Chapter 10 Managing Teams Management 4th Edition Chuck Williams Chapter 10 Copyright ©2007 by South-Western, a division of Thomson Learning. All rights reserved Prepared by Deborah Baker Texas Christian University 1 What Would You Do? Standard Motor Products, Edwardsville, Kansas. Standard Motor Products makes aftermarket auto parts The auto parts market is growing, but it is very competitive— and Standard Motor Products is struggling. Downtime is up, productivity is down, and costs are up. The culture is top-down and authoritarian and the workers dislike each other Would the use of teams resolve the problems? If so, how should teams be paid and managed? Chapter 10 Copyright ©2007 by South-Western, a division of Thomson Learning. All rights reserved 2 Why Work Teams? After reading these sections, you should be able to: 1. 2. explain the good and bad of using teams. recognize and understand the different kinds of teams. Chapter 10 Copyright ©2007 by South-Western, a division of Thomson Learning. All rights reserved 3 The Good and Bad of Using Teams Advantages of Teams Disadvantages of Teams When to Use And Not Use Teams 1 Chapter 10 Copyright ©2007 by South-Western, a division of Thomson Learning. All rights reserved 4 The Advantages of Teams Customer Satisfaction Product and Service Quality Speed and Efficiency in Product Development Employee Job Satisfaction Decision Making Multiple perspectives 1.1 More alternate solutions Commitment to decisions Chapter 10 Copyright ©2007 by South-Western, a division of Thomson Learning. All rights reserved 5 The Disadvantages of Teams Initially High Employee Turnover Social Loafing Disadvantages of Group Decision Making Groupthink Minority domination Inefficient meetings Lack of accountability 1.2 Chapter 10 Copyright ©2007 by South-Western, a division of Thomson Learning. All rights reserved 6 Doing the Right Thing Don’t be a Team Slacker—Do Your Share Slacking on teams is wrong Slacking hurts a team’s performance In the real world, team slacking contributes to lost sales, poorer decisions, lower-quality products, and lower productivity 1.2 Chapter 10 Copyright ©2007 by South-Western, a division of Thomson Learning. All rights reserved 7 The Disadvantages of Teams Factors that Encourage People to Withhold Effort in Teams 1. The presence of someone with expertise 2. The presentation of a compelling argument 3. Lacking confidence in one’s ability to contribute 4. An unimportant or meaningless decision 5. A dysfunctional decision-making climate 1.2 Chapter 10 Copyright ©2007 by South-Western, a division of Thomson Learning. All rights reserved Adapted From Exhibit 10.2 8 When to Use Teams USE TEAMS WHEN… DON’T USE TEAMS WHEN… There is a clear purpose There is no clear purpose The job can’t be done unless people work together The job can be done independently Team-based rewards are possible Only individual-based rewards exist Ample resources exist Resources are scarce Teams have authority Management controls 1.3 Chapter 10 Copyright ©2007 by South-Western, a division of Thomson Learning. All rights reserved Adapted From Exhibit 10.3 9 Kinds of Teams How Teams Differ in Autonomy Special Kinds Of Teams 2 Chapter 10 Copyright ©2007 by South-Western, a division of Thomson Learning. All rights reserved 10 Autonomy, the Key Dimension Employee Involvement Teams Traditional Work Groups Semiautonomous Work Groups Selfmanaging Teams Selfdesigning Teams Autonomy 2.1 Chapter 10 Copyright ©2007 by South-Western, a division of Thomson Learning. All rights reserved Adapted From Exhibit 10.4 11 Special Kinds of Teams Cross-Functional Teams Virtual Teams Project Teams 2.2 Chapter 10 Copyright ©2007 by South-Western, a division of Thomson Learning. All rights reserved 12 Cross-Functional Teams Employees from different functional areas Attack problems from multiple perspectives Generate more ideas and alternative solutions Often used in conjunction with matrix and product organizational structures 2.2 Chapter 10 Copyright ©2007 by South-Western, a division of Thomson Learning. All rights reserved 13 Virtual Teams Tips for Managing Successful Virtual Teams 2.2 Select self-starters and strong communicators Empower virtual teams Keep the team focused on clear, specific goals Provide frequent feedback Keep team upbeat and action-oriented Periodically bring team members together Improve communications Ask team members for feedback on how well team is working Chapter 10 Copyright ©2007 by South-Western, a division of Thomson Learning. All rights reserved Adapted From Exhibit 10.5 14 Project Teams Created to complete specific, one-time projects within a limited time Often used to develop new products, improve existing products, roll out new information systems, or build new factories/offices Can reduce or eliminate communication barriers, and speed up the design process Promote flexibility 2.2 Chapter 10 Copyright ©2007 by South-Western, a division of Thomson Learning. All rights reserved 15 Managing Work Teams After reading these sections, you should be able to: 3. understand the general characteristics of work teams. 4. explain how to enhance work team effectiveness. Chapter 10 Copyright ©2007 by South-Western, a division of Thomson Learning. All rights reserved 16 Work Team Characteristics Team Norms Team Size Team Cohesiveness Team Conflict Team Development 3 Chapter 10 Copyright ©2007 by South-Western, a division of Thomson Learning. All rights reserved 17 Team Norms Informally agreed-on standards that regulate team behavior Powerful influence on work behavior Regulate the everyday behaviors of teams 3.1 Chapter 10 Copyright ©2007 by South-Western, a division of Thomson Learning. All rights reserved 18 Team Cohesiveness The extent to which members are attracted to the team and motivated to remain in it Cohesive teams: retain their members promote cooperation have high levels of performance 3.2 Chapter 10 Copyright ©2007 by South-Western, a division of Thomson Learning. All rights reserved 19 Promoting Team Cohesiveness 1. Make sure all team members are present at team meetings 2. Create additional opportunities for teammates to work together 3. 4. Engage in nonwork activities as a team Make employees feel that they are part of a “special” organization 3.2 Chapter 10 Copyright ©2007 by South-Western, a division of Thomson Learning. All rights reserved 20 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% Team Performance with Independent Tasks 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% 3.2 probability of success 60% Chapter 10 Copyright ©2007 by South-Western, a division of Thomson Learning. All rights reserved 21 Performance Team Size Size 3.3 Chapter 10 Copyright ©2007 by South-Western, a division of Thomson Learning. All rights reserved 22 Team Conflict C-type Conflict cognitive conflict focuses on problems and issues associated with improvements in team performance A-type Conflict affective conflict emotional, personal disagreements associated with decreases in team performance 3.4 Both types often occur simultaneously Chapter 10 Copyright ©2007 by South-Western, a division of Thomson Learning. All rights reserved 23 How Teams Can Have a Good Fight 1. 2. 3. 4. 5. 6. 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 a consensus 3.4 Chapter 10 Copyright ©2007 by South-Western, a division of Thomson Learning. All rights reserved Adapted from Exhibit 10.6 24 Team Performance Stages of Team Development 3.5 Performing Norming De-Norming De-Storming Storming De-Forming Forming Time Chapter 10 Copyright ©2007 by South-Western, a division of Thomson Learning. All rights reserved Adapted from Exhibit 110.7 25 Enhancing Work Team Effectiveness Setting Team Goals and Priorities Team Training Selecting Team Members Team Compensation 4 Chapter 10 Copyright ©2007 by South-Western, a division of Thomson Learning. All rights reserved 26 Setting Team Goals and Priorities Team goals enhance team performance Goals clarify team priorities Challenging team goals help team members to regulate effort 4.1 Chapter 10 Copyright ©2007 by South-Western, a division of Thomson Learning. All rights reserved 27 Requirements for Stretch Goals to Motivate Team Performance Teams have a high degree of autonomy Teams are empowered with control resources Teams need for structural accommodation Teams need bureaucratic immunity 4.1 Chapter 10 Copyright ©2007 by South-Western, a division of Thomson Learning. All rights reserved 28 Selecting People for Teamwork IndividualismCollectivism Team Level Team Diversity 4.2 Chapter 10 Copyright ©2007 by South-Western, a division of Thomson Learning. All rights reserved 29 Team Training Interpersonal Skills Decision Making and Problem Solving Conflict Technical Training Training for Team Leaders 4.3 Chapter 10 Copyright ©2007 by South-Western, a division of Thomson Learning. All rights reserved 30 Problems Reported by Team Leaders 1. Confusion about new roles 2. Feeling they’ve lost control 3. Not knowing what it means to coach or empower 4. Having doubts about whether team concept will work 5. Uncertainty about dealing with employees’ doubts 6. Confusion about when team is ready for more responsibility 7. Confusion about how to share responsibility and accountability 8. Concern about promotional opportunities 9. Uncertainty about the strategic aspects of leader’s role as team matures 4.3 10. Not knowing where to turn for help with team problems Chapter 10 Adapted Copyright ©2007 by South-Western, a division of Thomson Learning. All rights reserved from Exhibit 10.9 31 Team Compensation and Recognition The level of reward must match the level of performance Three methods of compensating team participants: skill-based pay gainsharing nonfinancial rewards 4.4 Chapter 10 Copyright ©2007 by South-Western, a division of Thomson Learning. All rights reserved 32 Team Compensation and Recognition 4.4 Chapter 10 Copyright ©2007 by South-Western, a division of Thomson Learning. All rights reserved Exhibit 10.10 33