activities, interests, values and goals. Members of a group relate to each otheractivities, interests, values and goals. Members of a group relate to each other in some way and are united by common ties, beliefs and perceptions on ain some way and are united by common ties, beliefs and perceptions on a relatively sustained and structured basis. It consist two or more people &relatively sustained and structured basis. It consist two or more people & member share common interest or goal. The members are mutuallymember share common interest or goal. The members are mutually dependent on one another.dependent on one another. According to Baron Group as a collection of two or more interactingAccording to Baron Group as a collection of two or more interacting individuals who maintain stable pattern of relationship, share common goal.individuals who maintain stable pattern of relationship, share common goal. Stephen Robbins defines a group" as two or more individuals,Stephen Robbins defines a group" as two or more individuals, interacting and interdependent, who have come together to achieveinteracting and interdependent, who have come together to achieve particular objectives."particular objectives." According to Marvin Shaw," A group is two or more persons whoAccording to Marvin Shaw," A group is two or more persons who interacting with one another such that each person influence and isinteracting with one another such that each person influence and is influenced by each other persons."influenced by each other persons." The above definition suggest that the term ‘group’ is distinct from aThe above definition suggest that the term ‘group’ is distinct from a crowd which travel in a bus or watches a football match; crowds do notcrowd which travel in a bus or watches a football match; crowds do not exhibit any structure or perform any specific function, which are two of theexhibit any structure or perform any specific function, which are two of the distinguishing characteristics of groups.distinguishing characteristics of groups. 2
    • Group No 5 Group Behaviour FORMAL ORGANISATION DIFFERS FROM INFORMALFORMAL ORGANISATION DIFFERS FROM INFORMAL ORGANISATION IN THE FOLLOWING WAYSORGANISATION IN THE FOLLOWING WAYS (1) Meaning:(1) Meaning: A formal organisation is formed when:A formal organisation is formed when: (a)(a) Two or more persons come together.Two or more persons come together. (b)(b) They have a common objective (goal).They have a common objective (goal). (c)(c) They are willing to work together to achieve the common objective.They are willing to work together to achieve the common objective. Formal Organisation has its own rules and regulation. These rulesFormal Organisation has its own rules and regulation. These rules must be followed by the member (employees and managers). A formalmust be followed by the member (employees and managers). A formal organisation has a system of co-ordination. It also has a system of authority. Itorganisation has a system of co-ordination. It also has a system of authority. It has a clear superior – subordinate relationship. In a formal organisation, thehas a clear superior – subordinate relationship. In a formal organisation, the objectives are specific and well defined. The entire member is given specificobjectives are specific and well defined. The entire member is given specific duties and responsibilities. For example: A company, a school, a college, aduties and responsibilities. For example: A company, a school, a college, a bank, etc. are examples of formal organisation.bank, etc. are examples of formal organisation. All informal organisations exist within the formal organisation. AnAll informal organisations exist within the formal organisation. An informal organisation is a network of personal and social relationships.informal organisation is a network of personal and social relationships. People working in a formal organisation meet regularly. They travel together,People working in a formal organisation meet regularly. They travel together, they eat together, they work together, etc. Therefore, they become friends.they eat together, they work together, etc. Therefore, they become friends. There are many groups of friends in a formal organisation. These groups areThere are many groups of friends in a formal organisation. These groups are called informal organisation.called informal organisation. An informal organisation does not have its own rules and regulation. It doesAn informal organisation does not have its own rules and regulation. It does not have a system of co-ordination. It does not have a system of authority. Itnot have a system of co-ordination. It does not have a system of authority. It does not have a superior-subordinate relationship. It does not have anydoes not have a superior-subordinate relationship. It does not have any specific and well-defined objectives. In an informal organisation,specific and well-defined objectives. In an informal organisation, communication is done through the grapevine.communication is done through the grapevine. (2) Formed by Whom.(2) Formed by Whom. The top-level management forms a formal organisation.The top-level management forms a formal organisation. Social forces within the formal organisation form an informal organisation.Social forces within the formal organisation form an informal organisation. (3) Rules and Regulations:(3) Rules and Regulations: The members of a formal organisation have to follow certain rules andThe members of a formal organisation have to follow certain rules and regulations. These rules are in writing. A formal authority makes them. If theregulations. These rules are in writing. A formal authority makes them. If the member follows these rules properly then they will be rewarded. But if theymember follows these rules properly then they will be rewarded. But if they do not follow these rules properly they will be punished.do not follow these rules properly they will be punished. The members of an informal organisation do not have to follow any rules andThe members of an informal organisation do not have to follow any rules and regulations.regulations. 3
    • Group No 5 Group Behaviour (4) Duties, Responsibilities, etc.:(4) Duties, Responsibilities, etc.: In a formal organisation, the duties, responsibilities, authority andIn a formal organisation, the duties, responsibilities, authority and accountability of each member is well defined.accountability of each member is well defined. In an informal organisation, there are no fixed duties, responsibilities, etc. forIn an informal organisation, there are no fixed duties, responsibilities, etc. for the members.the members. (5) Objectives:(5) Objectives: In a formal organisation, the objectives are specific and well defined. TheIn a formal organisation, the objectives are specific and well defined. The main objectives of a formal organisation are productivity, growth, etc.main objectives of a formal organisation are productivity, growth, etc. (6) Stability:(6) Stability: A formal organisation is stable.A formal organisation is stable. An informal organisation is not stable.An informal organisation is not stable. (7) Channels of communication:(7) Channels of communication: A formal organisation uses formal channels of communication.A formal organisation uses formal channels of communication. An informal organisation uses informal channels of communication (i.e.An informal organisation uses informal channels of communication (i.e. grapevine)grapevine) (8) Organisation Chart:(8) Organisation Chart: A formal organisation is show on the organisation charts.A formal organisation is show on the organisation charts. An informal organisation is not show on the organisation charts.An informal organisation is not show on the organisation charts. (9) Superior-Subordinate relationship:(9) Superior-Subordinate relationship: In formal organisation, there is a superior – subordinate relationship.In formal organisation, there is a superior – subordinate relationship. In an informal organisation, there is not superior – subordinate relationship.In an informal organisation, there is not superior – subordinate relationship. (10) Benefits:(10) Benefits: The members of the formal organisation get financial benefits such as wagesThe members of the formal organisation get financial benefits such as wages and salaries.and salaries. The members of the informal organisation get social and personal benefits.The members of the informal organisation get social and personal benefits. Reasons for emergence / formation of informal groups inReasons for emergence / formation of informal groups in organizationsorganizations In any formal organization, informal groups emerge for several reasons. TheIn any formal organization, informal groups emerge for several reasons. The causes of their emergence may be discussed as follows:causes of their emergence may be discussed as follows: Proximity and Similarity:Proximity and Similarity: Individual sharing the same workspace in anIndividual sharing the same workspace in an organization may come together and form into a group. Similarly, people whoorganization may come together and form into a group. Similarly, people who handle same or similar type of work have it or similar economic, educational,handle same or similar type of work have it or similar economic, educational, ethnic, communal and regional background (for e.g. A group of individualsethnic, communal and regional background (for e.g. A group of individuals 4
    • Group No 5 Group Behaviour hailing from Karnataka, working in different wings in an organization) tends tohailing from Karnataka, working in different wings in an organization) tends to band together, because they generally feel attractive each to other. Also,band together, because they generally feel attractive each to other. Also, individuals who interact with each other on a regular basis in the course of theirindividuals who interact with each other on a regular basis in the course of their organizational activities, get together into an informal group.organizational activities, get together into an informal group. Need Satisfaction:Need Satisfaction: We have seen earlier that individuals have a range of needsWe have seen earlier that individuals have a range of needs which they seek fulfillment. Groups cater to the safety needs of individuals (bothwhich they seek fulfillment. Groups cater to the safety needs of individuals (both physical psychological safety, reduction of anxiety an uncertainty) socialphysical psychological safety, reduction of anxiety an uncertainty) social affiliation needs (needs for belonging, to be cared and accepted needs to getaffiliation needs (needs for belonging, to be cared and accepted needs to get feelings of warmth and friendship and to get away from isolation andfeelings of warmth and friendship and to get away from isolation and anonymity) ego needs (for respect, influence, power and status) and selfanonymity) ego needs (for respect, influence, power and status) and self actualization needs (need for self-development, artistic and creative self-actualization needs (need for self-development, artistic and creative self- expression, achievements and so on) groups, especially small informal group areexpression, achievements and so on) groups, especially small informal group are formed to meet the above and other similar needs of members-as for e.g. needsformed to meet the above and other similar needs of members-as for e.g. needs for information, participation, relaxation, stress reduction, emotional supportfor information, participation, relaxation, stress reduction, emotional support and so on.and so on. Promotion of interests and pursuit of goalsPromotion of interests and pursuit of goals:: Many in formals groups are formedMany in formals groups are formed with an explicit or implicit aim of protecting and promoting the economic andwith an explicit or implicit aim of protecting and promoting the economic and other interests of members (for e.g. a few individual retiring shortly may bandother interests of members (for e.g. a few individual retiring shortly may band together to urge management to extend their tenure or provide some extratogether to urge management to extend their tenure or provide some extra retirement benefits) There could also be groups which provides opportunities toretirement benefits) There could also be groups which provides opportunities to promote the professional, literary or artistic tastes, interests and goals ofpromote the professional, literary or artistic tastes, interests and goals of members.members. Thus, the causes for emergence of informal groups are several-to facilitate taskThus, the causes for emergence of informal groups are several-to facilitate task accomplishment, to peruse certain goals promote and certain interests, to meetaccomplishment, to peruse certain goals promote and certain interests, to meet certain needs and so on. They have the potential to satisfy both organizationalcertain needs and so on. They have the potential to satisfy both organizational goals and individual needs.goals and individual needs. 5
    • Group No 5 Group Behaviour WWhy do people joint group?hy do people joint group? People join groups for a variety of different reasons. Most people belongPeople join groups for a variety of different reasons. Most people belong to several groups because different groups provide different benefits. Theto several groups because different groups provide different benefits. The following are major benefits.following are major benefits. 1)1) SecuritySecurity-By joining a group, individuals can reduce the insecurity of-By joining a group, individuals can reduce the insecurity of standing alone. People feel stronger and more resistant to threats whenstanding alone. People feel stronger and more resistant to threats when they are part of a group. Group provides safety and protection against athey are part of a group. Group provides safety and protection against a common enemy.common enemy. 2)2) AffiliationAffiliation- Groups can fulfill social needs. People enjoy the regular- Groups can fulfill social needs. People enjoy the regular interaction that comes with groups me membership for many people theseinteraction that comes with groups me membership for many people these on the job interaction are their primary sources for fulfilling their need foron the job interaction are their primary sources for fulfilling their need for affliction.affliction. 3)3) PowerPower-What cannot be achieved individually after becomes possible-What cannot be achieved individually after becomes possible through group action. There is power in number.through group action. There is power in number. 4)4) Goal achievementGoal achievement- Through pooling of knowledge, resources, talents and- Through pooling of knowledge, resources, talents and power in-group, people are able to achieve goals that may not be possiblepower in-group, people are able to achieve goals that may not be possible individually. More than one person can achieve one particular goal easily.individually. More than one person can achieve one particular goal easily. In such instances management will rely on the use of formal groupIn such instances management will rely on the use of formal group 5)5) Problem solvingProblem solving- when people face certain problems they provide- when people face certain problems they provide strength to its member who are willing to challenge any problems.strength to its member who are willing to challenge any problems. 6)6) Self-esteem:Self-esteem: Membership of prestigious groups increases the self-esteemMembership of prestigious groups increases the self-esteem of people. It generates positive felling of self worth.of people. It generates positive felling of self worth. 7)7) Status:Status: Individuals get recognition and status when they are members ofIndividuals get recognition and status when they are members of groups that are considered to be important by other. people look at themgroups that are considered to be important by other. people look at them with respect and awe.with respect and awe. 6
    • Group No 5 Group Behaviour HDFC BANK: WE UNDERSTAND YOUR WORLD & OUR BANKINGHDFC BANK: WE UNDERSTAND YOUR WORLD & OUR BANKING HDFC bank has a created number of groups/committees to ensure thatHDFC bank has a created number of groups/committees to ensure that the banks operated smoothly without any hiccups. Each of the committee hasthe banks operated smoothly without any hiccups. Each of the committee has senior board member on them. There are different committee and its functionssenior board member on them. There are different committee and its functions useful to carry banking activity smoothly. Such as ….useful to carry banking activity smoothly. Such as …. Audit and Compliance CommitteeAudit and Compliance Committee oversees the Bank's financial reportingoversees the Bank's financial reporting process and ensuring correct, adequate and creditable disclosure of financialprocess and ensuring correct, adequate and creditable disclosure of financial information. It also recommended appointments and removal of externalinformation. It also recommended appointments and removal of external auditors and fixing of their fees.auditors and fixing of their fees. Share/Investors Grievance CommitteeShare/Investors Grievance Committee approves and monitors transfers,approves and monitors transfers, transmission, splitting and consolidation of shares and bonds issued by thetransmission, splitting and consolidation of shares and bonds issued by the banks and allotments of share to the employee pursuant to employee stockbanks and allotments of share to the employee pursuant to employee stock option scheme.option scheme. Risk Monitoring CommitteeRisk Monitoring Committee develops banks credit and market risks policiesdevelops banks credit and market risks policies and procedure, verifies adherences to various risk parameters.and procedure, verifies adherences to various risk parameters. Premises Committee approves purchase and leasing of premises for the use ofPremises Committee approves purchase and leasing of premises for the use of bank branches, banks offices, ATM's in accordance with guidelines laid down bybank branches, banks offices, ATM's in accordance with guidelines laid down by the board.the board. Fraud Monitoring CommitteesFraud Monitoring Committees main objective is the effective detection of fraudmain objective is the effective detection of fraud and immediate reporting.and immediate reporting. Nomination Committee: The bank constitutes a Nomination committee forNomination Committee: The bank constitutes a Nomination committee for recommending the appointment of independednt/nonexcutive directors on therecommending the appointment of independednt/nonexcutive directors on the board of the bank.board of the bank. Types of GroupsTypes of Groups There are several ways in which groups may be categorized. We may brieflyThere are several ways in which groups may be categorized. We may briefly describe a few major types of groups.describe a few major types of groups. Small and large groupsSmall and large groups: A small groups is a compact cluster of a few individuals: A small groups is a compact cluster of a few individuals who have almost face-to-face inter-personal relations, interaction and inter-who have almost face-to-face inter-personal relations, interaction and inter- dependencies. A large group is rather a collection of a few small groups. In adependencies. A large group is rather a collection of a few small groups. In a sense an organization is a large group, a state, a nation and groups of nations (forsense an organization is a large group, a state, a nation and groups of nations (for example European community, SAARC etc.) are larger group. Inter personalexample European community, SAARC etc.) are larger group. Inter personal relation; interaction and inter-dependencies are somewhat weak in large groups.relation; interaction and inter-dependencies are somewhat weak in large groups. Primary and secondary groupsPrimary and secondary groups; The term primary groups is almost identical to; The term primary groups is almost identical to a small groups. Example of primary groups is family, a work groups and aa small groups. Example of primary groups is family, a work groups and a friendship groups. Though all primary groups are small in size all small groupsfriendship groups. Though all primary groups are small in size all small groups 7
    • Group No 5 Group Behaviour need not always be primary groups. The additional feature of primary groups,need not always be primary groups. The additional feature of primary groups, which distinguish it from a small group, is the existence of a shared scene ofwhich distinguish it from a small group, is the existence of a shared scene of identity among member and their common value, interest and goals.identity among member and their common value, interest and goals. A secondary group is a larger entity and is made up of several primary groups.A secondary group is a larger entity and is made up of several primary groups. Just like in a large group, inter-personal relation and unity of purpose are weakJust like in a large group, inter-personal relation and unity of purpose are weak in secondary groups. An organization a village or urban communities arein secondary groups. An organization a village or urban communities are example of secondary groups. A secondary group is less cohesive then aexample of secondary groups. A secondary group is less cohesive then a primary groups.primary groups. Formal and informal groupsFormal and informal groups; A formal groups is work unit that is established as; A formal groups is work unit that is established as a part of an organization its structure. It is set up by managerial action; itsa part of an organization its structure. It is set up by managerial action; its members are selected by management and are required to assume certain ruledmembers are selected by management and are required to assume certain ruled and to undertake specific tasks relating to the goals of the organization; it isand to undertake specific tasks relating to the goals of the organization; it is governed by organizational ruled, procedure and regulation. Example of formalgoverned by organizational ruled, procedure and regulation. Example of formal groups is the various works unit, section, departments and divisions establishedgroups is the various works unit, section, departments and divisions established by an organization to achieve its goals.by an organization to achieve its goals. There are two types of formal groups. Command group and task group.There are two types of formal groups. Command group and task group. A commandA command group consists of a manager and a set of his immediate subordinated directlygroup consists of a manager and a set of his immediate subordinated directly reporting to him. It is a relatively permanent work group and undertakes certainreporting to him. It is a relatively permanent work group and undertakes certain regular activities. It is the group determined by the connection betweenregular activities. It is the group determined by the connection between individuals who are formal part of the organisation. For example, the marketingindividuals who are formal part of the organisation. For example, the marketing departments comprising of the general Manager and the other marketing staff.departments comprising of the general Manager and the other marketing staff. A task group is one, which assembled for undertaking certain specifiedA task group is one, which assembled for undertaking certain specified tasks. A committee or a project group is task groups. For examples committeetasks. A committee or a project group is task groups. For examples committee established to study and recommend changes in the wage system of theestablished to study and recommend changes in the wage system of the organisation. Task group is usually disbanded once the assigned task or purposeorganisation. Task group is usually disbanded once the assigned task or purpose has been accomplished. Task group created by the management to accomplishhas been accomplished. Task group created by the management to accomplish certain organizational goals. It is specifically created to solve problems orcertain organizational goals. It is specifically created to solve problems or perform a defined task. It composed of individuals with some special interest orperform a defined task. It composed of individuals with some special interest or expertise in a specific area regardless of their position in the organisationexpertise in a specific area regardless of their position in the organisation hierarchy.hierarchy. Informal Group: -Informal Group: -Informal groups are groups that develop naturally amongInformal groups are groups that develop naturally among people, without any direction from the organisation within which they operate.people, without any direction from the organisation within which they operate. They are formed spontaneously and are based on personal relationship orThey are formed spontaneously and are based on personal relationship or specific interest. An informal group is a voluntary unofficial formation of a smallspecific interest. An informal group is a voluntary unofficial formation of a small number of members of an organization who are mutually attracted and alignednumber of members of an organization who are mutually attracted and aligned by virtue of certain commonly shared backgrounds interests, value and needs.by virtue of certain commonly shared backgrounds interests, value and needs. In any organization, informal groups emerge and evolved spontaneously byIn any organization, informal groups emerge and evolved spontaneously by virtue of that fact that members seek social alliance, interaction and relationshipvirtue of that fact that members seek social alliance, interaction and relationship on selective basis in the courses of their association with their jobs. Example ofon selective basis in the courses of their association with their jobs. Example of music groups magazine circle.music groups magazine circle. 8
    • Group No 5 Group Behaviour Informal groups are two types:Informal groups are two types: Friendships groups and interest groups,Friendships groups and interest groups, Friendship group consists of individual who come together because they shareFriendship group consists of individual who come together because they share one or more common characteristics. Friendships groups emerge to meet theone or more common characteristics. Friendships groups emerge to meet the social afflictions needs of members-need for belonging, for affection acceptance,social afflictions needs of members-need for belonging, for affection acceptance, and so on.and so on. Interest group consists of person who shares common interest. Interest groupsInterest group consists of person who shares common interest. Interest groups emerge to pursue certain goals and interest as for example a volley bolls groups.emerge to pursue certain goals and interest as for example a volley bolls groups. A few members in an organization may band together to protect their interestA few members in an organization may band together to protect their interest Characteristic features of informal groupsCharacteristic features of informal groups At this point we may confine our attention to informal groups and outline theirAt this point we may confine our attention to informal groups and outline their basic characteristics as follows:basic characteristics as follows: a.a. They are small in size and relatively homogeneous in one or moreThey are small in size and relatively homogeneous in one or more important respects, so as to facilitate interpersonal interaction.important respects, so as to facilitate interpersonal interaction. b.b. Members share certain goals, values and beliefs. They have collectiveMembers share certain goals, values and beliefs. They have collective perception of their identity and unity.perception of their identity and unity. c.c. Members participate in a system of inter-locking roles and relationships.Members participate in a system of inter-locking roles and relationships. d.d. There are strong elements of social controls over the behavior andThere are strong elements of social controls over the behavior and performance of members through a network of norms to which membersperformance of members through a network of norms to which members are expected to comply.are expected to comply. e.e. Co-operation, cohesiveness and conflict co-exist in informal groups.Co-operation, cohesiveness and conflict co-exist in informal groups. f.f. There are strong social rankings among members depending on theirThere are strong social rankings among members depending on their powers relations, even though there are no superiors and subordinates aspowers relations, even though there are no superiors and subordinates as such.such. g.g. Each informal group has its own culture which evolves over a period ofEach informal group has its own culture which evolves over a period of time.time. h.h. Membership is over-lapping-an individual may belong to more than oneMembership is over-lapping-an individual may belong to more than one informal group.informal group. i.i. Members behave in a natural and relax manner and generally feel atMembers behave in a natural and relax manner and generally feel at home.home. 9
    • Group No 5 Group Behaviour j.j. Though membership is voluntary, it is not automatic. It involves someThough membership is voluntary, it is not automatic. It involves some informal section process.informal section process. k.k. Members engage in mostly oral communication in a direct and frequentlyMembers engage in mostly oral communication in a direct and frequently face-to-face manner.face-to-face manner. l.l. Informal groups are loosely structured.Informal groups are loosely structured. m.m. The goals of informal group tend to be different from and are often inThe goals of informal group tend to be different from and are often in conflict with the goals of the organization. Informal groups are stronglyconflict with the goals of the organization. Informal groups are strongly oriented to the interests and needs of the members.oriented to the interests and needs of the members. We will hopefully come across some more features of informal groups as weWe will hopefully come across some more features of informal groups as we proceed further with our discussion of groups and their dynamics.proceed further with our discussion of groups and their dynamics. Informal groups are informal organizationInformal groups are informal organization A distinction may also be made between the concepts of informalA distinction may also be made between the concepts of informal groups and informal organizational, even though a few authors treat them asgroups and informal organizational, even though a few authors treat them as inter changeable terms. An informal group is a nucleus of informalinter changeable terms. An informal group is a nucleus of informal organization. The latter is in a sense, a network of several over-lappingorganization. The latter is in a sense, a network of several over-lapping informal groups. In other words, an informal organization is a larger entityinformal groups. In other words, an informal organization is a larger entity consisting of all informal groups in an organization. Being a larger entity,consisting of all informal groups in an organization. Being a larger entity, inter personal relationship; interactions and inter-dependencies amonginter personal relationship; interactions and inter-dependencies among members in an informal organizational tend to be less intense and intimatemembers in an informal organizational tend to be less intense and intimate than in an informal group. The emotional identification and cohesiveness ofthan in an informal group. The emotional identification and cohesiveness of members to their informal organizational is also likely to be somewhat less.members to their informal organizational is also likely to be somewhat less. Further, informal organization is a social, real- life emergent dimension ofFurther, informal organization is a social, real- life emergent dimension of formal organization. They often inter-mingle and converge so closely thatformal organization. They often inter-mingle and converge so closely that they can be separated only conceptually. But, informal social groups in anthey can be separated only conceptually. But, informal social groups in an organization have often little inline with formal work groups. They areorganization have often little inline with formal work groups. They are hardly co-extensive with formal groups. Another point of distinction is thathardly co-extensive with formal groups. Another point of distinction is that members who are attracted to each other for some reason or the other, asmembers who are attracted to each other for some reason or the other, as against this, form informal groups, the informal organization is not formed asagainst this, form informal groups, the informal organization is not formed as such. It is an intangible perceptions and an emergent dimension of the formalsuch. It is an intangible perceptions and an emergent dimension of the formal organization as it functions in reality and departs from official, prescribedorganization as it functions in reality and departs from official, prescribed framework.framework. 10
    • Group No 5 Group Behaviour GROUP BEHAVIOURGROUP BEHAVIOUR Group behaviour is the social process by which people relate and respondGroup behaviour is the social process by which people relate and respond to each other and perform their respected roles as members of small-integratedto each other and perform their respected roles as members of small-integrated clusters. An integrated and comprehensive behaviour of people in-group isclusters. An integrated and comprehensive behaviour of people in-group is referred to as group behaviour. Group behaviour is studies through groupreferred to as group behaviour. Group behaviour is studies through group dynamics, teams, communication, power and politics, leaderships and decision-dynamics, teams, communication, power and politics, leaderships and decision- making. Group behaviour is guided by a basic unity of purpose and identity ofmaking. Group behaviour is guided by a basic unity of purpose and identity of interest. It strives to uphold and promote group cohesiveness-the tendency of theinterest. It strives to uphold and promote group cohesiveness-the tendency of the members to commit themselves to the group, come what may. Group stress themembers to commit themselves to the group, come what may. Group stress the need for member conformity to certain group values and norms of behaviourneed for member conformity to certain group values and norms of behaviour and performance. At the same time, some differentiation in roles assigned for aand performance. At the same time, some differentiation in roles assigned for a different member is implicates in-group behaviour. Group behaviour is alsodifferent member is implicates in-group behaviour. Group behaviour is also characterized by empathy; members develop the habit of appreciating eachcharacterized by empathy; members develop the habit of appreciating each other’s position and point of view. Further, group behaviour has certainother’s position and point of view. Further, group behaviour has certain naturalness or spontaneity about it-it is not contrived or stage-managed. Finally,naturalness or spontaneity about it-it is not contrived or stage-managed. Finally, members of the group have little social distance between each other – theymembers of the group have little social distance between each other – they interact as equals.interact as equals. There are two dimensions of group behaviors: intra group behaviour i.e.There are two dimensions of group behaviors: intra group behaviour i.e. how members of a group behave with each other and inter-group behaviour, i.e.how members of a group behave with each other and inter-group behaviour, i.e. how members of a group behave with respect to members of other groups.how members of a group behave with respect to members of other groups. George humans, a social psychologist, provided a conceptual scheme forGeorge humans, a social psychologist, provided a conceptual scheme for understanding how informal groups and their behaviour take shape. Theunderstanding how informal groups and their behaviour take shape. The elements of the conceptual scheme are activities, sentiments and interactions. Theelements of the conceptual scheme are activities, sentiments and interactions. The formal organization establishes certain relationships and roles for the individualformal organization establishes certain relationships and roles for the individual who join as its members. It defines the activities which are to be carried out aswho join as its members. It defines the activities which are to be carried out as also the performance and behavioral norms for the members i.e., the behaviouralso the performance and behavioral norms for the members i.e., the behaviour expected to them to achieve the goal of the organization. Members bring withexpected to them to achieve the goal of the organization. Members bring with their own sentiments, values, goals, attitudes and ideas. Individuals, as memberstheir own sentiments, values, goals, attitudes and ideas. Individuals, as members of the organization, interact with each other to carry out the activities and to gainof the organization, interact with each other to carry out the activities and to gain social satisfaction. They form into small informal groups on the basis of theirsocial satisfaction. They form into small informal groups on the basis of their sentiments, interactions and activities, emerging the behaviour of the group,sentiments, interactions and activities, emerging the behaviour of the group, which is different from the required behaviour, determined by the formalwhich is different from the required behaviour, determined by the formal organization. Members refine, modify and reinforce their values, sentiments andorganization. Members refine, modify and reinforce their values, sentiments and attitudes as a result of their interactions in groups and by virtue of theirattitudes as a result of their interactions in groups and by virtue of their association with the activities. Interactions among members tend to be bothassociation with the activities. Interactions among members tend to be both formal and informal-not always the activities. Members also tend to undertakeformal and informal-not always the activities. Members also tend to undertake the activities in a way different from those defined by the organization.the activities in a way different from those defined by the organization. The conceptual model provided by humans help us to understand groupThe conceptual model provided by humans help us to understand group behaviour in organizations. It is a systems model to extent that it recognizes thebehaviour in organizations. It is a systems model to extent that it recognizes the integrated nature of theintegrated nature of the 11
    • Group No 5 Group Behaviour Negative side of group influenceNegative side of group influence We till now concentrated on the positive, favorable role of groups inWe till now concentrated on the positive, favorable role of groups in organizational performance and morale. However, the negative andorganizational performance and morale. However, the negative and dysfunctional side of groups is not to be ignored. Work and informal groups indysfunctional side of groups is not to be ignored. Work and informal groups in organizations evolve their own goals and interests, which often tend to the goalsorganizations evolve their own goals and interests, which often tend to the goals and interests of the organization and thus adversely affects organizationaland interests of the organization and thus adversely affects organizational performance. Similarly, certain work groups also establish their standards andperformance. Similarly, certain work groups also establish their standards and norms of performance and behaviour and insist on members to conform to them,norms of performance and behaviour and insist on members to conform to them, even at the expense of their own personal inclinations and interests. In general,even at the expense of their own personal inclinations and interests. In general, group norms of performance (acceptable level of output per day, for-example)group norms of performance (acceptable level of output per day, for-example) tend to be lower than organizationally determined norms. Such a tendency istend to be lower than organizationally determined norms. Such a tendency is likely to distort organizational performance. Groups indulge in power politics,likely to distort organizational performance. Groups indulge in power politics, conflicts and bickering; cliques, intrigues and vested interests get entrenched inconflicts and bickering; cliques, intrigues and vested interests get entrenched in groups and undermine organizational structure and functions. Informal groups,groups and undermine organizational structure and functions. Informal groups, which up the informal organization adopt ways of doing things, which representwhich up the informal organization adopt ways of doing things, which represent a departure from organizationally, desired ones. Also, some work groups anda departure from organizationally, desired ones. Also, some work groups and informal groups design mechanisms to water down the exercise of managerialinformal groups design mechanisms to water down the exercise of managerial authority and work towards distortion of various organizationally determinedauthority and work towards distortion of various organizationally determined systems, process and practices. Highly cohesive groups are also capable of usingsystems, process and practices. Highly cohesive groups are also capable of using their cohesiveness against the interests of the organization.their cohesiveness against the interests of the organization. Group behavior is studied through group dynamics, team communications,Group behavior is studied through group dynamics, team communications, power& politics, Leaderships and Decision-making.power& politics, Leaderships and Decision-making. CONCEPT OF GROUP DYNAMICSCONCEPT OF GROUP DYNAMICS Groups are formed with a specific purpose. They exit for some time until theGroups are formed with a specific purpose. They exit for some time until the purpose is achieved & then disband or adjourn. Group dynamics is a fieldpurpose is achieved & then disband or adjourn. Group dynamics is a field concerned with research and analyzing of the various forces in and pattern of theconcerned with research and analyzing of the various forces in and pattern of the formation, of small informal groups. It also covered study of behaviors offormation, of small informal groups. It also covered study of behaviors of compositions, interaction and behavior of the university of lown, USA, was thecompositions, interaction and behavior of the university of lown, USA, was the founder of group dynamics as an academics and research de discipline in thefounder of group dynamics as an academics and research de discipline in the 1930s. It has emerged as a powerful and growing sub-discipline of social1930s. It has emerged as a powerful and growing sub-discipline of social psychology since then. Group Dynamics as disciplines is concerned with thepsychology since then. Group Dynamics as disciplines is concerned with the promotions of ones understanding on the following aspects:promotions of ones understanding on the following aspects: 1)1) Why and how groups are formed,Why and how groups are formed, 2)2) What forces are operative in the structure of groups?What forces are operative in the structure of groups? 3)3) How groups are grow, decline and die.How groups are grow, decline and die. 4)4) How they make decision and solve the problems.How they make decision and solve the problems. 5)5) How they achieved unity and handle conflict,How they achieved unity and handle conflict, 6)6) How they change and adapt themselves.How they change and adapt themselves. 12
    • Group No 5 Group Behaviour 7)7) How they influence task performance and member satisfaction.How they influence task performance and member satisfaction. Several researches studied and experiments have been done and a body ofSeveral researches studied and experiments have been done and a body of rich literature has been built up over the years on the above areas and aspect.rich literature has been built up over the years on the above areas and aspect. Group's dynamics continues to be of great help to professional and otherGroup's dynamics continues to be of great help to professional and other managers in improving their understanding of how to handle and managemanagers in improving their understanding of how to handle and manage groups, both formal and informal in organizations.groups, both formal and informal in organizations. TEAM VERSUS GROUPSTEAM VERSUS GROUPS People often refer to their groups as team. However a tam is differentPeople often refer to their groups as team. However a tam is different from group. In a team the focus is on individuals accountability as well asfrom group. In a team the focus is on individuals accountability as well as mutual accountability. The team works together to produce an outcome and eachmutual accountability. The team works together to produce an outcome and each team member responsible for that outcome. Rewards are shared in a team but inteam member responsible for that outcome. Rewards are shared in a team but in the groups members do not consider themselves responsible for any result otherthe groups members do not consider themselves responsible for any result other than their own. Teams usually have greater autonomy than groups. In a groupthan their own. Teams usually have greater autonomy than groups. In a group members share a common interest goals. team member not only have commonmembers share a common interest goals. team member not only have common goals but they also shave a common commitment to the purpose.goals but they also shave a common commitment to the purpose. A team includes people with mix of skills appropriate to the task to beA team includes people with mix of skills appropriate to the task to be done. Team consist of different individuals who come from differentdone. Team consist of different individuals who come from different environment and who taste, personalities, thinking, beliefs, skills and attitude areenvironment and who taste, personalities, thinking, beliefs, skills and attitude are different.different. A sound team requires not just the right combination of skilled people butA sound team requires not just the right combination of skilled people but also individuals whoa re willing to work together with other as a tem.also individuals whoa re willing to work together with other as a tem. Greenberg and Baron define team asGreenberg and Baron define team as "a group whose members have"a group whose members have complementary skills and are committed to a common or set of performancecomplementary skills and are committed to a common or set of performance goals for which they hold themselves mutually accountable.goals for which they hold themselves mutually accountable. Stephon Robbins describes a work team asStephon Robbins describes a work team as " a group whose individuals efforts" a group whose individuals efforts in performance that is greater than the sum of those individuals"in performance that is greater than the sum of those individuals" 13
    • Group No 5 Group Behaviour GROUP DECESION MAKINGGROUP DECESION MAKING Group decision making is widely use in organization. Committees, study team,Group decision making is widely use in organization. Committees, study team, rearview panels are example of groups frequently used to make majorrearview panels are example of groups frequently used to make major organizational decision. Both individual and group decision has their strengthorganizational decision. Both individual and group decision has their strength and weakness. Neither is ideal for all situations. Each has its own advantagesand weakness. Neither is ideal for all situations. Each has its own advantages and disadvantages.and disadvantages. Advantages of Group Decision MakingAdvantages of Group Decision Making 1) Pooling of resources:1) Pooling of resources: Bringing people together increase the amount ofBringing people together increase the amount of knowledge and information available to make good decision. This happenknowledge and information available to make good decision. This happen because a group consist of member having varied background.because a group consist of member having varied background. 2) Increase diversity of views:2) Increase diversity of views: In groups different individuals look at theIn groups different individuals look at the problem from different perspectives thus providing more approaches andproblem from different perspectives thus providing more approaches and alternatives to be considered.alternatives to be considered. 3) Sharing the load:3) Sharing the load: Group member can distribute or divide the problemsGroup member can distribute or divide the problems instead of overburdening single individuals.instead of overburdening single individuals. 4) Specialization of labour:4) Specialization of labour: Expertise various fields can be included in theExpertise various fields can be included in the groups. Thus decision made will be superior quality.groups. Thus decision made will be superior quality. 5) Increase belongingness:5) Increase belongingness: Group Decision increases fellow felling among theGroup Decision increases fellow felling among the employees and creates a sense of belongingness to the organization.employees and creates a sense of belongingness to the organization. DISADVANTAGES OF GROUP DECISION MAKINGDISADVANTAGES OF GROUP DECISION MAKING 1) Time Consuming;1) Time Consuming; An obvious drawback of group decision-making is in termsAn obvious drawback of group decision-making is in terms of waste of time. It takes time to organize a groups and group member tend toof waste of time. It takes time to organize a groups and group member tend to spend a lot of time socializing before getting down to the actual business or workspend a lot of time socializing before getting down to the actual business or work 2) Threat or intimidation;2) Threat or intimidation; A problem with group decision-making is that someA problem with group decision-making is that some member may be threatened or intimidates by other and thereof they aremember may be threatened or intimidates by other and thereof they are discourage from freely expressing their view.discourage from freely expressing their view. 3) Domination by a few:3) Domination by a few: If group discussion are dominated by one or a fewIf group discussion are dominated by one or a few members and the other remain mere spectators then the entire purpose ofmembers and the other remain mere spectators then the entire purpose of meeting as a group is defeated.meeting as a group is defeated. 4) Conflict and ill will:4) Conflict and ill will: Lack of agreement can cause bad felling to developLack of agreement can cause bad felling to develop between group membersbetween group members.. Group decisions have their advantages and disadvantages. Hence question thatGroup decisions have their advantages and disadvantages. Hence question that arises is when are group decision better than individual decision? An importantarises is when are group decision better than individual decision? An important determinant of whether a decision should be made by a group or an individual isdeterminant of whether a decision should be made by a group or an individual is the degree of task structure or the nature of the problem.the degree of task structure or the nature of the problem. Compared to individual, groups tend to make more extreme decision regardingCompared to individual, groups tend to make more extreme decision regarding the amount of risk they are willing to take or the amount of caution they want tothe amount of risk they are willing to take or the amount of caution they want to take. Research has shown that groups recommended riskier decision thantake. Research has shown that groups recommended riskier decision than individuals.individuals. 14
    • Group No 5 Group Behaviour Prof. Priya GawadeProf. Priya Gawade (Projec(Projec t Guide)t Guide) II Prof. Priya Gawade Hereby certify that the Group No. 5Prof. Priya Gawade Hereby certify that the Group No. 5 Second Year B. Com. Banking & Insurance of Chinai College ofSecond Year B. Com. Banking & Insurance of Chinai College of commerce and economics has completed their project titled Groupcommerce and economics has completed their project titled Group Behaviour in the academic year 2005-06. This project providesBehaviour in the academic year 2005-06. This project provides detail description of various topics of organizational behaviour. Thedetail description of various topics of organizational behaviour. The 15
    • Group No 5 Group Behaviour information submitted herein is true, satisfactory and original to theinformation submitted herein is true, satisfactory and original to the best of their knowledge.best of their knowledge. 16