Cultural Competencies

 Principles of Global Virtual Teams


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Lesson 9: Virtual Communication

Science Fiction to Fact

Many companies like Cisco are developing ways for people to interact in virtual ways that appear to be more like face-to-face encounters. While each of these innovations enables people to communicate across time zones, distance and culture. Business now is becoming ever more reliant on virtual teams, within the same country or as part of a global community. It is not just a matter of better communication, but it includes putting key people in direct contact with customers and saving money while doing so.

Roebuck and Britt (2002) provide several examples associated with using global virtual (GV) teams.

  • Northern Telecom saved upwards of $20,000 per person per year by not having to provide a workspace for individuals who were more often than not out of the office.
  • IBM eliminated physical offices and saved 40-60% per site annually while increasing productivity of virtual team members by 15-40%.
  • US West (now Qwest) reported increased productivity by up to 40% by implementing virtual teams.
  • Hewlett-Packard moved salespeople to a virtual workplace arrangement and doubled its sales.

It is easy to see there are substantial monetary savings in using a GV team. However, each also provides a means to keep in contact with co-workers and clients on a regular basis.

GV teams are not without concerns and issues. A study by Lojeski and Reilly (2008) revealed that GV teams experienced a decline in project success when success was defined as on-time, on-budget delivery. As mentioned earlier, without proper training and experience, it may take longer to produce a product from design to market. They also saw a decrease in innovative effectiveness, work satisfaction, role and goal clarity and leader effectiveness. In addition, a decline in team member trust may also occur. Each of these items presents a serious concern with using a GV team. These items are symptoms of issues with GV teams. By dealing with the real issue of appropriate communication and proper choice of VCTs, each of these symptoms may be countered. With advanced planning, preparation, and effort on the part of team members and leaders, GV teams are able to bring several benefits to organizations.



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This website is a 2011 BYU project funded by a National Science Foundation (NSF) grant (# EEC 0948997).

Content Author: Dr. Holt Zaugg, PhD EIME

Content Co-Author: Dr. Isaku Tateishi, PhD IP&T

Web Developer: Jennifer A. Alexander, MS IP&T





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