Analyzing Factors That Affect Performance of Global Virtual Teams

Globalization of operations, reduced time to market, increased need to respond quickly to customers’ needs worldwide and reduced cost of operations have encouraged many business organizations to adopt global virtual teams for their business activities. In this study, we explore a comprehensive model consisting of different variables that impact performance of such global virtual teams and validate it through an exploratory experiment conducted in an academic setting. Preliminary analysis indicates that trust between team members and communication effectiveness of the teams has significant positive correlation with the success of virtual team projects. Moreover, the participants perceived the virtual team project success positively. They also were positively oriented about their learning from participating in such virtual team projects. Motivation of team members is highly correlated with team members’ learning effectiveness. Implications of these findings for businesses and curriculum development are discussed.