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A group is a collection of individuals with different skills and abilities who come
together to complete a given task and become accountable for such a task. There
are different forms of groups namely formal and informal groups. These groups are
significant in the management setting of any organization because of the following,

Shared knowledge with the group, this is because people are diversified with
different knowledge and skills and these people are brought together a group hence
leading to the accomplishment of duties and tasks and hence an importance to

Groups make work easier. This is through sharing the tasks, experience and
expertise among employees of a group thus less time is taken especially when
solving complex problems, this leads to effectiveness and up to date in making
management decisions by the management hence a significance.

Reduces turnover rate and absenteeism from work. People in groups tend to be
stable, comfortable, feel at home therefore get attached to one another and thus
fear is lost because of the relationship that exists among them. They therefore feel
part of the organization and thus stay in the organization for quite a longtime and
thus this helps management to reduce on the costs associated with turnover or
even absenteeism.

Better and innai dec!sions and easy implementation. Group members brain storm to
get solutions for the problem and agree on the vivid andfeasible solution. Since they
are involved in decision making, they feel part of the organization and motivated to
implement the decisions made and this makes managements work easier hence a

Reduced supervision costs. This is because the group members will be self-directed
and motivated towards the achievement of their objectives. In groups leaders are
selected for easy coordination and consultation hence reducing the supervision
costs to the management.

Helps in building interpersonal relationships. Individuals get to know each other and
thus build confidence and good relations due to interdependence. This makes the
tasks much easier, interesting and the cohesion of members. The interpersonal
skills if identified by management can be of value to the organization. For example
one with good communication skills can be made a leader or even sales manager
among others hence providing a favorable ground for achievement of the
organizational goals and objectives.

, Increased performance among employees. This is through group synergy since

two heads are better than one, the combined efforts of number of individuals
working together, variety of experience, support from each other and work assigned
to a group In an organization is made easier hence increasing productivity.

Serves as a motivational tool. This is through encouragement, sharing and

confidence attained through socialization with others. Tasks accomplished as a
group brings about recognition, self-confidence and intrinsic motivation in an
individual. These therefore acts as driving factors towards achieving the duties
assigned to him and the group respectively .This in turn enables the management
to achieve the goals and objectives of the organization.

It increases commitment among group members, this is because individuals ai

involved in decision making, recognition, sense of belonging and therefore become
affectively committed to serving the needs of the organization hence a positive
significance to management in an organization.

Encourages innovation, creativity and risk taking. This is within members of a group
as employees are encouraged to take on risks due to the support from fellow group
members. Where an employee is conservative when working on an individual
project, she may find encouragement and inspiration from group members to push
her further and this helps management to get new better business ideas which may
turn to be productive when implemented since the different members will be willing
to implement the innovative and creative ideas.

Better coordination and communication. This is of importance to management since

passing on information to members will require sometimes informing each group.
The information flows from management to the groups and from the groups to the
management. This induces an open door policy in the organization thus creating
awareness hence management decisions are easily implemented by the

In a conclusion, the management of any organization should embrace working

groups since their significance is greatly valued for achievement of their goals and
objectives as discussed above.