Teamwork allows employees to take greater responsibility for decision making and also allows team members to control more of the work process.
This can lead to improved morale as employees gain more authority and ownership over the projects they are working on.
The extra responsibility can lead to a more rewarding work environment and lower turnover. Working on a team also gives employees a greater sense of belonging and of recognition, which helps them take more pride in their work, and their company.
In workplaces where teamwork isn't consistent, establishing groups helps build stronger relationships between employees and lets individuals learn to work through a disagreement.
Establishing teams, even when they aren't necessary, creates an environment where workers continue to take pride in independent accomplishments while also celebrating the contributions of coworkers.