Impact Of Group Dynamics In Work Organization In The Food And Beverage Industry

Project and Seminar Material for Industrial Relations and Personnel Management

Impact Of Group Dynamics In Work Organization In The Food And Beverage Industry


The study examines the impact of Group Dynamics in Work Organisation in the Food and Beverage Industry, with special reference to Nestle Nigeria plc.

To achieving this, related literature was cited on Group dynamics.

Descriptive research design approach was employed for the research design and a simple random sampling technique was used in selection of respondents.

A sample of 50 respondents was selected from the population study. Fifty (50) questionnaires were administered to the staff of Nestle Nigeria Plc.

The research instrument used are the questionnaire, frequency distribution; percentage and chi-square were methods of data analysis used for the study.

It is however shown from the study that: Group Dynamics exists within work organization, also Group Dynamics has a significant impact on organizational performance.

Recommendations were proffered to Nestle Nigeria Plc.

Chapter One


1.2 Background To The Study

The study of groups and their impact on work performance follows after the Hawthorne experiment of 1920’s through 1930’s. A group consists of two or more people who work with one another regularly to achieve one or more common goals. The group members were dependent on one another and interact to achieve goals. Thomas (2007)

The study of group in work-setting has become prominent since the pioneering effect of the Hawthorne researchers. Although, there is no one universally acceptable definition of group, it has engaged the attention of many prominent researchers. Kurt Lewin, for instance popularized the term group dynamics in the 1930’s, but over the years different Connotations had been attached to it such as:-

  • Being used to describe how a group should be organized and conducted.
  • Consisting of a set of techniques such as role playing, brain storming, buzz groups, leaderless groups, group therapy, sensitivity training, team building and transactional analysis.
  • Being viewed from the perspective of the internal nature of groups, how they are formed, their structure processes and function and how they affect individual members
  • Other group and the organization (this is the closest to Kurt Lewin’s original conception).

Thus, a group is more than an aimless crowd of people waiting in an airport lodge or at a bus-stop. Why do individuals form into groups? Groups at work are formed as a direct consequence of an organization’s need to differentiate itself. Differentiation refers to the breaking down of the organization into functions, but also the formation of groups to support the tasks assigned to there functions.

At the workplace, most tasks are undertaken by groups and teams, rather than by an individual, thus in order for any organization to fulfill its mission, the role of groups are of paramount importance. However individuals themselves need groups to provide protection, stimulus, assistance, social and psychological requirements .Group therefore is useful to both the organization and individual members.

1.2 Statement Of The Problem

The schemed effort fast-tracked by most organizations in ensuring effective-service-delivery in most organization still face relative challenges through which organizational goals is being hindered.Some of this threats includes:

  1. Differences or feelings of the wrong from right among groups
  2. Contradiction attitudes and behaviour different from organizational expectations
  3. Existence of grapevine, whose raw information could mar the success of the organization
  4. Sentiments, ideals and prejudices that trails within the informal group.
  5. Appointment of group leader not by performance or merit, but by charisma.
  6. Differences in beliefs and thoughts.
  7. Leadership problem .
  8. The insensitively to inter-dependency needs, leading to WIN-LOSE REWARD SYSTEM.
  9. Slim- cohesive spirit.
  10. Lack of team- spirit within the group.

1.3 Objectives Of The Study

The general objective of this research is to examine the impacts of group dynamism in work organization.

Thus, the study specifically seeks to:-

  1. Examine the role of group dynamism in work- organization
  2. Identify key-processes for effective group performance in an organization.
  3. Identify various problems or threatening factors that affect group system in an organization.
  4. Understand how these problems can be properly tackled.
  5. Understand the type of group that exist in an organization.
  6. Understand the stage through which groups are formed and how it can be sustained within the business circle.
  7. Enumerate differential or divergent nature that could affect a group and how they can be unraveled.
  8. Identify the input, process and output expected of a group in an organization.

1.4 Significance Of The Study

  1. The study is important because the outcome will enable the researcher to know the type of group that exists in work organization.
  2. The outcome will expose the lingering factors that affect group effectiveness and how those challenges can be tackled.
  3. It will assist the researcher to know the stages through which groups within the work sector is formed.
  4. The outcome will expose the influence or impact of group dynamics in work organization .
  5. It will help the researcher to know the input, process and output of an effective group system
  6. Establish the fact of how sentiments ideology and interactions of a group can be stronger regardless of their inherent diversities
  7. The outcome will enable the researcher to know how group cohesiveness can be sustained, achieved and maintained

1.5 Research Questions

Based on the research objectives the study therefore aims to provide answers to the following question:

  • Do group and group dynamics exist in work organization?
  • Do they influence organizational performance?
  • Are there informal group (i.e grapevine) existing within the workplace?
  • Have they been positively effective within the workplace?
  • Are sentiments, ideals and prejudice managed within these groups?
  • Is the team-spirit operating within the group?
  • Are group leaders within workplace charismatically elected or otherwise?
  • Do the groups undergo challenges as regards to interaction and inherent differences in thought, views etc.?

1.6 Statement Of Hypotheses

Hypothesis 1
  • H0; Group Dynamics do not exist in work organization
  • H1; Group Dynamics exists within work organization
Hypothesis II
  • H0; Group Dynamics has no significant impact on organizational performance
  • H1; Group Dynamics has a significant impact on organizational performance.

1.7 Scope Of The Study

The study examines the impact group dynamics in work organization in the food and beverage industry with special reference on Nestle Nigeria Plc, situated at Ilupeju, Lagos State.

The respondent for this study includes the Top, Middle and lower staff of the organization.

1.8 Limitation Of The Study

Some of the challenges encountered in the course of this study by the researcher includes:-

  1. Derogative and restraining attitudes of the gate-security personnel,
  2. Financial constraints,
  3. Distance barriers,
  4. Traffic delays,
  5. Incomplete research questionnaire collection in-contrary to the actual number initially distributed,
  6. Secrecy to vital information and
  7. Frequent postponement by respondent over awaited questionnaires distributed over in available time to answering the questionnaires given and
  8. Stress.

1.9 Definition Of Terms


is the number of people who have a common purpose or objective and interact with one another to achieve their objectives.


Meaning the energizing power, force of cohesion that binds groups of individual together.


Involves harm, hatred or hostility that may emerge among individual within a group of divergent interest. This evolves out of inability of managing group diversity.


Integration of two or more individual or people with common interest coming to achieve a specific goal.


Meaning individual feelings, emotions and consideration that could make or mar a specific objective.


Involves insolent insultive, abusive or ill-mannered words and actions that connotes so much pain to the other party or affected person


An unofficial and social group existing within the organization, which consist of cliques, caucus or different set of individual that could positively or negative influence the goals of an organization


A force of attraction that bind group of individuals together. This promotes team-spirit, trust and mutual co-existence within a group.

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