The Challenges of Working in Virtual Teams

VIRTUAL TEAMS SURVEY REPORT - 2010

55 Fifth Ave., New York, NY 10003 Tel. +1.212.691.8900 RW-3.com Charlene.solomon@rw-3.com

2010RW3LLCAllrightsreserved.

CONTENTS
ExecutiveSummaryandAnalysis.................................................................................................................................. 3 KeyFindings............................................................................................................................................................... 3 KeyRecommendations.............................................................................................................................................. 3 Background.................................................................................................................................................................... 5 AboutRW3CultureWizard......................................................................................................................................... 5 SurveyPurpose.......................................................................................................................................................... 5 RespondentProfile........................................................................................................................................................ 6 LocationofRespondents........................................................................................................................................... 6 PercentageofVirtualTeamLocatedOutsidetheHomeCountry............................................................................. 6 SizeofRespondingOrganizations ............................................................................................................................. . 7 SurveyParticipationbyIndustrySector.................................................................................................................... 7 DefinitionofVirtualTeam......................................................................................................................................... 8 SurveyResponseData................................................................................................................................................... 9 VirtualTeamSuccess................................................................................................................................................. 9 DifferencesBetweenVirtualandFacetoFaceTeams............................................................................................ 0 1 RatingGeneralChallengesFacedbyVirtualTeams ................................................................................................ 1 . 1 ChallengesYouFacePersonallybyWorkingVirtually............................................................................................. 2 1 MeetingVirtualTeamMembersinPerson ............................................................................................................. 3 . 1 ChallengesYouFaceDuringaVirtualTeammeeting.............................................................................................. 4 1 CharacteristicsofaGoodVirtualTeammate........................................................................................................... 6 1 OpenEndedComments.............................................................................................................................................. 7 1 GeneralComments.................................................................................................................................................. 7 1 OtherImportantDifferencesBetweenVirtualandFacetoFaceTeams................................................................ 9 1 ExperiencewithVirtualTeamsOutperformingCoLocatedTeams ........................................................................ 3 . 2 MakingVirtualTeamsMoreSuccessful................................................................................................................... 8 2 Conclusion................................................................................................................................................................... 1 3

2 TableofContents|

EXECUTIVESUMMARYANDANALYSIS
InApril2010,RW3CultureWizardsentout30,000surveyformstorandomlyselectedemployeesofmultinational corporations.Wereceived600completedsurveys,andthefullresultshavebeenanalyzedintheattachedreport. Overall,participantsinthesurveyconfirmedthatvirtualteamspresentuniquechallengesthatareculturallybased and can be counterproductive unless managed effectively. While the hurdles that virtual teams face are not surprising, wewere struck by the depth and breadth ofthe challenges. Since virtual teams are an evergrowing component of global business, it behooves global organizations to institutionalize some global virtual team structureandtrainingtoovercomethesepotentialhazards. Wealsofoundthatvirtualteamsfacemanyofthesamechallengesthatallteamsface,butlanguagedifficulties, timeanddistance challenges, the absence of facetoface contact, and above all, the barriers posed by cultural differences and personal communication styles make virtual work far more complex. Fortunately, our business experienceshowsthatallofthesechallengesarenotinsurmountable,andonceagroupismadeawareofthem, effectivetrainingandorganizationalstructuringcanamelioratemostofthem.

KEYFINDINGS
80%ofrespondentsreportedthattheywerepartofateamwithpeoplebasedindifferentlocations. 63%ofrespondentsindicatedthatnearlyhalfoftheirteamswerelocatedoutsidethehomecountry. 64%consideredtheirteamtobeanexampleofavirtualteam. 60%reportedthattheirvirtualteamsweresuccessfulorverysuccessful,and40%believedtheirvirtual teamsweresomewhatsuccessfulornotsuccessful. Respondents found virtual teams more challenging than facetoface teams in managing conflict (73%), making decisions (69%), and expressing opinions (64%). They also stated that delivering quality output (48%)andgeneratinginnovativeideas(47%)weremorechallenginginavirtualenvironment. Time zones (81%) presented the greatest general hurdle to virtual teams, followed by language (64%); holidays,locallaws,andcustoms(59%);andtechnology(43%). Thegreatestpersonalchallengesrespondentsfacedwereinabilitytoreadnonverbalcues(94%),absence of collegiality (85%), difficulty establishing rapport and trust (81%), difficulty seeing the whole picture (77%),relianceonemailandtelephone(68%),andasenseofisolation(66%). 46%ofrespondentsnevermetothervirtualteammembersfacetoface,and30%metonlyonceayear. The top five challenges faced during virtual team meetings were insufficient time to build relationships (90%), speed of decision making (80%), different leadership styles (77%), method of decision making (76%),andcolleagueswhodonotparticipate(75%). When respondents ranked the most important characteristics of a good virtual teammate, they ranked willingness to share information as first, being proactively engaged second, and the ability to be collaborativeasthird.

KEYRECOMMENDATIONS
Thesurveyclearlyconfirmsthegrowingimportanceofglobalcollaboration,whichtranslatesintovirtualwork,and it goes on to point out the key areas in which virtual teams represent unique challenges to the productivity of organizations and individuals. The findings and our experience validate the need to recognize that virtual

2010RW3LLCAllrightsreserved.

teamworkisdifferentandrequiresspecifictraining,tactics,andsupport.Furthermore,todaysleadershipneedsto include specific competencies to structure and manage virtual teams that invariably comprise people from differentculturesandworkstylesandwhocometogethertomeetatdifferenttimesofthe24hourworkcycle. Virtual teamsneed to establish specific work rules (i.e., rules for respectful interaction) that areassumed inco locatedteams.Theyalsoneedtopaygreaterattentiontoteamstructurethancolocatedteamsdo.Inaddition, virtual teams must carefully monitor and adhere to the work rules they have created. Finally, they need to be awareoftheinfluenceofcultureonworkstylesandtodevelopprocedurestoassureinterculturaleffectiveness.

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 BACKGROUND
ABOUTRW3CULTUREWIZARD
RW3 CultureWizard is an intercultural training consultancy that specializes in creating online and eLearning facilities for its client organizations. In 2001, the founders of the company recognized that cultural training was neededbytheentirecorporatepopulation,notjustthepeoplewhoweretravelingandlivinginternationally.In responsetothatrecognizedneed,wecreatedCultureWizard.comtoserveasaculturaleUniversityandprovide tailored learning platforms to our client companies. As a result of the interests of our clients and general recognitionofthegrowingimportanceandcomplexityofvirtualwork,wesetabouttocreateanumberofcultural learning tools. These tools facilitate global collaboration and acknowledge the impact of culture in virtual work settings.

SURVEYPURPOSE
The rapid pace of technological change and growing number of collaborative software options have facilitated virtual work to the point where it is now commonplace for teams of people from around the world to work together, sometimes without ever meeting face to face. The obvious efficiency of these virtual work teams has increased dramatically in recent years. More recently, the reduction in business travel brought about by the economicdownturnhasmadevirtualteamsmoreusefulthanever. Whileweallrecognizethebenefitsofaccessingtheintellectualpowerofaglobalworkforce,therehasbeenlittle focus on the challenges that come with working across time zones and cultures. Nonetheless, there has been a growingawarenessoftheneedforeffectivecommunicationskillsamongvirtualteammembers.Thisconcernhas beenvoicedbyourclientsandcolleagues.Inresponse,RW3CultureWizardisdevelopingaVirtualTeamToolto help improve communication skills among virtual team members. As part of this effort, we emailed a survey to 28,034randomlyselectedcorporateemployeesandaskedthemtoparticipateina17questionsurveytoidentify keyareasforimprovingcommunicationskillsamongvirtualteammembers.RW3analyzedtheresultsandpresents thefindingsinthisreport.Inparticular,thereportexaminedthefollowingkeyareas: Differencesbetweenvirtualandfacetofaceteams Generalandspecificchallengesfacedbymembersofvirtualteams Informationabouttheuseofvirtualteamsandevaluationsoftheirsuccess Characteristicsofsuccessfulinteractionamongvirtualteammembers

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 RESPONDENTPROFILE
LOCATIONOFRESPONDENTS
The1,592surveyrespondentswerebasedin77countries.

Percent
23% 18% 7% 5% 4% 3% 2% 1%

Country

UnitedStates UnitedKingdom France,India Germany Canada Brazil Australia,China,Ireland,Italy,Switzerland Argentina, Austria, Belgium, Bermuda, Czech Republic, Hong Kong, Malaysia, Mexico, Netherlands,Poland,Romania,Singapore,SouthAfrica,Spain,Thailand,Turkey Other countries Algeria, Armenia, Aruba, Azerbaijan, Bangladesh, Barbados, Bosia and Herzegovina, Brunei, represented Bulgaria,Cameroon,Colombia,CostRica,Cuba,Denmark,Egypt,ElSalvador,Finland,Gabon, Greece, Guatemala, Honduras, Hungary, Iran, Israel, Japan, Kazakhstan, Laos, Lebanon, Madagascar, Malta, Mauritius, Morocco, New Zealand, Nicaragua, Pakistan, Panama, Paraguay, Peru, Philippines, Portugal, Russia, Saudi Arabia, Slovakia, Sri Lanka, Sweden, Taiwan,Uzbekistan,Venezuela,Zimbabwe

PERCENTAGEOFVIRTUALTEAMLOCATEDOUTSIDETHEHOMECOUNTRY
Sixtythreepercent(63%)ofrespondentsindicatedthat41%ormoreoftheirvirtualteamswerelocatedoutsideof thehomecountry.Thisunderscorestheglobalaspectofvirtualteamdeployment.

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 SIZEOFRESPONDINGORGANIZATIONS
The largest group of respondents (55%) represented organizations with more than 50,000 employees. The next largestgroup(21%)wasfromorganizationswithlessthan5,000employees.Together,theyconstituted76%ofthe survey participants. Representatives of midsized companies (5,000 to 50,000 employees) constituted the remaining24%ofrespondents.

SURVEYPARTICIPATIONBYINDUSTRYSECTOR
Morethanhalfofthesurveyparticipants(52%)werefromthefinance,insurance,legal,andaccountingindustry sector. This was followed by participants from the information technology sector (28%). In addition, there were participants from the manufacturing and aerospace sector; the pharmaceutical and healthcare sector; and the servicesandhospitalitysector.

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 DEFINITIONOFVIRTUALTEAM
Toestablishashareddefinitionofwhatitmeanstobeonavirtualteam,weaskedparticipantsiftheywerepartof ateamwithpeoplebasedindifferentlocations.Eightypercent(80%)ofrespondentsindicatedthattheywere,but 20%ofthemdidnot.Sixtyfourpercent(64%)ofrespondentsconsideredtheirteamtobeanexampleofavirtual team. Consequently, most respondents appeared to agree thata team of peoplebased in different locations is, indeed,avirtualteam.Weweresurprisedthat36%ofthesurveyedpopulationdidnotthinktheirteamwasvirtual sincetherecognizeddefinitionofavirtualteamisateamofpeoplewhoareindifferentlocationsanddonotmeet

PartofaTeamwithPeoplein DifferentLocations

TeamIsConsideredVirtual

20% Yes 80% No

36% 64% Yes No

facetofacebutworkonprojectsonaregularbasisbyphone,email,andvideoconference.

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SURVEYRESPONSEDATA
VIRTUALTEAMSUCCESS
Whenaskedaboutthesuccessoftheirvirtualteams,60%ofrespondentsreportedthattheyweresuccessfulor verysuccessful(combined).Whilethisinformationconfirmsthevalueofvirtualteams,38%stillreportedthatthey were only somewhat successful, and 2% reported that they were not successful at all. Clearly there is room for improvement,andtheseresultsindicatethereisarealneedfortraininginthisarea.

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 DIFFERENCESBETWEENVIRTUALANDFACETOFACETEAMS
Virtual teams differed most from facetoface teams in three areas: managing conflict (73%), making decisions (69%),andexpressingopinions(64%).Respondentscitedallthreeoftheseareasasmorechallengingforvirtual teams, and difficulty expressing opinions under these circumstances, in particular, is characteristic of indirect cultures.Intheabsenceofanabilitytoexpressopinionsormanageconflictsamongmembers,itisnotsurprising thatvirtualteamsfinditchallengingtomakedecisions.

Respondentsalsoreportedthatdeliveringqualityoutputandgeneratinginnovativeideasweremorechallengingin a virtual environment than face to face. These challenges, serious as they are, are not surprising inasmuch as virtual teams face hurdles of language, time zone differences, and culture as they try to complete their work. Thesehurdlesareexacerbatedbythelackofvisualandtactileinteraction.Nevertheless,itissatisfyingtoknow thatresearchindicatesthattheeventualoutputofsuccessfulinterculturalvirtualteamsismoreinnovativeandof higher quality. However, this benefit does not come easily, and it highlights the need for observing rules for respectfulinteractionamongvirtualteammembers.

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 RATINGGENERALCHALLENGESFACEDBYVIRTUALTEAMS
Time zones presented the greatest general challenge to virtual teams. This was followed by language; holidays, local laws, and customs; and finally by technology. We found it interesting that technology represented only a smallchallengetovirtualteams,especiallycomparedtotheotherchallenges.Timezones,however,wereanissue to81%oftherespondentswhofounditverychallenging(15%),challenging(27%),orsomewhatchallenging(39%). Sixtyfour percent (64%) found language at least somewhat challenging, and the openended comments elicited greaterdetailabouthowandwhenlanguagerelatedchallengescameintoplay.Finally,59%ofrespondentshad somechallengeswithholidays,locallaws,andcustoms.

The challenges addressed in this section of the survey are difficult to manage with anything other than compromise.Forexample,itisagoodideatoequallydistributethehardshipofschedulingmeetingsonaglobal clocksothatthetimezoneissueisnotbornebyoneculturealone.Successfulglobalteamsalsodistributeholiday schedules to each other in advance, and they address languagedifficulties by following up phone conversations withwrittencommunications.

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CHALLENGESYOUFACEPERSONALLYBYWORKINGVIRTUALLY
Respondents indicated that the greatest virtual challenge they faced was inability to read nonverbal cues. This wasfollowedbyabsenceofcollegiality,difficultyestablishingrapportandbuildingtrust,difficultyseeingthewhole picture, reliance on email and telephone, and a sense of isolation. Not surprisingly, our studies and anecdotal evidenceindicatedthattheinabilitytoreadbodylanguage(whichaccordingtosomestudiesrepresents70%of themessage)ledtothebiggestchallengesthatvirtualteamsface.Inthissurvey,theinabilitytoreadnonverbal cueswasachallengeofvaryingdegreeto94%ofallteammembers.Furthermore,itiscloselylinkedtothelackof facetofacemeetings:wefoundthat46%ofvirtualteammembersnevermeetinperson.

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The absence of collegiality (85%) and the difficulty of establishing rapport and trust (81%) also made it more difficultforteammemberstobeproductive.Takentogether,thesefindingsaboutvirtualchallengesindicatethe importancetovirtualteamsofestablishingclearlydefinedstructures,procedures,andprocesses. Wehavefoundthatwhereverpossible,itisvaluableforvirtualteamstohaveperiodicfacetofacemeetings,but even when such meetings are part of a team structure, it is still important for team leaders to be cognizant of thesechallengesandtoleavetimeduringmeetingsforbuildingrapportandcollegiality,whichhaveasignificant impact on team trust. Furthermore on the subject of trust, there are several ways that the absence of trust manifestsitself.Itcanbealackoftrustintheperceivedcompetenceofteammembersoralackoftrustintheir dedicationandcommitmenttotheteam.Bothoftheseaspectsareoftenrootedinculturalbehaviorsandcanbe addressedeffectivelybyproperlystructuringcommunicationsandbysettingasidetimefordialog.

MEETINGVIRTUALTEAMMEMBERSINPERSON
Theinfrequencyofmeetingsamongvirtualteammembersunderscoredtheirvirtualnature.Nearlyhalf(46%)of respondentsnevermettheirothervirtualteammembers,and30%metonlyonceeachyear.Twentyfourpercent (24%)ofrespondentsmettwoormoretimeseachyear.Theopenendedquestionselicitedevenmoreinformation aboutthisaspectofvirtualteams.Againandagain,respondentsvoicedadesireformorefacetofacemeetings amongvirtualteammembers.

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 CHALLENGESYOUFACEDURINGAVIRTUALTEAMMEETING
The accompanying graph lists virtualteam meeting challenges by the severity of the challenge. The top five challengeswereinsufficienttimetobuildrelationships(90%hadsomedegreeofchallenge),speedofdecision

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 making (80%), different leadership styles (77%), method of decision making (76%), and colleagues who did not participateintheprocess(75%).

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Whiletheremainingteammeetingchallengesweresomewhatlesschallengingforrespondents,between60%and 65%ofrespondentshadsomedegreeofchallengewithallthehurdlesidentifiedinthesurveywiththeexception ofadheringtoagendas,whichwaschallengingto48%ofrespondents.Fromtheseresponses,itisclearthatvirtual teams need structures and defined processes. Introducing them will not only enhance the comfort level of participantsbutwillhaveamarkedimpactonperformance.

CHARACTERISTICSOFAGOODVIRTUALTEAMMATE
Whenweaskedaboutthecharacteristicsthatmadegoodvirtualteammates,respondentsindicatedthatthemost important characteristic was a willingness to share information (18%), followed by being proactively engaged (17%),collaborative(17%),organized(14%),havinggoodsocialskills(13%),providingusefulfeedback(11%),and offeringassistancetoteammates(10%) It is clear that many of thebehaviors of a good teammate are culturally rooted. Forexample, in some cultures, sharinginformation(18%)isbothamanifestationofpowerandawayofbuildingrelationships.Insomecultures the bulk of information sharing takes place in offline settings, which are hampered in the virtual environment. Furthermore, direct communicators (who are also low context) focus on sharing just the facts, which will leave highcontextcommunicatorsfeelingunderinformed.Globalteamleaderswouldbewelladvisedtodevelopplans tosharethisinformationwiththeirteammembers.

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OPENENDEDCOMMENTS
GENERALCOMMENTS
When we asked survey participants to add any other comments, they responded with statements that encompassed the following topics: communication and language; coordination, technology, and a sense of collaboration;management,goals,andaccountability;culturalbias,andbetterteamselection.

COMMUNICATIONANDLANGUAGE
Allteamsarevirtual,whetheryourcolleagueisthreedesksawayor3,000 miles away.In professional relationships, nonverbal, nonwritten communicationsareoffrecordandthereforeirrelevant. Inabilitytounderstandpeopleduetothickaccentsisvery,veryfrustrating. emails are OK to solve 80% of problemsphone calls help solve 10% of remaining problemsthen adding videoconferences helps solve 5% of the remaining problemsfor the remaining 5% of problems, a facetoface meeting will help solve easily half of the remaining problemsthose remaining after that are real essential problems potentially impacting the essenceoftheprojectandneeddeepnegotiation.

COORDINATION,TECHNOLOGY,ANDASENSEOFCOLLABORATION
We have created a virtual lunch once a month that coworkers can voluntarilyattend.Thishashelpedinbuildingrapportwithcoworkers. Virtualteamsrequireagoodinfrastructuretoovercomethelackofpersonal interaction. We use chats, videoconferencing, and audioconferencing constantlyinadditiontooneononeconversationsandemail. Ifyoucanseeaprofileofthepeopleyouareworkingwith,howtheyfitinto theoverallorganization,whatistheirexpertise,etc.,helpsthevirtualteams to be successful. I also think having good tools to share screens and collaborateondocumentsorprojectsandsharevisibilitytoactionitems(not gettinglostinemails)helpstomakevirtualteamssuccessful.

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 MANAGEMENT,GOALS,ANDACCOUNTABILITY
Virtual team building is a balanced act and requires a good skill set and talent management and selection criteria. Virtual teams require more managementtimeandadditionaltimetoadjusttotimezonedifferences. Virtualteamscanbesuccessfuliftheexpectationsandleadershipareclear and the members are willing, able, and committed to making the time for meetings. Ensuringaccountabilityisthekeytosuccess. Leadership plays a big partestablishing clear goals for everyone, not just the project, takes effort. Getting commitment by agreeing to project objectivesthatfitwitheachindividualsperformanceobjectivesalsohelps.

CULTURALBIAS
Some nationalities I find difficult to work with, every time, irrespective of theindividuals.Definitelysomebigculturalchallenges! Akeytosuccessinvirtualteamsistherespectthathastoexistbetweenthe teammembersindifferentcountries.Onecountrycannotfeelitisbetterthan theothers.Thereisnothingmoredisruptivethanhavingonecountryacting asifitknowsitallandtheothersareignorant. Political agenda of different nationalities, geographic entities, and departmentsisamajorhindrancetotheconceptofvirtualteam.Weneedto understand that though we are globalizing, we still have asymmetrical power, economic well being, and ethnocentricity among different geographicalunits.

BETTERTEAMSELECTION
Somepeopleperformbetteronvirtualmeetings,somearebetteronfaceto facemeetings. Theteammembersarewhatmakeavirtualorcolocatedteamwork.Iam fortunatethateveryoneinmyteamhasmanyyearsofexperienceandisable toworkwellinavirtualteam. Critical to performance, whether the team is virtual or colocated, is the composition of the team. A blend of driven, strong individual contributors, who will complement each other and function seamlessly, unhampered by timeandlocation,makesforahighperformingteam.

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OTHERIMPORTANTDIFFERENCESBETWEENVIRTUALANDFACETOFACETEAMS
Whenweaskedparticipantstoidentifyotherimportantdifferencesbetweenvirtualandfacetofaceteams,they respondedwithsuggestions.Weselectedseveralanddividedthemintothefollowingsevencategories:faceto face contact and relationships, communication, language and misunderstandings, time and distance, level of participationindiscussions,decisionmaking,andpositiveobservations.

FACETOFACECONTACTANDRELATIONSHIPS
Respondentsexpressedaneedtohavefacetofaceinteractionswithteammembers.Ononehand,theneedfor personal interaction related to taskcentered activities. These included informal brainstorming, spontaneous discussions, sharing ideas around the watercooler or while passing in the hallway, or unscheduled visits where oneteammemberdropsintodiscussanexcitingidea.Examplesincludedthefollowingstatements:
Lessopportunityforwatercoolermoments,whenyoumakebreakthroughs inideas,orunblockingroadblocksbyinterpersonalreaction. You need to connect with people. There is no way to connect with people virtually.Itisinefficientwhenconflictsariseortobrainstorm.Byexperience, wehavedoneintwodaysoffacetofacemeetingwhatwecouldnotachieve intwomonths.

On the other hand, the need for direct interaction and relationshipbuilding involved the personal side of the equation. Respondents expressed a need to build trust, gauge the strengths and weaknesses of teammates, or assesswhereonesteammatesstoodwithrespecttoanissue.Insomecases,thisinvolvedadesiretopersonally witnessasenseofcommitmenttotheprojectortopersonallyexperiencethesharedsenseofacommongoalor teamspirit.Examplesincludedthefollowingstatements:
Lack of facetoface contact makes it take longer to build the team relationshipsandtrust. Norealteamfeeling.Inevermetoneteammemberpersonally. ItshardtotrustsomeoneIneverseeandhavetroubleunderstanding.

COMMUNICATION
Asinthecaseoffacetofacecontact,uncertaintiesabouttheeffectivenessofcommunicationamongvirtualteam memberscoalescedaroundspecifictasksononehandandamorepersonaldimensionontheother.Taskrelated concerns included doubts about communicating effectively without visual aids. In such cases, respondents were concernedthatteammatescouldnotvisualizeorabsorbinformation.Examplesincludedthefollowingstatements:
Ifeelthatitishardtogetyourpointacrosswhenyoucannotseeor[usea] whiteboard[toconvey]somedesigns. Thelackofvisualizationandcontact.

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Ontheotherhand,respondentswereconcernedabouttheirinabilitytoobservethebodylanguageofteammates. Theywereconcernedaboutwhetherotherteammembersagreedwithorevenunderstoodtheircommunications. Assent, comprehension, and a sense of being on the same page were important. Examples included the followingstatements:
Overallcommunicationisdifferentasnobodylanguagecanbeused.Lacksa dimensioninthatregard. Difficulttoensurethateveryoneactuallyhasagreedtothesamething.Not seeingbodylanguagecanalsomeanthatitisdifficulttounderstandexactly whatsomeoneisfeelingandifthisdiffersfromwhattheyaresayingsothat youcanmanagetheirexpectationsbetter.

LANGUAGEANDMISUNDERSTANDINGS
Some respondents cited language problems and a fear of being misunderstood. While these can be considered part of the general communication challenge, they were cited frequently enough to merit independent consideration.Ononehand,theseconcernswereexpressedintermsofthetaskoriented,technicalmeaningof communicationsandthepreciseterminologyused.Examplesincludedthefollowingstatements:
Must be more aware of terminology used in virtual teams. Its more likely thatthingsaremisunderstood.Virtualteamsseemlesslikelytospeakupand say I dont know that term or assume it means one thing, but the term is beingusedinadifferentcontext. Its much easier to misinterpret what is said when you cant see faces and bodylanguage.

Ontheotherhand,concernaboutmisunderstandingwasbasedonthepossibilitythatculturalcuesandlanguage differenceswouldleadtopersonalfriction.Examplesincludedthefollowingstatements:
Cultural,linguisticdifferences. Communication issues arise when people come from different countries. Misunderstandingsaremultiplied.

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 TIMEANDDISTANCE
Comments about working with team members located in different time zones included concerns about inefficiency, establishing mutually agreeable meeting times, timezonebased delays in obtaining responses, and theavailabilityofteammembersallleadingtodelays.Examplesincludedthefollowingstatements:
Findingmutuallyagreeablemeetingtimes. Locationscancrosstimezones,sothereturnoffeedbackoranswerscanbe delayed.ApersonwhohasaquestionontheWestCoastsendsitat4p.m.to a teammate on the East Coast. It is then 7 p.m. on the East Coast, so they havetowaituntilthenextdayforaresponse.

Ontheotherhand,timeanddistanceconcernsincludeduncertaintyaboutthepersonalcommitmentoftheother team members. Respondents also suspected that remote team members might have other local priorities. Examplesincludedthefollowingstatements:
Thelevelofengagementdiffersbecauseoftimezonedifferences.Someare justwakingup(5to6a.m.)whileothersareendingtheirday(9to10p.m.). Theydontcontributeasmuchateitherend. Localprioritiestakeprecedenceoveroverallgoals.

LEVELOFPARTICIPATIONINDISCUSSIONS
Respondents were concerned that people did not speak up or were unmotivated to participate. They also wondered if team members were paying attention during long discussions suspecting that they were multitaskingand answeringemails while a discussion was underway. Theybelieved that the quality of the work waslowerasaresult.Examplesincludedthefollowingstatements:
someoneisalwaysonmuteanddoingtheiremails! I feel that many people try to multitask during conference calls, which means that they do not pay full attention to the task at hand. This subsequently means that we repeat issues/statements quite often because someonemissessomething.

Somerespondentsbelieveditwaseasytobecomeinvisibleanddisappearduringdiscussionswithvirtualteam members.Sometimestheyappliedtheseconcernstothemselvesandexpressedasenseofpersonalisolation.They feltleftout,faraway,andunwillingtospeakup.Examplesincludedthefollowingstatements:

Inconferencecallsinparticular,peoplearemorereluctanttospeakupand offeropinionsthantheyareinfacetofacediscussions.

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Generalfeelingofisolation(orbeingleftout)ofcertaindiscussions.

DECISIONMAKING
The absence of clear leadership and inability to make decisions were concerns among some respondents. They believedthatmoreattentionhadtobedevotedtomanagingtheprogressofvirtualteamsandplanningaheadto achieveadesirableresult.Examplesincludedthefollowingstatements:
Leadership, governance, effective planning, and virtualmeeting managementbytheteamleaderandhisassistantplayacrucialrole. Effectiveleadershipdemonstrateswhatitlooksliketoremoveisolationand confusionwhilebuildingvirtualtrust.Regrettably,someplacedinleadership roles opt only to manage their teams, which fuels a repetitive cycle of challengeafterchallenge,resultinginmediocrityandlossoftalent.

Resolving differences also was considered a key obstacle. Respondents expressed concern that in a virtual environment,therewasnoclearwaytomoveontothenexttopic.Thesedifficultiesrevealedaneedforeffective leadership.Examplesincludedthefollowingstatement:
Ivehadtototallychangemyworkprocessandammuchmoredirectwhen askingpeoplehowtheyarefeelingoractingwhenIsensehesitationorlack ofcommitment.IhavetotranslatewhatIpickupfrombodylanguagethe silent lack of verbal agreement is deafeningwill you each tell me how you are feeling about this changeat this moment? It is very direct and can be somewhatinyourfacewithnewfolks.

POSITIVEOBSERVATIONS
Somerespondentsclaimeditwaseasiertoworkwithavirtualteamthaninafacetofaceenvironment.Theyfelt thatawiderrangeofopinionsandmoretimeweremadeavailable.Examplesincludedthefollowingstatements:
Ifindthatremoteworkinghasmoreplusesthanminuses.Focusisontasks anddeliverables,notonofficepolitics. Onapositivenote,youhavealotofdiverseideas.Also,youcanutilizemore hoursintheworkday(dayandnight).

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 Inaddition,somerespondentsclaimedthatstrongteammembersandappropriateuseoftechnologiesmadefor successfulvirtualteamwork.Examplesincludedthefollowingstatements:
Ifthemanagerhasstrongemployeesonavirtualteam,itisjustaseasy,if notbetter,thanfacetoface[meetings]. Ihavefoundthatyouhavetousethetoolsyouhaveandnotrelyonperson toperson contact.I do more contact on the phone regarding performance thanIdoinperson.Ialsoprovidedocumentsonlinetostaff(versusinperson arrangements).TheonlythingImissisbodyandfaciallanguage.However, thisisthenatureofworkingremotelyandindifferentlocations.Youhaveto find ways to determine if people are working [and] are available. Once you findthatandarecomfortablewithit,itworksquitewell.

EXPERIENCEWITHVIRTUALTEAMSOUTPERFORMINGCOLOCATEDTEAMS
We mentioned research showing that virtual teams outperformed colocated teams, and we asked survey participants to describe their experiences with both types of teams. While some respondents had good experienceswithbothtypesofteamsorhadcriticismsofbothtypes,theresponseswereoftenpolarizedoneach side of the question. In this section we present a sampling of the strengths and weaknesses identified by supportersofeachtypeofteam.

SUCCESSWITHVIRTUALTEAMS
Respondentshighlightedthewiderrangeofexperienceandskillsthatcanbeaccessedwhenvirtualteamstapinto anorganizationsworldwideresourcepool:
Itisanexcitingfeeltobepartofaninternationalteam.Onegainsmoreofa big picture view and has the opportunity to view many different managementstylesthatarebornindifferentcultures. Virtual teams can have a broader experience and exposure and offer new perspectivesbutrequiremuchmoreefforttocoordinatetomakeitwork. Withavirtualteam,youcantapintoamuchwiderresourcepool,butyou havetogetthedynamicrighttogetcontributionsthatmaximizetheoutput fromtheteamscompetencies.

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 Some respondents reportedthat since virtual teams were unable to function properly without taking additional measurestoorganizetheireffortsmorecarefully,thesemeasureswere,indeed,takenandhadbeneficialresults. Theyalsoindicatedthatstrongleadershipwasthesourceofthispositiveresult:
Ibelievethevirtualteamsdonottakeanythingforgrantedandasaresult ensurethereiscommonclarityandunderstanding. Virtualteamsareforcedtobebetterorganizedandfollowclearprocedures. So[they]couldhavebetterperformanceinthissense. Itdependsonthemotivationlevel.Myvirtualteamprojectsarefollowedat averyhighlevel,sotheyaremoredriventosucceedthanmyteamwhositsin thesamebuilding.

Manyrespondentsindicatedthatvirtualteamswereabletomaintainastrongerfocusandhadfewerdistractions thanfacetofaceteams:
I think virtual teams tend to be more goaloriented and focused.With a virtual team, you get together on a call for a specific purpose, and you all focusonthat. have worked in both environmentsfeel that there are less distractions workinginavirtualteam.

Anumberofrespondentsindicatedthattheflexibleschedulingrequiredforvirtualteamswaspreferableforteam membersbecauseitenabledthemtoimproveboththeirteamproductandqualityoflife:
Workingvirtually,Icanflexmyscheduleasneededtoconcentratefullyon work, but also take care of personal needs, balancing as needed. I can be more flexible in terms of taking calls at early or late hours as needed to accommodateothertimezones. Virtualteamsoftenprovideindividualswithbetterqualityoflife,including abilitytohaveflexhourstosupportabetterwork/lifebalance.Thismotivates peopletodowhattheycantocontinuetobesuccessfulinthatsetting.

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 WEAKNESSESOFVIRTUALTEAMS
Manyrespondentsfeltthatpoorlanguageskillsandculturalbarrierscompromisedtheeffortsofvirtualteams:
butitwouldrequireacertainlevelinlanguageskillsandsocialbehavioras well.Forsomepeople,itseemstobejusttoomuchtotakeacalltoateam memberifyoudontknowhimthatwell. Virtual teams can be as good as colocated teams if [they have] the same language and culture. For different languages and cultures, virtual team workingbecomesmuchlesseffective. The miscommunications brought on from geographical and cultural separationhaveprovedverypainfulandrequirepeopleineverysite(andof every culture) to have an aboveaverage skill set to overcome these difficultiesandavoidatotalbreakdownintrustandcooperationbetweenthe disparatepartsoftheteam.

Some respondents indicated that virtual teams were too dependent on exceptional leadership skills to perform effectivelyundermostcircumstances:
Itisverydependentontheteamandinparticularontheleadershipofthe manager to develop the teams virtual skills and ensure an opportunity for effectivecommunications. Majorproblemwithavirtualteamistoensurefairloadbalancingbetween members.Amembersestimateofhisowncontributionandeffortsmaynot matchreality.

Whiletheyagreedthatvirtualteamswerecapableoffurnishinghighqualityresults,somerespondentsbelieved thattheteambuildingeffortrequiredwastootimeconsuming:
however, significant time and effort should be invested in teambuilding activitiesatthebeginningoftheproject.

Somerespondentsclaimedthatsimpletasksweremoreappropriateforvirtualteamsthancomplexassignments:
Depends on the complexity of [the] task[on] simple tasks for volume output,[virtualteams]outperformduetoroundtheclockworking. If the task lends itself to a divideandconquer approach [specialized, segmented activity] and benefits greatly from geographic diversity, then virtualteamsaregreat.

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Participants reported that the lack of sufficient interaction among virtualteam members placed them at a disadvantage:
Colocation has the advantage [because] it is easier to update and advise teamsofrevisedactionsandchangesinplansduetoalocalpresence;thishas provedmoredifficultacrossvirtualteams,whichfeelisolated. In engineering, a large part of the job depends on short, facetoface interaction.Emailandtimezonedifferencesdramaticallydegradequalityand productivity. With very good people, it can be accomplished, but at a steep priceintermsoftimeanddevelopmentcost.

A number of respondents claimed that only experienced team members were capable of functioning with the independentfocusandnecessaryskillsetrequiredformostvirtualteamefforts:
If [the virtual team] consists of well experienced members, it will perform well.Forateamwithmembersthatarerelativelyneworhavelessworking experience, it is better to be colocated as communication can be made clearer. In areas where team members, especially juniors, require mentoring and support, colocated teams provide better opportunities and onetoone contacttimetoprovideguidanceandmentoringtogettheworkdone.

SUCCESSWITHCOLOCATEDTEAMS
Accordingtomanyrespondents,facetofaceinteractionisvital:
Team spirit is much better in colocated teams, which normally leads to betterresults. Facetofacecheckingforunderstandingonkeyissuesinaprojectorprocess ensuresthattheworkisnotwasted. Personally, commitment to achieving team objectives increases to a sustainable level if the team has an opportunity for a facetoface engagementaminimumofonceperyear.

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 Some respondents indicated that the speed and efficiency of colocated teams gave them an advantage over virtualteams:
Decision speed, better communication, learning from others experiences, informationsharing...arecharacteristicsofcolocatedteams. Colocated teams are faster [and] more flexible. Less communication and meetings [are] needed since everyone is sitting together certainly for problemhandling.Easiertobrainstorm. Colocatedteamstendtoworkbetterasdecisionmakingisquicker,anditis easiertotestunderstanding.

Some respondents claimed that colocated teams had greater commitment and were more responsive to leadership:
Myexperienceisacolocatedteamwaswellrun,communicatedregularly, and all were engaged. My experience now with a virtual team is that not everyone is engaged (or that is the perception). It is hard to read others whomyoudonthavetheopportunitytospeakwithoften. Itismucheasiertogetgoodresultswithcolocatedteamssinceyoucansee thepeopleandyoucanpushthemtohaveahighercommitment.

Anumberofrespondentsbelievedthatcolocatedteamswereabetterchoiceforcomplex,advancedprojects:
Depends on the complexity of taskcomplex tasks [are] less suitable [for virtualteams]duetocommunication[requirements]. Virtual team is not efficient to perform advanced results in engineering or training. Virtual training is unsuccessful compared to academic engineering schoolwithtechnicalpracticelearning.

WEAKNESSESOFCOLOCATEDTEAMS
Somerespondentsbelievedthatcolocatedteamsweremoreinsularintheiroutlookandwereunabletoprovide creativesolutions:
Members of colocated teams often have the same background and share the same traditions and habits (e.g., of the company). This leads them to thinkinamoresinglemindedwaythanvirtualteams.Inmyopinion,virtual teamsgeneratemoredifferentandmoreinnovativeideas.

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 There were reports that local office politics and friction between personalities posed a significant challenge to membersofcolocatedteams:
Local [colocated] teams have the disadvantage of group think or aligning with the local power structure going along with the boss or person with mostauthority. I think there is a possibility that personalities could get in the way if the peoplearecolocated,whereasvirtualteamsarenotasclosepersonallyand donothavetheopportunityformorepersonalissuestogetintheway.

A number of respondents believed that the distractions facing colocated team members tended to lead to excessiveamountsofwastedtime:
With facetoface teams, there are many distractions and other issues that cancomeup. Workingonsite,thereareanumberofdistractionsthatdecreaseproductive worktime,inadditiontocommuting,greaterlikelihoodoflunchbreaks,etc. casualdistractions,interruptions,andtimeconsumingsocializing.

MAKINGVIRTUALTEAMSMORESUCCESSFUL
Whenaskedhowtheywouldmaketheirvirtualteamsmoresuccessful,somerespondentsexpressedaneedfor moretime.Otherscitedtheneedforacommonlanguage,timezone,andcurrency.Thesecomments,however, constitutedonlyafractionofthetotal.Thelargestnumberofcommentscitedaneedformorefrequentfaceto facecontacttocementbetterrelationshipsamongteammembers.Inarelatedvein,manyparticipantsidentifieda need for better communication, and they frequently suggested the use of better collaborative technologies especiallyvideoconferencing.Therealsowerenumerouscommentsthatonlycanbeinterpretedasexpressionsof frustrationaboutpoorprojectmanagementusuallyevidencedbyalackoforganizationoraclearunderstanding ofsharedobjectivesandresponsibilities.Finally,commentsaboutthelackofinitiative,cooperation,andmeeting etiquetteamongteammemberspointedtoaneedformorecarefulselectionofvirtualteammembers.

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 FACETOFACECONTACT
The following statements expressed the need for regularly scheduled facetoface contact, better relationships, andinformalexchanges:
Having regular meetings or even just conference calls, where the whole team comes together so that we can all have a sense of what each team memberisworkingon.Currentlywehavenoteammeetings,andeveryone islefttoworkinisolation. Theabilitytobuilduprelationshipsandtrustsomoreinformalexchanges of information [should] naturally occur. These are the types of things that wouldhappenwhenyouwalkedpastsomeonesdeskandchatorbumpinto themmakingcoffee Regular touchpoints, face to face, for lessons learned, for relationship buildingactivities.Also,tohaveateambuildingpossibilitybeforethevirtual teamshavetoworktogether.

BETTERCOMMUNICATIONANDCOLLABORATIVETOOLS
Thefollowingstatementsweretypicalofrespondentsthatcitedaneedforusingthesamesystems,software,and collaborationtoolstoimprovecommunication:
Ourteamandtheotherteamsweworkwithwouldfinditmucheasiertobe successful if we were all using the same systems and products. The lack of uniformityinthecompanyisdistressing. communication is key. Finding more ways to communicate without sacrificingtimeawayfromtheactualjobfunctionswouldhelp. Less reliance on email and more willingness to pick up the phone and call eachotherwhentheresaconflictorimpasse.

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 BETTERMANAGEMENTANDORGANIZATION
Thefollowingcommentsillustraterespondentsfrustrationsaboutthelackofmanagementoversight,leadership, clearobjectives,assignmentdelegation,coordination,andawarenessofteamprogress:
Better followup, information, and visibility into what each member is doing. Clearlydefinedownership.Notlettingpeoplegetawaywithnotdoingtheir jobandpassingthebuck. Ensuring everyone understands and is aligned to the same objectives. Commitment to objectives and constant followup on milestones to achieve objectives. Starting and ending meetings on time, adhering to an agenda, and timely followuponactionitemsloggedduringthemeeting.

BETTERTEAMMEMBERS
Invariouscommentsthatwerelinkedtoperceivedmanagementdeficiencies,respondentsindicatedthatvirtual teamsrequiredamoreresponsible,selfdirectedtypeofpersonwithamixofappropriateskills:
iftheywouldusetheirowninitiative. Pay attention during calls and dedicate the time to the call rather than multitaskingduringcalls. amethodtomotivatepeoplebyemailandphone. Caliberofpeople.

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CONCLUSION
Thenumericaldataandopenendedresponsesinthisreportcorroboratethetrendtowardglobalcollaboration. Theyalsohighlightfundamentalareaswherevirtualteamsposeuniquechallengestoorganizationalandindividual productivity.Knowingthatchallengessuchasconflictmanagement,decisionmaking,timezonedifferences,and culturalandlanguagebarriershavesuchastrongimpactonthesuccessofvirtualteams,forwardlookingleaders are well positioned to structure and manage their relationships for optimal results in a global business environment. Thereisavitalneedtodevelopspecificandexplicitworkrulestoreplacethosethataretacitlyunderstoodamong membersofcolocatedteamswhoshareacommoncultureandlanguage.Toensurethattheseruleshavetheir intended, positive effect, mechanisms to assure their observance should also be put in place just as quality control programs require a tandem effort of quality assurance to document their successful implementation. Armed with an awareness of cultural influences in the workplace and procedures to sustain intercultural effectiveness,organizationswillbeabletocapitalizeonthediverserangeoftalentthattheirworldwideemployee populationscanbringtobearontheirefforts.

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