MIT Sloan Management Review

Human Resource Management and Industrial Relations, Leadership and Organizational Studies

 

The Comparative Advantage of X-Teams

By Deborah Ancona, Henrik Bresman and Katrin Kaeufer

April 15, 2002

The current environment demands a new brand of team — one that emphasizes outreach to stakeholders and adapts easily to flatter organizational structures, changing information and increasing complexity.

Often teams that seem to be doing everything right — establishing clear roles and responsibilities, building trust among members, defining goals — nevertheless see their projects fail or get axed. We know one such team that had a highly promising product. But because team members failed to get buy-in from division managers, they saw their project starve for lack of resources. Another group worked well as a team but didn’t gather important competitive information; its product was obsolete before launch.

Why do bad things happen to good teams? Our research suggests that they are too inwardly focused and lacking in flexibility. Successful teams emphasize outreach to stakeholders both inside and outside their companies. Their entrepreneurial focus helps them respond more nimbly than traditional teams to the rapidly changing characteristics of work, technology and customer demands.

These new, externally oriented, adaptive teams, which we call X-teams, are seeing positive results across a wide variety of functions and industries. One such team in the oil business has done an exceptional job of disseminating an innovative method of oil exploration throughout the organization. Sales teams have brought in more revenue. Drug-development teams have been more adept at getting external technology into their companies. Product-development teams have been more innovative — and have been more often on time and on budget.

The current environment — with its flatter organizational structures, interdependence... To read the complete article, login or sign-up using the form below.

 
 

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