PURPOSE OF GROUP FORMATION

PURPOSE OF GROUP FORMATION

     A Group is basically an assemblage of people. It can be understood as a collection of individuals (two or more), who come together and interact with each other, so as to achieve the objectives of the organization. These are the foundation of an organization.

 1. Performance: Group effort can be more efficient and effective than individual efforts because they enable employees to specialize and contribute a variety of strengths. Organizations structure employees into functional and task groups so that they can develop and apply expertise in particular functions, products, problems or customers. The other factor contributing to performance is motivation, and groups can enhance this as well. When employees work in groups, the group is an important force for creating and enforcing standards for behavior.

2. Work Accomplishment: This is the primary reason for the existence of formal groups in organisation. The organisation formally brings individuals in a group to complete the set tasks and to attain goals. Such groups form the part of the structure of organisation.

3. Identity: We try to understand ourselves through the behavior of others towards us. If others praise us, we feel we are great. Groups provide many others who will laugh, praise or admire us. Workers get more identified in small groups and so small groups tend to enjoy high morale as compared to large groups.

 4. Esteem:  Membership in a prestigious group is a source of enhanced self- esteem. The members will feel good about themselves by virtue of the group’s power, prestige and social standing. They will get opportunities for recognition and praise that are not available outside the group.

5. Problem Solving: When people foresee or face certain problems, they unite to solve the problems. Unity has strength. A group provides strength to members who are willing to challenge any problem. Group behavior gives more strength to come down heavily on problems.

 6. Security: Perhaps, the strongest reason for group formation is the people’s need for security. By joining a group, a person can reduce his insecurity; he feels stronger, has lesser self- doubts and is more resistant to threats. A person always derives reassurance from interacting with others and being part of a group. The group protects its members from the arbitrary policies and orders of the formal organisations and provides a psychological buffer between the individual and the organisation. 

7. Satisfaction: If satisfaction improves motivation (and therefore performance), organizations as well as individual employees can benefit from employees' satisfaction derived from group membership. A major source of this satisfaction is that people have needs for being with others and being liked by them. The way people satisfy this category of needs is participating in groups focusing on social activity. Group membership may also be a means for satisfying needs for security, power and esteem.

8. Cooperation: Carrying out an organization's mission is something no single person can do alone. However, for several people to accomplish a mutual goal, they must cooperate. Group dynamics and characteristics can enhance cooperation among employees, especially when members identify themselves as group and are rewarded for group success.