The document defines groups and discusses their characteristics and types. It distinguishes between formal and informal groups. Formal groups are deliberately created by an organization to achieve goals, while informal groups form spontaneously among people who regularly interact. The document also compares formal and informal groups and discusses reasons for joining groups and social identity theory, including in-group favoritism where people see their own group as better than others.

1. OGANIZATIONAL BEHAVIOR
ASSIGNMENT # 1
Defining and Classifying Groups
Definitions of Group
Two or more individuals interacting and interdependent, who have come together to achieve particular
objectives.
Group is defined as two or more individuals who are connected to one another by social relationships.
(Donelson R. Forsyth)
A collection of individuals who have regular contact and frequent interaction, mutual influence, common feeling
of camaraderie, and who work together to achieve a common set of goals.
A Group is “a collection of two or more interaction individuals with a stable pattern of relationships between
them, who share common goals and who perceive themselves as being a group.”
Thus, Group Characteristics are:
INTERACTION AMONG MEMBERS
SHAREDD GOALS
GROUP
PEOPLE SEE THEMSELVES AS MEMBERS
TWO OR MORE PEOPLE
Characteristics of Group
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Members have a common purpose but work independently, sometimes competitive with one another.
Individuals may have limited knowledge about one another.
Meetings serve as a forum to receive reports and coordinate activity.
Meetings follow an agenda with set time constraints.
Attendance is not essential—the group can function with absent members and substitutes.
The composition of the group may vary.
Individuals rather that the group are recognized for effectiveness.
Types of group
There are two basic types of groups.
1: Formal group.
2: Informal group.
Bachelor in Business Administration

2. OGANIZATIONAL BEHAVIOR
ASSIGNMENT # 1
Formal group:
A designed work group defined by an organization’s structure.
A formal group is the deliberate and systematic grouping of people in an organization so that organizational
goals are better achieved. Now any organization would have a certain formula. They are very essential for the
efficient functioning of the organization.
Example
 Six members of an airline flight crew.
 A group in organization works on a specific project.
 Group of sportsman in match or sports competitions
Informal group
A group that is neither formally structure nor organizationally determined, such a group appears in response to
the need for social contact.
Informal groups are the natural and spontaneous grouping of people whenever they work together over a period.
Whenever people interact and work together over a certain period, it is very natural for them and it comes very
spontaneously for them, that they form informal groups.
Example
 For example, we are officially assigned to the computer engineering department. But in the hostel, we
live with friends from other branches. So when all of us live together for a 4 year period, it’s very natural
for us to interact and build up groups informally with our friends from other branches.
 Friends groups.
 Family group
 Three employees who regularly have lunch and coffee together are an informal group.
 Chat group
Therefore, like this, any organization would have informal groups.
Bachelor in Business Administration

3. OGANIZATIONAL BEHAVIOR
ASSIGNMENT # 1
Why do people join groups
There is no single reason why people join groups.
Since most individuals belong to different groups. Therefore, they have different attractions towards these.
Most popular reasons are
 Proximity, Interaction & Influence
 Security
 Self-Esteem
 Affiliation
 Power
 Identity
 Huddling
 Goal Achievement
Bachelor in Business Administration

4. OGANIZATIONAL BEHAVIOR
ASSIGNMENT # 1
Comparison between formal group and informal group
Let us compare both Formal and Informal Groups:
Formal group
Informal group
Deliberately created.
Formal groups are knowingly and systematically
created.
Spontaneously created.
Informal groups are not really created, they
are naturally formed.
1. Systematic structure.
As we discussed earlier, in the computer department,
we have HOD, OFFICE STAFF, etc. So there is a
system in place.
Loose structure
In informal groups, there is no structure at all.
They just come together for some time. There
is no junior and senior…everybody is equal.
1.
2. Importance to position.
In a formal group, importance is always given to the
position. Ex: the group leader, the head of department,
etc. The position gets importance in a formal way
because there is a system in place.
Importance to the person.
The beauty of being in an informal group is
that the position does not exist at all because
there is no structure. So importance is always
given to the person.
1. Relationship is official.
The relationship is very formal and official in a formal
group. So the relationship and behavior is almost
prescribed in a formal group.
Relationship is personal.
In an informal group, the interaction and the
attachment becomes very personal and not
official.
1.
2. Communication is restricted and slow.
By restricted we mean that the “boss may decide that
certain information should not be discussed below a
certain level.”
Communication is very slow because a certain
procedure has to be followed if we want to pass down
the information.
Communication is free and fast.
Everybody wants to tell everyone all the
information. With the gossip network in an
informal group, information is passed very
quickly.
Advantages and disadvantages of group
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Advantages
More ideas can be generated.
Greater diversity of ideas and opinions.
More people available to get a task completed.
It's a great networking and socializing opportunity.
Great opportunity for sharing skills and knowledge.
Bachelor in Business Administration

5. OGANIZATIONAL BEHAVIOR
ASSIGNMENT # 1
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Learners get to know each other better.
'Soft' skills such as negotiation, leadership, conflict resolution etc can be demonstrated.
Less confident learners may feel more 'safe' in a large group.
Decisions made are collaborative - builds ownership of issues and solutions.
Large groups can be fun to work with, and to be part of.
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Disadvantages
Greater chance of conflict between individual learners.
Decision-making takes more time.
Segregation of individuals can occur.
Less extroverted individuals can feel intimidated and be hesitant to contribute.
The trainer may need to intervene and provide leadership.
It's easier for individuals to avoid doing any work and let others do it all.
Reaching agreement can be difficult.
Things can get rowdy and out of hand.
Risk of an individual taking on a 'boss' role and being a dictator.
Social Identity theory
Perspective that considers why and when individuals consider themselves members of group.
Several characters make a social identity important to a person:
Similarities
 People who have the similar values and characteristics as others members of their organization have
higher levels of group identification.
 Demographically similarity can also lead to stronger for new hires, while those who are
demographically different may have a hard time identifying with the group as a whole.
Distinctiveness
People are more likely to notice identities that show how they are different from other groups.
Respondents in one study identified more strongly with those in their work group with whom they
share uncommon or rare demographic characteristics.
Bachelor in Business Administration

6. OGANIZATIONAL BEHAVIOR
ASSIGNMENT # 1
Status
Because people use identities to define themselves and increase self-esteem, it makes senses that they
are most interested in linking themselves to high status groups. People are likely not to identify
themselves with a low status organization and will be more likely to quit in order leaving that identity
behind.
Uncertainty reduction
Membership in a group also helps some people understand who they are and how they fit into the
world
In-Group Favoritism
Perspective in which we see members of our in-group as better than other people, and people not in
our group as all the same.
The in-group can be described as the group of people with whom an individual categorizes
himself/herself with. From a biological perspective, this behavior is inherent that people tend to help
members from their own group rather than those from others. People can and will interact with outgroups, but use different strategies with both. Members of an in-group feel a sense of commitment to
the group and gain greater esteem from their sense of belonging to the group. In-group favoritism
primarily exists to protect the group as individuals and as a group. By giving special treatment to
group members, resources may be unavailable to other groups, and that group can maintain a higher
status. Typically the larger the in-group, the more power they can impose on others. The overall idea is
that members of the in-group stick together and give each other preferential treatment on performance
reviews, monetarily, or simply for social status.
Bachelor in Business Administration