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Luna, Jocelyn
Ellorda, Angelica Nina
Estrellado, John Reginald

HRA 3-1/Human Behavior in Organization
Case Study 1
1. Starbucks’ employees can be seen as a formal team as opposed to an informal team. Differentiate between ‘formal’ and “informal “teams. Formal team is those groups which are given legitimacy by the organization. For example, at the Starbucks Company, the formal group is the formal organizational structure of the company which involves the flat structure involving the board of directors, managers, and the staff. This group consists of a manager and his subordinates, and both of them share a common specialty. On the other hand, Informal teams have no structure whatsoever and they do not focus on specialty. There is no manager/leader; team members are completely equal in informal teams. It is said that when people come together and start interacting with each other for a long time, they form informal team. Informal groups are said to affect the organizational structure. The informal team is established in this company (Starbucks) to ensure that communication has been effective. Instead of using the various stages in order to reach those above, then these groups can be used to help solve those problems. For example, Starbucks uses the informal groups to address the matters which arise in this company. It is through this group that the information is communicated to the rest of the workers. Thus formal and informal teams differ from each other in the following respects: Origin: The reasons and circumstances of origin of both formal and informal teams are quite different. The formal teams are created deliberately and consciously by the framers of the company. On the other hand, informal teams arc created because of the operation of socio-psychological forces at the workplace, that is, people while working together develops certain liking and disliking for others for the type of interactions not provided officially. Purpose: Since formal teams are deliberate creation, they are created for achieving the legitimate objectives of the company. The informal teams are created by company members for their social and psychological satisfaction. Size: Formal teams may be quite large in size. Sometimes formal teams are constituted to give representation to various interest groups in the company, and their size has to be kept large. However, the informal teams tend to be small in size so as to maintain the group cohesiveness which is essential for the informal teams to be attractive for the members concerned. Authority: The members of formal team derive authority through the formal source that is through the process of delegation and reallocation. Thus authority flows from the higher lo lower levels. In the informal team, all members are equal; however, some may command more authority by virtue of their personal qualities. Thus, authority is commanded. People give authority to those persons who are likely to meet members' needs maximum. This is the way of emergence of informal leaders in the informal groups. Such people have maximum positive interactions in the groups. Behavior of Members: The behavior of members in the formal team is governed by formal rules and regulations. The rules are normally directed towards rationality and efficiency. In the informal team, the behavior of the members is governed by norms, belief, and values of the groups. The kind of behavior that is expected of a member is specified by these factors. Communication: Communication is prescribed in the formal team. It is normally through chain of command to which people refer as formal channel of communication. All communications in the formal groups are expected to pass through that channel. In these informal groups, the communications pass through informal channels. 2. The employees of Starbucks retail shops clearly work together well as a team. List four characteristics of teams that have “gelled “together. The employees of...
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