Abstract:
This qualitative and naturalistic approach to the study explores how 
interaction and trust can be promoted in virtual teams and the main drivers for 
these teams to behave in certain ways. This study focuses on a single 
multinational engineering service company. Multinational engineering 
companies are increasingly becoming more involved in international projects 
that are globally dispersed and complex. In order to achieve its objectives and 
service clients globally, flexible and dynamic organisational structures are 
required to meet the requirements of the competitive marketplace. The 
advances and development in ICT systems has allowed the establishment of 
virtual teams whose members make use of these systems to communicate 
and share information. The challenge to team building in a virtual 
environment is that of creating avenues and opportunities for team members 
to have the level and depth of dialogue necessary to create a shared future. 
Issues of cultural diversity, geographic distance and member isolation can 
increase the challenges to effective collaboration. This study investigates real 
organisational virtual teams in the engineering service industry. It enriches 
the knowledge management literature by introducing the practice perspective 
of interaction and collaboration in virtual teams, and explores knowledge 
transfer attributes and variables of virtual teams more fully. The study adds to 
the operational management literature by elaborating organisational 
structures to facilitate knowledge sharing, and presenting important 
knowledge management concern associated with collaboration by means of 
globally dispersed virtual teams. 
Data was collected through in-depth interviews and a web-based survey. The 
aim of the study was to determine how interaction and trust can be promoted 
in virtual teams and the main drivers for these teams to behave in certain ways. In particular the study focuses to what extent interaction, collaboration 
and trust in virtual teams can be promoted and ways communication tools 
measure, strengthen, recognize, and capture virtual domain development. 
The study’s second objective identifies in what way virtual teams contribute to 
organizational-level learning and knowledge management, and implications 
for competitive advantage and overall profitability. The third objective of the study identifies specific needs for unique and innovative tools to locate 
engineering and technical resources, and the importance of using as many 
tools as possible. 
This study confined itself to an exploratory interpretive approach aimed at 
expanding the understanding of some elements that may affect virtual teams. 
The study limitations include the time available to conduct the survey, the 
sincerity or truthfulness of the respondents during interviews and the survey, 
relative small sample size for the industry and the validity of the research 
questions asked. The author may also present some bias in the research 
findings and conclusions. It was further assumed that the respondents would 
openly and honestly answer the research questions. 
This study highlights the advantage of virtual teams over FTF team and the 
significance of trust in a virtual team compared to FTF teams. The 
effectiveness of communication tools as a trust mechanism in the virtual team 
setting is questioned and emphasises the significance of FTF interaction at 
the start of the project. Trust is preserved by open, clear and honest 
communication and not necessarily a functionality of the tools. Other aspects 
such as integrity, timely feedback, achievement of project objectives and 
securing of information were reported as a way to ensure trust in a team. The 
prompt sharing of information and regular communications was identified as 
mutually beneficial to team members. Virtual teams also have the ability to increase the overall profitability of the 
company by improved efficiency, shared resources and overall cost 
reduction. The results of the study revealed that culture diversity had little 
effect on knowledge sharing in a virtual team and was shown as an 
advantage. However language difference and communication issues were 
highlighted as issues affecting knowledge sharing. Several of the 
communication tools and such as e-mails, teleconference, telephone, video 
conferencing, and collaboration tools such databases (PWS/CWS and 
network drives) were discussed in general as being used in the company. 
The overwhelming response was that these were just communication tools 
and on their own cannot be used to ensure trust. This study recommends that virtual teams have a project kick-off meeting that 
is held FTF. The management of knowledge can be improved if team leaders 
understand the social context of the team, and provide the necessary 
support. The team leader further has to create a team culture that facilitates 
the development of project goals and group norms with respect to decision 
making, conflict resolution, and so on. This study suggests training in 
intercultural communications to focus on differences in verbal styles instead 
of nonverbal differences. Finally while e-mail with synchronous chat or screen 
sharing might be better for team teleconferences, collaborative group 
systems should incorporate multiple media channels.