Introduction To Synergy-Content
Introduction To Synergy-Content
Introduction to Synergy
A. Definition of Synergy
Synergy, also known as synergism, refers to the combined effects produced by two or more
parts, elements, or individuals.
Synergy results when the whole is greater than the sum of the parts.
According to the American Heritage Dictionary, the term "synergy" is derived from the
Greek word sunergos, meaning "working together."
Synergy is the concept that the value and performance of two companies combined
will be greater than the sum of the separate individual parts. If two companies can merge to
create greater efficiency or scale, the result is what is sometimes referred to as
a synergy merge.
For example, two people can move a heavy load more easily than the two working individually
can each move their half of the load.
B. History of Synergy
Synergy has origins as a theological term describing the cooperation of human effort
with divine will. In recent years the term has most often been used in association with
systems theory. Systems theory, as applied to biology and the physical sciences, describes
the interdependence of various parts of an organism, such as the human body.
The human body, as a system, is comprised of a set of interrelated subsystems,
including the brain, skeleton, muscles, and others. To fully understand the larger system,
one must examine the subsystems and the interrelationships.
Systems theory was one of the first management theories to explicitly state that
changing one of the subsystems could have an impact on the total system. Synergy was
developed as a measure of the effectiveness of the joint efforts of various subsystems.
Discussions of synergy also figure in medical literature, such as in research that
addresses how the effects of medication on individuals are magnified when combined with
a special diet or exercise.
C. The Importance of Synergy
Synergy is defined by Harris and Moran as a cooperative or combined action, and
occurs when diverse or disparate individuals or groups collaborate for a common cause.
The objective is to increase effectiveness by sharing perceptions and experiences,
insights, and knowledge. (Harris, & Moran, 2011, p.233).
People think of synergy as something within an organization. It is usually when two
parties collaborate and create a culture of excellence that is mutually beneficial. This can be
broadened outside of an organization.
An example of synergy can be illustrated by a car wash. Let’s suppose you own a car
wash. You have been ordering soap from a manufacture that is based far away from you
and is charging you a premium for their soap. This is a major expense for you as you are
obviously looking to lower your expenses. Now let’s say another distributor moves into
town and offers you a 25% discount if you put a sigh out front advertising the product you
use. This is a mutually beneficial situation because you save 25% your major expense of
soap and they receive advertising at a minimal cost (Hoback, R. (n.d.).
You can see that synergy can happen at a macro level. Businesses making decisions
that help promote each other. But synergy goes way beyond the macro level. It can happen
between two individuals within an organization.
When two people begin functioning at a new level because of the support and
collaboration they are sharing with each other, synergy is present. With good synergy
comes an effective team. Even if the team doesn’t have the brightest or most talented
people, they will be able to work as a team to accomplish things beyond their individual
skills.
This is a major reason why synergy is so important and critical to the success of a
team. If people are functioning as one cohesive team, they will be able to move an objective
forward.
Synergy makes a team stronger. It makes them more effective. When everyone is
benefiting from a relationship it is healthy and prosperous. That should be the goal of any
individual, organization, or team. Synergy is the goal and achieving it is critical to success.
D. Positive Synergy vs. Negative Synergy
Positive Synergy
Negative Synergy
Negative synergy is also possible at the corporate level. Downsizing and the
divestiture of businesses is in part the result of negative synergy. For instance, Kimberly-
Clark Corporation set out to sharpen its emphasis on consumer and health care products by
divesting its tiny interests in business paper and pulp production. According to the
company, the removal of the pulp mill will enhance operational flexibility and eliminate
distraction on periphery units, thus allowing the corporation to concentrate on a single,
core business activity.
The intended result of many business decisions is positive synergy. Managers expect
that combining employees into teams or broadening the firm's product or market mix will
result in a higher level of performance. However, the mere combination of people or
business elements does not necessarily lead to better outcomes, and the resulting lack of
harmony or coordination can lead to negative synergy.
Organizational people require a strategic direction (or vision) and focus to channel
their positive energies together to realize common vision and goals.
However, this can be difficult to attain if there are conflicts of interest, lack of
diversity, low employee morale and satisfaction, counterproductive relationships, loss of
energy and negative effects on organizational bottom line.
With synergy, it’s much easier to increase employee motivation and satisfaction. It
fosters coordination between managers and employees and between managers or
employees themselves. In addition, synergy cultivates a sense of place and belonging by
organizational people.
A team is a group of people who work together toward a common goal. Teams
have defined membership (which can be either large or small) and a set of activities to
take part in. People on a team collaborate on sets of related tasks that are required to
achieve an objective. Each member is responsible for contributing to the team, but the
group as a whole is responsible for the team’s success.
A team is a group of people who work together toward a common goal.
Teams in the Workplace
Sports teams are a good example of how teams work. For instance, a
basketball team has individual players who each contribute toward the goal of
winning a game. Similarly, in business settings most work is accomplished by teams
of individuals who collaborate on activities with defined outcomes. Because teams
are so prevalent in business organizations, it is important for employees to have the
skills necessary to work effectively with others.
Organizations typically have many teams, and an individual is frequently a
member of more than one team. Some teams are permanent and are responsible for
ongoing activities. For instance, a team of nurses in a maternity ward provides
medical services to new mothers. While patients come and go, the tasks involved in
providing care remain stable. In other cases, a team is formed for a temporary
purpose: these are called project teams and have a defined beginning and end point
linked to achieving a particular one-time goal.
Organizations form teams to accomplish tasks that are too large or complex
for an individual to complete. Teams are also effective for work that requires
different types of skills and expertise. For example, the development of new
products involves understanding customer needs as well as how to design and build
a product that will meet these needs. Accordingly, a new product-development team
would include people with customer knowledge as well as designers and engineers.
Defining Teamwork
While the substance of the tasks involved in teamwork may vary from team
to team, there are three processes that are common to how teamwork gets done: the
transition process, action processes, and interpersonal processes. During each of
these processes, specific sets of activities occur.
An effective team accomplishes its goals in a way that meets the standards
set by those who evaluate its performance.
For instance, a team may have a goal of delivering a new product within six
months on a budget of P100,000. Even if the team finishes the project on time, it can be
considered effective only if it stayed within its expected budget.
Effective teamwork requires certain conditions to be in place that will
increase the likelihood that each member’s contributions and the effort of the group
as a whole will lead to success.
Shared values: a common set of beliefs and principles about how and
why the team members will work together
Mutual trust: confidence between team members that each puts the
best interest of the team ahead of individual priorities
Inspiring vision: a clear direction that motivates commitment to a
collective effort
Skill/talent: the combined abilities and expertise to accomplish the
required tasks and work productively with others
Rewards: recognition of achievement toward objectives and
reinforcement of behavior that supports the team’s work
Effective teamwork requires that people work as a cohesive unit. These five
characteristics can help individuals collaborate with others by focusing their efforts
in a common direction and achieving an outcome that can only be reached by
working together.
Teams may be permanent or temporary, and team members may come from the
same department or different ones.
Common types of teams found in organizations include project teams, virtual teams,
and cross-functional teams.
Teamwork creates outcomes that make better use of resources and produce
richer ideas.
Higher efficiency: Since teams combine the efforts of individuals, they can
accomplish more than an individual working alone.
Faster speed: Because teams draw on the efforts of many contributors, they
can often complete tasks and activities in less time.
More thoughtful ideas: Each person who works on a problem or set of tasks
may bring different information and knowledge to bear, which can result in
solutions and approaches an individual would not have identified.
Greater effectiveness: When people coordinate their efforts, they can divide up
roles and tasks to more thoroughly address an issue. For example, in hospital
settings teamwork has been found to increase patient safety more than when
only individual efforts are made to avoid mishaps.
The social aspect of teamwork provides a superior work experience for team
members, which can motivate higher performance.
Mutual support: Because team members can rely on other people with shared goals,
they can receive assistance and encouragement as they work on tasks. Such support
can encourage people to achieve goals they may not have had the confidence to have
reached on their own.
Greater sense of accomplishment: When members of a team collaborate and take
collective responsibility for outcomes, they can feel a greater sense of
accomplishment when they achieve a goal they could not have achieved if they had
worked by themselves.
The total value created by teamwork depends on the overall effectiveness of the
team effort. While we might consider simply achieving a goal a benefit of teamwork, by
taking advantage of what teamwork has to offer, an organization can gain a broader set of
benefits.
F. Hazards of Teamwork
Teams face challenges to effective collaboration and achieving their goals. The
collaborative nature of teams means they are subject to pitfalls that individuals working
alone do not face.
Team members may not always work well together, and focusing the efforts of
individuals on shared goals presents challenges to completing tasks as efficiently and
effectively as possible.
The following pitfalls can lead to team dysfunction and failure to achieve important
organizational objectives.
Lack of Trust
A team that does not have the expertise and knowledge needed to
complete all its tasks and activities will have trouble achieving its goals. Poor
team composition can lead to delays, higher costs, and increased risk.
Stuck in Formation
Sometimes the group cannot move from defining goals and outlining
tasks to executing its work plan. This may be due to poor specification of
roles, tasks, and priorities.
The size of the team can sometimes affect its ability to function
effectively. Coordination and communication are more complex in a larger
team than in a smaller one. This complexity can mean that decisions must
take into account greater amounts of information, meetings are more
challenging to schedule, and tasks can take longer to complete.
Groupthink
While teams offer many benefits, their effectiveness rests on how well members can
avoid common pitfalls or minimize their negative consequences when they occur.
G. Differences Between Groups and Teams
All teams are groups of individuals, but not all groups are teams.
While all teams are groups of individuals, not all groups are teams. Team
members work together toward a common goal and share responsibility for the
team’s success. A group is comprised of two or more individuals that share common
interests or characteristics, and its members identify with each other due to similar
traits. Groups can range greatly in size and scope.
For example, members of the millennial generation are a group, but so is a
small book club formed by neighbors who enjoy reading.
For teams to be effective, the people in the team must be able to work together
to contribute collectively to team outcomes. But this does not happen automatically: it
develops as the team works together. You have probably had an experience when you
have been put on a team to work on a school assignment or project.
When your team first gets together, you likely sit around and look at each other,
not knowing how to begin. Initially you are not a team; you are just individuals assigned
to work together. Over time you get to know each other, to know what to expect from
each other, to know how to divide the labor and assign tasks, and to know how you will
coordinate your work. Through this process, you begin to operate as a team instead of a
collection of individuals.
Forming stage
The forming stage involves a period of orientation and getting acquainted. Uncertainty is
high during this stage, and people are looking for leadership and authority. A member who
asserts authority or is knowledgeable may be looked to take control. Team members are
asking such questions as “What does the team offer me?” “What is expected of me?” “Will I
fit in?” Most interactions are social as members get to know each other.
Storming stage
The storming stage is the most difficult and critical stage to pass through. It is a period
marked by conflict and competition as individual personalities emerge. Team
performance may actually decrease in this stage because energy is put into
unproductive activities. Members may disagree on team goals, and subgroups and
cliques may form around strong personalities or areas of agreement. To get through this
stage, members must work to overcome obstacles, to accept individual differences, and
to work through conflicting ideas on team tasks and goals. Teams can get bogged down
in this stage. Failure to address conflicts may result in long-term problems.
Norming stage
If teams get through the storming stage, conflict is resolved and some degree of unity
emerges. In the norming stage, consensus develops around who the leader or leaders
are, and individual member’s roles. Interpersonal differences begin to be resolved, and
a sense of cohesion and unity emerges. Team performance increases during this stage
as members learn to cooperate and begin to focus on team goals. However, the
harmony is precarious, and if disagreements re-emerge the team can slide back into
storming.
Performing stage
In the performing stage, consensus and cooperation have been well-established and
the team is mature, organized, and well-functioning. There is a clear and stable
structure, and members are committed to the team’s mission. Problems and conflicts
still emerge, but they are dealt with constructively. (We will discuss the role of conflict
and conflict resolution in the next section). The team is focused on problem solving and
meeting team goals.
Adjourning stage
In the adjourning stage, most of the team’s goals have been accomplished. The
emphasis is on wrapping up final tasks and documenting the effort and results. As the
work load is diminished, individual members may be reassigned to other teams, and the
team disbands. There may be regret as the team ends, so a ceremonial
acknowledgement of the work and success of the team can be helpful. If the team is a
standing committee with ongoing responsibility, members may be replaced by new
people and the team can go back to a forming or storming stage and repeat the
development process.
Common Barriers to Effective Teams
Floundering often results from a lack of clear goals, so the remedy is to go back to
the team’s mission or plan and make sure that it is clear to everyone. Team leaders
can help move the team past floundering by asking, “What is holding us up? Do
we need more data? Do we need assurances or support? Does anyone feel that
we’ve missed something important?”
The following pitfalls can lead to team dysfunction and failure to achieve important
organizational objectives.
Individuals Shirking Their Duties
Since team members share responsibility for outcomes, some individuals may need to
do additional work to make up for those not contributing their share of effort. This can
breed resentment and foster other negative feelings that can make the team less
effective. One cause of this is the failure of the team to establish clear norms of
accountability for individual contributions to the group effort.
Sometimes an individual or small number of team members can come to dominate the
rest of the group. This could be due to strong personalities, greater abilities, or
differences in status among members. When individuals either do not feel listened to or
believe their ideas are not welcome, they may reduce their efforts.
Lack of Trust
Effective collaboration requires team members to have confidence that everyone shares
a set of goals. When that belief is missing, some individuals may not feel comfortable
sharing their ideas with the group. Lack of trust can also lead to miscommunication and
misunderstandings, which can undermine the group’s efforts.
While conflicts are a common aspect of working together and can even be beneficial to
a team, they can also negatively affect team performance. For instance, conflict can
delay progress on tasks or create other inefficiencies in getting work done.
When team members do not have the collaboration skills needed to work well with
others, the overall ability of the team to function can be limited. As a result, conflicts
may be more likely to arise and more difficult to resolve. A team that does not have the
expertise and knowledge needed to complete all its tasks and activities will have trouble
achieving its goals. Poor team composition can lead to delays, higher costs, and
increased risk.
Stuck in Formation
Sometimes the group cannot move from defining goals and outlining tasks to executing
its work plan. This may be due to poor specification of roles, tasks, and priorities.
Too Many Members/Groupthink
The size of the team can sometimes affect its ability to function effectively. Coordination
and communication are more complex in a larger team than in a smaller one. This
complexity can mean that decisions must take into account greater amounts of
information, meetings are more challenging to schedule, and tasks can take longer to
complete. Both large and small groups can fall prey to groupthink. Outcomes can suffer
if team members value conflict avoidance and consensus over making the best
decisions. People can feel uncomfortable challenging the group’s direction or otherwise
speaking up for fear of breaking a team norm. This phenomenon is known as
“groupthink.” Groupthink can limit creativity, lead to poor choices, or result in mistakes
that might otherwise have been avoidable.