The proper term for a group of parrots is a pandemonium, although they are also referred to as a company or flock. Parrots are social birds who live in large groups of up to 1,000 birds.
Living in a pandemonium or company allows parrots to watch for predators and also socialize with one another. The squawks and screeches a parrot makes are calls that are used to keep track of other parrots. Studies with African grey parrots show that some parrots can associate words with actual meanings and even form simple sentences. Some parrots, such as the Kea, can even solve puzzles and use tools.