Interviews of graduate and undergraduate students and faculty members at several urban universities were conducted during a 3-year period. The results suggest differences in satisfaction and performance with respect to temporary versus permanent groups and groups versus teams. Possible explanations for these differences are provided. The article discusses types of projects for which permanent and temporary groups will be effective. Findings also suggest the need for increased training of faculty in creating appropriate classroom environments and projects. Areas of additional training necessary for students include group dynamics and leadership requirements to supplement course concepts.