Michael Song

Getting It Together: Temporal Coordination and Conflict Management in Global Virtual Teams

Virtual teams that operate asynchronously must do without mechanisms that synchronous teams have to coordinate their activity and manage conflict. The purpose of this study is to examine the effects of temporal coordination on virtual teams supported by asynchronous communication technology (Lotus Notes). Specifically, we evaluate the moderating role of a temporal coordination mechanism, process structure, on the relationship between conflict management behavior and virtual team performance. We report on the results of an experiment with 175 individuals residing in the U.S. and Japan organized into 35 five-person teams. Our findings show that the way virtual teams manage internal conflict is a crucial factor in their success and temporal coordination has some significant moderating effects. New pressures facing organizations have led many to suggest the use of global virtual teams. Simultaneously, recent technological advances are enabling new ways of structuring, processing, and distributing work and communication activities to overcome boundaries of time and space (Boudreau, Loch, Robey, & Straub 1998). In particular, new technologies are providing the means for dispersed (different place), asynchronous (different time) virtual work. Establishing links and connections is no longer a question of technical feasibility. The key question is, how can organizations create virtual teams that work effectively? Extant theory of how teams operate is largely based on work done in non-virtual teams. Among the taken for granted assumptions in theory from non-virtual teams is that teams operate more or less in the same space and time; i.e., synchronously. Synchronous communication is assumed in most treatments of team functioning for instance, in understanding how teams manage internal conflicts that could impede team functioning. Yet virtual teams cannot necessarily rely on traditional social cues and mechanisms, leaving them without a crucial mechanism for handling problems of team functioning. In such cases, the use of temporal coordination mechanisms imposed upon a team can be valuable because it can substitute to some extent for the cues that would naturally be available to members in a traditional face-to-face context (McGrath 1991; Ocker et al. 1995-1996). Here, we perform an experiment testing the premise that the use of a temporal coordination mechanism can improve the performance of virtual project teams, specifically by affecting the way in which such teams experience and resolve conflicts. We draw on small group and information systems theory to examine key social processes underlying cooperative work in asynchronous virtual project teams. We report on the results of an experiment with 175 graduate students residing in the U.S. and Japan. Individuals were organized into 35 five-person teams dispersed across four research sites in the 1 A global virtual team is a group of geographically and temporally dispersed individuals who are assembled via technology to accomplish an organizational task (Townsend, DeMarie, & Hendrickson 1998; Jarvenpaa & Liedner 1999). We focus on project teams defined as time-limited, non-repetitive groups charged with producing a one-time output (Cohen & Bailey 1997). 2 U.S. and Japan. The virtual project teams communicated solely via Lotus Notes, a widely used groupware system and application development platform. TEMPORAL COORDINATION CHALLENGES While there seems to be great potential for virtual teams, there are several fundamental sociotechnical difficulties in execution. Synchronous interaction is an orderly process wherein verbal and nonverbal cues help regulate the flow of conversation, facilitate turn-taking, provide immediate feedback, and convey subtle meanings. In lean asynchronous communication environments, the conveyance of cues is hindered, feedback is delayed, and there are often interruptions or long pauses in communication (McGrath 1991). In an asynchronous discussion, the norm is for many topics to be active at the same time with team members making contributions at different times (possibly on different topics) (Ocker et al. 1996). This can increase information overload and may reduce the synergy of the team if there is no linkage among the responses. In addition, long time lapses between communication events can lead to discontinuous and seemingly disjointed discussions (Ocker et al. 1996). This suggests that a significant challenge facing virtual teams is coordinating the temporal patterns of group behavior (McGrath 1991; Warkentin, Sayeed, & Hightower 1997). Virtual teams must find workable substitutes for temporally coordinating their interactions and flows of information (Ocker et al. 1996; McGrath 1991). Temporal patterning is concerned with the rhythms by which groups synchronize their activities. Three generic temporal patterning problems are inherent in any group activity: temporal ambiguity, conflicting temporal interests and requirements, and scarcity of temporal resources (McGrath 1991). Teams typically use a variety of coordination mechanisms to manage temporal problems; e.g., scheduling (deadlines), synchronization (aligning the pace of effort among members), and allocation of resources (specifying time spent on specific tasks) (McGrath 1991). 3 Past research suggests that coordination mechanisms can encourage and facilitate communication, which in turn tends to surface alternative perspectives, debate, and potentially disagreements (Ocker et al. 1996; Walther 1995). It is well known that teamwork is a communication and coordination-intensive effort characterized by complex group dynamics and the potential for conflict (Putnam 1986; Rahim 1992; Steiner 1972). Past research has considered various underlying social processes that determine team effectiveness. In particular, research has shown that conflict management behavior is an important determinant of group processes and performance (Baron 1989; Putnam 1986; Schweiger, Sandberg & Rechner 1989; Thomas 1992; Van de Vliert & De Dreu 1994). An important first step toward understanding how virtual teams work effectively is to explore how temporal coordination affects virtual teams’ conflict management behaviors and performance. Conflict in Virtual Teams In virtual teams, the dispersed asynchronous communication context renders many of the usual forms of social control in teams inoperable (e.g., direct supervision, physical proximity, shared experiences, social trust) (Jarvenpaa et al. 1998). Virtual teams typically communicate via technology that is lean, low in social presence, and low in interactivity (Zack 1993). In other words, a groupware system like Lotus Notes does not have the same capacity to convey the multiple cues that characterize human conversation. Gestures and nonverbal nuances, cues of social influence, symbolic content, and contextual cues are not captured or transmittable. This makes interaction and consensus building difficult (Straus 1996; Dennis 1996). As a result, effective communication in an asynchronous computer-mediated communication environment tends to require a great deal of effort (Smith & Vanacek 1990; Straus 1996). All of these communication and coordination difficulties create the potential for conflict in virtual teams that must be managed effectively (Jarvenpaa et al. 1998; Ocker et al. 1996; Turoff, Hiltz, Bahgat, & Rana 1993). Thus, while there are certainly many potential interesting factors to study about virtual teams, we focus on conflict management because it is a fundamental issue for effective virtual team performance given the inherent communication and coordination challenges they face. 4 TEMPORAL COORDINATION AND CONFLICT MANAGEMENT One way to address the communication challenges facing virtual teams is to introduce temporal coordination mechanisms to the way virtual teams work. We define temporal coordination mechanism as a process structure imposed to intervene and direct the pattern, timing, and content of communication in a group (Ocker et al. 1995-1996; McGrath 1991). We expect that the introduction of a process structure will change the way virtual teams manage conflicts, with measurable performance consequences (Walther 1995, 1997). Next, we briefly review the relevant conflict management literature and discuss how we expect temporal coordination to affect the causes and consequences of virtual team conflict. Conflict Management Behaviors. Past research has identified various behaviors manifested by team members during conflict (Ruble & Thomas 1976; Poole, Holmes, & DeSanctis 1991; Sambamurthy & Poole 1992; Miranda & Bostrom 1993-1994. We draw on work by Rahim (1983, 1992) and Thomas and Kilmann (1974) that delineates five conflict handling modes to describe conflict management in organizational work groups: avoidance, accommodation, competition, collaboration, and compromise. Avoidance behavior is characterized by evasiveness and failure to confront other parties. People demonstrating this behavior are apathetic toward conflicting points of view and outcomes in general. Accommodation behavior is characterized by an obliging concern for others. Competition behavior is characterized by each party pursuing his/her own interest without regard for others. This behavior involves concealment of information, competitiveness, and negative attitudes toward alternative solutions. Competitive interactions typically involve the use of power and domination as one party tries to force its views on the other. Collaboration behavior is characterized by attempts to identify and achieve outcomes that satisfy the interests of all parties involved. This behavior emphasizes openness to others’ points of view, objective consideration of all information, and shared problem-solving toward a jointly optimal solution. Finally, compromise behavior is characterized by

The Effect of Perceived Technological Uncertainty on Japanese New Product Development

This study develops a theoretical model that examines the moderating effect of perceived technological uncertainty on new product development (NPD). We test the theoretical model using 553 Japanese NPD projects. We found that cross-functional integration, marketing and technical project synergy, and proficiency in the marketing and technical development activities differentially contribute to project performance in high versus low perceived technological uncertainty. Japanese project managers differentially focus the NPD effort on these factors according to the level of perceived technological uncertainty.

Antecedents and Consequences of Goal Incongruity on New Product Development in Five Countries: A Marketing View

This article examines an important challenge to effective cross-functional integration: goal incongruity among marketing, research and development (RD and (2) factors that facilitate the formation of such goals. We give special attention to the effect of national culture on the formation of common goals. Data collected from marketing managers in 1,083 firms in five culturally distinct areas—-the United States, Great Britain, Japan, Hong Kong (a special administrative region of China), and mainland China—are used to test the hypothesized relationships. Our results underscore the importance of people-side issues, and of national culture, in cross-functional integration. Perceived goal incongruity among marketing, R&D, and manufacturing impairs all three components of cross-functional integration. In United States and British firms, goal incongruity generally is attributed to motivational factors and in Japan and Hong Kong to facilitative factors. Finally, our results show that the two types of managerially controllable variables interact. For example, joint rewards and job rotation strengthen each others tendency to reduce goal incongruity in all five samples. This suggests that job rotation promotes the development of joint goals more effectively when it is accompanied by a joint reward system.

Distinctive Marketing and Information Technology Capabilities and Strategic Types: A Cross-National Investigation

The authors examine the relationship between strategic type and development of distinctive marketing, market-linking, technology, and information technology (IT) capabilities to implement innovation strategy. They hypothesize that prospectors must build technical and IT capabilities, whereas defenders develop market-linking and marketing capabilities. The authors collect data from 709 firms across the United States, Japan, and China. They find support for their capability hypotheses, as well as for some of their cross-national hypotheses that are based on cultural and business environment differences among the three countries. In particular, they find support for the hypotheses that Japanese firms have greater technology and IT capabilities than U.S. firms of the same strategic type. They conclude with implications for management.

Artificial neural network decision support systems for new product development project selection

The authors extend and develop an artificial neural network decision support system and demonstrate how it can guide managers when they make complex new product development decisions. The authors use data from 612 projects to compare this new method with traditional methods for predicting various success outcomes for new product projects.

A Heterogeneous Resource Based View for Exploring Relationships between Firm Performance and Capabilities

The resource-based view (RBV) of the firm has gained much attention in recent years as a means to understand how a strategic business unit obtains a sustainable competitive advantage. In this framework, several research studies have explored the relationships between resources/capabilities and firm performance. This paper seeks to extend this line of research by explicitly modeling the heterogeneity of such relations across firms in various different industries in exploring the interrelationships between capabilities and performance. A unique latent structure regression model is developed to provide a discrete representation of this heterogeneity in terms of different clusters or groups of firms who employ different paths to achieve firm performance vis-a-vis alternative capabilities. An application of the proposed methodology to a sample of 216 US firms were provided. The paper finds that the derived four group latent structure regression solution statistically dominates the one aggregate sample regression function. Substantive interpretation for the findings is provided. The paper contributes to the understanding of the performance effects of investing in capabilities in the RBV framework.

Strategic Capabilities and Radical Innovation: An Empirical Study in Three Countries

This paper examines strategic capabilities as drivers of the development and launch of radical innovations. We construct a theoretical framework relating five strategic capabilities (marketing, market linking, technology, information technology, and management-related capabilities) to radical innovation. From this framework, we derive hypotheses concerning a divisions propensity to engage in radical innovation. Using empirical data derived from a research study of 376 firms in the United States, Japan, and China, we apply analysis of variance and negative binomial distribution (NBD) regression techniques to test our hypotheses. We find evidence that, overall, technology and information technology capabilities are significantly and positively related to radical product innovation. We also find some significant differences among the three country samples concerning drivers of radical innovation. Marketing capability is more significantly and positively related to radical innovation in the United States than in Japan; and, in China, the only capability that is significantly and positively related to radical innovation is technology. All of the findings completely or partially support our research hypotheses. We conclude with a discussion of the managerial implications of our findings, and directions for future research.

Identifying Sources of Heterogeneity for Empirically Deriving Strategic Types: A Constrained Finite-Mixture Structural-Equation Methodology

The resource-based view (RBV) of the firm suggests that strategic deployment of capabilities allows strategic business units (SBUs) to exploit distinctive competencies and create sustainable competitive advantage. Following the RBV, we propose a new predictive methodology for deriving typologies of SBUs that accommodates heterogeneity among SBUs with respect to their strategic capabilities, how effectively they are employed, and performance. Statistically, we devise a constrained finite-mixture structural-equation procedure that simultaneously accounts for firm capabilities, performance outcomes, and the relationships between them. The procedure allows for a comprehensive modeling and grouping of entities, and simultaneously provides a diagnosis of the sources of heterogeneity via the flexibility of estimating a series of nested models. Managerially, our proposed methodology is grounded in the strategic type and RBV literature and can capture the effects of environmental and industry-specific factors. Using data obtained from 216 SBUs in the United States for illustration, the results show that our derived four mixed-type solution dominates the four-group, Prospectors-Analyzers-Defenders-Reactors classification as well as a number of other nested model solutions in terms of objective statistical fit criteria for this data set, suggesting a more contingency-driven strategic stance adopted by these SBUs. We conclude with a discussion of the theoretical and managerial benefits of an improved methodology for empirically deriving strategic typologies.

Successful Patterns of Internal SME Characteristics Leading to High Overall Innovation Performance

Small and medium-sized enterprises (SMEs) struggle with the paradox of developing new products and technologies on the one hand and minimizing costs on the other. These SMEs must be innovative to survive and grow. However, compared to large firms, SMEs have several problems in their innovation process, which negatively influence their overall innovation performance. This research explores successful patterns of internal SME characteristics that lead to high overall innovation performance. Cluster analyses were conducted to find patterns in the internal characteristics of SMEs with high overall innovation performance. We find that companies that focus on incremental innovation and that achieve high overall innovation performance indeed share a pattern in their internal organization, when controlling for innovation type. The paper adds to the current body of knowledge by comparing high- and low-performing companies based on competence differences. Because real-life organizations consist of multiple organizational characteristics, we also contribute to management practice by simultaneously addressing multiple organizational characteristics for the successful organization of innovation.

Marketing–Manufacturing Integration Across Stages of New Product Development: Effects on the Success of High- and Low-Innovativeness Products

The study of marketing-manufacturing integration (MMI) in new product development (NPD) projects is rather limited, and has not clearly indicated how levels of MMI should differ across various stages of development for high and low levels of product innovativeness. Our study builds upon prior research that has applied resource dependency theory to product development projects. We examine the influences of MMI in each of four stages of the NPD process. A path analysis of data drawn from 467 completed NPD projects indicates that stronger MMI accomplished early in NPD is associated with stronger MMI in later stages of NPD. For highly innovative projects, increased MMI in each stage of product development is respectively associated with greater product market success, but MMI in the earliest stages is especially salient. For incremental NPD projects, the strongest positive associations of MMI with product market success are indicated in product commercialization. We compare our findings with prior research, and we identify benefits, detriments, and costs of MMI that should be more deeply explored in future research with the objective of a more complete theory of cross-functional integration in NPD.