Cross-functional groups and teams, HR Management

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One type of organic, decentralised organisational structure are work groups that integrate different disciplines and types of expertise, such as multidisciplinary teams in hospitals. They provide greater flexibility (e.g. when group members are trained in a broad variety of roles and members are rotated to various positions to deal with challenges such as periods of high customer demand). When self-managing, cross-functional groups provide a structure for employees to make decisions autonomously at the source of information; this enables organisations to further increase responsiveness to external contingencies and the needs of employees (Mohrman, Cohen, & Mohrman 1995). Groups can also provide an empowering work design that increases individual members' job satisfaction (Cordery, Mueller, & Smith 1991). These motivational benefits often follow through to performance (Applebaum & Batt 1994). For example, Banker, Field, Schroeder and Sinha (1996) demonstrated that product quality and labour productivity was enhanced in a manufacturing plant when groups were implemented as the core feature of the organisational design.


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