Decision Making in Cross‐Functional Teams: The Role of Decision Power*

Through a series of game‐theoretical models, this study systematically examines decision making in cross‐functional teams. It provides a framework for the design of an organization‐specific decision‐making process and for the alignment of a team's microdecision with the “optimal” decision that maximizes the firm's payoff. This study finds that even without changing the team leader, firms could change and even dictate the team's microdecision outcome via adjusting the team member's seniority, empowering team members with veto power or involving a supervisor as a threat to overrule the team decision. This finding implies that to reposition products in the marketplace, structuring cross‐functional teams’ microdecision‐making processes is essential.     

Diabolical dictators or capable commanders? An investigation of the differential effects of autocratic leadership on team performance

Autocratic leader behavior is often seen as negative for team morale and performance. However, theories on social hierarchy suggest that autocratic leadership may also positively affect morale and performance through the creation of a psychologically appealing, hierarchically-ordered environment of predictability and security. We propose that autocratic leadership can foster team psychological safety when team members accept the hierarchy within the team. In contrast, when members challenge the hierarchy and engage in intrateam power struggles, autocratic leaders' centralizing power behaviors will clash with team members' competition for power and frustrate members, impairing psychological safety and performance. We find support for these ideas in a study of 60 retail outlets (225 employees and their managers) in the financial services industry. As expected, when team power struggles were low, autocratic leadership was positively related to team psychological safety, and thereby indirectly positively related to team performance. When team power struggles were high, autocratic leadership was negatively related to team psychological safety and thereby indirectly negatively related to team performance. These effects were also found when controlling for leader consideration.     

The Effect of Team Leader Characteristics on Learning,Knowledge Application,and Performance of Cross‐Functional New Product Development Teams

This study examines how leadership characteristics in new product development teams affect the learning, knowledge application, and subsequently the performance of these teams. Using data from a study of 229 members from 52 high‐tech new product projects, we empirically demonstrate that team learning has a strong positive effect on the innovativeness and speed to market of the new products. Moreover, a democratic leadership style, initiation of goal structure by the team leader, and his or her position within the organization were positively related to team learning. Managerial implications of these results are discussed.     

An empirical study of transformational leadership,team performance and service quality in retail banks

The discipline of operations management (OM) has long been offering differing quantitative techniques for improving the efficiency of banking operations. However, there has been a trend in recent years that operations and services of the banking industry are becoming more diverse and unstructured, rendering many traditional OM quantitative techniques less effective in performance improvement. By integrating the literature on banking operations, service quality, leadership style and work teams, we argue that leadership style and team performance are crucial concerns determining the service quality performance of today's banking operations in a team setting. Using data collected from 192 employees from 32 operational teams (a leader and five members in each team) in 15 retail banks in Macau, China, we investigated whether the five dimensions of transformational leadership have an impact on team performance with respect to team cohesion, team leader job satisfaction and team competence; and whether the dimensions of team performance have an impact on such service quality dimensions as reliability and responsiveness. We found that one of the dimensions of transformational leadership and two of the dimensions of team performance have a significant impact on service quality. We discuss the implications of the findings for research and practise.     

Path to “Stardom” in Globally Distributed Hybrid Teams: An Examination of a Knowledge‐Centered Perspective using Social Network Analysis

Although distributed teams have been researched extensively in information systems and decision science disciplines, a review of the literature suggests that the dominant focus has been on understanding the factors affecting performance at the team level. There has however been an increasing recognition that specific individuals within such teams are often critical to the team's performance. Consequently, existing knowledge about such teams may be enhanced by examining the factors that affect the performance of individual team members. This study attempts to address this need by identifying individuals who emerge as “stars” in globally distributed teams involved in knowledge work such as information systems development (ISD). Specifically, the study takes a knowledge‐centered view in explaining which factors lead to “stardom” in such teams. Further, it adopts a social network approach consistent with the core principles of structural/relational analysis in developing and empirically validating the research model. Data from U.S.–Scandinavia self‐managed “hybrid” teams engaged in systems development were used to deductively test the proposed model. The overall study has several implications for group decision making: (i) the study focuses on stars within distributed teams, who play an important role in shaping group decision making, and emerge as a result of a negotiated/consensual decision making within egalitarian teams; (ii) an examination of emergent stars from the team members’ point of view reflects the collective acceptance and support dimension decision‐making contexts identified in prior literature; (iii) finally, the study suggests that the social network analysis technique using relational data can be a tool for a democratic decision‐making technique within groups.     

A team level investigation of the relationship between Leader–Member Exchange (LMX) differentiation,and commitment and performance

Although the differential treatment of team members by their leader is at the heart of Leader–Member Exchange (LMX) theory, empirical studies exploring the role of within-team LMX differentiation in relation to team outcomes are still relatively scarce. This study among 269 Dutch secondary school teachers from 33 different teams tested the hypotheses that the relationship between LMX differentiation and team commitment, and team performance is moderated by LMX-quality median. Moreover, we hypothesized that team members' perceived dissimilarity regarding work values and orientations would be positively related to within-team LMX differentiation. Teachers completed questionnaires on LMX-quality, dissimilarity, and team commitment, whereas team performance was rated by school principals. Results indeed showed that LMX differentiation is positively related to both outcome variables in teams with a low LMX-quality median only. As expected, more perceived dissimilarity between team members was related to more within-team variability in LMX-scores. These results contribute to knowledge on hypothetical antecedents and consequences of LMX differentiation at the team level.     

Leader self-projection and collective role performance: A consideration of visionary leadership

Leaders often need to project themselves into alternative situations, but there is a limited understanding of how, why, or when leader self-projection might influence their teams’ outcomes. Based on the notion that brain activity in the default mode network (DMN) underlies self-projection, such as future-oriented mental simulations, we argue that the effect of leaders’ DMN activity on team behavior such as collective role performance may be understood by considering both the leaders’ visionary behavior and their orientation towards socialized vision. Specifically, we posit that a leader’s trait-like brain activity in the leader’s DMN is associated with the leader’s visionary behavior. Furthermore, we argue that visionary leader behavior, when accompanied by socialized vision orientation, facilitates collective role performance of the team. As such, we examine the moderating role of a socialized orientation toward serving the interests of a wide range of stakeholders in reinforcing the positive effect of visionary leader behavior on collective role performance of team members, as well as the indirect effect of leader DMN activity on collective role performance via visionary leader behavior. We found support for our hypotheses using diverse research methodologies, including quantitative electroencephalogram (qEEG), multi-source multi-wave surveys, and interview coding.     

We can do it! Inclusive leader language promotes voice behavior in multi-professional teams

Although it is known that leaders can have a strong impact on whether employees voice work-related ideas or concerns, no research has investigated the impact of leader language on voice—particularly in professionally diverse contexts. Based on a social identity approach as well as on collectivistic leadership theories, we distinguish between implicit (i.e., First-Person Plural pronouns) and explicit (i.e., invitations and appreciations) inclusive leader language and test its effects on voice in multi-professional teams. We hypothesized that implicit inclusive leader language promotes voice especially among team members sharing the same professional group membership as the leader (in-group team members) while explicit inclusive leader language promotes voice especially among team members belonging to a different professional group (out-group team members). These hypotheses were tested in a field setting in which 126 health care professionals (i.e., nurses, resident and attending physicians), organized in 26 teams, managed medical emergencies. Behavioral coding and leader language analyses supported our hypotheses: Leaders' “WE”-references were more strongly related to residents' (in-group) and explicit invitations related more strongly to nurses' (out-group) voice behavior. We discuss how inclusive leader language promotes employee voice and explain why group membership functions as an important moderator in professionally diverse teams.     

Invisible Whispering: Restructuring Collaborative Decision Making with Instant Messaging

Organizational decision making is dominated by teams. When an important decision is required, a team is often formed to make it or to advise the individual decision maker, because a team has more resources, knowledge, and political insight than any one individual working alone. As teams have become geographically distributed, collaboration technology has come to play an important role in such collective decision making efforts. Instant messaging (IM) is an increasingly prevalent workplace collaboration technology that enables near‐synchronous text exchanges on a variety of devices. We examined the use of IM during face‐to‐face, telephone, and computer‐mediated team meetings, a practice we call “invisible whispering.” We introduce Goffman's characterization of social interaction as dramatic performance, differentiable into “front stage” and “backstage” exchanges, to analyze how invisible whispering alters the socio‐spatial and temporal boundaries of team decision making. Using IM, workers were able to influence front stage decision making through backstage conversations, often participating in multiple backstage conversations simultaneously. This type of interaction would be either physically impossible or socially constrained without the use of IM. We examine how invisible whispering changes the processes of collaborative decision making and how these new processes may affect the efficiency and effectiveness of collaborative decision making, as well as participation, satisfaction, relationships among team members, and individual attention.     

Transformational leadership in context: Face-to-face and virtual teams

This experimental study examined transformational leadership in the context of traditional teams using face-to-face communication and virtual teams using computer-mediated communication. Thirty-nine leaders led both face-to-face and virtual teams. Repeated-measures analyses revealed similar mean levels of transformational leadership in both team types; however, leader rank order varied across team type. Post hoc analyses revealed that the most effective leaders where those who increased their transformational leadership in virtual teams. Furthermore, analyses at the team level revealed that the effect of transformational leadership on team performance was stronger in virtual than in face-to-face teams. Team-member ratings of transformational leadership were equally linked to project satisfaction in face-to-face and virtual teams. Considered as a whole, our results suggest that transformational leadership has a stronger effect in teams that use only computer-mediated communication, and that leaders who increase their transformational leadership behaviors in such teams achieve higher levels of team performance.     

Linking leader inclusiveness to work unit performance: The importance of psychological safety and learning from failures

Despite burgeoning interest in how groups and organizations learn from failures, little is known about how leader behavior influences these learning processes. We analyzed longitudinal data collected at a large hospital and found that leader inclusiveness was positively associated with members' perceptions of psychological safety at Time 1, and that this relationship was stronger for members in low-performing units. Unit psychological safety climate appeared to facilitate learning from failures within the work unit (Time 2), which was positively associated with subsequent unit performance (Time 3).     

Feeling Included and Valued: How Perceived Respect Affects Positive Team Identity and Willingness to Invest in the Team

Previous research has documented that intra‐group respect fosters individual engagement with work teams or organizations. The authors extend this work by empirically distinguishing between perceived inclusion of the self in the team and perceived value of the self for the team as separate psychological consequences of respect. Based on a social identity analysis, it is predicted that perceived inclusion facilitates the development of a positive team identity (how the individual feels about the team), while perceived value elicits the willingness to invest in the team (what the individual is willing to do for the team). Support for these predictions is obtained with structural equation modelling among two independent samples of professional soldiers working in military teams (n_total = 495). Reports of individual team members about positive team identity and willingness to invest in the team correlated with supervisor ratings of the team's action readiness.     

Multi‐Leader Teams in Review: A Contingent‐Configuration Perspective of Effectiveness

Multi‐leader teams are characterized by multiple leaders exhibiting mutual influence on each other while working towards a common team goal. An unexplored assumption in this literature is that increasing the number of leaders is related to heightened team effectiveness. The authors propose that this notion is oversimplified and suggest a contingency model of multi‐leader team effectiveness. The authors suggest that the context determines the effectiveness of a particular multi‐leader team configuration, because each formation has unique internal team mechanisms. To investigate this perspective, we review the multi‐leader team literature (175 articles) by categorizing the extant theory and research as falling within nine multi‐leader configurations along two key dimensions: (1) the proportion of leaders within a team; and (2) the dispersion of leadership through role co‐enactment of team leaders. This framework enables a more coherent understanding as to the benefits and the costs of each specific multi‐leader team configuration and a clearer evaluation of the contexts in which varying configurations are most effective. Four emerging themes related to configuration–contextualization are explained and theoretical implications for interpreting leadership effectiveness in multi‐leader team settings are discussed.     

Creating team ambidexterity: The effects of leader dialectical thinking and collective team identification

In the current, increasingly dynamic environment, more attention is being devoted to ambidexterity (both explorative and exploitative learning), as it is beneficial to organizational functioning. Despite an abundance of research on organizational ambidexterity, there is a paucity of research examining team-level ambidexterity. In a cross-level empirical study, we examine a leader's dialectical thinking as an antecedent of team-level ambidexterity. We also incorporate collective team identification as a moderator in the study. Our findings support that a leader's dialectical thinking can help facilitate team ambidexterity that, in turn, improves employee performance. Those teams whose members have strong team identification and whose leader is high in dialectical thinking will reap the most benefit from team ambidexterity.     

How Leaders Affect Followers’ Work Engagement and Performance: Integrating Leader−Member Exchange and Crossover Theory

Drawing on leader?member exchange and crossover theory, this study examines how leaders’ work engagement can spread to followers, highlighting the role of leader?member exchange as an underlying explanatory process. Specifically, we investigate if leaders who are highly engaged in their work have better relationships with their followers, which in turn can explain elevated employee engagement. For this purpose, we surveyed 511 employees nested in 88 teams and their team leaders in a large service organization. Employees and supervisors provided data in this multi‐source design. Furthermore, we asked the employees to report their annual performance assessment. We tested our model using multilevel path analyses in Mplus. As hypothesized, leaders’ work engagement enhanced leader?member exchange quality, which in turn boosted employee engagement (mediation model). Moreover, employee engagement was positively linked to performance and negatively linked to turnover intentions. As such, our multilevel field study connects the dots between work engagement research and the leadership literature. We identify leaders’ work engagement as a key to positive leader?follower relationships and a means for promoting employee engagement and performance. Promoting work engagement at the managerial level may be a fruitful starting point for fostering an organizational culture of engagement.     

高管团队心理契约、集体创新与团队绩效关系的实证研究

通过对212位高管团队成员的实地访谈和有效问卷,揭示了高管团队心理契约、集体创新和团队绩效之间的关系.研究结果表明,高管团队心理契约与集体创新、团队绩效均具有显著正相关关系;高管团队心理契约对团队绩效的影响是通过集体创新这一中介变量表现出来的.集体创新在高管团队交易型心理契约与团队绩效关系中起部分中介作用,在关系型心理契约与团队绩效关系中起完全中介作用.     

How leader humility helps teams to be humbler,psychologically stronger,and more effective: A moderated mediation model

We hypothesize that (a) the level of humility expressed by leaders predicts team performance through, serially, team humility and team PsyCap, and (b) the strength (i.e., consensus within the team) of the leader humility, team humility and team PsyCap moderates the paths of that hypothesized model. A sample comprising 82 teams (82 leaders; 332 team members) was collected. Team members reported leader humility, team humility and team PsyCap. Leaders reported team performance. To handle the risks of common method bias, each mediating path of the hypothesized model is based on data from two different subsamples within each team. Our model's most novel theoretical contribution is the (moderated mediated) connection between leader humility, collective humility, and team PsyCap, and this was consistently supported in our data. Our inconsistent findings dealing with the relationship between team PsyCap and performance is well established in the literature and our results in both sub-samples were in the theorized direction. The study contributes to understand why, how and when humble leaders are more effective.     

Team incentives,task assignment,and performance: A field experiment

The performance of a work team commonly depends on the effort exerted by the team members as well as on the division of tasks among them. However, when leaders assign tasks to team members, performance is usually not the only consideration. Favouritism, employees' seniority, employees' preferences over tasks, and fairness considerations often play a role as well. Team incentives have the potential to curtail the role of these factors in favor of performance — in particular when the incentive plan includes both the leader and the team members. This paper presents the results of a field experiment designed to study the effects of such team incentives on task assignment and performance. We introduce team incentives in a random subsets of 108 stores of a Dutch retail chain. We find no effect of the incentive, neither on task assignment nor on performance.     

Examining the cross-level relationship between shared leadership and learning in teams: Evidence from China

The current study extends the literature on shared leadership by exploring the questions of whether, how, and when shared leadership makes an impact on team and individual learning behaviors. Specifically, the current research proposed that shared leadership has a positive impact on both team and individual learning and this impact was realized through the mediating role of team psychological safety. Furthermore, the study introduces job variety as a potential moderator in the relationships between shared leadership on team and individual learning behaviors through team psychological safety, such that the indirect effects are more positive when team members perceived high job variety. Using 263 members from 50 teams in China, the hypotheses were largely supported. Theoretical contributions, practical implications and future research directions are discussed.     

Task Design,Team Context,and Psychological Safety: An Empirical Analysis of R&D Projects in High Technology Organizations

High technology organizations need to develop new products or processes that address the dual goals of exploration and exploitation. The competing viewpoints and the asymmetric nature of market returns associated with these goals in R&D projects can heighten stress levels among project team members and reduce their psychological safety. While current research calls for greater focus on task design for improving psychological safety, we know little about how team contextual factors affect this relationship. This study develops and tests a conceptual framework that examines the moderating role of R&D team contextual factors, namely, relative exploration and project‐organization metric alignment on the relationship between a key task design variable, namely, team autonomy, and psychological safety. Relative exploration captures the extent to which exploration goals are emphasized over exploitation goals in an R&D project, while project‐organization metric alignment measures the extent to which project metrics are aligned with broader organizational metrics. Furthermore, we examine the performance consequences of psychological safety in R&D projects. The empirical analysis is conducted using primary data collected from multiple informants across 110 R&D projects in 34 high technology business units. Our results indicate that relative exploration and project‐organization metric alignment have contrasting moderating effects. Furthermore, the effect of psychological safety on project performance is found to be indirect and mediated through team turnover. Implications of the study findings, limitations, and directions for future research are discussed.