One of the main challenges in development and organization of teams is their recognized advantage to provide superior ways to utilize employee talents. Management has found that teams are more flexible and responsive to changing events than are traditional departments or other forms of permanent groupings.1 Cultural diversity and low knowledge management on the rating scale of management tools used, nowadays are among main disturbing factors, but can be also used to the team’s advantage.
Managers strive to motivate teams while maintaining more and more complex business processes each day and multi level communication, formal and informal within an organization is becoming overwhelming. Main concept which could render improvement of the team performance lies within motivation theory of finding perfect technique for evaluation and rewards – i.e. management by goals methodology – in order to quantify the desired outcomes and diminish counterproductive ones.
Main performance issue as detailed in the Team Performance Report sheet (TPR) in the Product Development Team (PDT) that creates performance issues with the products (widgets) produced so far represents the lack of cooperation and communication between manufacturing department and PDT, during the budget cuts, i.e. reduction of manufacturing costs where changes in design are unilaterally undertaken by manufacturing department.
Secondary performance issue that has to deal with performance of the team represent poor motivation and over- emotional reactions, i.e. sluggishness in the team, analyzing and rehashing old issues.
Let’s examine more closely the situation when the sales of the widgets are not making the target numbers given in the annual sales marketing plan. Reduction of the cost decided unilaterally by the senior management is obviously affecting the performance of the widgets. However, the downward communication