Excess May Do Harm: Investigating the Effect of Team External Environment on External Activities in Teams

Abstract

We extend research on team external environment by investigating whether lack of permanence, fluid membership, and environmental volatility influence the relationship between team external activities and team effectiveness. Teams engage in external activities with clients, audiences, funding sources, or other stakeholders who may receive the work of the team and/or who convey access to legitimacy and resources, and who may be outside of any organization team members represent. We seek to understand whether significant external activities reach a point of diminishing returns, arguing that the utility of such activity depends on the team external environment. Our study consisted of a quantitative analysis of 140 film-making teams rated by the teams and 5,000 film viewers. We found that the relationship between team external activities and effectiveness is nonmonotonic; a moderate amount of activity is associated with the highest level of effectiveness, but these effects are contingent upon the aforementioned environmental characteristics. Our findings extend current theory on team external environment and external activities and have practical implications for collaborators in dynamic environments hoping to optimize their effectiveness without compromising their vision.