Globalisation has fundamentally changed the world of work. Supported by digital technologies, international teams are increasingly working together across national borders, which brings new challenges, but also tremendous opportunities. PMA Research, a People Mobility Alliance brand, has conducted a study on the topic of ‘Global People Collaboration’ with 70 managers from Germany, Brazil and Turkey. The study offers current insights into the practice of global collaboration and shows which points companies need to address in order to successfully organise it.

Challenges in Global Collaboration

The study shows that cultural differences are still considered one of the biggest challenges. Misunderstandings in communication and different ways of working can affect the efficiency and trust of team members (Tenzer et al. 2014). A manager from Brazil notes: ‘The direct form of communication in Germany can sometimes be perceived as rude, whereas in Brazil we place great value on personal contact.’ Although English is the standard language in many international companies, language barriers continue to be an obstacle (Hinds et al. 2014). Time differences and technological barriers also make collaboration more difficult (Gilli et al. 2022). The study shows that managers from Turkey emphasise the need for flexible working hours and the use of suitable collaboration tools. The survey highlights that employees’ intercultural competencies and language skills are crucial for the success of global teams.

Opportunities and added Value in Global Collaboration

Despite the challenges mentioned, the surveyed managers see significant opportunities in global collaboration. Access to a diverse talent pool enables companies to attract the best minds worldwide. In addition, competitive advantages through innovation and knowledge sharing are seen as benefits of global collaboration. One German study participant emphasised: ‘Collaborating with colleagues from other countries broadens our horizons and leads to more innovative solutions.’ By combining different perspectives and expertise, global teams can achieve more creative and efficient results. The study also shows that global collaboration promotes employee development. The exchange with colleagues from other cultures strengthens intercultural competence and promotes an understanding of different ways of working. In addition, higher cultural intelligence has a positive effect on individual performance (Presbitero / Toledano 2018; Gilli et al. 2022).

Success Factors for Global Teams

To make the most of the opportunities offered by global collaboration, companies need to take a number of key factors into account. Intercultural training and coaching are essential to raise awareness of cultural differences, break down communication barriers and improve team performance. The study shows that the use of collaboration tools that enable location-independent and flexible collaboration is also crucial. As time differences are seen as a significant challenge, employees should not only be trained in the use of communication tools, but also project management tools in order to coordinate tasks in an agile and time-independent manner. Participants also suggested the implementation of regular exchange formats to promote mutual understanding through face-to-face meetings and to get to know different perspectives within the company.

Furthermore, managers play a central role in promoting global collaboration. They should create an environment in which diversity is valued and in which all team members feel included. A high level of psychological safety promotes open communication and reduces misunderstandings (Edmondson 2019). Regular virtual team meetings and face-to-face meetings (when feasible) help to build trust and strengthen collaboration. In addition, factors such as motivation, communication, and technical skills of individuals have an impact on team satisfaction and thus, on team performance (Gilli et al. 2022).

Conclusion and Implications for HR

Global collaboration presents companies with enormous opportunities, but also harbours challenges. By taking cultural differences into account, using appropriate technologies, and promoting intercultural competence, companies can build successful global teams. The results of the study show that investing in global collaboration leads to more effective teams and make an important contribution to the success of the organisation.

Literature

Edmondson, A. (2019): The role of psychological safety: Maximizing employee input and commitment, in: Leader to Leader, 92, 13-19

Gilli, K. / Veglio, V. / Gunkel, M. / Taras, V. (2022): In search of the Holy Grail in global virtual teams: The mediating role of satisfaction on performance outcomes, in: Journal of Business Research, 146, 325-337

Hinds, P. J. / Neeley, T. B. / Cramton, C. D. (2014): Language as a lightning rod: Power contests, emotion regulation, and subgroup dynamics in global teams, in: Journal of International Business Studies, 45 (5), 536.561

Presbitero, A. / Toledano, L. S. (2018): Global team members’ performance and the roles of cross-cultural training, cultural intelligence, and contact intensity: The case of global teams in IT offshoring sector, in: International Journal of Human Resource Management, 29 (14), 2188-2208

Tenzer, H. / Pudelko, M., / Harzing, A.-W. (2014): The impact of language barriers on trust formation in multinational teams. Journal of International Business Studies, 45 (5), 508-535

Authors:
Alexia Schmolling is Head of Operations at PMA Consult. Her focus lies on Expat Management, Employee Health and international HRM. She brings valuable insights from her international experiences.

Prof. Dr. Stefan Remhof is the Managing Partner of the People Mobility Alliance and Professor of International Management at IU International University. He is a recognised expert in global mobility, expat management, and international assignments.

The complete study “Global People Collaboration Index” will be published in summer 2025 by PMA Research.