Unit III

Group dynamics, Organizational

culture
Group dynamics
 GROUP

Group is two or more individuals, interacting and

interdependent, who have come together to achieve
particular objectives
 Types of Groups
• Formal Group: a designated work group
defined by the organization’s structure

• Informal Group: a group that is neither

formally structured nor organizationally
determined
 Types of Formal Groups
• Command Group: a manager and her or his
immediate subordinates
– It is determined by the organizational chart
– It is composed of the subordinates who report directly to
a given manager
• Task Group: those working together to complete a
job task
– Boundaries are not limited to its immediate hierarchical
superior
– It can cross command relationship
– All command group are task groups, but all task groups
are not command group
– A special task force to solve certain issue
 Types of Informal Groups
• Interest Group: those working together to attain
a specific objective with each is concerned
– Example: Employees who band together to have their
vacation scheduled or to seek improved working
conditions
• Friendship Group: those brought together
because they share one or more common
characteristics
– Example: Social alliances, which frequently extend
outside the work situation
STAGES OF GROUP DEVELOPMENT
[THE FIVE-STAGE MODEL]

1. Forming
2. Storming
3. Norming
4. Performing
5. Adjourning
 1. Forming
• This stage is characterized by a great deal of
uncertainty about the group’s purpose, structure, and
leadership
• Members are “testing the waters” to determine what
types of behavior are acceptable
• This stage is complete when members have begun to
think of themselves as a part of a group
 2. Storming
• This stage is characterized by intra-group conflict
• Members accept the existence of the group, but there
is resistance to the constraints that the group imposes
on individuality
• There is conflict over who will control the group
• In the completion of this stage, there will be a
relatively clear hierarchy of leadership within the group
 3. Norming
• This stage is characterized by close relationships and
cohesiveness
• There is now a strong sense of group identity and
camaraderie
• This stage is complete when the group structure
solidifies and the group has assimilated a common set
of expectations of what defines correct member
behavior
 4. Performing
• In this stage, the group is fully functional and accepted
• Group energy has moved from getting to know and
understand each other to performing task at hand
• For permanent group, this is the final stage
 5. Adjourning
• Final stage for the temporary groups
• Group prepares for disbandment and wrapping
things ups
• Characterized by concern with wrapping up
activities rather than high task performance
 Why Do People Join Group?
• Security (reduce the insecurity of “standing alone;” feel
stronger; have fewer self doubts; resistance to threats)
• Status (viewed as important by others; recognition)
• Self-Esteem (feeling of self-worth)
• Affiliation (fulfill social needs; enjoy regular
interaction; on-the-job interactions)
• Power (achieving through group action; power in
numbers)
• Goal Achievement (need to pool talents, knowledge, or
power – use of formal groups)
 Composition of the Group
• compositions of groups
– Homogenous
– Heterogenous

• Homogenous is better when

– Tasks are simple and sequential
– Tasks require cooperation and need to be done quickly

• Heterogeneous is better when

– Tasks are complex and collective
– Tasks require creativity and need not be done quickly
Organizational culture
 Organizational culture

The set of shared, taken-for-granted implicit

assumption that a group holds and that
determines how it perceived, thinks about,
and reacts to its various environments.
 Characteristics of a culture
1. Innovation and risk taking
2. Attention to detail
3. Outcome orientation
4. People orientation
5. Team orientation
6. Aggressiveness
7. Stability
 Importance of culture

• Defines the boundary between one

organization and others
• Conveys a sense of identity for its
members
• Facilitates the generation of commitment
to something larger than self – interest
• Enhances the stability of the social system
 Keeping the culture alive
• Keeping a culture alive
– Selection as per the fit in culture
– Top management action
– Socialization of the employees towards
organizational culture