Chapter 11Developing High

Performance Teams

McGraw-Hill/IrwinPrinciples of Management

© 2008 The McGraw-Hill Companies, Inc., All Rights Reserved.

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Learning Objectives

1. Define teams and discuss their benefits and limitations.

2. Discuss the success factors for self-directed teams.

3. Outline the model of team effectiveness.

4. Explain the influence on team effectiveness of a team’s task, composition, and size.

5. Describe the five stages of team development.

6. Identify three factors that shape team norms

7. List six factors that influence team cohesiveness.

8. Summarize the three levels of trust in teams.

9. Analyze the causes of and structural solutions to conflict in teams.

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Teams

• All teams exist to fill some purpose

• Team members are held together by their interdependence and need for collaboration to achieve common goals

• Team members influence each other, although some members are more influential than others regarding the team’s goals and activities

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Why Rely on Teams?

• Teams are generally more successful than individuals working alone at identifying problems, developing alternatives, and choosing from those alternatives.

• Team members can quickly share information and coordinate tasks.

• Teams typically provide superior customer service.

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Encouraging Teamwork

05

101520253035404550

StronglyAgree

Disagree

My companyencouragesteamwork

Source: Business Week, August 14, 2006

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Why Belong to Informal Groups

• They fulfill the innate drive to bond• We define ourselves by our group affiliation• We are motivated to become members of groups that are

similar to ourselves

• They accomplish personal goals that cannot be achieved working alone

• In stressful situations we are comforted by the mere presence of other people and are therefore motivated to be near them

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Why Join A Fraternity?

• Networking• Professional connection• Social connection• Advice and mentoring• Having fun• Parties and Formals• Other reasons

Source: Adapted from Business Week Online, May 24, 2006

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Trouble With Teams

• Process losses – resources expended toward team development and maintenance rather than tasks

• Social loafing - occurs when people exert less effort when working in groups then when working alone.

- Likely to occur in large groups where individual output is difficult to identify

• Social loafing is less likely to occur when:- Make member’s contributions more noticeable- Make the task more interesting- Members value group membership and believe in working

toward group objectives

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Types of Teams

Departmental teams

Production/ service/ leadership

teams

Self-directed teams

Advisory teams

Task force (project) teams

Skunkworks

Virtual teams

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Self-directed Teams

The difference between self-directed teams and traditional production/service teams are that self-directed teams:

- Complete an entire piece of work, whether it’s a product or service, or part of a larger product or service

- Assign tasks that individual team members perform - Control most work inputs, flow, and outputs- Are responsible for correcting workflow problems as they

occur- Receive team level feedback and rewards

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Virtual Teams

Difference between traditional & virtual teams:

1. They are not usually colocated (they do not work in the same physical area)

2. Due to their lack of colocation, members of virtual teams depend primarily on information technologies rather than face-to-face interaction

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Team Effectiveness in U.S. Manufacturing Firms

15%

20%

14%

51%

Not effective

No "team program" exists

Highly effective

Somewhat effective

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Team Effectiveness Model

Team design

Team processes

Task characteristics Team size

Team composition Team roles

Task development Team norms

Team cohesiveness Team trust Team conflict

Organizational and team

environment

Team effectiveness

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Team Design Features & Team Processes

Task characteristics

Team size

Team composition

Team roles

Team processes

Team norms

Team cohesiveness

Team trust

Team design features

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Performing *Task oriented, committed.

*Efficient coordination. *High cooperation and trust. *Conflicts resolved quickly.

Norming *Roles established. *Team objectives agreed. *Common mental models formed.

*Cohesion developed.

Stages of Team Development

Storming *Conflict with proactive behavior. *Compete

for team roles. *Influence goals and means. *Establish norms

and standards.Forming

*Roles established. *Team objectives agreed. *Common mental

models formed. *Cohesion developed. Adjourning

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Question

Think of a team that you have been part of for a class project. Identify the five steps of its development and explore whether the team was effective. Why or why not?

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Team Norms

Three factors that influence the norm formation:

- Subtle events during team’s formation can initiate norms

- Norms form as team members discover behaviors that help them function more effectively

- Past experiences and values that members bring with them

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Team Cohesiveness

• Member Similarity

• Team Size

• Member Interaction

• Somewhat Difficult Entry

• Team Success

• External Competition and Challenges

• Consequences of Team Cohesiveness

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Do You Need Corporate Retreat for Building

Cohesiveness?

• Get clear on what you want to accomplish• Tackle the tough stuff• Invite a crowd• Get outside help

Source: Business Week Online, January 18, 2006

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Question

Highly cohesive teams are always effective, productive, and good for the organization. Do you agree? Why or why not?

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Three Foundations of Trust in Teams

Type of Trust Description

High Identification-based trust

*Based on common mental models and values. *Increases with person’s social identity with team.

Potential level of

trust

Knowledge-based trust

*Based on predictability and competence. *Fairly robust.

Low

Calculus- based trust

*Based on deterrence. *Fragile and limited potential because dependent on punishment.

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Managing Team Conflict

• Conflict – a process in which one party perceives that its interests are being opposed or negatively affected by another party

• Since conflict is a perception, which means that it begins long before observable disagreements

- Managers need to look for subtle signs of conflict perceptions to prevent dysfunctional behaviors that may follow

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Employees’ New Year’s Resolution for Their Managers

• Deal with workplace conflict faster – 18%• Be less of a micromanager – 14% • Recognize work well done – 12%

Source: Business Week, January 8, 2007

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Task vs. Relationship Conflict

• Task-related conflict – (aka Constructive conflict) occurs when team members perceive that the conflict is in the task or problem rather than in each other

• Relationship conflict – occurs when team members view differences as personal attacks that threatens their self-esteem and resources

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Minimizing Relationship Conflict

• Emotional intelligence – conflict is less likely to occur when this is high

• Cohesive team – conflict is suppressed when the team is highly cohesive

• Supportive team norms – this can hold relationship conflict at bay during constructive debates

• Problem-solving conflict management style – team members that take this approach are less likely to trigger strong emotions

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Interpersonal Conflict Management Styles

High Forcing Problem solving

Assertiveness (motivation to satisfy one’s own interests)

Compromising

Low Avoiding YieldingLow Cooperativeness

(motivation to satisfy other party’s interests)

High

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Interpersonal Conflict Management Styles (cont)

• Problem solving – tries to find a mutually beneficial solution for both parties

• Avoiding – Tries to smooth over or avoid conflict situations altogether

• Forcing – tries to win the conflict situation altogether

• Yielding – involves giving in completely to the other side’s wishes, or at least cooperating with little or no attention to your own interests

• Compromising – involves actively searching for a middle ground between the interests of the two parties

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Conflict at Siemens

• Klaus Kleinfeld brought American-style management to Germany’s Siemens:

- Sold money losing mobile phone unit to Taiwan’s BenQ for $1.4 billion [Public pressure required Siemens to pay $46 million to retrain workers after BenQ closed the business]

- Put troubled communications-equipment unit into joint venture with Finland’s Nokia [Workers felt betrayed and now the transaction is on hold due to a scandal]

- Invited workers to comment on his blog to get closer to employees [Received dozens of scathing posts accusing him of destroying the company’s culture]

Source: Business Week, January 29, 2007

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Question

Which interpersonal conflict management style is preferred because it minimizes the risk of relationship conflict?a. Problem solving

b. Yielding

c. Compromisingd. Avoiding

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Structural Solutions to Team Conflict

• Emphasize Superordinate goals – common objectives held by conflicting parties that are more important than the departmental or individual goals on which the conflict is based

• Find ways for employees to understand each other’s differences

• Look into ways to reduce the intensity of interdependence