1. 1 Building Trust in Virtual Teams ETM5110/MSIS5600 Managing Virtual Project Teams Nicholas C. Romano, Jr., Ph.D. Nicholas-Romano@mstm.okstate.edu Paul E. Rossler, Ph.D., P.E. prossle@okstate.edu

2. 2 Overview What factors influence trust in a virtual team?What factors influence trust in a virtual team? What influence does culture play with respect to these factors?What influence does culture play with respect to these factors? How does the use of technology affect these factors?How does the use of technology affect these factors?

3. 3 Lessons from Sabre, Inc. 1.Trust based on performance consistency rather than social bonds Rapid responseRapid response Establish communication normsEstablish communication norms Reinforce timeliness and consistencyReinforce timeliness and consistency Source: Kirkman, B. L., et al. 2002. Five challenges to virtual team success: Lessons from Sabre, Inc. Academy of Management Executive, 16(3): 67-79.

4. 4 Elements of trust in virtual teams Competence or performanceCompetence or performance –Reputation for performance and results –Timely follow-through on commitments –Ability to obtain resources (especially critical for team leader) Duarte, D. L., & Snyder, N. T. 2001. Mastering Virtual Teams (2nd Ed.). San Francisco: Jossey-Bass.

5. 5 IntegrityIntegrity –Ensuring actions are consistent with your words –Standing up for your convictions –Standing behind the team and all its members Managing perceptions of team performanceManaging perceptions of team performance –Communicating and keeping everyone informed –Showing both sides of an issue

6. 6 Display concern for well-being of othersDisplay concern for well-being of others –Helping team members with transitions (to, within, and from) –Knowing how you affect others in both good ways and bad –Integrating team needs with other team, department, and organizational needs

7. 7 Culture affects how these factors are enacted and perceived Power distancePower distance –Decision made by higher-status individuals can foster trust in high-distance cultures, erode it in low-distance ones Uncertainty avoidanceUncertainty avoidance –Those from low uncertainty avoidance cultures may easily misinterpret the anxiety of those from high uncertainty ones Duarte, D. L., & Snyder, N. T. 2001. Mastering Virtual Teams (2nd Ed.). San Francisco: Jossey-Bass.

8. 8 Individualism-collectivismIndividualism-collectivism –Affects expectations for the team leader, relationship focus v. task focus Long- vs. short-term perspectiveLong- vs. short-term perspective –Can cause distrust if certain members are seen as compromising the future to look good now

9. 9 High vs. low contextHigh vs. low context –Low context team member may see request for more information as irrelevant at best, an insult at worst

10. 10 Technology also interacts with the three trust factors Can be used to send subtle messages about who is performing, who is notCan be used to send subtle messages about who is performing, who is not –Quantity of one-on-one e-mails sent Can be used to facilitate the integrity of team processes and decisionsCan be used to facilitate the integrity of team processes and decisions –Anonymity, electronic distribution lists Creates less need for social posturingCreates less need for social posturing –May create tendency to display less concern Duarte, D. L., & Snyder, N. T. 2001. Mastering Virtual Teams (2nd Ed.). San Francisco: Jossey-Bass.

11. 11 Summary Trust in virtual settings is influenced by three factorsTrust in virtual settings is influenced by three factors –Competence or performance, integrity and concern for well-being of others These factors apply across cultures but may be interpreted differently in different culturesThese factors apply across cultures but may be interpreted differently in different cultures The use of technology has implications for trust buildingThe use of technology has implications for trust building