Chapter 11

Intergroup Development

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Slide 1
 earning Objectives (part 1 of 2)
‡ Identify problems of intergroup conflict
and suboptimization.
‡ Experience negative effects of
competition on organization
effectiveness.

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 earning Objectives (part 2 of 2)
‡ Observe and develop strategies for
collaborative intergroup relations.
‡ Diagnose causes of cooperative versus
competitive group relations.

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 Changing Relationships in
Today¶s Organizations
‡ Managers concentrate on shared
responsibilities among teams.
‡ Organizations create situations of team
interdependence.
‡ OD interventions develop effective
working methods between teams.

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 Collaboration and Conflict
‡ Organizations need cooperation to be
effective.
‡ Differences in objectives and values
between groups.
‡ Conflict is inevitable between groups.
‡ Dysfunctional conflict reduced through
intergroup interventions.

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Slide 5
 Intergroup Operating
Problems
‡ How incompatible goals are.
‡ Extent to which resources are scarce
and shared.
‡ Degree of interdependence of task
activities.

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 ‰igure 11.1
‰actors Involved in Conflict

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 þuboptimization
‡ þuboptimization occurs:
± When group optimizes its own goals,
± But loses sight of larger organizational
goals.
‡ Intergroup competition involves groups
with conflicting purposes or objectives.

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 Role Conflict and Role
Ambiguity
‡ Role conflict occurs:
± When individual belongs to 2 or more
groups,
± Whose goals are in conflict.
‡ Role ambiguity exists:
± When individual not clear about his/her
functions and goals.

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 Cooperation Versus
Competition (part 1 of 2)
‡ Mixed research results on competition
and cooperation between groups.
‡ Members of competitive groups have
more self-esteem for their groups.
‡ Groups competing with one another
highly oriented toward task.

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 Cooperation Versus
Competition (part 2 of 2)
‡ ack of evidence on benefits of
competition.
‡ Cooperation promotes productivity
between groups when:
± Task is complicated and requires
coordination.

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Slide 11
 Managing Conflict
‡ Organizational conflict not needed to be
eliminated but managed.
‡ Diagnosing conflict involves learning
conflict styles dealing with conflict:
± Desire to satisfy self.
± Desire to satisfy others.

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Slide 12
 ‰igure 11.2
Conflict þtyles

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 ‰ive Conflict þtyles (part 1 of 2)
1. Avoiding - low concern for self and
others.
2. Obliging - low concern for self, high
concern for others.
3. Dominating - high concern for self, low
concern for others.

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 ‰ive Conflict þtyles (part 2 of 2)
4. Compromising - moderate concern for
self and others.
5. Integrating - high concern for self and
others.

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Slide 15
 Techniques to Deal with
Intergroup Problems
‡ Deal with conflicts openly to manage
tensions.
‡ OD techniques include:
± Third-party consultation.
± Organization mirror.
± Intergroup team building.

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 Third-Party Consultation
‡ Uses third party, usually outside
practitioner.
‡ Helps teams to open communications,
level power, and confront problems.
‡ Provides diagnostic insight.
‡ þource of emotional support and skills.

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 Organization Mirror
‡ Gives feedback to teams on how other
teams view them.
‡ Teams meet together to process data.
‡ Objective is identifying problems and
formulating solutions.

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Intergroup Team Building (part 1 of 2)
‡ Members work on issues of interface.
‡ Meeting usually involves 5 steps:
þtep 1. Working separately, the 2 teams
make 3 lists:
± How we see ourselves.
± How we think other team sees us.
± How we see other team.

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Intergroup Team Building (part 2 of 2)
þtep 2. Meeting with other team, person
from each team presents their lists.
þtep 3. Teams meet separately to discuss.
þtep 4. þubgroups formed by mixing
members of 2 teams. Develop action
plans.
þtep 5. ‰ollow-up evaluation meeting held.

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 Table 11.1
þample Intergroup Meeting isting

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 OD Application
Harley-Davidson¶s Plant Run
by Work Teams
‡ HD manufactures motorcycles known
throughout the world.
‡ In 2007 HD began to experience
significant challenges:
± Changing demographics.
± Recession.
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‡ HD developed new products to meet
customer¶s needs.
‡ HD not clear how to meet financial
challenges of recession.
‡ Kansas City plant example of how it
builds on employee strengths.
‡ Before plant opened, HD spent 2 years
with union on labor agreement.

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‡ The result:
± The 23 Elements of þhared Responsibility.
‡ HD¶s Kansas City plant empowers
teams to:
± Make their schedules and work rules.
± Train new workers and evaluate workers.
± Manage plant¶s operating budget.
± Approve plant strategies.
‡ Plant¶s structure centers around
employees.
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‡ Work teams of 8 to15 members.
‡ Group sends member to operating
group.
‡ ‰our operating groups oversee its
division.
‡ Operating group elects representative to
Plant eadership Group.
‡ The plant is open and has no walls for
offices.

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‡ New employees:
± Rigorously screened.
± Go through training lasting up to 6 months.
‡ Production workers receive financial
rewards based on performance of plant.

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 Key Words and Concepts
‡ Avoiding þtyle.
± Manages conflict by withdrawing.
‡ Boundaryless.
± GE term that refers to reducing conflict
between divisions and departments.
‡ Compromising style.
± Manages conflict by seeking compromise
between parties.

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‡ Confrontation.
± Parties directly engage each other and
focus on conflict.
‡ Dominating style.
± Manages conflict by obtaining personal
objectives and ignoring needs of others.
‡ Integrating style.
± Manages conflict demonstrating high
concern for self and others.

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‡ Interdependence.
± Performance of one group contingent upon
another group.
‡ Interfaces.
± Meeting point between groups.
‡ Intergroup competition.
± Emerges when group pursues one goal
while opposing values that exist in another
group.

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‡ Intergroup interventions.
± Increase cooperation among organization
subsystems.
‡ Intergroup team building.
± Key members of conflicting groups meet to
work on issues of interface.
‡ Meta goals.
± þuperordinate organization goals.

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‡ Obliging style.
± Manages conflict by showing concern for
people¶s satisfactions and smoothing over
conflicts.
‡ Open loop.
± Elements of organization operating without
feedback.
‡ Organization mirror.
± Gives work units feedback on how other
elements of organization view them.

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Slide 31
‡ þuboptimization.
± Group optimizes own goals but loses sight
of larger organization goals.
‡ Team interdependence.
± Performance of one team contingent upon
another team.
‡ Third-party interventions.
± Increases communication and intergroup
problem solving using outside practitioner.

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 OD þkills þimulation 11.1
The Disarmament Game
‡ Purpose.
± To simulate intergroup conflict within an
organization.
± To observe and experience competition.
± To examine strategies for developing
collaboration between units.

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Slide 33
 OD þkills þimulation 11.2
Intergroup Team Building
‡ Purpose.
± To provide opportunity for group members
to clarify and analyze their
interrelationships.
± To work on improving intergroup
processes.

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 Preparations for Next Chapter
‡ Read Chapter 12.
‡ Prepare for OD þkills þimulation 12.1.
± Prior to class, form teams of seven and
assign roles.
± Complete þtep 1.
‡ Complete þtep 1 of OD þkills þimulation
12.2.
‡ Read and analyze Case: Valley Wide
Utilities Company.
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