Can leadership compensate for deficient inclusiveness in global virtual teams?

Although the number of global virtual teams has been growing rapidly, it is still a great challenge to achieve internal collaboration across geographic, cultural, and linguistic barriers. Two factors that have been identified to improve productivity are inclusive group attitudes in the team and the right leadership from the team leader. Although there are strong indications that each of these concepts would have a favourable effect on team member performance, we set out to explore how they function in combination. More specifically, we hypothesise that inspirational motivation from a team leader can compensate for a lack of inclusive group attitudes in the form of team openness to language diversity. We also predict the positive effects of “inspirational motivation” leadership to be stronger than those of the “management by exception” style of leadership. Using responses from 174 team members and their 23 team leaders in the research and development department of a Danish manufacturing organisation, we confirm our hypotheses. This provides clear guidelines for HRM interventions in organisations using global virtual teams.