Chapter 13
Managing Teams
What Would You Do?
Teams at GE Aircraft Engines



When does it make sense to use teams?
What kinds of teams should GE Aircraft
Engines use and why?
How should people who
work on
teams be paid?
2
When Selected Companies Began
Using Work Teams
Boeing
Caterpillar
Champion International
Cummings Engine
Digital Equipment
Ford
General Electric
LTV Steel
Procter & Gamble
1987
1986
1985
1973
1982
1982
1985
1985
1962
Adapted From Exhibit 13.1
3
Learning Objectives
Why Work Teams?
After discussing this section,
you should be able to:
1.
2.
explain the good and bad of using teams.
recognize and understand the different kinds of
teams.
4
The Advantages of Teams
Cross
Training
Customer
satisfaction
Product
and
service
quality
Speed and
efficiency in
product
development
Employee satisfaction
Better decision making and problem solving
(multiple perspectives, more alternative solutions,
increased commitment to decisions
5
The Disadvantages of Teams
Initially
High
Turnover
Social
Loafing
Self-Limiting
Behavior
Legal Risk
Disadvantages of group decision making
(groupthink, inefficient meetings, minority
domination, lack of accountability
6
Factors That Encourage SelfLimiting Behavior in Teams


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
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The presence of someone with expertise
The presentation of a compelling argument
Lacking confidence in one’s ability to
contribute
An unimportant or meaningless decision
A dysfunctional decision-making climate
Adapted From Exhibit 13.3
7
Minimizing the Legal Risks
Associated with Teams and the
National Labor Relations Act


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Suggestion boxes
Greater worker control
Don’t overrule
Don’t turn teams into representative bodies
Timing is important
Adapted From Exhibit 13.4
8
When to Use Teams
Use Teams When:
 There is a clear
purpose
 The job can’t be
done individually
 Team-base rewards
are possible
 Ample resources
exist
 Teams have
authority
Don’t Use Teams When:
 There is no clear
purpose
 The job can be done
individually
 Only individual-based
rewards exist
 Resources are scarce
 Management controls
Adapted From Exhibit 13.5
9
Kinds of Teams
Autonomy, the Key Dimension
Special Kinds of Teams
10
Autonomy, the Key Dimension
Traditional
Work
Groups
Semiautonomous
Work
Groups
Employee
Involvement
Teams
Selfmanaging
Teams
Selfdesigning
Teams
11
Been There, Done That
AAL and Self-Managed Teams


Implemented team concept while
organization was downsizing
Self-managed teams closer to customer



response time improved
satisfaction level of field people increased
Now lowest-cost provider in industry
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Special Kinds of Teams
Cross-Functional
Teams
Virtual
Teams
Project
Teams
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Managing Successful Virtual Teams
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Self-starters and strong communicators
Clear, specific goals
Frequent feedback
Upbeat and action-oriented interactions
Periodically bring team members together
Communications via more telephone calls, e-mails,
internet messaging and videoconference sessions
Ask team members for feedback
Adapted from Exhibit 13.7
14
Learning Objectives
Managing Work Teams
After discussing this section,
you should be able to:
3.
4.
understand the general characteristics of work
teams.
explain how to enhance work team effectiveness.
15
Work Team Characteristics
Team
Norms
Team
Cohesiveness
Team
Size
Team
Conflict
Stages of Team Development
16
Team Norms

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Informally agreed-on standards of team
behavior
Develop over time
Clarify expectations
Can lead to positive
and/or negative
outcomes
17
Team Cohesiveness


The extent to which members are attracted
to the team and motivated to remain in it
Cohesive teams:


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retain their members
promote cooperation
have consistent performance
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What Really Works?
Cohesion and Team Performance
Team Performance
10% 20% 30% 40% 50% 60% 70% 80% 90% 100%
Probability of success
66%
Team Performance with Interdependent Tasks
10% 20% 30% 40% 50% 60% 70% 80% 90% 100%
Probability of success
73%
19
What Really Works? (cont’d)
Cohesion and Team Performance
Team Performance with Independent Tasks
10% 20% 30% 40% 50% 60% 70% 80% 90% 100%
60%
Probability of success
20
Team Size
Curvilinear relationship
Performance

Size
21
Team Conflict

C-type Conflict
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
A-type Conflict

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
cognitive conflict
focuses on problems and issues
affective conflict
emotional, personal disagreements
Both types often occur simultaneously
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How Teams Can Have a Good Fight

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Work with more rather than
less information
Develop multiple
alternatives to enrich debate
Establish common goals
Inject humor into the workplace
Maintain a balance of power
Resolve issues without forcing consensus
Adapted from Exhibit 13.8
23
Team Performance
Stages of Team Development
Performing
Norming
De-Norming
De-Storming
Storming
De-Forming
Forming
Time
Adapted from Exhibit 13.9
24
Enhancing Work Team Effectiveness
Setting
Team Goals and
Priorities
Team
Training
Selecting
People for
Teamwork
Team
Compensation and
Recognition
25
Setting Team Goals and Priorities



Team goals enhance team performance
Goals clarify team priorities
Challenging team goals help team members
to regulate effort
26
Requirements for Stretch Goals to
Motivate Teams

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A high degree of autonomy
Empowered with control resources
Structural accommodation
Bureaucratic immunity
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Blast From The Past
Work Teams: Just Horsing Around

Hawthorne Studies

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importance of “informal” norms
Eric Trist and work teams
Skunkworks

a team insulated from bureaucracy
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Selecting People for Teamwork
IndividualismCollectivism
Team
Level
Team
Diversity
29
Team Training


Need for training often underestimated
Type of training needed to work well on team




interpersonal skills
decision-making & problem-solving
technical
leadership
30
Team Compensation and Recognition


The level of reward must match the level of
performance
Three methods:



skill-based pay
gainsharing
nonfinancial rewards
31
What Really Happened?
Teams at GE Aircraft Engines
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Newly hired employees received group training
All employees receive feedback concerning
teamwork and job performance
Used combination of self-designing and crossfunctional teams
Used skill-based pay program
Costs are down and
performance is up
32