UNIT 3.

GROUP BEHAVIOR

Introduction
Groups play an important role in the success of organizations. Individuals are organized
into groups to carry out certain organizational functions. Individuals also establish groups
within the organization for a common purpose. The interaction among people within groups
as well as interaction among groups can also influence human behavior at work. In this unit,
we will explore the concepts that influence the dynamics within and among groups as they
contribute to group performance.

Unit Learning Outcome:

By the end of this unit, you should be able to:

1. Identify and describe the concepts that influence group behavior; and
2. Demonstrate how these concepts can help resolve problems in group
performance in the organization.

Organizations are not only composed of individuals; they are also composed of groups
of individuals. Interaction within and between groups can also provide a rich source of
information about human behaviors in organizations. Let us now try to discover the forces
and factors that influence behaviors within and among groups as they influence the
performance of people and the organization.

1.1. Concept of Groups

A group is a collection of
individuals organized for a particular
purpose or purposes. Individuals
interact with each other within groups
as they strive to realize the purpose of
their group’s existence. These small
group interactions among these
individuals belongs to a social process
called group dynamics.

3.1.1 Why Groups Are Formed

People form groups and maintain relationships for varied reasons. The four
major reasons that drive people to form groups are the following:
1. Social nature. Men are social animals that it is inherently part of their nature
to look for associations.
2. Need Satisfaction. Acceptance and belongingness, love and affection are social
needs that can only be satisfied through one’s interaction with other people.
Groups are excellent sources of need satisfaction.
3. Interpersonal Attraction. People are drawn to one another because of common
attitudes and beliefs. This is called interpersonal attraction. Sharing the same
views with a group provides a person with social support that strengthens his
views.
4. Goal pursuit. People in the organization have both individual and group goals to
pursue. These goals can only be achieved if they unite and cooperate with one
another.
Knowing the reasons why groups are created can also give your ideas why
people behave in groups as well as how they behave outside their groups. You may
even find reasons why groups behave when they interact with other groups.

3.1.2 Types of Groups

In an organization there two types of groups: the formal
group and the informal group.
1. The informal group is the “network of
personal and social relationships not established or
required by the organization but arising
spontaneously as people associate with one another”
(Newstrom and Davis, 1997). This type is defined by
personal and social relationships.
2. The formal group is the required or
established network of relationships usually
illustrated in the organizational chart. This type is
defined by professional relationships.

3.1.3. Factors influencing Group Performance

Group performance is influenced by four basic factors:

1. Composition
The group’s composition is described based on its homogeneity and
heterogeneity. A homogeneous group is composed of members who are
similar in certain ways that are important to the job-like technical expertise,
education or work experience while a heterogeneous group is composed of
members who are different in one or more ways that are important to the job.

2. Size
Group size is usually based on the nature of the task at hand. But
whether it is big or small, it is expected to accomplish the task. Size defines
the kind of interpersonal interaction that takes place within the group.
According to Moorhead and Griffin (1989), in small groups have frequent
interactions, free flow of information and agreements are easier to reach. In
large groups, communication is formalized, participation is inhibited by some
members (and so may cause absenteeism) and tend to break into sub-groups.

3. Norms
Davis defined norm as “a standard against which the appropriateness
of a behavior is judged.” It is the expected behavior from group members.
 Norms result from the combination of members’ personality characteristics,
the situation, the task and the historical traditions of the group.
Norms have four purposes: (a) they help the group survive because
deviant behaviors that do not contribute to the task are rejected by the group;
(b) they provide clearer behavior standards for the group members; (c) they
cause members to be more sensitive to each other’s feelings; and (d) they
provide the group with a sense of identity.

4. Cohesiveness
Group cohesiveness refers to the forces within the group that make
the members stick together. It is like “interpersonal glue” that contributes to
group performance.

1.2. Intergroup Behavior

An organization is composed of groups whose interaction is defined by task

interdependence which is the degree to which the activities of groups require them to
depend on one another. This is of three types:

1. Pooled
interdependence –
exists when the
combined outputs of
two independent
groups contribute to
the total output and
profitability of the
organization.
 2. Sequential
interdependence –
exists when the outputs
of a group is dependent
on another hence, if the
outputs of the first
group are interrupted,
the second group is
directly affected.

3. Reciprocal
interdependence –
exists when the outputs
of one group serves as
inputs for another
group whose outputs
also serve as inputs for
the first group.

The interactions controlled or influenced by these interdependences can also

tell you why people and groups behave in a particular manner during work.

3.3. Roles and Group Interaction

Within a group – whether formal or informal, people play roles which are assigned to
them or which they assign to themselves. These roles are part of their interactions and are
significantly influenced by norms. Role is the “typical and expected behaviors that
characterize an individual’s position in some social context.” (Hollenbeck, 1991). The person
who has the role is called the role occupant.
Every employee plays a role in the organization. Edger Schein described it along three
dimensions:

1. Functional Dimension. Refers to the various tasks the formal system assigns to an
individual employee.
2. Hierarchical Dimension. Based on official lines of authority from the highest to the
lowest level.
3. Inclusionary Dimension. The degree to which a person finds himself at the center or
periphery of the circle or group determined by the informal system within. The
employee may move from being an outsider (periphery) to be a newcomer, a trusted
member and finally, the informal leader (center). The figure below illustrates such
movement.

3.4. Communication in the Organization

Communication is an indispensable process that involves every individual and groups

as well as levels organization. The information shared through this process is important for
the realization of the individual, group, and organization’s goals and objectives.
Communication is the process where people share information with the purpose of
establishing mutual understanding.
Communication plays an important role in giving individuals and groups information
on what, when, where, how and even why things must be done. The success and failure of
communication will not only affect performance at work but will also affect relationships
within the organization.
ENCODING TRANSMISSION DECODING

SOURCE NOISE RECEIVER

DECODING MEDIUM ENCODING

FEEDBACK LOOP
(Verification)

Figure 3C: The Basic Communication Process

(Source: Moorhead, Gregory and Ricky W. Griffin, 2 nd Ed. Houghton Mifflin Company, 1989)

3.4.1 Functions of Communication in the Organization

Communication is vital if an organization is to survive. Management cannot be without

it. It serves information, motivational, control and emotive functions.
1. Information Function. Communication is required to disseminate information
concerning policies, rules and procedures. It also provides managers certain
information that will help them solve problems and make reasonable decisions.
2. Motivational Function. Communication strengthens commitment to
organizational goals and objectives, so it enhances motivation.
3. Control Function. Communication permits control because it clarifies duties,
authority and responsibility. Problem-solving and decision-making cannot be
effective when such matters are not clear.
4. Emotive Function. Communication also allows individuals to express their
feelings and emotions.

3.4.2 Flows of Communication

Communication flows to different directions. It can be:

1. downward – from a higher level to a lower level (e.g. from the chief executive
officer to the marketing department head)
2. upward – from a lower level to a higher level (e.g. from the marketing department
head to the chief executive officer)
3. cross-wise – either be:
a. horizontal – between similar levels (e.g. from the marketing department head to
the finance department head)
b. diagonal – among people at different levels but who do not have direct
supervisory or operating relationships (e.g. from an accounting clerk to the
human resource department head)

3.4.3. Basic Methods of Communication

Organizations primarily use written, oral and non-verbal methods in
communicating information. The choice of method depends on the audience, content
or nature of the message and the costs of transmission.
1. Written Communication. Message is encoded on paper. Examples of these
are letters, memoranda, manuals and forms.
2. Oral Communication. Message is encoded verbally, in sentences and words
which takes place everywhere in the organization. Examples of these are
informal conversation, group discussions, task-related exchange like
presentations and formal speech.
3. Non-Verbal Communication. Message is neither written nor expressed
orally.
 3.4.4. The Grapevine
One important discussion in organizational
communication is the grapevine. It is a natural
phenomenon arising from social interactions that is
a manifestation of people’s inherent tendency to
communicate.
Grapevine is the informal communication
system. It is through which employees trade
gossips and rumors that are usually started by one
employee and spread to fifty employees.
Grapevine information is commonly sent orally but
it can also be written. The grapevine – as it is, is
associated with the following characteristics:
information can be accurate or inaccurate; it can be
incomplete; it is fast and influential.

3.5. Leadership in the Organization

Leadership is an important aspect in

managing an organization. Without it, the
organization will merely be a big collection
of people and resources machines lacking
direction. Newstrom and Davis defines
leadership as the process of influencing and
supporting others toward enthusiastically
achieving objectives.
Leadership and Management are two different concepts, but both complement each
other. It is said that leadership is the force that allows management to get things done. It
allows the creation of the direction to be followed and provides the motivation to make plans
a reality.
3.5.1 Approaches to Leadership

TRAIT APPROACH

According to this approach, leaders

possess a collection of personal traits and
characteristics that allows them to
influence people towards the realization
of group goals and aspirations. Successful
leaders possess essential traits like
intelligence, physical traits (height,
physique, and appearance), personality,
social status and experience and task or
work orientation.

BEHAVIOR APPROACH

Successful leaders’ manifest significant

behaviors that contribute to their
effectiveness.

Let us review some of the popular leadership

theories:
Kurt Lewin’s Styles of Leadership. This is the earliest research on leadership that
identified three styles: autocratic, democratic and laissez-faire.
Autocratic style. An autocratic leader is directive and controlling. He uses
rules and regulations to supervise work and oversee relationships – so much that his
followers have little influence over their jobs and their work environment.
Democratic style. A democratic leader is collaborative and responsive. He is
not emphatic about rules and regulations unlike the autocratic type. Followers have a
high degree of influence over their jobs and their work environment though the leader
remains the ultimate authority.
 Laissez-Faire style. A “laissez-faire” leader leads through “non-leadership”.
Followers have complete control and influence over their jobs and their work
environment. This is also called free-rein style.

The Michigan Studies. Such leadership studies were conducted to determine

patterns of leadership behavior that leads to effective work performance. They
revealed that a leader could either be job-centered or employee-centered. A job-
centered leader is mainly concerned with the completion of the task so that he pays
attention to things that are task-related like procedures and deadlines. In contrast, an
employee-centered leader is mainly interested in the workers’ well-being by
developing group cohesiveness and harmony and being sensitive to their needs.

The Ohio State Studies. This identified two major factors in leadership
behavior: the initiating structure and consideration. Initiating structure is the
leader’s concern for defining leader-subordinate roles through organizational
structure and job definitions. The leader determines methods of production, channels
of communication and assessment of group output. Consideration is the leader’s
concern for establishing leader-subordinate relationship that is characterized by
mutual trust, respect, friendship and support. The leader prefers a two-way informal
communication.

A leader can exhibit high or low levels of each concern. He can have high
initiating structure but low consideration; low initiating structure but high
consideration. Or he can have both high and both low initiating structure and
consideration.

Douglas McGregor’s Theory X and Theory Y. This is based on the leader’s

assumptions about human nature which manifest in his behavior toward
subordinates. These two sets of assumptions are called Theory X and Theory Y.
Theory X Assumptions
 1. People do not like work and try to
avoid it.
2. People do not like work so
managers have to control, direct,
coerce and threaten employees to
get them to work toward
organizational goals.
3. People prefer to be directed, to avoid responsibility, to want security; they
have little ambition.
Theory Y Assumptions
1. People do not naturally dislike work; work is a natural part of their lives.
2. People are internally motivated to reach objectives to which they are
committed.
3. People are committed to goals to the degree that they receive personal
rewards when they reach their objectives.
4. People will both seek and accept responsibility under favorable
conditions.
5. People have the capacity to be innovative in solving organizational problem.
6. People are bright, but under most organizational conditions their potentials
are underutilized.

Rensis Likert’s Four Systems of Management. This theory contends that

the leadership style in an organization can be depicted in continuum from System 1
through System 4 which are described as follows:
SYSTEM 1: Exploitative-Authoritative
Leaders are highly autocratic who do not trust subordinates. They motivate
people through fear and punishment with occasional rewards. Downward
communication is preferred, and decision-making is limited to the top.
SYSTEM 2: Benevolent-Authoritative
Leaders have patronizing trust in subordinates. Upward communication is
permitted though decision-making is still limited to the top.
SYSTEM 3: Consultative Management
Leaders have substantial but not complete trust in subordinates who are
motivated through rewards and occasional punishment. Upward and downward
flows of communication are allowed. Though general decisions are still made at the
top, subordinates can make more specific decisions.
SYSTEM 4: Participative Management
Leaders have complete trust in subordinates so that decision-making is
encouraged throughout the organization. All flows of communication are permitted.

Robert Blake and Jane Mouton’s Managerial Grid. Blake and Mouton developed a
framework of leadership attitudes. The grid shows two dimensions labeled concern
for production and concern for people. These two dimensions are integrated to
form the grid where five leadership styles are identified.

1-1: IMPOVERISHED MANAGEMENT

Low concern for both people and production. The manager exerts just enough
effort to remain employed.
1-9: COUNTRY CLUB MANAGEMENT
High concern for people and low concern for production. The manager acts
like a brother who creates a happy and comfortable work environment.
5-5: MIDDLE-OF-THE-ROAD MANAGEMENT
Average concern for both people and production. The manager can derive
adequate performance from subordinates.
9-1: TASK MANAGEMENT
Low concern for people and high concern for production. The manager looks
at people as instruments of production.
9-9: TEAM MANAGEMENT
High concern for both people and production. The manager builds a highly
productive team through involvement and participation.

SITUATIONAL APPROACH
 This approach focuses on identifying the specific situation where leaders with
a particular set of traits are most effective.

Fred Fledler’s Contingency Theory. This model contends that leadership

effectiveness depends on the match between the personality of the leader and the
situation. The leader’s personality is described as either task-oriented or
relationship-oriented which is determined by a scale developed by Fiedler called the
Least Preferred Coworker (LPC) Scale. The leader-respondent is asked to identify
his least preferred co-worker and describe the co-worker by rating him in a series of
16 scales anchored at each end by a positive or negative characteristic. For example.
Pleasant ___ ____ ____ ____ ____ ____ ____ ____ Unpleasant
8 7 6 5 4 3 2 1
Inefficient ____ ____ ____ ____ ____ ____ ____ ____Efficient
1 2 3 4 5 6 7 8
Unfriendly ____ ____ ____ ____ ____ ____ ____ ____Friendly
1 2 3 4 5 6 7 8
The leader who rated the least preferred co-worker with high numbers on the
scale (associated with positive evaluation is said to be relationship-oriented while the
leader who rated the least preferred co-worker with low numbers on the scale
(associated with negative evaluation) is said to be task-oriented.
Fiedler suggests that the leader’s personality (whether relationship-oriented
or task-oriented) works best in a particular kind of situation whose favorableness or
unfavorableness is determined by three variables.
a. leader-member relations – refers to the leader’s personal relationship with
the subordinates as defined by trust, confidence and respect.
b. task structure – refers to whether the job is structured (low multiplicity,
high verifiability, specificity and clarity) or unstructured (high multiplicity
and low verifiability.
c. position power – refers to the power and authority the leader’s position
provides.
 Below is the summary of the relationships among leader motivation, situation
favorableness and group performance.

1 2 3 4 5 6 7 8
POSITION POWER HIGH LOW HIGH HIGH LOW HIGH LOW
LOW

TASK STRUCTURED UNSTRUCTURED STRUCTURED UNSTRUCTURED

STRUCTURE
LEADER
MEMBER
RELATIONS GOOD POOR

OVERALL
MOST FAVORABLE
SITUATIONAL LEAST FAVORABLE
FAVORABLENESS

TPE OF LEADER
TASK-ORIENTED TASK-ORIENTED
SUITED
(Adapted from “The Effects of Leadership Training and Experiences: A Contingency Model interpretation
by Fred Fiedler in Organizational Behavior by Moorhead and Griffin, 1989, p. 333).

When conditions of position power, task structure and leader-member

relations are extreme, the situation is best for task-oriented leader. But, when same
conditions are intermediate or at the broad middle ground, the relationship-
oriented leader is the best match.

Fiedler contended that when a task-oriented leader encounters an

intermediate situation and the relationship-oriented leader encounters an extreme
situation, the only available recourse is job engineering.

CONTINGENCY
THEORY

This
approach is
concerned with
leader behaviors that
are contingent to a
situation as defined
by the characteristics
of the followers and
the work
environment.

Martin Evan and Robert House’s Path-Goal Theory. This is based on the
expectancy theory of motivation where behavior depends on expectancy (the extent to
which a person believes that job performance will yield certain outcomes/rewards) and
valence (the value of the outcome/rewards). The leader’s role is to clarify to the
subordinates the paths (behaviors) that lead to goals (desired outcomes/rewards).
The theory suggests that a leader’s behavior depends on the situation at hand. He
selects from four leader behavioral styles which is the most appropriate at a given time.
These behavioral styles are:
a. Directive style – used when the leader needs to give specific guidance about
what is expected of the subordinates in terms of work tasks, schedules and
performance standards.
b. Supportive style – used when the leader has to show concern about the well-
being and welfare of the subordinates.
c. Achievement-oriented style – used when the leader must set challenging goals
and high standards and show strong confidence that the subordinates can reach
them.

Paul Hearsay and Kenneth Blanchard’s Situational Leadership Model. This

model suggests that the behavior of the leader should be adjusted to the maturity level of
the subordinates. Maturity is determined by the ability and willingness of the subordinate
to accept responsibility for accomplishing a task. Those who are least able and willing are
the immature while those who are most able and willing are most mature.

LEADER’S CONCERN WITH TASK

 LOW HIGH
G
HIGH I
N
T S
A
P E
I L
C L
LEADER’S I I
T N
CONCERN R G
WITH A
RELATIONSHIP P

G
N
I
T T
E
LOW A
G L
E L
L I
E
N
D
G

WILLING/ UNWILLING/ WILLING/ UNWILLING/

ABLE ABLE UNABLE UNABLE

4 3 2 1
MATURE EMPLOYEES IMMATURE EMPLOYEES

FIGURE 3F: The Situational Leadership Model

(Source: P. Hearsay and K.H. Blanchard, Management of Organizational Behavior: Utilizing Human
Resources, 3rd ed., 1977, p. 120 in Organizational Behavior – Foundations, Realities and Changes, 2nd ed.
by Nelson and Quick, 1997, p. 362).

TELLING STYLE– best for immature subordinates who are characterized by low concern for
relationship but high concern for task.

SELLING STYLE – best for subordinates who are at the second level of maturity –
characterized by high concern for both relationship and task.

PARTICIPATING STYLE – best for subordinates who are the next most mature – able but
unwilling; characterized by low concern for task but high concern for relationship.

DELEGATING STYLE – best for the most mature subordinates – able and willing;
characterized by low concern for both task and relationship.
 The behavior and performance of people in the organization may be influenced by
the quality of its leadership. Effective leadership stimulate motivation and encourage better
performance among people and groups working in the organization.

3.6. POWER

3.6.1. Concept of Power

Power is the ability to get things happen according
to one's perspective. This is done by getting
someone else to do it for you. In this case, power
has the ability to impact the behavior of people in
the organization.

3.6.2. The Nature of Power

Many often use power, authority and influence synonymously. But these concepts,
though related in some way, are significantly different. Power is defined by McMurray
(1975) as “the ability to influence the conduct of others and resist unwanted influence in
return.” Influence is the process involved in influencing the conduct of others while
authority is the right to influence the conduct of others.

3.6.3. The Bases of Power

People acquire power in four ways. As identified by John French and Bertram Raven,
these are through:
a. Referent power – also called personal power or charismatic power that is based on
an attractive personality.
b. Legitimate power – also known as position power or official power that one acquires
by virtue by holding a position of formal authority.
c. Expert power – some call this authority of knowledge based on having the expertise,
knowledge or talent that a person or group needs.
d. Coercive power – based on the ability to cause an unpleasant experience to a person
or group through punishment or by withholding a reward.
3.6.4. Responses to Power
According to Herbert Kelman, people respond to power in either of the following ways:
a. Compliance – conforming to the directives of another to win desirable outcomes
for oneself.
b. Identification – accepting influence of another to establish and maintain smooth
interpersonal relationships.
c. Internalization – adopting another’s attitudes and behaviors because it satisfies
personal needs or is congruent to one’s personal needs.
Power can be used to influence the behavior of other people. Proper use of power
may result to positive outcomes. Abuse of it may result to undesirable consequences.

3.6.5. Organizational Politics

Organizational politics are
self-serving behaviors that are
used to increase the probability of
obtaining positive outcomes in
organizations. It also refers to
“intentional behaviors that are
designed to enhance or protect a
person’s influence and self-
interests” (Nelson and Quick, 1997).
People engage in politics
because they need something to be
satisfied as well as something to be
realized. In groups, politics
influence individual behavior.
Certain conditions in the organization encourage employees to engage in politics.
These conditions are:
a. need for power
 b. Machiavellianism – “a personality trait characterized by the tendency to seek to
control other people through opportunistic manipulative behaviors” (Newstrom
and Davis, 1997).
c. uncertainty
d. organizational size
e. hierarchical level
f. membership heterogeneity
g. decision importance
Political Tactics
Different kinds of tactics may
surface in the game of politics. These
are:
a. coalition – forming a group to
combine the political strength of
its members who have common
interests
b. cooptation – turning adversaries or enemies into allies by involving them in
planning and decision-making
c. ingratiation – using praises and compliments to win favor or acceptance of others
d. impression management – behaving in ways that build one a positive or impressive
public image’
e. scapegoating – called negative politics; blaming people for the failure of a group or
organization
f. rational persuasion – using logical arguments and factual evidence
g. inspirational appeals – making an emotional request or proposal by appealing to
values and ideals
h. consultation – seeking another’s participation in planning or decision-making
i. exchange – making implicit or explicit promises of rewards to support of proposal;
and
j. pressure – using demands, threats or intimidation
 3.7. Conflict in Organizations
Conflict is related to power and politics
because it is often started by political
behavior. Conflict is a state of disagreement
about something between and among
individuals or groups. In a conflict, there are
two or more views about a matter of
importance. Such disagreement may
sometimes be manageable but sometimes
they lead to undesirable interactions
between and among people.
3.7.1.1. Nature of conflicts
1. It is a natural phenomenon among people if their belief and perception
about things are different.
2. Some conflicts may be minor in scope and significance or major and
complicated.
3. Conflicts can be either functional or dysfunctional.
4. Managers are expected to address conflicts within their jurisdiction.
5. Some conflicts in the organization are connected to variances in
perceptions of work. Some conflicts are personal in nature and not even
related to work.
6. Conflicts, if left unattended can become more complicated if not addressed
immediately.
Although conflict has a negative connotation, it is not necessarily bad. There
are two types of conflict, namely: functional conflict which is “a healthy,
constructive disagreement between two or more people” and dysfunctional conflict
which is “an unhealthy, destructive disagreement between two or more people”
(Nelson and Quick, 1997).

1.7.2.1. Conditions That Create Conflict Among Groups

Conflict arises when the following conditions are present:
 a. Interdependence – refers to required relationships between two or more
groups to complete a task or achieve a goal.
b. Political Indeterminism – refers to unambiguous and stable power relations
among interdependent that when accepted by all, replaces appeals to
authority to resolve the conflict with the most powerful group.
c. Diversity – refers to group differences.

3.7.3 Stages of Conflict

Conflict is a continuous process rather than a discrete event. Such process is
broken down into five stages.
a. Latent conflict – conflict is only suspected
b. Perceived conflict – conflict is perceived by everyone involved; that it exists
c. Felt conflict – people involved are not only aware but also react emotionally
d. Manifest conflict – behaving in ways that will frustrate opponents
e. Conflict aftermath – sets the condition for later situations or events

3.7.4. How Conflicts Are Resolved

Conflicts between individuals and groups
are usually resolved through bargaining and
negotiation. Bargaining is the process where
groups exchange offers, counter offers and
concessions to reach a mutually acceptable
resolution. Negotiation is the process where
“groups decide what each will give and take in
exchange between them” (Wagner and
Hollenbeck, 1992).

Bargaining and negotiation may be characterized by different blends of

assertiveness and cooperation such as:
a. competition (assertive, uncooperative) – attempting to overpower other
groups to promote the interests of one’s own group;
 b. accommodation (unassertive, cooperative) – giving in to the other group at
the expense
of one’s own group;
c. avoidance (unassertive, uncooperative) - refusing to take a standby
staying neutral;
d. compromise (mid-range assertiveness and cooperation) – seeking partial
satisfaction of both groups’ concerns through exchange and sacrifice.

1.7.5.1. Consequences of Conflict

Conflict has both positive and negative consequences which are presented in the table
below.

POSITIVE CONSEQUENCES NEGATIVE CONSEQUENCES

Leads to new ideas Diverts energy from work

Stimulates creativity Threatens psychological well-being

Motivates change Wastes resources

Promotes organizational vitality Creates negative climate

Helps individuals and groups establish identities Breaks down group cohesion

Serves as safety valve to indicate problems Can increase hostility and aggressive behaviors
Source: Organizational Behavior–Foundations, Realities, and Challenges by Nelson and Quick, 1997.

Indeed, conflict will not only influence the behavior of people and groups but
will also have a toll on the quality of the performance of people, groups, and even to
the extent of the entire organization. No wonder executives would normally avoid
having conflicts in their companies UNLESS they are FUNCTIONAL CONFLICTS.
 Unit Summary

The existence of groups in an organization is a normal phenomenon. They may be

established to carry out an important function of the organization or created to help address

the personal common needs of its members. When people work in groups, the interactions

inside the group as well as among groups may have an influence in the behavior of

individuals as well as the behavior of groups. Concepts such as characteristics of groups,

interdependence, communication, leadership, power, politics an even conflict have strong

influences in understanding group behavior.