GROUP PROCESSES IN

ORGANIZATIONS

Mark Clester A. Rufino, Lecturer

Lesson Objectives
•Discuss the interpersonal nature of
organizations.
•Define a group and illustrate their importance
in organizations.
•Identify and discuss the types of groups
commonly found in organizations.
•Describe the general stages of group
development.
•Discuss the major group performance factors.
•Discuss intergroup dynamics.
•Describe group decision making in
organizations.
Let us pause and ponder

“It is difficult to be
creative in isolation.”
Lyn Heward
Former President
Cirque du Soleil’s Creative Content Division
The Interpersonal Dynamics

Interpersonal relations in an organization

are as varied as the individual members
themselves.
Interpersonal relations can be personal
and positive. It can also be personal but
negative.

The nature of interactions depends, in

part, on the relative goals of the parties
involved.
Outcomes of Interpersonal Behavior

A variety of things can happen because

of interpersonal behaviors. Interpersonal
relations in organizations can be a
primary source of need satisfaction for
many people. However, when this same
person is confronted with poor-quality
working relationships, the effect can be
just as great in the opposite direction.
Outcomes of Interpersonal Behavior

Interpersonal relations also serve as a

solid basis for social support.

Good interpersonal relations throughout

an organization can also be a source of
synergy.
Outcomes of Interpersonal Behavior
The Nature of Groups

Groups can be defined in terms of

perceptions, motivation, organization,
interdependencies, and interactions.

It is defined as a group as two or more

persons who interact with one another
such that each person influences and is
influenced by each other person.
The Nature of Groups

Although groups often have goals, the

definition does not state that group
members must share a goal or
motivation.

The definition also suggests a limit on

group size. A collection of people so
large that its members cannot interact
with and influence one another does not
meet this definition.
The Nature of Groups

The behavior of individuals both affects

and is affected by the group.

From a managerial perspective, the work

group is the primary means by which
managers coordinate individuals’
behavior to achieve organizational goals.
The Types of Groups
Stages of Group Development

Groups are not static. They typically

develop through a four-stage process:
(1) mutual acceptance, (2)
communication and decision making, (3)
motivation and productivity, and (4)
control and organization. It is difficult to
pinpoint exactly when a group moves
from one stage to another, however,
because the activities in the phases tend
to overlap.
Stages of Group Development

In the mutual acceptance stage of group

development, the group forms, and
members get to know one another by
sharing information about themselves.

The group progresses to the

communication and decision-making
stage once group members have begun
to accept one another.
Stages of Group Development

In the next stage, motivation and

productivity, the emphasis shifts away
from personal concerns and viewpoints
to activities that will benefit the group.

In the final stage, control and

organization, the group works effectively
toward accomplishing its goals. Tasks
are assigned by mutual agreement and
according to ability.
Stages of Group Development
Group Performance Factors

The performance of any group is

affected by several factors other than its
reasons for forming and the stages of its
development. In a high-performing
group, a group synergy often develops in
which the group’s performance is more
than the sum of the individual
contributions of its members. The four
basic group performance factors are
composition, size, norms, and
cohesiveness.
Group Performance Factors
Group composition is most often described
in terms of the homogeneity or
heterogeneity of the members. A group is
homogeneous if the members are similar in
one or several ways that are critical to the
work of the group, such as in age, work
experience, education, technical specialty,
or cultural background. In heterogeneous
groups, the members differ in one or more
ways that are critical to the work of the
group.
Group Performance Factors
Group size can have an important effect on
performance. A large group has more
resources available and may be able to
complete a large number of relatively
independent tasks. Those with more
members tend to produce more ideas,
although the rate of increase in the number
of ideas diminishes rapidly as the group
grows. The greater complexity of
interactions and communication may make
it more difficult for a large group to achieve
agreement.
Group Performance Factors
Social loafing is the tendency of some
members of groups not to put forth as
much effort in a group situation as they
would prefer working alone. Social loafing
often results from the assumption by some
members that if they do not work hard,
other members will pick up the slack.
Group Performance Factors
A norm is a standard against which the
appropriateness of a behavior is judged.
Thus, norms determine the behavior
expected in a certain situation.

Group norms usually are established during

the second stage of group development
(communication and decision making) and
are carried forward into the maturity stage.
Group Performance Factors
Norms serve four purposes in organizations.

•They help the group survive.

•They simplify and make more predictable
the behaviors expected of group members.
•They help the group avoid embarrassing
situations.
•They express the central values of the
group and identify the group from others.
Group Performance Factors

Group cohesiveness is the extent to which a

group is committed to remaining together;
it results from forces acting on the
members to remain in the group. The forces
that create cohesiveness are attraction to
the group, resistance to leaving the group,
and motivation to remain a member of the
group. A group that is successful may
become more cohesive and hence possibly
even more successful.
Group Performance Factors
Intergroup Dynamics

Groups that actively interact with other

groups by asking questions, initiating joint
programs, and sharing their team’s
achievements are usually the most
productive.

Interactions are the key to understanding

intergroup dynamics. The orientation of the
groups toward their goals takes place under
a highly complex set of conditions that
determine the relationships among the
groups.
Intergroup Dynamics
Group Decision Making in
Organizations
People in organizations work in a variety of
groups—formal and informal, permanent
and temporary. Most of these groups make
decisions that affect the welfare of the
organization and the people in it. There are
several issues surrounding how groups
make decisions: group polarization,
groupthink, and group problem solving.
Group Decision Making in
Organizations
Group polarization occurs when the
average of the group members’ post-
discussion attitudes tends to be more
extreme than average pre-discussion
attitudes.

Groupthink is a mode of thinking that

people engage in when they are deeply
involved in a cohesive in-group, when the
members’ strivings for unanimity override
their motivation to realistically appraise
alternative courses of action.
Group Decision Making in
Organizations
A major issue in group decision making is
the degree to which employees should
participate in the process.

Participation in decision making is also

related to organizational structure. It
remains an important aspect of
organizations that continues to occupy
managers and organizational scholars.
Group Decision Making in
Organizations
A typical interacting group may have
difficulty with any of several steps in the
decision-making process.

To improve the generation of alternatives,

managers may employ any of three
techniques to stimulate the group’s
problem-solving capabilities: brainstorming,
nominal group technique, or Delphi
technique.
Group Decision Making in
Organizations
Brainstorming is most often used in the
idea-generation phase of decision making
and is intended to solve problems that are
new to the organization and have major
consequences.

In brainstorming, the group convenes

specifically to generate alternatives. The
members present ideas and clarify them
with brief explanations.
Group Decision Making in
Organizations
The nominal group technique is another
means of improving group decision making.
This technique may be used in other phases
of decision making, such as identification of
the problem and of appropriate criteria for
evaluating alternatives.

The issue is described to the group, and

everyone writes a list of ideas; no
discussion among the members is
permitted.
Group Decision Making in
Organizations
The Delphi technique was originally
developed by Rand Corporation as a
method for systematically gathering the
judgments of experts for use in developing
forecasts.

It is designed for groups that do not meet

face to face. The manager who wants the
input of a group is the central figure in the
process. After recruiting participants, the
manager develops a questionnaire for them
to complete.
 Thank You!!!

Mark Clester A. Rufino, Lecturer