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 CORPORATE LEADERSHIP COUNCIL® JULY 2008
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KEY FINDINGS
Managing Virtual Teams
Virtual teams are an increasingly popular form of collaboration as employers seek to save money on travel expenses as well as bring
1
together dispersed experts to solve complex challenges. For managers, the distance and technology of virtual teams tax their current
skills to the utmost and compel them to learn new ones. This summary of literature and primary research provides managers with an
understanding of their role and responsibilities, along with information on executing strategies to effectively manage virtual teams.

ADJUST TO THE VIRTUAL TEAM BY EXPANDING UPON TRADITIONAL LEADERSHIP QUALITIES

Regardless of the nature of a team, there exists a set of traditional skills that leaders must possess to achieve team objectives.2
However, in virtual and global virtual team environments, additional leadership skills become necessary to reproduce elements of
successful co-located teams. The graphic below shows the additional skills required for managing virtual teams.
3,4,5
Figure 1: Virtual Team Leadership Skills Grow out of Traditional Team Skill Sets

Traditional Skills
ƒ Developing and articulating the team’s
Traditional Team mission and objectives
Leadership Skills ƒ Mentoring team members
Because they rarely, if ever, ƒ Ensuring clear lines of communication
meet face to face, virtual ƒ Updating the team regularly on
teams amplify a leader’s progress
weaknesses. So, leaders ƒ Measuring performance
must learn effective
communication skills in Virtual Team Skills
this new environment.7 Virtual Team Skills ƒ Building trust in the team
ƒ Precision in communication
ƒ Technological know-how/aptitude
Global Virtual Team Skills
Global Virtual Team Skills6
ƒ Cultural intelligence
ƒ Logistical skills

PREPARE THE GROUNDWORK FOR A SUCCESSFUL VIRTUAL TEAM

Before starting a project, a virtual team must come together and establish common criteria for successful working relationships. A
checklist like the one below helps ensure that the most important points are resolved early on in the virtual collaboration process.

Figure 2: Checklist to Create a Focused Team8, 9

Keep the virtual team small (approximately 10 members)10

Create a virtual team charter:

ƒ Explain the team’s mission
ƒ Frame the business problem the team is attempting to solve
ƒ Define the team’s objectives
ƒ Outline the decision-making process
ƒ Specify each individual’s role

Agree on communication etiquette:

ƒ Respond promptly to all communications from fellow team members
ƒ State ideal behavior for audio and video conferencing, meeting facilitation,
and email usage
ƒ Actively listen, avoid multitasking, and demonstrate disciplined behavior

© 2008 Corporate Executive Board. All Rights Reserved.

Catalog Number: CLC1XXXXXX
 CORPORATE LEADERSHIP COUNCIL® PAGE 2
MANAGING VIRTUAL TEAMS KEY FINDINGS

PREPARE THE GROUNDWORK FOR A SUCCESSFUL VIRTUAL TEAM (CONTINUED)

There is a “virtual paradox” in virtual teams; research suggests that durable virtual teams depend highly on trust, but they do not operate
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under conditions supportive of trust-building. Therefore, managers must work diligently to promote trust during team interactions, as
outlined below:
Tech Tool Tip
Figure 3: Checklist to Build Trust within the Team12, 13, 14, 15
Having an initial face-to-
Have the initial team meeting be face-to-face if at all possible face meeting provides time
Studies have suggested that seeing colleagues in person helps teams overcome for training on any required
communication barriers and develop more accurate impressions of their technologies before work
colleagues’ trustworthiness. begins

Make your actions as transparent as possible

Gather team input on decisions and communicate simultaneously. In turn,
disseminate as much information to as many team members as possible.

Be accessible and responsive Tech Tool Tip

Virtual leaders need to make a conscious effort to encourage the sharing of Do not copy everyone on
non-work related information. This comes naturally in co-located teams, but every e-mail; send out only
must be deliberately implemented in virtual teams. the most important
information, but make sure
Create team profiles everyone is included.16
Have team members create profiles of their personal interests, hobbies, and
areas of expertise. Photos are particularly useful in profiles since some
members may not be able to meet in person.

Maintain Confidentiality of Team Operations

Agree on norms for what information can be shared outside of the team.

COMMUNICATE WITH AND ENGAGE THE TEAM

Managers and dispersed workers should plan communication strategies and discuss potential problems of virtual management prior to its
inception. By asking the following specific questions, managers and employees can ensure that they have the same expectations about
the standards for communication.17,18

Clarifying Questions for Virtual Manager-Employee Communications

ƒ Which days will the employees report to supervisor? Tech Tool Tip
ƒ What times will the employee be available by phone? The end goal of technology in virtual
collaboration is to simulate the real
ƒ How often will the employee check e-mail throughout the day? environment. Always look for tools that
come as close as possible to simulating
ƒ Which/what are the most effective communication channels to use? everyone being in the same office.
19

ƒ How to use each channel?

ƒ What are acceptable and unacceptable uses for each channel?

Preventing Miscommunication
ƒ When problems arise, inform and involve the entire team20
Maintain your composure and keep everyone informed at regular intervals. Being sure to
send your team updates ensures that any lack of communication during a problem is not
misinterpreted as a bad sign.
ƒ Leaders must learn to read and hear body language in electronic communications21
Because team members often cannot see each other in person, leaders have to learn how
to correctly decipher non-visual and auditory cues.

© 2008 Corporate Executive Board. All Rights Reserved.

Catalog Number: CLC1XXXXXX
 CORPORATE LEADERSHIP COUNCIL® PAGE 3
MANAGING VIRTUAL TEAMS KEY FINDINGS

COMMUNICATE WITH AND ENGAGE THE TEAM (CONTINUED)

Virtual meetings provide an opportunity for managers to bring their virtual teams together, but require significant advance preparation.

Figure 4: How to Plan and Conduct a Virtual Meeting22, 23

Pre-meeting Practice: Start of meeting Practice:

Begin electronic discussion threads Reconnect the team with informal

about the team’s current work discussion. Have each member
activities. Provide a clear agenda share a personal story about an
with time allocations. Also, post event that happened to them over
draft documents in a central location the last week. Managers can also
and have all team members ask member’s to share a hobby they
comment on them. At the meeting, are working on.
only discuss areas of disagreement.

Successful virtual meetings

help build trust

Between Meeting Practices: During Meeting Practice:

Keep the members engaged as a Keep team members engaged

team between meetings. Employ throughout the meeting. They
electronic communications to share maintain this engagement by having
both formal and informal news with members “check-in” throughout the
the team. Use automatic meeting process. Also, be sure to
notifications of postings to the team obtain everyone’s input.
Web site to keep members abreast
of progress.

End of Meeting Practice:

End with a list of action items that Tech Tool Tip

are then posted in the team Have members voice their
repository. Action items include task opinions on specific
assignments and due dates for agenda items with voting
completion. Try the “minutes-on- tools. Instant messaging is
the-go” practice, where minutes are also a good way to check in
logged during the meeting and on silent members.
appear immediately on the virtual
workspace screen. Rotate the note-
taking among team members.

© 2008 Corporate Executive Board. All Rights Reserved.

Catalog Number: CLC1XXXXXX
 CORPORATE LEADERSHIP COUNCIL® PAGE 4
MANAGING VIRTUAL TEAMS KEY FINDINGS

ASSESS PROGRESS AND PRAISE THE TEAM

Feedback is critical in maintaining team cohesion and identity in a virtual environment. Being proactive in monitoring team
performance allows managers to provide feedback in real time, simultaneously keeping the team on track and giving team members
encouragement.

Figure 5: Tips on Performance Management24, 25

Be Proactive
ƒ Identify areas of potential disconnect, such as competing local agendas and differing technology
platforms.

ƒ Make unannounced site visits. These permit virtual leaders to conduct one-on-one meetings
26
and invest time getting to know his or her direct reports.

Review Performance
ƒ Solicit team members’ feedback on the team’s performance. Collect strengths, weaknesses,
and suggestions for improvement. Team members should respond anonymously. Review
results with the team to find desired changes.

ƒ Give team members feedback on how well they communicate their ideas across virtual space,
not just on the ideas themselves.

ƒ Scrutinize asynchronous (electronic threaded discussion and document postings in the

knowledge repository) and synchronous (virtual meeting participation and Instant Messaging)
communication patterns to determine who is participating in team activities and who needs
support and prompting for further participation.

Praise the Team

ƒ Start each virtual meeting with recognition of specific successes.

ƒ Promote external recognition of the team. Some companies use their internal Web sites to post
information on the achievements of virtual teams. Another option is to have the team brief
executives directly.

© 2008 Corporate Executive Board. All Rights Reserved.

Catalog Number: CLC1XXXXXX
 CORPORATE LEADERSHIP COUNCIL® PAGE 5
MANAGING VIRTUAL TEAMS KEY FINDINGS

GLOBALIZING VIRTUAL TEAM MANAGEMENT

Global virtual teams add a new layer of complexity on top of other virtual teams. At the physical level, members are spread out across
continents and numerous time zones creating logistical problems. Furthermore, cultural issues enter into play as divergent views on
authority and communication lead to misunderstandings and conflict if not properly managed.

Figure 7: Challenges to Managing Global Virtual Teams27, 28

The Language Barrier

For team members that speak different
languages, acknowledge that there will be
comprehension difficulties up front. Send out
important meeting documents ahead of time
and work with the team to create common Different Cultural Backgrounds
terminology with clear definitions. Be aware of which team members come from
cultures that favor direct communication (e.g.
US) or indirect communication (e.g. Japan).
This may require team members to recognize
and modify their behaviors to accommodate
the group. This is equally important for
cultures with divergent views on hierarchy
and authority.
Logistical Issues
For teams with members living in multiple time
zones, establish blackout periods to restrict
meeting times to specific hours. Also note all
local holidays on the group’s master calendar to
prevent meetings from being scheduled during
those times as well.

Leverage Diversity to Benefit the Group

Managers can generate business value by leveraging differences to

29
trigger breakthrough thinking and innovation. This may involve
subdividing the team into pairs to mix cultures or expertise.

3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30

Predict and Prevent intra-team conflict

When screening candidates for cross-cultural teams, a rating scale like the one below from Glaxo SmithKline, can help companies
30
understand candidates’ cultural preferences to predict areas of potential conflict within a team.

Figure 8: Examples from a Cross-Cultural Rating Scale

© 2008 Corporate Executive Board. All Rights Reserved.

Catalog Number: CLC1XXXXXX
 CORPORATE LEADERSHIP COUNCIL® PAGE 6
MANAGING VIRTUAL TEAMS KEY FINDINGS

NOTE TO MEMBERS: This project was researched and written to fulfill the research request of several members of the
Corporate Executive Board and as a result may not satisfy the information needs of all member companies. The Corporate
Executive Board encourages members who have additional questions about this topic to contact their research manager for further
discussion. The views expressed herein by third-party sources do not necessarily reflect the policies of the organizations they
represent.

PROFESSIONAL SERVICES NOTE: The Corporate Leadership Council (CLC®) has worked to ensure the accuracy of the
information it provides its members. This project relies upon data obtained from many sources, however, and the CLC cannot
guarantee the accuracy of the information or its analysis sin all cases. Furthermore, the CLC is not engaged in rendering legal,
accounting, or other professional services. Its projects should not be construed as professional advice on any particular set of facts
or circumstances. Members requiring such services are advised to consult an appropriate professional. Neither Corporate
Executive Board nor its programs are responsible for any claims or losses that may arise from any errors or omissions in their
reports, whether caused by Corporate Executive Board or its sources.

1
Rosen, Benson, Stacie Furst, and Richard Blackburn, "Training for Virtual Teams: An Investigation of
Current Practices and Future Needs," Human Resource Management (Summer 2006). (Obtained through
EBSCO)
2
Malhotra, Arvind, Ann Majchrzak, and Benson Rosen, “Leading Virtual Teams,” Academy of Management
Perspectives (February 2007). (Obtained through EBSCO).
3
Malhotra, “Leading Virtual Teams.”
4
Nandhakumar, Joe, and Richard Baskerville, “Durability of online teamworking: patterns of trust,”
Information Technology & People (2006). (Obtained through ProQuest).
5
Learmonth, Anna, “Managing teams well is the key” Construction Contractor (August 2006). (Obtained
through EBSCO).
6
Brett, Jeanne, Kristin Behfar, and Mary C. Kern, “Managing Multicultural Teams,” Harvard Business
Review (November 2006). (Obtained through EBSCO).
7
Hambley, Laura A, Thomas A O'Neill, Theresa J B Kline, “Virtual team leadership: perspectives from the
field,” International Journal of e-Collaboration (January 2007). (Obtained through ProQuest).
8
Combs, Wendy, and Stephanie Peacocke, “Leading Virtual Teams: How to successfully manage virtual
team productivity online,” T+D (February 2007). (Obtained through EBSCO).
9
Brake, Terrence, “Leading global virtual teams,” Industrial and Commercial Training (2006). (Obtained
through ProQuest).
10
Lawley, Debbie, “Creating Trust In Virtual Teams at Orange,” Knowledge Management Review (May/Jun
2006). (Obtained through ProQuest).
11
Brake, “Leading global virtual teams.”
12
Brake, “Leading global virtual teams.”
13
Hambley, “Virtual team leadership: perspectives from the field.”
14
Malhotra, “Leading Virtual Teams.”
15
Combs, “Leading Virtual Teams: How to successfully manage virtual team productivity online.”
16
Creelman, David, “Interview: Gina Walker and Virtual Teams,” HR.com (Date Unknown). (Obtained
through http://www4.gr.com). (August 2001). [Accessed July 2008]
17
Microsoft Corporation, “How To Manage Remote Employees,”
http://www.microsoft.com/australia/smallbusiness/themes/mobility/remotemanagers.mspx . [Accessed July
2008]
18
DeCastro, Iris, “Success with Virtual Teams,” Society for Technical Communication (2001).
(Available through http://www.stc.org/confproceed/2001/PDFs/STC48-000152.PDF) . [Accessed July
2008]
19
Hambley, “Virtual team leadership: perspectives from the field.”
20
Brake, “Leading global virtual teams.”
21
Hambley, “Virtual team leadership: perspectives from the field.”
22
Hambley, “Virtual team leadership: perspectives from the field.”
23
Malhotra, “Leading Virtual Teams.”
24
Malhotra, “Leading Virtual Teams.”
25
Brake, “Leading global virtual teams.”
26
Hambley, “Virtual team leadership: perspectives from the field.”
27
Brett, “Managing Multicultural Teams.”
28
Barczak, “So You Want to Be a Global Project Leader?”
29
Brake, “Leading global virtual teams.”

© 2008 Corporate Executive Board. All Rights Reserved.

Catalog Number: CLC1XXXXXX
 CORPORATE LEADERSHIP COUNCIL® PAGE 7
MANAGING VIRTUAL TEAMS KEY FINDINGS

30
James, Maggie, and Karen Ward, “Leading a multinational team of change agents at Glaxo Wellcome
(now Glaxo SmithKline),” Journal of Change Management (2001). (Obtained through ProQuest).

© 2008 Corporate Executive Board. All Rights Reserved.

Catalog Number: CLC1XXXXXX