Ch. 17: Geographically Dispersed Teams
Diversity has rooted its way into every aspect of our lives. Diversification is not just something for our stock portfolio. In businesses and corporations across the world many are utilizing teams from all areas and countries. Even before the pandemic and the increase in Zoom meetings, many organizations were utilizing this and similar technologies to create geographically dispersed teams. There are many advantages to this, as well as some disadvantages. This blog will discuss these as well as what leaders can do to minimize the disadvantages.
Diversity itself can bring about some positive aspects. The text discusses how these diverse teams can possess more complementary expertise and information as well as a broader network capability to draw upon and facilitate the generation of numerous other ideas and approaches (Gulati, Mayo & Nohria, 2016). The authors of the text also discuss the drawbacks to this diversity is conflict and misunderstanding will occur if leaders do not take the time to ensure members understand each other's perspectives and the values that each can bring.
- Cost Effectiveness - Manufacturing companies headquartered in other countries have lower production costs, salaries, and overall fees (Vale, 2020). Other huge expenses include the real estate, utilities, and executive travel costs (Juneja, 2001). In essence, companies only cover costs associated with the level of support that is required (Benefits & Disadvantages of Virtual Teams, 2019).
- Large Pool of Talent - Being able to expand a companies hiring pool to a national or international search can bring in candidates that exceed job qualifications that cannot otherwise be found locally (Jozwiak, 2015). Bringing together these experts and specialists from across the globe can increase the overall knowledge base and innovation (Juneja, 2001).
- Increase Overall Productivity - By allowing the team to set their own hours, productivity increases around the clock (Editors, Forbes Technology Council, 2017). These teams tend to have higher focus on tasks and often do not have to deal with unnecessary bureaucracy, which can slow down decision making, overall enhancing productivity and increasing profits (Juneja, 2001).
- Access to New Markets - These teams can make connections with potential clients in their areas, opening up new markets (Jozwiak, 2015).
- Communication and Language Barriers - Miscommunication may occur more with geographically dispersed teams. Misunderstanding might occur due to the contextual and linguistic differences (Vale, 2020). Other communication challenges may include technology issues such as glitches in video conferencing and project management software and issues with phone and email communication (Benefits & Disadvantages of Virtual Teams, 2019).
- Lack of Unity, Collaboration, and Trust - Cultural differences can increase conflicts, mistrust, and increase difficulties in fruitful collaboration, which are often precipitated by the absence of non-verbal cues so intrinsic to face-to-face interactions (Juneja, 2001). Other scheduling conflicts can lead to general lack of communication.
- Benefits & disadvantages of virtual teams. (2019, June 28). MaRS Startup Toolkit. https://learn.marsdd.com/article/virtual-teams-benefits-and-disadvantages/
- Editors, Forbes Technology Council. (2017, August 3). 13 Pros And Cons Of Having A Distributed Workforce. Forbes. https://www.forbes.com/sites/forbestechcouncil/2017/08/03/13-pros-and-cons-of-having-a-distributed-workforce/#573595a713d9
- Gulati, R., Mayo, A. J., & Nohria, N. (2016). Management: An integrated approach. Australia: Cengage Learning
- Jozwiak, A. (2015, August 17). 7 Advantages of Dispersed Teams. ClickMeeting. https://blog.clickmeeting.com/7-advantages-of-dispersed-teams
- Juneja, P. (2001). Advantages and Disadvantages of Virtual Teams. MSG: Management Study Guide. https://www.managementstudyguide.com/virtual-teams-advantages-and-disadvantages.htm
- Kreatikar. (2018, May 22). World Map. Pixabay. https://pixabay.com/illustrations/world-map-earth-globe-branch-3420274/
- Sanchez, M. (2020, April 2). red and black heart illustration. Unsplash. https://unsplash.com/photos/ezY6rc65mUE
- Vale, S. (2020). What Are the Advantages & Disadvantages of Dispersing Corporate Functions Globally? Chron. https://smallbusiness.chron.com/advantages-disadvantages-dispersing-corporate-functions-globally-70535.html
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