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Course Code: 19HRM502A

Course Title: Business leadership and Team


Dynamics

Course Leader:
Dr.Madhu BK

Email: madhu.ms.mc@msruas.ac.in

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Why this Course
The objectives of the programme are:
• The objective of this programme is to prepare students to look at their organizations from a system-wide
perspective and apply strategic thinking and critical analysis and to provide students with opportunities
throughout the program to apply their learning in current work environments. Emphasis is given on
modern employment issues, industrial relations, current global trends and policies that affect personnel
decisions.
• The specific programme objectives are:
• To provide a critical review of concepts and principles of management and human resources
• To enhance the understanding of HR strategy to achieve organisational goal
• To analyze business and HR situation with a problem solving approach to face challenges
• To appraise the relevant merits of decision making techniques to manage change
• To develop an analytical understanding on Performance management, Job analysis and Training
• To apply contemporary HR concepts and strategies for adapting strategic approach in managing people
• To analyze legal and ethical issues to deal with employee grievances
• To develop and manage team for better working in domestic and global environment
• To train on relevant software to facilitate critical decisions making
• To train the students in teamwork, lifelong learning and continuous improvement
The Course is being delivered to meet the highlighted objective of the Programme to
meet the course aim.
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Course Aim and Summary

The aim of this course is to introduce students to key concepts of teams and
leadership
This course is designed to be practical and student-centered. Students will develop
team skills by actively participating in a team for the entire semester in the context
of collaborative and experiential learning about self and team dynamics. Students
will acquire an understanding of frameworks and their relationship to the
Psychological Contract, leadership, team roles and group development as well as
theories addressing leadership, Emotional Intelligence, conflict resolution and team
decision-making. In addition they will gain experience with practical techniques for
improving effectiveness in high performing teams.

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Course Content
• Introduction : Team composition, formation, and types of team-problem
solving teams , self-managed teams ,Cross-functional teams ,virtual
teams , multi-team systems , High performance teams , Belbin team
roles , Frameworks and models, Ethical values in teams, Creating
effective teams,
• Interpersonal orientation through FIRO-B, Experiential learning
methodologies-T- group sensitivity training, encounter groups,
appreciative enquiry, Discovering facets of interpersonal trust through
Johari Model window, communication skills, Negotiation skills and
strategies for team building, , team morale, conflict resolution in teams,
competitive vs collaborative behavior, developing collaboration

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Course Content Contd…
• Leadership theories –Trait theories, Behavioral theories, contingency
theory ,contemporary theories on leadership, Organizational Leadership,
Strategic leadership, Leadership for Creating high performance culture,
Selecting leaders, Training leaders
• Leadership Development –Emotional Intelligence-Personal and Social
competencies, Leadership and power ,Leadership in creating high
performance culture, leadership development through self- awareness
and self-discipline, Development through education and training,
mentoring, Evaluation of development efforts,

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References
Course R e s o u r c e s

a. Essential R e a d i n g
1. Stephen P. Robbins, Timothy A. Judge, Neharika Vohra (2018), Organisational Behaviour ,18e,
Pearson Publication ,India
2. Edgar H. Schein and Peter A. Schein (2016),Organizational Culture and Leadership (The Jossey-
Bass Business & Management Series) 5th Edition,

b. Recommended R e a d i n g
1. Harvard Business Review on Leadership at the Top ,(2018), Harvard Business School Press
2. Harvard Business Review on Leadership in a changing world ,(2018), Harvard Business School
Press

c. Websites
1. www.hbr.org
2. www.shrm.org

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TEAM DYNAMICS
Introduction : Team composition,
formation, and types of team-problem
solving teams , self-managed teams
,Cross-functional teams ,virtual teams ,
multi-team systems , High performance
teams , Belbin team roles , Frameworks
and models, Ethical values in teams,
Creating effective teams

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Team Formation

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Group / Team
• Group as two or more individuals,
interacting and interdependent, who have
A work team , on the other hand,
come together to achieve particular
generates positive synergy through
objectives.
coordinated effort. The individual efforts
• A work group is a group that interacts
result in a level of performance greater
primarily to share information and make
than the sum of those individual inputs.
decisions to help each member perform
within his or her area of responsibility.
A work team , on the other hand,
• Work groups have no need or opportunity
generates positive synergy through
to engage in collective work that requires
coordinated effort. The individual efforts
joint effort. So their performance is merely
result in a level of performance greater
the summation of each group member’s
individual contribution. than the sum of those individual inputs.
• There is no positive synergy that would
create an overall level of performance
greater than the sum of the inputs.

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Types of Teams

• Four most common types of teams in an


organization: problem-solving teams, self
managed work teams, cross-functional teams ,
and virtual teams.

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Problem-Solving Teams
• In the past, teams were typically
composed of 5 to 12 hourly employees
from the same department who met for a
few hours each week to discuss ways of
improving quality, efficiency, and the work
environment.
• These problem-solving teams rarely have
the authority to unilaterally implement
any of their suggestions.
• Problem-solving team is the temporary
combination of workers who gather to
solve a specific problem and then disband.
• For example, after the 2008 financial
crisis, several organizational task force
teams and governmental committees were
created to come up with solutions to help
the country climb out of a steep recession
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Self-Managed Work Teams
• Problem-solving teams only make
recommendations. Some organizations have
gone further and created teams that not
only solve problems but implement solutions
and take responsibility for outcomes.

• Self-managed work teams are groups of


employees (typically 10 to 15 in number)
who perform highly related or
interdependent jobs and take on many of
the responsibilities of their former
supervisors.

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• Typically, these tasks are planning and scheduling work,
assigning tasks to members, making operating decisions,
taking action on problems, and working with suppliers
and customers.
• Fully self-managed work teams even select their own
members and evaluate each other’s performance.
Supervisory positions take on decreased importance and
are sometimes even eliminated.
• Research on the effectiveness of self-managed work
teams has not been uniformly positive.
• Self-managed teams do not typically manage conflicts
well. When disputes arise, members stop cooperating and
power struggles ensue, which leads to lower group
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• Although individuals on these teams report higher levels
of job satisfaction than other individuals, they also
sometimes have higher absenteeism and turnover rates.
• One large-scale study of labor productivity in British
establishments found that although using teams in
general does improve labor productivity, no evidence
supported the claim that self-managed teams performed
better than traditional teams with less decision-making
authority

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Cross-Functional Teams
Sprig Toys, Inc. uses cross-functional teamwork in
creating toys that are made of recycled products to
keep the planet healthy and kids off the couch.
The Sprig Dream Team includes toy designers and toy
industry-specific expertise in the areas of product
design, patent development, supply chain strategy,
market research, vendor sourcing, merchandising,
branding, packaging, and marketing.

Team members are dedicated to Sprig’s mission of


creating fun toys that encourage
active play for kids and are batteryfree, eco-friendly,
and paint-free. Shown here with some Sprig toys are
chief executive Craig Storey (standing, left) and the
firm’s
co-founders.

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• Starbucks created a team of individuals from production,
global PR, global communications, and U.S. marketing to
develop its Via brand of instant coffee.
• The team’s suggestions resulted in a product that would be
cost-effective to produce and distribute and that was
marketed through a tightly integrated, multifaceted strategy.
• This example illustrates the use of cross-functional teams ,
made up of employees from about the same hierarchical
level but different work areas, who come together to
accomplish a task.

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• Many organizations have used horizontal,
boundary-spanning groups for decades. In the
1960s, IBM created a large task force of
employees from across departments to develop
its highly successful System 360. Today cross-
functional teams are so widely used it is hard to
imagine a major organizational undertaking
without one.

• All the major automobile manufacturers—


Toyota, Honda, Nissan, BMW, GM, Ford, and
Chrysler—currently use this form of team to
coordinate complex projects. Cisco relies on
specific cross-functional teams to identify and
capitalize on new trends in several areas of the
software market.
• The teams are the equivalent of social-
networking groups that collaborate in real time
to identify new business opportunities in the
field and then implement them from the bottom
up.

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CRT
• Cross-functional teams are an effective means of allowing
people from diverse areas within or even between
organizations to exchange information, develop new
ideas, solve problems, and coordinate complex projects.
• Their early stages of development are often long, as
members learn to work with diversity and complexity.
• It takes time to build trust and teamwork, especially
among people from different backgrounds with different
experiences and perspectives.

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Definitions

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Virtual Teams
• Virtual teams use computer technology to unite
physically dispersed members and achieve a common
goal. They collaborate online—using communication links
such as wide-area networks, videoconferencing, or e-mail
—whether they’re a room away or continents apart.
• Virtual teams are so pervasive(entensive), and technology
has advanced so far, that it’s probably a bit of a misnomer
to call them “virtual.”
• Nearly all teams today do at least some of their work
remotely.
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Special challenges of Virtual
• They may suffer because there is less social rapport and
direct interaction among members.
• Evidence from 94 studies entailing more than 5,000
groups found that virtual teams are better at sharing
unique information (information held by individual
members but not the entire group), but they tend to
share less information overall.
• As a result, low levels of virtuality in teams results in
higher levels of information sharing, but high levels of
virtuality hinder it.

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For virtual teams to be effective,
management should ensure that ,
• Trust is established among members (one
inflammatory remark in an e-mail can severely
undermine team trust),
• Team progress is monitored closely (so the team
doesn’t lose sight of its goals and no team member
“disappears”), and
• The efforts and products of the team are publicized
throughout the organization (so the team does not
become invisible)
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Creating Effective Teams

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Context: What Factors Determine Whether
Teams Are Successful
• The four contextual factors most significantly
related to team performance are
• adequate resources,
• effective leadership,
• a climate of trust, and
• a performance evaluation and reward system that
reflects team contributions.

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Adequate Resources
• Every work team relies on resources outside the
group to sustain it.
• A scarcity of resources directly reduces the ability of a
team to perform its job effectively and achieve its
goals.
• Support from organization like timely information,
proper equipment, adequate staffing,
encouragement, and administrative assistance.

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Leadership and Structure
• Teams can’t function if they can’t agree on who is to do what and ensure all
members share the workload.
• Agreeing on the specifics of work and how they fit together to integrate individual
skills requires leadership and structure, either from management or from the
team members themselves.
• It’s true in self-managed teams that team members absorb many of the duties
typically assumed by managers.
• Leadership is especially important in multi team systems , in which different
teams coordinate their efforts to produce a desired outcome. Here, leaders need
to empower teams by delegating responsibility to them, and they play the role of
facilitator, making sure the teams work together rather than against one another.

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Climate of Trust
• Members of effective teams trust each other. They also exhibit
trust in their leaders.
• Interpersonal trust among team members facilitates cooperation,
reduces the need to monitor each others’ behavior, and bonds
members around the belief that others on the team won’t take
advantage of them.
• Team members are more likely to take risks and expose
vulnerabilities when they believe they can trust others on their tea.
“Trust is the foundation of leadership”
• It allows a team to accept and commit to its leader’s goals and
decisions.

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Performance Evaluation and Reward Systems
How do you get team members to be both individually and jointly accountable?

•Individual performance evaluations and incentives may interfere with the


development of high-performance teams.
•So, in addition to evaluating and rewarding employees for their individual
contributions, management should modify the traditional, individually
oriented evaluation and reward system to reflect team performance .
•hybrid systems that recognize individual members for their exceptional
contributions and reward the entire group for positive outcomes.
•Group based appraisals, profit sharing, gain sharing, small-group
incentives, and other system modifications can reinforce team effort and
commitment.

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Team Composition

• The team composition category includes variables


that relate to how teams should be staffed,
• the ability
• personality of team members,
• allocation of roles and diversity,
• size of the team, and
• members’ preference for teamwork.

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Abilities of Members
• Part of a team’s performance depends on the knowledge,
skills, and abilities of its individual members.
• A team’s performance is not merely the summation of its
individual members’ abilities.
• However, these abilities set limits on what members can
do and how effectively they will perform on a team.
• Finally, the ability of the team’s leader also matters.
Smart team leaders help less-intelligent team members
when they struggle with a task. But a less intelligent
leader can neutralize the effect of a high-ability team.

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Personality of Members
• Many of the dimensions identified in the Big Five
personality model are also relevant to team effectiveness .
• Teams that rate higher on mean levels of conscientiousness
and openness to experience tend to perform better, and the
minimum level of team member agreeableness also
matters:
• teams did worse when they had one or more highly
disagreeable members.
• Perhaps, one bad apple can spoil the whole bunch!

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BIG 5 MODEL

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Allocation of Roles
• Teams have different needs, and members should be selected to
ensure all the various roles are filled.
• Put your most able, experienced, and conscientious workers in
the most central roles in a team.
• Successful work teams have selected people to play all these
roles based on their skills and preferences.
• To increase the likelihood the team members will work well
together, managers need to understand the individual strengths
each person can bring to a team, select members with their
strengths in mind, and allocate work assignments that fit with
members’ preferred styles.

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Key Roles of a TEAM

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Diversity of Members
• How does team diversity affect team performance? The degree to
which members of a work unit (group, team, or department) share
a common demographic attribute, such as age, sex, race,
educational level, or length of service in the organization, is the
subject of organizational demography
• One qualifier is that gender and ethnic diversity have more negative
effects in occupations dominated by white or male employees, but
in more demographically balanced occupations, diversity is less of a
problem.
• Diversity in function, education, and expertise are positively related
to group performance, but these effects are quite small and depend
on the situation.

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Size of Teams
• Most experts agree, keeping teams small is a key
to improving group effectiveness(5-9)
• When teams have excess members, cohesiveness
and mutual accountability decline, social loafing
increases, and more people communicate less.
• Members of large teams have trouble coordinating
with one another, especially under time pressure.

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Member Preferences
• Not every employee is a team player. Given the
option, many employees will select themselves out
of team participation.
• When people who prefer to work alone are required to
team up, there is a direct threat to the team’s morale and
to individual member satisfaction.
• when selecting team members, managers should consider
individual preferences along with abilities, personalities,
and skills.
• High-performing teams are likely to be composed of
people who prefer working as part of a group.
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Team Processes

• Team effectiveness is process variables such as


member commitment to a common purpose,
establishment of specific team goals, team
efficacy, a managed level of conflict, and
minimized social loafing.
• These will be especially important in larger teams
and in teams that are highly interdependent.

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• Common Plan and Purpose
• Teams that consistently perform better have
established a clear sense of what needs to be
done and how.
• Members of successful teams put a tremendous
amount of time and effort into discussing, shaping,
and agreeing on a purpose that belongs to them
both collectively and individually.

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Team members of NASCAR race car
driver Danica Patrick’s pit crew shown
here work toward the common goal of
winning the race. Providing direction,
momentum, and commitment, the pit
crew’s plan is to function at top speed
with no errors in checking the car, fixing
parts, changing tires, and pumping gas.
Each member of the pit crew has a
specific job and a clear sense of what
needs to be done. And each member
continuously fine-tunes his job to shave
time off the pit stops, which are so
important because they may win or lose
a race

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Specific Goals
• Successful teams translate their common purpose
into specific, measurable, and realistic
performance goals.
• Specific goals facilitate clear communication.
• They also help teams maintain their focus on
getting results.

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• Team Efficacy
• Effective teams have confidence in themselves;
they believe they can succeed. We call this team
efficacy .
• Teams that have been successful raise their beliefs
about future success, which, in turn, motivates
them to work harder.

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• Mental Models
• Effective teams share accurate mental models —
organized mental representations of the key
elements within a team’s environment that team
members share.
• If team members have the wrong mental models,
which is particularly likely with teams under acute
stress, their performance suffers

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• Conflict Levels
• Conflict on a team isn’t necessarily bad. Conflict
has a complex relationship with team
performance.
• The way conflicts are resolved can also make the
difference between effective and ineffective
teams.

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• Social Loafing
• Individuals can engage in social loafing and coast
on the group’s effort because their particular
contributions can’t be identified.
• Effective teams undermine this tendency by
making members individually and jointly
accountable for the team’s purpose, goals, and
approach.

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MULTITEAM SYSTEMS
• MULTITEAM SYSTEMS (MTSs) are networks of
interrelated teams united by common purposes. In
other words MTSs are teams of collaborating teams
working together to achieve shared goals.
• MTSs—multi team systems—are not some new thing,
for rare is the organization that does not rely on the
coordinated actions of interdependent teams,
particularly in production and the delivery of services.

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The cardiac surgical team, for example, did not work alone in providing care
for patients at Mountain Medical.Dozens of teams staffed the hospital—nursing teams,
the recovery room teams, the emergency room crews, the patient management teams,
and so on. These teams pursued their own team’s goals, but also goals
that were common across all the hospital’s teams

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High Performance Work Team
• A "high-performance work team" refers to a group of
goal-focused individuals with specialized expertise and
complementary skills who collaborate, innovate and
produce consistently superior results.
• The group relentlessly pursues performance excellence
through shared goals, shared leadership, collaboration,
open communication, clear role expectations and
group operating rules, early conflict resolution, and a
strong sense of accountability and trust among its
members.
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HPWT
• "A team is a small number of people with
complementary skills who are committed in a
common purpose, performance goals, and
approach for which they hold themselves mutually
accountable.

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What distinguishes high-performance
teams from other groups
• A deep sense of purpose and commitment to the team's
members and to the mission.
• Relatively more ambitious performance goals than average
teams.
• Mutual accountability and a clear understanding of members'
responsibilities to the team and individual obligations.
• A diverse range of expertise that complements other team
members' abilities.
• Interdependence and trust between members.

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Characteristics of High-Performance Work
Teams
• Team purpose, goals and roles
• Talent, skills and work ethic
• Incentives, motivation and efficacy
• Leadership
• Conflict and communication
• Power and empowerment
• Norms and standards

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Common Barriers Faced by High-Performance
Work Teams
• Nonparticipating leadership
• Poor decision-making
• Infrequent communication.
• Diversity not valued. 
• Lack of mutual trust. 
• Inability to manage conflict
• Lack of goal clarity.
• Poorly defined roles and responsibilities. 
• Negative atmosphere. 
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HR's Role
• Selection of team members and support of team
cohesiveness
• Communication
• Collaboration
• Team member training
• Assisting new and departing team members
• Creation of Appropriate Compensation and
Rewards
• HR Business Planning
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6 Different Team Effectiveness
Models

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Rubin, Plovnick, and Fry's GRPI Model
of Team Effectiveness

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This model of team effectiveness was proposed by Rubin, Plovnick,
and Fry as early as 1977. It is also known by the acronym GRPI, which
stands for Goals, Roles, Processes, and Interpersonal relationships.
Represented as a pyramid diagram, this model outlines four parts
teams need to be effective:
• Goals: well-defined objectives and desired results, plus clearly
communicated priorities and expectations
• Roles: well-defined responsibilities and acceptance of a leader
• Processes: clear decision-making processes as well as work
procedures
• Interpersonal relationships: good communication, trust, and
flexibility
Because of its simplicity, the GRPI model is great when starting a team
or when encountering a team-related problem with an unknown
cause.
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The Katzenbach and Smith Model

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• After studying teams across several companies and their various
work challenges, authors Jon Katzenbach and Douglas Smith
unveiled this team effectiveness model in 1993. Their book, "
The Wisdom of Teams," lays out their model of efficient teams in a
triangular diagram with the three points representing the larger
deliverables of any team: collective work products, performance
results, and personal growth. 

• To reach these goals, productive teams must have three necessary


components. These make up the sides of the triangle:

• Commitment: Teams are committed when they have a meaningful purpose,


specific goals, and a common approach to their work
• Skills: Team members need skills in problem-solving, technical skills to
accomplish their craft, and interpersonal skills to enhance teamwork
• Accountability: Team members must have personal and mutual accountability

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The T7 Model of Team Effectiveness

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• In 1995, Michael Lombardo and Robert Eichinger
developed the T7 Model to define what factors affect
team effectiveness. They identified five internal and two
external factors, all starting with "T," hence the name, T7
model.
• The internal team factors are
• Thrust: a common objective or goal
• Trust: the knowledge that your team has your back
• Talent: skills to do the job
• Teaming skills: the ability to function as a team
• Task skills: the ability to execute tasks
• The external team factors are
• Team leader fit: whether the leader works well with the team
• Team support from the organization: how the organization enables the team to
work
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The LaFasto and Larson Model
• Authors Frank LaFasto and Carl Larson proposed a model in 2001
called Five Dynamics of Teamwork and Collaboration. They
gathered insights from investigating 600 teams across various
industries to answer the question, "what is an effective team?"

The resulting model features five layers or components that increase


the likelihood of team effectiveness:
• Team member: What are his or her skills and behaviors? Picking the right person is the
first step.
• Team relationships: The right behavior in a team builds healthy working relationships
between its members.
• Team problem solving: Good team relationships make it possible to work together to
solve problems.
• Team leadership: The right leadership enhances a team's success.
• Organization environment: The right processes and company culture in an organization
promote commitment from teams.
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The Hackman Model of Team Effectiveness

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• Richard Hackman proposed an effectiveness
model in his 2002 book, "
Leading Teams: Setting the Stage for Great Perfor
mances
." It outlines five conditions that must be present
for teams to work together successfully.

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• Hackman's study of analytic teams in the U.S. intelligence
community confirms the validity and effectiveness of these
five conditions:
• Being a real team as opposed to a nominal team: Effective
teams have a boundary that delineates who is a part of the
team, the members are interdependent, and membership is
typically stable.
• Having a compelling direction that everyone works toward:
This means setting goals that are clear, challenging, and of
sufficient consequence to motivate team members to strive
together.

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• Having an enabling structure that allows for teamwork:
The team's structure — its conduct and the way it
organizes and works on its tasks — has to enable
teamwork and not impede it. For example, if only one
person gets to approve the work of 20 people, then that
structure is hampering the team's effectiveness.
• Having a supportive context within the organization that
allows the team to work efficiently: This means the team
receives adequate resources, rewards, information, and
the cooperation and support needed to do their work.
• Having expert coaching and guidance available to the
team: Effective teams in business are those with access to
a mentor or a coach who can help them through issues.
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The Lencioni Model

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• Patrick Lencioni's 2005 book "
The Five Dysfunctions of a Team" lays out a work
team effectiveness model based on the causes of
dysfunctions, conflicts, and political maneuverings
in a workgroup.
• He mapped out five qualities effective teams do
not want. To know your team's dysfunction is to
understand how to cure it. The five dysfunctions
are:
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• An absence of trust: If team members are afraid to be vulnerable
or afraid to ask for help, then they won't turn to their teammates
for assistance.
• A fear of conflict: If everyone tried to preserve peace at all costs,
there wouldn't be any dynamic conflicts that result in productive
ideas.
• A lack of commitment: If people aren't committed to their work or
team, then they won't follow through on their decisions or
deadlines.
• Avoidance of accountability: This is another drawback of the fear
of conflict where no one wants to hold others accountable for their
work.
• Inattention to results: If personal goals become more important
than the success of the group, no one will monitor and optimize
team performance.
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Faculty of Management and Commerce © Ramaiah University of Applied Sciences
Choosing the right team effectiveness
model for your team
• The different team effectiveness models help you
identify specific gaps that hinder your team from
collaborating and producing successful results.
• Remember that the way a team works together
determines their success much more than the
strength of individual team members. 
• Therefore, leaders who focus on creating effective
teamwork models elevate the work of everyone
involved, and thus the success of their
organizations. 73
Faculty of Management and Commerce © Ramaiah University of Applied Sciences

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