This study investigated managers' perceptions of variables important to successful teams, emphasizing key differences between off‐site and on‐site teams. Changes in perceptions after exposure to a virtual team environment were examined. Key variables examined in this study included reporting procedures, importance of solid work structure, team hierarchy, team leadership, and communication. Findings as to pre‐ and post‐perceptions of the importance of these variables are reported. MBA students, already in managerial jobs, were the subjects, and were expected to duplicate general managerial attitudes. Two statistical tests were used to evaluate the data. First, a test of differences of means for paired observation, n=43, using t‐statistic; second, a test of association, rated on a Likert scale from 1 to 5, using Pierson's Chi‐square test, were used to evaluate the quantitative part of the study. Conclusions are drawn as to what managers need to focus on when employing virtual teams.
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