PSY-FPX6710_Wood-LeclercEmily_Assessment5

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6710

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Jan 9, 2024

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The following presentation will review a comprehensive performance plan for Company V, a large communication company known for its high performance and innovation. The company has expressed concern regarding the performance of its virtual employees as it is perceived to be lower than the company’s office workers. This impacts employee morale and, consequentially, innovation from the virtual employees. The goal of this proposal is to re- establish the virtual contributors, address performance concerns, present ways to foster innovation, and raise morale for both virtual and office-based employees. 1 PERFORMANCE EXCELLENCE VIRTUAL ENGAGEMENT EMILY WOOD-LECLERC CAPELLA UNIVERSITY PSY-FPX6710 DECEMBER 2, 2023

First and foremost, there are common myths about the actions and performance of the virtual employee. Let's start by looking at the most common myths, and then we will review the characteristics of successful virtual employees and teams as well as important competencies for leaders of virtual teams. The most common myth is that virtual employees are easily distracted and unproductive when working remotely. However, research shows that virtual employees and teams perform at a higher caliber because they put in more hours than office-based employees and have fewer distractions during their workday (Purvanova, 2014). According to Purvanova (2014), various companies have reported increasing overall profits when incorporating virtual teams into their model. IBM reported an increase in productivity of up to 40%, while Hewlett-Packard doubled its revenue and saw a 25% improvement in customer satisfaction. In a study conducted by Boh et al. (2007, as cited by Purvanova, 2014), they found that virtual employees brought in significantly more revenue than traditionally structured teams. The second most common myth is the virtual employee is unable to contribute to innovations within a company 2 FACT V. FICTION MY THS OF THE VIRTUAL EMPLOYEE MYTH • Not productive FACT • Higher success MYTH • Can’t foster innovation & connections FACT • Flexibility removes barriers 12/2/23 PERFORMANCE EXCELLENCE 2

and build relationships with colleagues. This is largely attributed to the perceived difficulties virtual employees face with communicating and collaboration. Studies have found the opposite to be true. Purvanova (2014) reports that one of Boings virtual teams, made up of 5 people, created their SLICE rocket engine. By maximizing their collaboration tools, streamlining their communication, and addressing challenges the team faced, they were able to design the rocket in one-tenth of the time spent designing its predecessor. Even so, the team only spent about 15% of their time weekly to work on the project. All of these factors resulted in the company saving millions of dollars (Purvanova, 2014). It is no secret that there is implicit bias when evaluating and managing virtual employees, so it is important to separate out the facts and focus on the competency of the individuals and their collective. 2

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The foundations of a successful team start with the employee. When virtual employees can contribute these competencies to the team, they can overcome challenges and outperform their office-based counterparts. At the core, virtual employees need to have self-motivation. Without this, the other characteristics won’t have the same impact on success for a virtual employee. These individuals will face barriers that office-based employees do not face and will need to have self-motivation as well as adaptability and accountability skills to overcome those barriers. Additionally, they do not have team members or managers surrounding them as they might in an office setting, so organization and time management is essential to keep these employees on track (Puvanova, 2014). With the base of these characteristics, virtual employees will be able to strengthen their communication, reliability, collaboration, and problem-solving skills which are essential for virtual and hybrid teams to be successful. 3 CHARACTERISTICS OF A SUCCESSFUL VIRTUAL EMPLOYEE Organization & Time Management Adaptability Self- motivation Accountability Proactive problem-solving ● Collaboration skills ● ● Reliability ● Communication 12/2/23 PERFORMANCE EXCELLENCE 3

Leaders of successful virtual teams have two main competencies that have the greatest impact on motivating performance and innovation. The first is transformational leadership because it focuses on human capital rather than social capital. This allows leaders to flex to the needs of their team because their leadership skills are embedded in all other skills and competencies they master, which is essential when managing virtual employees (Chen et al., 2016). This style of leadership is conducive for fostering inclusion, communication, and trust. One of the most common characteristics of transformational leadership is coaching, where an individual asks impactful questions to help the coachee determine their action plan themselves, facilitating critical thinking and problem solving. As virtual employees may face barriers different from their office-based piers during their career, their ability to problem solve and think critically is essential to their own innovation and performance (Chen et al., 2016). Secondly, emotional intelligence is necessary to successfully lead a virtual team. Managers will not have the ability to read social cues or body language when coaching their virtual employees, thus they will need to lean heavily into their emotional intelligence and active listening to build trust and resolve conflicts (Kozlowski et al., 2021). 4 Emotional Intelligence Transformational Leadership SKILLS F O R A S U C C E S S F U L V I R T U A L T E A M L E A D E R • Coaching • Motivation • Innovation • Trust • Conflict resolution 12/2/23 PERFORMANCE EXCELLENCE 4

As mentioned previously, there are key elements of virtual teams that contribute to their success and high performance. Having the foundations of goal alignment, trust, adaptability, and relationship building will strengthen communication, accountability, collaboration, and reliability (Horwitz et al., 2006; Purvanova, 2014). All of these characteristics need to be chosen and fostered as a team, creating cohesion and motivation. The team manager will want to rely heavily on the transformational leadership and emotional intelligence skills detailed in the previous slide to ensure this happens. Lastly, research recommends smaller teams in a virtual setting. In the study conducted by O’Leary & Mortensen (2010, as cited by Abrams, 2019), they found that larger groups experienced more conflict and coordination problems. 5 CHARACTERISTICS O F A S U C C E S S F U L V I R T U A L / H Y B R I D T E A M Relationship building Goal alignment Adaptability Trust Accountability ● Collaboration ● ● Reliability ● Communication 12/2/23 PERFORMANCE EXCELLENCE 5

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It is no secret that communication is the first concern when leading virtual teams, as studies show it can take longer in a virtual environment due to technological limitations. Face-to-face teams report a shorter decision- making time because of the efficiency of a face-to-face conversation (Purvanova, 2014). However, the COVID-19 pandemic forced companies to innovate technology to accommodate virtual teams and shorted the gap between face-to-face and virtual communication. In addition, behaviors that support virtual teams have been on the rise as valued competencies and provided additional support in the form of training (Kozlowski et al., 2021). 6 LEADING & MOTIVATING VIRTUAL EMPLOYEES A P P R O A C H Communication • Regular meetings • Various tools Trust • Relationship • Self-efficacy Recognition • Consistency • Competency 12/2/23 PERFORMANCE EXCELLENCE 6

Let’s look at the top behaviors and skills necessary to effectively lead and motivate a virtual team. Communication is always the key to success with any organizational change or challenge. However, addressing the differences necessary to effectively communicate with virtual teams is important. First and foremost, schedule regular check-ins as a team and individually (Lepsinger & DeRosa, 2015). This can be in the form of weekly meetings and weekly 1:1 with leaders and individual contributors. To keep meetings beneficial for all parties, have a framework for each type of meeting agreed upon by the leader and the remainder of the team. Regularly evaluate the structure to ensure it benefits all and be ready to pivot based on the organization's needs (Lepsinger & DeRosa, 2015). Additionally, when scheduling meetings, avoid ineffective meetings and the “this could have been an email” experience by setting clear objectives (Horwitz et al., 2006). A leader can also schedule optional office hours around specific topics, creating a space for team members to meet and collaborate if needed. For 6

to ensure competence and confidence. However, some team members may feel it is redundant and not a good use of their time. Offering the optional space for employees needing additional assistance with the product creates a sense of equality, as office-based employees would have approached the manager ad hoc. Technical tools are heavily relied upon for communication, collaboration, and innovation when leading a virtual or hybrid team. Encourage the leader of each team to work with their contributors to set team norms for communication platforms. Have clear expectations for the various tools, such as messaging platforms like Slack or Microsoft Teams, collaboration tools like Trello or Miro Board, email, and other cloud- based tools to facilitate communication for a team (Horwitz et al., 2006). Communication is important; however, it is also important to treat communication equally across the team. It may be tempting for managers to micromanage virtual or telecommuting employees to monitor productivity. However, this can negatively impact their 6

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However, trust is typically implicitly given to office-based employees (Shockley, 2014). Again, we want to ensure all employees are managed and held to the same expectations as office-based employees. Challenge your leaders to trust first; they hired this individual because they already believe they are competent. In the same vein, have clear guidelines on what to do if that trust is broken and the employee no longer meets expectations (Horwitz et al., 2006). Additionally, it is important to be intentional with team social connections. Being virtual prevents employees from having the ”water cooler” connection, so it is important to facilitate such connections such as virtual lunches, happy hours, celebrations, and so on (Lepsinger & DeRosa, 2015). Lastly, recognition is important to an organization's ability to retain employees. However, it is common for virtual employees to be passed over for potential projects and promotions because they are “out of sight, out of mind.” When approaching employees for additional projects or developmental opportunities, decide based on competence and employee career goals, not their physical location (Shockley, 2014). There 6

their job expectations, key performance indicators, and organizational values (Shockley, 2014). 6

As stated at the beginning of this presentation, one of the most common myths mentioned is the lack of innovation capability a virtual employee or team has due to perceived limitations. While we discussed that research shows the opposite, there are steps that successful team such as Boeing and IBG (Purvanova, 2014) follow to foster innovation. According to a study by Lisak et al. (2016), inclusion, as the base of communication and goal setting, motivates innovation within teams. Their study revealed that perception significantly impacts the motivation to innovate. When team members are included in the goal-setting process, they are interested in the collective process and have a sense of self-importance, especially when their input directly impacts the outcome. This also encourages employees to want to promote the outcomes of team innovation, celebrating their success as well as the success of their team. For that to happen, communication needs to be a priority for all. We reviewed how communication can be approached in execution in the previous slide. Communication inclusion is based on everyone's critical thinking skills. For innovation to be successful, there needs to be a diverse group of perspectives. Diversity plays a big part in a company's success as those diverse perspectives can address factors yet to be noticed or prioritized, 7 LEADING & MOTIVATING VIRTUAL EMPLOYEES F O S T E R I N N O V A T I O N T H R O U G H I N C L U S I O N 12/2/23 PERFORMANCE EXCELLENCE 7 Inclusion • Collective interest • Self-concept • Promote outcomes • Multiple perspectives • Diverse experience • Goal motivation

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which is the heart of the purpose of innovation. When communicating using the methods already discussed, the content should be focused on understanding and integrating different viewpoints based on the diverse experiences in the collective and leverage this information toward innovative outcomes. For this to happen, it is essential that managers create an environment that fosters inclusion and encourages input from the team (Lisak et al., 2016). For teams struggling with this, a coaching approach by asking impactful questions while meeting with the team collectively and individually will challenge the mindset and set the tone for conversations moving forward (Lepsinger & DeRosa, 2010). 7

Effective leadership in virtual teams requires continuous monitoring of individual team members to ensure they are making optimal contributions. If a team or team member needs to address or boost performance, there are steps a leader can take to address them. In the book Virtual Team Success: A Practical Guide for Working and Leading from a Distance by Lepsinger and DeRosa (2010), a four-part process is detailed to improve the performance of virtual teams. First, coaching can help monitor an employee's progress. Virtual team leaders should offer regular feedback and coaching to help employees connect their daily actions and behaviors to the team's broader goals. This proactive approach aims to enhance individual performance and align it with the team's objectives. The coaching should have a holistic view of performance, including behaviors, activities, and results. There are two types of recommended coaching: on-the-spot coaching, which is situational, and ongoing, which monitors progress toward goals through regular check-ins (Lepsinger & DeRosa, 2010). Effective team leadership involves motivating individuals to execute requests, endorse proposals, and implement 8 • Action • Timetable • Checkpoints • Consistency • Frequency • Sincerity LEADING & MOTIVATING VIRTUAL EMPLOYEES P E R F O R M A N C E I N T E R V E N T I O N 12/2/23 PERFORMANCE EXCELLENCE 8 • On-the-spot • Ongoing • Rational persuasion • Inspirational appeals • Consultation • Collaboration Coaching Commitment Recognition Accountability

decisions. Accomplished virtual team leaders recognize that garnering the necessary support doesn’t happen automatically; it requires intentional cultivation. Consequently, these leaders invest time in securing buy-in from team members for various plans, tasks, and initiatives. Research indicates four central approaches: rational persuasion, which focuses on facts and logic; inspirational appeals, which are emotional and values-based; consultation, which centers on participation; and collaboration, which focuses on assistance (Lepsinger & DeRosa, 2010). It is a common misconception that it is difficult to recognize and reward virtual employees. It could be that they can’t verify the employee's contributions or have trouble producing meaningful ways to recognize virtual employees. Providing a framework for leaders to reference for office-based and virtual employees will ensure both receive equal recognition. It is important to remember that recognition goes beyond monetary reward and should not be limited by budget. Employees want to feel valued and belonging, regardless of their career aspirations. There are numerous methods for offering acknowledgment, such as e-cards, awards, spotlights, and the like. Lepsinger and DeRosa (2010) recommend an organizational recognition framework that encompasses all employees and allows leaders to recognize others, even if they are not on the same team. Recognition should always be fair, frequent, and sincere. Lastly, virtual leaders often struggle to hold team members accountable. Several factors contribute to this leading issue, including insufficient communication, lack of set milestones, and lack of accountability for missed commitments. To combat these common mistakes and foster accountability, Lepsinger and DeRosa (2010) recommend three simple words to provide guidance: Action, Timetable, and Checkpoints, often referred to as the ATC. Incorporating these into each conversation with employees will ensure accountability and lead to an overall performance boost. 8

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To ensure your people leaders are set up to execute what we have reviewed in this presentation successfully, the company must provide appropriate support to foster success. There are three main themes: communicate, train, and incentivize. Be sure to provide your leaders with access to property resources that will clarify role expectations and guidelines for virtual teams. Also, provide proper training for leaders to coach their team for performance effectively. Other essential trainings include goal setting, stakeholder management, and cultural competence. Lastly, as with managing any team, leaders also need reward and recognition to incentivize and improve morale. Also encourage leaders to connect with other virtual team managers as a support network. Having such a network will help provide additional support when faced with challenges (Horwitz et al., 2006). Effective leaders lead effective teams, and these steps will help an organization achieve that. 9 LEADING & MOTIVATING VIRTUAL EMPLOYEES S U P P O R T Y O U R L E A D E R S Train Communicate • Clear guidelines • Clear expectations • Coaching for performance • Goal setting, etc. Incentivize • Reward and recognition • Involve peers 12/2/23 PERFORMANCE EXCELLENCE 9

The overall goal of performance management is to ensure the employee is performing as expected, meeting organizational needs, and bringing value to organizational performance ( Riratanaphong & Theo van, 2015). When creating a framework to manage and monitor performance, there are several different models and theories that you can follow. For this proposal, we will focus on three that are connected and complement one another. The first is key performance initiatives to measure performance through objectives and goals related to their roles. It is in the company's best interest that these KPIs be directly related to the company’s objectives and key results (OKRs). Effectively track behaviors of the team through the 360-degree feedback system. This system encourages examining behavior from all angles (Conte & Landy, 2018). Lastly, use both methods above when completing a performance appraisal. These appraisals should have the following perspectives: financial (profitability), customer (retention), internal business processes (expectation), and learning and growth (overall development) ( Riratanaphong & Theo van, 2015). 10 PERFORMANCE MANAGEMENT 12/2/23 PERFORMANCE EXCELLENCE 10 KEY PERFORMANCE INITIATIVES PERFORMANCE APPRAISALS FEEDBACK Measure performance through objectives and goals related to role relevance Track holistic performance by following a structured appraisal model, including KPIs and feedback, discussed regularly Track behavioral performance following the 360- degree feedback system, focusing on the SBI model (Situation, Behavior, Impact)

With all the other factors and characteristics we reviewed today, the organization is ethically responsible to its employees to ensure fairness and inclusion. The company is legally responsible for actively eliminating discrimination and creating a fair workplace. However, there is a lot of grey space when addressing virtual work and performance. Some states/countries and even companies view virtual work as an accommodation for people with disabilities. This is not the same across the board, so the company must be clear on the criteria for those accommodations and telecommuting framework (Purvanova, 2014; Shockley, 2014). As mentioned a few slides back, the company also has a vested interest in being clear about expectations up front, both with the virtual employees and their managers. This will mitigate any potential confusion or challenges that would impact overall performance. Having clear criteria also helps prevent discrimination and lowered morale (Horwitz et al., 2006). Lastly, companies should provide access and support so all employees can do their jobs efficiently and effectively. Training should be provided to both people leaders and virtual employees. While it may not need to be mandatory, have training and additional resources available if they are needed to help address challenges as they arise. Additionally, it is important to note that access to technology is inconsistent globally. If there are certain 11 ORGANIZATIONAL RESPONSIBILITY • Understand the ethical imperatives and obligations • Discrimination and fairness • Accommodations • Be clear about expectations up front by: • Communicating the criteria for telecommuting and/or virtual team structure, including what departments/organizations can or cannot offer telecommuting or fully virtual positions and why • Access and support • Training • Technology • Wellness benefit 12/2/23 PERFORMANCE EXCELLENCE 11

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requirements an employee needs to perform their job, it is in the company's best interest to support them in receiving that technology. This can be in the form of high- speed internet, company laptops, docking stations with additional monitors, access to specific software, etc (Kozlowski et al., 2021). It is also a common practice for companies to provide a monetary wellness benefit and allow employees to expense office supplies such as standing desks, office chairs, and electronics to that benefit. 11

In closing, a team structure will always have advantages and disadvantages, regardless of the set-up. An organization can reap the benefits of virtual employee success when it offers the proper support to address its challenges and barriers. To do so, it is important to continuously analyze the performance of all teams and quickly address any gaps presented. Having a framework to guide virtual teams in addressing performance gaps will help minimize the loss in production and keep employee morale high. 12 KEY TAKEAWAYS • Analyze the data • Provide proper support • Plan of action 12/2/23 PERFORMANCE EXCELLENCE 12

13 REFERENCES • Abrams, Z. (2019). The future of remote work. Monitor on Psychology , 50 (9), 54. http://www.apa.org/monitor/2019/10/cover-remote-work.html • Conte, J. M., & Landy, F. J. (2018). Work in the 21st Century: An Introduction to Industrial and Organizational Psychology (6th ed.). Wiley Global Education US. https://capella.vitalsource.com/books/9781119493440 • Chen, L., Zheng, W., Yang, B., & Bai, S. (2016). Transformational leadership, social capital and organizational innovation. Leadership & Organization Development Journal, 37 (7), 843-859. https://doi.org/10.1108/LODJ-07-2015-0157 • Hoch, J. E., & Kozlowski, S. W. J. (2014). Leading virtual teams: Hierarchical leadership, structural supports, and shared team leadership. Journal of Applied Psychology , 99 (3), 390–403. https://doi-org.library.capella.edu/10.1037/a0030264 • Horwitz, F. M., Bravington, D., & Silvis, U. (2006). The promise of virtual teams: identifying key factors in effectiveness and failure. Journal of European Industrial Training, 30 (6), 472-494. https://doi.org/10.1108/03090590610688843 12/2/23 PERFORMANCE EXCELLENCE 13

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14 REFERENCES • Kozlowski, S. W. J., Chao, G. T., & Van Fossen, J. (2021). Leading virtual teams. Organizational Dynamics, 50 (1), 100842. https://doi.org/10.1016/j.orgdyn.2021.100842 • Lisak, A., Erez, M., Sui, Y., & Lee, C. (2016). The positive role of global leaders in enhancing multicultural team innovation. Journal of International Business Studies, 47 (6), 655-673. https://doi.org/10.1057/s41267-016-0002-7 • Lepsinger, Richard, and Darleen DeRosa. Virtual Team Success : A Practical Guide for Working and Leading from a Distance , Center for Creative Leadership, 2010. ProQuest Ebook Central , https://ebookcentral-proquest-com.library.capella.edu/lib/capella/detail.action?docID=589145. • Lepsinger, R., & DeRosa, D. (2015). How to Lead an Effective Virtual Team. Ivey Business Journal (Online), , 1. http://library.capella.edu/login?qurl=https%3A%2F%2Fwww.proquest.com%2Ftrade-journals%2Fhow-lead-effective-virtual- team%2Fdocview%2F1697938826%2Fse-2%3Faccountid%3D27965 12/2/23 PERFORMANCE EXCELLENCE 14

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15 REFERENCES • Purvanova, R. K. (2014). Face-to-face versus virtual teams: What have we really learned? The Psychologist-Manager Journal , 17 (1), 2–29. https://doi- org.library.capella.edu/10.1037/mgr0000009 • Riratanaphong, C., & Theo van, d. V. (2015). Measuring the added value of workplace change. Facilities, 33 (11), 773-792. https://doi.org/10.1108/F-12- 2014-0095 • Shockley, K. (2014). Telecommunting [White paper]. Society for Industrial and Organizational Psychology, Inc. http://www.siop.org/Portals/84/docs/White%20Papers/ScientificAffairs/telecommuting.pdf?utm_source=Web&utm_medium=Article&utm _campaign=Top10 12/2/23 PERFORMANCE EXCELLENCE 15

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PSY-FPX6710_Wood-LeclercEmily_Assessment5

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