formal and informal groups_ob

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Group – More than two individuals

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Formal and Informal Groups_OB

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Page 1: Formal and Informal Groups_OB

Group – More than two individuals

Page 2: Formal and Informal Groups_OB

Definition of Group•A collection of individuals, the members

accept a common task, become interdependent in their performance, and interact with one another to promote its accomplishment.

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Group

Formal Group

Command Group

Task Group

Informal Group

Friendship Group

Interest Group

Social Group

Formal and Informal Groups

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Why People Join Groups

• Social needs - groups provide a vehicle for interacting with other

• Security needs - group can act as an effective buffer between the employee and the demands/stresses of the organization.

• Esteem needs - often fulfilled by the prestige of the group that group that group membership conveys on the member.

• Proximity and Attraction - two facets of interpersonal relationships. Proximity involves the physical walking distance between people performing a job

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• Attraction - prompts group formation because of perceptual, attitudinal, performance, or motivational similarities.

• group goals - individuals join groups because they are attracted to the group's goals, although group goals are not always identifiable.

• economic reasons - individuals join groups because they believe membership will result in economic betterment (e.g- labor union with a record of securing members higher wages)

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Basic Comparison of Formal and Informal Groups

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Formal Groups

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• These groups are formed by the organization to carry out specific tasks.

• Command group• Task groups

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•Command Group: Groups that are determined by the organization chart and composed of individuals who report directly to a given manager.

•Represented in the organization chart.• Permanent in nature.• Members report to common supervisors.• Functional reporting relationship exists.

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• Task Group: Groups composed of individuals brought together to complete a specific job task; their existence is often temporary because once the task is completed, the group disbands.

• Formed to carry out specific tasks.• Temporary in nature.

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Informal Groups

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Natural groupings of employees that to fulfill social needs , evolving naturally.

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How It Emerges•Informal groups are encouraged but

controlled in most organizations so as to promote employee job satisfaction in the organization’s environment.

•Most of these groups are usually monitored by the organizations so the discussions or actions don’t get out of hand.

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Informal Group bifurcates into: Social group - happens merely by socializing of more

than two person for any casual conversation

Interest group - established to meet a mutual objective (a group formed to lobby management for more fringe benefits)

Friendship group - formed because members have something in common.

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Leaders in Informal Groups There may be several leaders within groups for one reason or

another, but the fact remains that a leader would always be an important factor within the group for the influence or experience they give.

A leader is mostly, but not necessarily, an important or high ranking employee in the organization.

An informal leader could also benefit from some organizational benefits because of his status within his colleagues.

Leaders are usually spotted in organizations as the people a ratio of the employees go to for advice, like hanging out with or even sit beside him in the cafeteria.

Even within managers in the company, a leader emerges as the on most of the other managers look up to for decisions or advice.

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Benefits/ProblemsBenefits Problems

Makes a more effective total system Develops undesirable rumors Lightens workload on management Encourage negative attitude Helps get the work done Resist change Tends to encourage cooperation Leads to interpersonal and intergroup

conflicts Fill in gaps in a managers abilities Rejects and harasses some employees Gives satisfactions and stability to work groups

Weakens motivation and satisfaction

Improves communication Operates outside of management control

Provides a safety valve for employee emotions

Support conformity

Encourages managers to plan and act more carefully

Develops role conflicts

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Conclusion The informal group are a very important aspect

of everyday life in any working environment with multiple employees. The higher the number of employees, the more informal groups an organization is likely to have.

Every employee in an organization belongs to at least one informal group.

Informal group do not necessarily have to do with the daily work performed in the organization

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Thank You