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9 November 2022

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What is a Virtual Team and How Can it Advance Your Business?

In a world where millions of people are no longer strictly bound to their workplaces and can do their job without leaving their homes, it is only natural for remote development teams to grow in popularity. You might have heard of many different types of teams that can deliver certain types of services remotely; one is a virtual team. But what is a virtual team, how does it perform, how can you gather such a team, and what is the meaning of a virtual team for your business? Let us see what virtual teams are, what value they bring to your company, and what the main advantages of remote teams are.

Virtual Team Definition and Practical Examples

A virtual team, also known as a remote team, is a group of people that work for the same organization or on the same project from different global locations. The virtual team meaning is similar to a remote team – employees who work for your business from far-off locations via digital communication and cooperation.

As an example, there is a manufacturing business that needs new software for convenient warehousing but lacks the necessary talent in-house. Such a company can gather a team of experts working in different countries like the US, Japan, Germany, Brazil, or any other country to collaborate and develop the required type of software. These experts will use any available digital cooperation and project management tools to ensure successful project delivery.

The Different Types of Virtual Teams

The answer to the question of what is a virtual team lies in the details as there are several types of them you can use to achieve your business objectives. The meaning of virtual team is to precisely suit the needs of the client, and that is why there are several types of them you will have to consider:

  • Networked team

Networked teams are built with cross-functional team members all of whom share their expertise and bring valuable knowledge to the table. The team composition is fluid as new members are added to the group whenever new expertise is needed. Existing members can be removed from the team as well once they fulfill their duties and their presence is no longer needed.

  • Parallel teams

Parallel teams, in the virtual team meaning, are usually formed with the organization’s internal talent to create or develop recommendations for a process or system. Parallel teams, in this context, are not fluid and their composition usually remains the same until the team fulfills its obligations. These teams are gathered for a short period of time and get disbanded once they achieve their goal.

  • Product development teams

Product development teams can be composed of different types of experts whose knowledge and skills are needed to develop a certain type of product. Let us say you want to develop a cross-platform application. You will need iOS developers, Android developers, web developers, front-end and back-end programmers, UI and UX designers, and more. Such teams usually last for years and their end goal is to deliver the desired product in accordance with acceptance criteria.

  • Service teams

These types of teams are especially popular in product support. For instance, you need a round-the-clock support team who would accept calls from your customers. It would be reasonable to hire people in different locations around the world to ensure seamless communication between your business and the clients whenever they need assistance. In such cases, you might want to hire employees in Canada, Singapore, Poland, Ukraine, and several other countries so that your team would work without any major interruptions.

  • Management teams

Management teams play a major role in the overall efficiency of your organization, and if your business works internationally, you will need managers dispersed across all of your global locations. Being a part of the same team, these people will be located in countries around the world performing similar duties but working with different teams. The members of such a team will be working on corporate-level decisions and devise strategies to advance your business interests in numerous global locations.

  • Action teams

What is a virtual team in a narrow context? This is a team of people who are assembled to perform certain duties. The action team is even more precise. Such a team is formed for a short duration of time to respond to an immediate problem or make a quick solution. After the problem is resolved, the team is disbanded.

Should You Opt for a Virtual Team?

So, now that we have the virtual team meaning figured out and know what types of such teams there are, we can see whether assembling such a team is a good idea for your business. The definitive answer can be given by evaluating all the pros and cons of virtual teams.

Advantages of virtual teams

There are many reasons to opt for virtual teams, and here are some of their core advantages:

  • Lower cost of office maintenance: the members of your team can work from home, which means you don’t have to pay exorbitant office maintenance bills anymore;
  • Flexibility: the members of the team can achieve better personal flexibility. Additionally, such teams can be reshaped at any time giving you the opportunity to bring in fresh talent whenever you need.
  • Around-the-clock performance: running a team that works across several time zones allows you to make up a 24-hour schedule to ensure non-stop delivery.
  • Access to larger talent pools: by hiring people from around the world, you gain access to an international talent pool that comprises thousands and thousands of experts ready to embark on your projects.
  • Increased efficiency: the members of virtual teams do not waste time commuting to their offices, which increases their overall efficiency and productivity.

Disadvantages of virtual teams

You must be aware of several disadvantages too:

  • Communication issues: the team will be heavily reliant on digital communication tools. There will be almost no personal communication between the members of the team. Non-verbal communication is nearly impossible, which means that some messages might be misjudged.
  • Poor team bonding: the team members will not be invested in the team. A typical virtual team will form no bonds and feel disjointed.

Conclusion

So, what is a virtual team? That is another name for a remote team composed of people working from different locations. In simple terms, that is a team of people who can do their job without ever seeing each other or meeting in the same office. There are several types of virtual teams that would suit different business contexts. And of course, you need to evaluate the pros and cons of virtual teams before making the decision to form one.

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