In: Operations Management
A. What is the difference between formal and informal groups? Give an example of each.
B. There are at least 7 ways group cohesiveness can be increased. Pick three and describe them.
C. What is social loafing, and why does it occur (name at least two possible causes) ?
A. Difference between Formal and informal groups -
1) Formal groups are created intentionally and consciously by the manager in the organization but informal groups are created for encouraging sociopsychological environments at the workplace.
2) Formal groups are stable and may continue for a longer period until the group objective is not achieved but the informal group is not stable and does not have any specific goal to achieve.
3) Formal groups have a set of formal rules and regulations whereas in the informal group the group is governed by norms, beliefs, and values.
4) Formal groups have official leadership while the informal groups have their own leaders, own goals and their own standards.
5) The employees belonging to the finance department in an organization is an example of a formal group. But employees of different departments meeting after office hours for a get together is an example of an informal group.
B. The group cohesiveness can be increased in seven ways, they are
1) Downsizing of the group
2) Encouraging competition with other rival groups
3) Allocating rewards to the group, not to the members
4) Increasing interaction among group members.
5) Including agreement on group goals.
6) Keeping the members isolated from other groups
7) Increasing membership homogeneity.
Downsizing of the group - As the size of the group increases, there will be fewer opportunities for the interaction among the group members. This leads to a decrease in group cohesiveness. A smaller group leads to increases in the degree of interaction. Thus downsizing of the group increases group cohesiveness. The ideal size of the group is between five to seven members in the group where each and every member of the group can contribute effectively.
Encouraging competition with other rival groups - The group cohesiveness can be increased by encouraging competition with other rival groups. It brings a sense of interdependence among team members. It also results in increased commitment to the group and tighters the bonds among the team members. The members become more cooperative.
Allocating rewards to the group, not to the members - It encourages cooperation rather than competition. It helps to cultivate group- centered perspective. Thus allocating rewards to the group helps in increasing the group cohesiveness.
C. Social Loafing - It is a phenomenon when certain individuals in the group put less effort compared to when they are working alone. It reduces the productivity of the individual. For example, any number of people in the group have the potential to take up the responsibility, but they will assume that someone else in the group will take the initiative.
Causes of Social loafing -
1) Lack of Motivation - It leads to social loafing because a demotivated workforce is always unproductive. Lack of motivation occurs when the members of the workforce are not interested in the task assigned to them.
2) Large group size - If the group members are more than what it is required then it leads to the unproductivity in the group members.
3) Lowered sense of Efficacy - When the individuals feel that their efforts are not valued or ignored, then they try to escape from the responsibility by creating burdens on other members of the group.