Items Description of Module Module

Subject Name HRM

Paper Name Organizational Behaviour
Module Title Group Dynamics-I
Module Id 17
Pre- Requisites Basic knowledge of Group and its behaviour
Objectives To understand the operation and management of group in detail
Keywords Group, nature of group, role, importance and formation theories
 Quadrant-I

M Module:17, Group Dynamics-IDynamics I

1. Learning Objectives
2. Introduction
3. Features of group
4. Types of Group
5. Role of Group
6. Theories of Group Formation
7. Summary

1. Learning Objectives:
The basic objectives of this module are:
 To understand the meaning of Group
 To know the features of the Group
 To know about various types of Group
 To know the role of Group
 To know the various theories of Group Formation
2. Introduction

Out of the various needs of a human being, the most important need is the social need i.e. the
company to share his thoughts, feelings and emotions. It is a well known fact that an individual can’t
exist alone in spite of the fact that how much caliber he has or how much powerful he is,. Human
beings are not like machines, so they definitely need company. It is a part of human nature that needs
company whether at the workplace, sports, hobbies, classrooms, family etc. Every human, even a kid
feels happy in the company of kids of his age. The requirement of being in a group develops itself.
We, as humans, have experienced it from our childhood. A human requires someone to share his/her
feelings. Sharing thoughts works as an external valve through which he can relieve from unnecessary
or other thoughts and feel energetic and do work with more zeal and dedication. A group is a
collection of people sharing common objectives. Groups may be formal or informal. An organization
makes formal group of employees or workers and provide them the specific task to perform and the
group members join together for the fulfillment of that particular common objective. Some informal
groups can also exist within the organization where the employees having common thoughts or
something in common join together and share anything of their common interests. So, we can say
that, a group refers to the joining of two or more persons who come together, interact with each other,
share feelings, accept others’ feelings and share common objectives.

Definitions

According to Stephen P. Robbinse. “A group is defined as two or more individuals, interacting and
interdependent, who come together to achieve particular objectives.”

According to Ivancevich , Konopaske and Matterson, “ A group refers to two of more individuals
interacting with each other in order to accomplish a common goal.”

According to Uma Sekeran “ A group consists of two or more people working together on a regular
basis to achieve common goals.”
So on the basis of above definitions, we can easily derive that a group has the following
characteristics:

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3. Nature/ Characteristics/ Features of group

 Two or more persons: A group is called a group if it has two or more persons. An individual
in itself can’t be the group.
 Commonness: There is something which combines the group members whether it is common
feelings, common belongingness, common habits, common posts or the common targets
given by the organization to them.
 Objective: It is necessary that a group should have some objective to accomplish. A group
without any objective is like a story without an end.
 Interdependence: The group members depend on each other for their suggestions, thoughts,
opinions etc. An action of a member depends upon the approval of the other members of the
group. Any action which is not acceptable to any member of the group is criticized.
 Work for collective goal: Everybody in the group strive for the achievement of the common
goal. Any group member who thinks about his individual interest only does not deserve to be
the part of the group.
 Formal or informal: A group may be formal or informal. A formal group is one which is
formed by the organization which defines the specific task or project to be completed by the
group members as collective responsibility whereas an informal group is one which is not
defined by the organization rather it is formed within the members voluntarily on the basis of
their common interests, belongings, habits, attitudes, and objectives.
 Interaction and Involvement: For the successful completion of the common goals for which
a group has been formed, it is necessary that each and every group member should actively
participate and involve himself in the interaction and in the functioning of the group and
offer his/her suggestions and opinions wherever required.
 Active listeners: It is necessary that the group should have active motivators to motivate and
initiators who initiate the process. Side by side, it is also must that every member of the group
should play the role of a good listener. It should be taken care that the suggestions of every
member of the group are important. So besides being an active speaker, one should also
develop the habit of active listening.
 Regularity: It is expected from the group that it should have regularity which means that the
group members should meet regularly and discuss performance and problems, if any related
to the accomplishment of the common goal.
  Acceptance: It is necessary that the group members should work collectively for the goal.
Any wrong decision, if happens, should not be binding on a single group member and he
should not be blamed upon for any such wrong decision. They should share each other’s
deficiencies, if any and should accept them or try to rectify it collectively through mutual
discussions and suggestions.
 Recognition: An individual, through his behavior should show that he is a member of a
particular group and the group should become the part of his recognition so that others may
easily recognize an individual that he belongs to such particular group.
4. Types of groups

There are various types of groups that operate in any organization. Broadly they are classified into
two types namely, formal groups and informal groups.

Formal groups are the groups which are formed by the organization for the completion of specific task
related to the achievement of the organizational goals whereas informal groups are not formed by the
organization but these groups develop by themselves within the organization spontaneously.

Types of Formal Groups

 Command Groups: Command Groups are the groups which consist of subordinates who
report to a common boss. Here, under this type of group, the superior subordinate relationship
is clearly defined and the authority and responsibilities are specified. These groups are
specified by the organizational chart. For example, A is the boss with B, C, D, E, F, G, H as
employees under him and who report directly to him. Here, B, C, D, E, F, G, H are the parts
of a command group.
 Task Groups: Task Groups is a group which consists of people who work together for the
achievement or completion of a common task or common job. Under this type of group, a
specific time period is allotted to group members for the completion of the particular task. For
Example, if the university assigns the task of paper marking or evaluation to some of the
lecturers/evaluators and instruct them to complete such evaluation within some definite time
period. This is a task group.
 Committees: Committees are the groups which are created to operate and resolve some
particular situation, if arises and to manage the functioning of that particular related activity
for which it has been formed. For example, a college appoints some of the persons as the
members of the committee for maintaining discipline in the college premises.
 Functional Groups: Functional group is a group that is created by an organization which
operates for the accomplishment of specific goals but the time duration for the completion of
that particular task of tasks is not specified. They exist even after the accomplishment of short
term goals. For Example, a marketing department operates even after introduction of a new
product by the organization.
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Other than formal groups, informal groups also exist in an organization which creates naturally within
the persons having common interests, habits, values etc. The existence of these groups depend upon
the sweet will of its members and the organization does not have any control over these type of
groups but they can have a strong influence the working of the organization in any way, whether
positive or negative.

Different types of informal groups are:

 Interest groups: Interest groups are the groups which are formed with the persons having
common interests, likings or common demands. Further, it is not necessary that the persons of
same interest group are the part of a same organization. They may be working in different
organizations but are bound together for some common interests. For example,
Employees/workers of a same industry but working in different firms may form a group for
the demand of increase in their salaries/ wage rate. This is a type of interest group.
 Friendship Groups: Friendship groups are the groups which are formed by the members
who have similarity of social activities, political views, some religious thoughts or any other.
Friendship group can also be formed between the people of same age group with whom they
can share their thoughts and feelings. They often meet after the working hours of the
organization and may join some club or any association.

 Reference Group: A reference group is one whose membership is acquired by its members
unconsciously. For example, marketing managers doing similar works in different
multinational companies are the part of the reference group. People use to evaluate
themselves on being the member of such group. The special feature of being the part of this
group is that the membership of this group provides them social validation. It also gives rise
to social comparison. These groups have a strong influence on the behavior of its members.
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5. Role Of Group
A group plays a major role in the development of any individual. Some of which are as
follows;
 Builds confidence: A group provides a platform for communication and interaction to its
group members. Continuous interactions and sharing of thoughts enhances the confidence
of all its members.
 Development of personality: The personality of any person depends upon the richness of
behavior, attitudes and decisions and all these things can easily be developed on being a
part of the group.
 Recognition: A member is recognized as a group member when he joins any active and
participative group.
 Promotes the habit of active listening: Any decision taken by the group is believed to
be taken by the group. It is binding on all the group members. Therefore, before taking
any final decision, it is necessary that it should properly be analyzed and examined by all.
So, the group members listen to all members actively.
 Contribution towards common goal/ uniformity in actions: A group ensures
uniformity of actions of members for the accomplishment of common goal.
 Less absenteeism: Satisfied group members do not wish to miss any activity of the group
and work whole heartedly to contribute with the best of their efforts resulting in lesser
absenteeism.
 High Morale: Healthy interaction in group related matters boosts the morale of the
member employees.
 Increase in Efficiency: An individual when feels fully satisfied in the group works with
higher level of zeal and dedication as he feels that he is getting everything ( status, co-
operation, respect, recognition etc.) what he expects from the group. This satisfaction
results in efficient working.
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6. Theories Of group formation

Formation of group is not an easy task for an organization. An organization while selecting the
members of the group spends considerable effort for the formation of group. It is also equally true that
the informal groups don’t involve such type of effort on the part of an organization as they are not
formed by it. In fact such group emerges gradually. The important question arises here is that how
such types of groups form? For this purpose, some theories have been given. Some of which are as
follows:

1. Propinquity theory
2. Homan’s IAS theory
3. Balance Theory
4. Exchange theory.
 Propinquity Theory:
The theory states that it is the proximity of the people that builds the relationship between them
and which serves as the base for the formation of the group. Higher will be the proximity, higher
will be the chances of formation of group between them. The theory lays stress on the closeness
of people. When two persons work in same environment repeatedly, they develop a sense of
belongingness and they gradually develop communication which in turns leads to discussions,
sharing of thoughts, feelings and opinions. Now this sharing and communication is the base for
group formation. It has normally been seen in offices and departments that the people working in
same office or department have more communication and sharing than those who are working in
different departments. It is their geographical location that affects their group formation.
This theory is actually not analytical in nature as it stresses only location of people that is the
reason for the formation of group. But, in true sense, there are many more factors that affect the
formation of a group.
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 Homan’s IAS theory:
The theory has been propounded by George O. Homans. Here IAS means:

I- Interaction A- Action S- Sentiment

He is of the opinion that it is not the location that brings closeness and lead to formation of group.
It is actually the Interaction, Action and Sentiment which serves as the basis for their formation.
It is not the physical proximity but the activities, interactions and sentiments that give strength to
the formation of group.

As per Homans, these three elements i.e. Interaction, Action and Sentiment are interdependent.
He is of the view that more activities a person share, more will be their interaction and stronger
will be their sentiments and the more sentiments they have for each other, more will be their
activities and interactions.

INTERACTION (I)

ACTION (A)

SENTIMENTS(S)
((s)

Activity- It refers to a smaller part of the job which is complete unit in itself. All the smaller activities
ultimately are united to form the complete job. Different activities are assigned to different persons in
an organization for the achievement of targets.

Interaction: It refers to the communication as between different individuals doing different activities
for a common goal. This is a natural process where in they interact with each other.
Source: http://www.polyvista.com/blog/wp-content/uploads/2015/06/sentiment-customer-exp-
large.png

It refers to the development of feelings for each other, sometimes positive or sometimes negative.
Continuous interaction is the reason for the development of sentiments towards each other and they
are likely to think in a common way through which their sentiments get strengthened and more
activities and interactions take place which serves the purpose of formation of group.

 Balance Theory:
This theory was propounded by Theodore M. Newcomb. He states that people get attracted
towards each other of the basis of their common features, attitudes, values, nature, religion,
education, experience and objectives. This feature of having uniformity and homogeneity
encourages them to form a group. It is to be ensured that the balance needs to be maintained
between them. That is why the theory is named as Balance Theory. If at any time, the group
members feel any disturbance in their behavior or they feel that the similarity or commonality in
not there or disturbed, efforts are needed to recreate such balance otherwise the group will not be
able to exist and the relationship between them will dissolve.

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 Exchange Theory:
The theory has been proposed by Thibaut and Kelley. They are of the opinion that the formation
of the group between people depends on what they get in return through interaction and what
they spent for such interaction or it can be said that it is a relationship between cost and benefit/
reward/ consideration. An individual may like to be in a group where gets more satisfaction
(benefit) in relation to what he sacrifices (cost). Here satisfaction or benefit may be in the form of
information, expertise, love, care, status, money etc. and on the other hand sacrifice or cost may
be in the form of anxiety, efforts, frustrations, embarrassment, fatigue etc. A balance needs to be
maintained between cost and benefit. An imbalance where cost is more than benefit may cause
problems. In order to let him stay in the group, the only way is that the benefits should be more
than cost paid by him.
Theory Of Group Development
Other than the theories of Group Formation that are explained above. Tuckman has developed a
theory for Group Development which is explained as follows:

Tuckman’s Five Stage Theory of Group Development

This theory is proposed by Tuckman who has explained that there are five steps involved in the
formation of a Group. These five steps are explained as follows:
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(A) The forming stage refers to the formation of the group. People get together for the
achievement of group objectives. They come closer to each other and try to get themselves
introduced with other members of the group through their participation and better
performance. Their aim is to get recognition as an efficient group member. An individual
does his best efforts to get fit in the group’s activities.
At this stage, the individual and group issues that evolve are:
Individual issues: “How do I fit in?”
Group issues: “Why are we here?”
(B) Storming: This is the stage when individual members of the group start taking active
participation in almost every group activity and express their thoughts freely. They express
what they feel about different things and try to impose their feeling to be applied on all. This
difference of opinion leads to conflicts amongst the group members. A storm like situation
arises within the group when all members try to prove themselves as right and others as
wrong. Members at this stage come to resist control by group leaders and try to show
hostility. Issues at this stage are:
Individual Issues: “What is my role here?”
Group Issues: “Why are we fighting over who’s in charge and who does what?”

Source: http://mirjamglessmer.com/wp-content/uploads/2015/10/Storming.png
(C) Norming: At this stage, the situations are tried to get improved though collective efforts. The
reasons for the emergence of conflicts are found out and efforts are made to develop group
norms to find out their permanent solution so that the conflicting situations may not arise at
later stages of group’s life. Role of each member in the group is clarified and the tasks are
distributed amongst the members. All relevant decisions connected with the functioning of the
group, including rules and regulations, are taken so as to avoid any discrepancies in future. As
a result, the group’s functioning gets normal. Each individual follows the group norms and
work under the sphere of activities allotted to him to perform. So the feeling of co-operation
 develops between them and they join together for the achievement of the goals of group and
that of organization. Issues involved at this stage are:
Individual Issues: “What is expected from me to do?
: “Can we agree on roles and work together as a team?”

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300x300.jpg
(D) Performing: This is the stage when everyone tries to provide his efficient and maximum
contribution towards the accomplishment of group goals. Group members work together
towards getting their jobs done in the best possible manner. Under this stage, the purpose for
which such group was formed is achieved. Groups work together as a team and provide their
maximum possible contribution. Individual and group issues involved here are:
Individual Issues: “How can I best perform my role?”
Group Issues: “Can we do the job properly?”
(E) Adjourning: Under this stage, group members get back to their original positions where they
were before the formation of such group. The Group members separate from the group as
they no longer wish to stay in the group. Their separation from the group may be due to any
one of the following two reasons.
(a) Completion of task for which group was formed.
(b) Members wish to close the group and don’t want to stay together as a group.

To conclude, we can say that the theory of Group Formation as suggested by Tuckman explains that
there are five steps in Group Development which can be summarized as follows:

 Forming – Groups get together.

 Storming – Groups develop difference of opinions leading to conflicts.
 Norming – Groups create rules and structure.
 Performing – Groups produce results.
 Adjourning- Groups loses existence.

PERFORMING

NORMING

STORMING ADJOURNING

FORMING
RETURN TO
INDEPENDENCE
DE DEPENDENCE/ INTERDEPENDENCE
INDEPENDENCE

7. Summary

It is the basic requirement of an individual to stay in group. A group besides providing company to an
individual also corrects him in case of any wrong decision. The Group develops his personality,
boosts his morale and provides him security. Based on his individual preference, he chooses to be a
part of any particular group. However, some groups are created by organisations which are called
formal Groups. No matter which type of group it is, it is important to understand that the Group
definitely adds advantage to the personality of an individual.