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RSTD Transnational Teams

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    RSTD CASE STUDYPRESENTATION

    Submitted By-

    Nikita Sangal

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    CASE

    1985- Fuji XeroxTokyo engineers-Xerox Corporation facilityWebster,

    New York.

    1991- Eastman Kodak- Photo CD. Group of experts based in London

    developed a strategy for the

    simultaneous introduction of the photoCD in several European countries.

    The Photo CD has been Kodaks most

    successful multicounty product

    introduction.

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    Transnational teamcontributing

    companys efforts globalize and extend

    the firms products and operations intointernational markets.

    Transnational teams present challenges

    to the companies that use them.

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    FORMATION

    Existencetwo ways:Top Down

    Bottom up

    Most teams are formed from the top down. Senior managers see a competitive need

    decide that a transnational team should beformed, and put together a team with a

    particular mandate. For ex : HeinkeinEuropean Production

    Task Force

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    Other transnational teams are

    emergent, they evolve naturally from

    existing network of indiviulas whodepend on each other to accomplish

    their work objectives.

    In some cases, teams develop theirown mandate and challenge higher

    managers to accept and support it.

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    USES

    Help achieve global efficiency todevelop regional or worldwide cost

    advantages, standardize designs and

    operations.

    Locally responsive

    Organizational Learning

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    MODELTRANSNATIONAL

    TEAM

    Transnational teamwork group

    composed of multinational members whose

    activities span multiple countries.

    Two key factors affect a transnational

    teams composition, operations and

    performance.

    Task Complexity and importance

    differentiate transnational teams from other

    types of work teams.

    Transnational teams typically work on

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    That are highly complex and have

    considerable impact on company

    objectives. Many transnational teams are

    geographically dispersed, with members

    on different continentsMulticultural dynamic

    If a transnational team is to obtain a

    maximum contribution from each of itsmembers, it must be adept at handling a

    variety of cross cultural issues.

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    TASK COMPLEXITY &

    IMPORTANCE 1991- EGBD- developing a plant on

    European continent.

    EGBDs challenge in bringing natural

    gas Team is staffed from the different

    regions of the world.

    Team should be evaluated on themeasures such as revenue generatedor market share.

    Teams performance can be assessed

    subjectively.

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    1993- the board of directors approved

    EGBDs multimillion dollar business plan

    and authorized the team to beginimplementing it.

    EGBD is an entrepreneurial business

    unit within its large parent firm.

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    Contribution to Business

    Strategy For example, 1990- British Airways

    mergedtwo partsJapanese

    business to fulfill the mandate grow

    revenues. In a new or reconfigured transnational

    team, the team building process must

    begindiscussion of companys

    strategy and teams mission.

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    Leadership

    Team leader must perform multiple roles. Team leader plays the role of advocate

    business necessity, mission, gatheringresources.

    Evolves -The main leadership role shifts tothat of catalyst

    Matures- the primary leadership role shifts

    to integrator. The leader of East mans Kodak Photo CD

    European launch team proved to be skilledintegrator.

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    The launch teams work progresssedthrough three major phases

    FIRST PHASE overall strategy developmentconceptual

    part- teams major goals and tactics.

    SECOND PHASE Action stageLaunch plan development.

    THIRD PHASE Launch implementationtransferred

    responsibility for executing assignments totheir respective country orgz

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    Fully established transnational team, no

    one leadership role dominates. Instead all

    the three roles are useful i.e advocate,catalyst, integrator.

    team leaders themselves need to set a

    personal learning agenda to developknowledge and skills consistent with all

    three leadership roles.

    human resources department should beprepared to provide executive

    development training and experiences

    that nurture the major leadership roles.

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    STAFFING

    Staffing transnational teams is a processfraught with tradeoffs and ambiguities, and

    even the most sophisticated global firms

    struggle with it.

    three important considerations are involved:

    1. the tradeoff between local hiring and the

    use of expatriates,

    2. consideration of group as well as technicalskills among team members, and

    3. Size of the team

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    final staffing approach, used only sparingly todate, is to allow team members to locatethemselves wherever they desire.

    final staffing issue, optimal team size - Themost energized, committed teams appeared theones whose members complained most aboutbeing overworked and understaffed.

    refered to that phenomenon as N minus onestaffing. That is, the best approach for producinga highly enthusiastic team seemed to be todeliberately understaff it--and perhaps keep it

    leanand mean in terms of other resources aswell.

    Although no optimal team size can be specified,the average size of the transnational teams was

    12 persons, with a range of six to 21.

    Ali t ith C

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    Alignment with Company

    Structures, Programs, and

    Systems.As a transnational team develops an effectivealignment of key internal features such as i t s

    mission, leadership, and so on, it must also

    develop an external fit with the rest of thecompany.

    In addition to structural barriers, a companys

    programs and management systems may have

    deleterious effects on its transnational teams.

    Transnational teams generally are not in a

    position to make major changes to company

    structures and svstems

    C i ti d

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    Communications and

    Decision-Making

    Technologies. transnational teams must communicate andmake decisions across vast geographic

    distances.

    large geographic distances between membersof a transnational team can aggravate the

    difficulties of assembling an integrated,

    cohesive work group.

    first information technology needed bv atransnational team is a communications

    system.

    transnational teams also use databases of

    various sorts. Eg. Glaxo-Wellcome's medical

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    Multicultural DynamicsA multinational team, in contrast to teams from

    a single culture, entails differences among

    members in language, interpersonal styles,

    and a host of other factors.

    Effective transnational teams directly confrontthe multicultural issues that inevitably arise in

    the group and search for wavs to resolve

    them.

    Ineffective teams either ignore such issues or

    hope they can be resolved by the human

    resources department or through some type

    of outside training.

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    Group Process Facilitation.

    In many transnational teams, threepowerful cultures operate

    simultaneously.

    corporate culture affects team dynamics. some teams have a very strong

    occupational culture.

    development of a healthy group processmust take into account five major factors

    reflecting national and corporate

    cultures:

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    Cross-cultural

    Management. MacGregor Navire, a small company of approx

    900 employees, is the global market leader inshipboard cargohandling equipment.

    The company must enable a Norwegianshipbuilder, for eg, to design cargohandling

    equipment in Norway, build it in Taiwan, andservice it in South America.

    The CEO of the newly merged company hand-picked his executive team of five managers, ail of

    whom he knew and trusted and who shared hisvision of where the company should be headed.

    Because he allowed each of them to choosewhere to live, the team is spread across Finland,

    Denmark, Sweden, and England

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    Each executive is multilingual, but team

    members speak in English during their

    weekly teleconference.

    The roles and responsibilities for

    implementation are kept very clear so that

    interaction on a day to-day basis acrossgeographic distances is unnecessary.

    MacGregor Navire Executive Team is a

    model of cross-cultural management.

    Team members all knew each other, spokemultiple languages, agreed on the teams

    mission from the outset, and shared the

    same business values

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    FOUR STAGE TEAM BUILDING

    PROCESS

    Forming the Team

    Focusing the Team and Its Mission

    Maintaining the Team Transfering Learning Throughout the

    Organization

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    BACKGROUND GLAXO

    WELCUM The company first assembled a high-caliber HR

    team, composed of the firms top organization

    development (OD) practitioners from both the

    U.K. and U.S.

    The company invested substantial financial and

    human resources in the demonstration project.

    The HR team assessed the HR department as

    a whole, devised matrix grid. To meet the new demand for global service

    delivery that arose from re organization,

    expanded the number of transnational team

    facilitators from the planned 20 to more than

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    Staffing the HR function took about eight

    months, and the HR department explicitly

    committed itself to becoming one o f the

    worlds best facilitators of transnational team

    development.

    HR team implemented its plan and

    periodically evaluated results. By means of a mentoring process, the new

    facilitators were quickly educated about the

    companys business strategies, structures,

    and systems so that each teamsmission and

    operations could be properly integrated with

    the rest of the organization.

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    STAGE 2

    skills (technical and group) focus is on building an effective group

    process: developing team norms,

    articulating useful team roles, identifying

    success criteria, and so on.

    Facilitators believe that unless a sound

    group process develops during this stage,

    the team probably will not achieve superiorbusiness results in the years ahead.

    cultural sensitivity intervention

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    STAGE 3

    maintenance stage Facilitation skills are transferred from the OD

    practitioner to the team leader and members.

    most important milestones - getting the team to

    take responsibility for its own outputs--not justthe teams formal deliverables, but also the

    outcomes of team meetings.

    The teamsmembership may change during the

    maintenance stage. When new members come

    on board, either temporarily or permanently,

    team dynamics change, and some teams invite

    back their facilitator to help the group fine-tune

    its process

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    STAGE 4 HR practitioners transfer information among

    teams, but the teamsproject leaders also gettogether on a regular basis to exchange advicebased on their successes and failures.

    Successful projects are celebrated andrewarded bv the company, but so too arecertain types of breakdowns.

    Senior managers have agreed that when anR&D project is canceled, there is reason tocelebratethe team did well to abandon theproject by not wasting company resources,and other teams probably can learnsomething useful from the experience.

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    LESSONS LEARNED

    Performance measurement - performancecriteria and 360-degree evaluation

    instrument.

    recognition of the value of p o s t -projectevaluations.

    heightened management awareness

    most valuable lesson - team effectivenessprecedes company effectiveness.

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    CONCLUSIONS

    Transnational teams are at the heart ofthe globalization process.

    transnational teams are almost always used

    to both launch and manage the process

    The model of transnational team effectiveness

    can be used to examine the key variables.

    must dramatically improve their human

    resources departments to supporttransnational teams properly, and they will

    want to develop innovative and customized

    compensation schemes to reward teams for

    their accomplishments.

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