When was the last time you worked as part of a team? Do you think every team you have been a part of follows a similar form? Indeed, there are various types of teams in today's modern business world. And a proper understanding of how different teams operate can benefit companies and organizations worldwide. Keep reading to learn more about the most common types of teams in an organization with examples and explanation of different types of team culture!
Great things in business are never done by one person. They're done by a team of people.
- Steve Jobs 1
Types of Teams in Management
Perhaps you are currently a part of a team. Whether it is a team at your university, a sports team in your local town, or a team working on your company's latest project, exploring different types of teams can help better understand your team's current type and characteristics. First, perhaps let's walk through a brief definition of a team.
A team consists of individuals collaborating on specific tasks to achieve common goals and objectives.
Everyone knows about the great importance and tremendous benefits of teamwork towards the success of any business, which ranges from better communication and united vision and mission to better cohesion and enhanced trust.
Each individual has unique gifts, and talents and skills. When we bring them to the table and share them for a common purpose, it can give companies a real competitive advantage.
- John J. Murphy 3
Accordingly, not everyone knows how to work as a team. Thus, studying different types of teams, together with their unique characteristics and advantages and disadvantages, can assist individuals in improving their teamwork skills and understanding. So, how many types of teams are there nowadays?
Types of Teams in an Organization
There are various types of teams in an organization.
Yet, the five most popular types of teams in an organization include: problem-solving teams, self-managed teams, cross-functional teams, virtual teams, and the multiteam system (team of teams).2
Problem-Solving Team
Often, problem-solving teams are assembled temporarily. Usually, team members in problem-solving teams are gathered in case of a crisis or an unplanned matter at work. Thus, such teams try to address the issue and drive the organizations out of the ongoing crisis.
A problem-solving team consists of 5-10 members from the same department. The team will have a number of weekly meetings to resolve specific business problems.
In fact, this type of team can alleviate possible risks associated with certain crises while developing thorough solutions that address multiple business segments.
What are possible crises that concern problem-solving teams?
Problem-solving teams can work to alleviate possible risks in crises such as the global financial crisis in 2008-2009, the ongoing impacts of the Covid-19 pandemic, the currently increasing inflation rates across countries, and so on.
Self-Managed Work Team
Unlike problem-solving teams, of which desirable outcomes focus on recommendations, self-managed work teams are more concerned about implementing and revising solutions.
A self-managed work team consists of a small group of members who are fully responsible for delivering a product or a service through peer collaboration. In this type of team, a manager's guidance is often absent.
Normally, around ten employees will take on supervisory responsibilities while performing interdependent tasks. Together, this type of team unites for long-term purposes.
What are the responsibilities of a self-managed work team?
In this team, members often perform tasks ranging from work scheduling and operational planning to working with customers and assisting operational decision-making processes.
Cross-Functional Team
Nowadays, more and more organizations have embraced the use of cross-functional teams in their operations.
A cross-functional team consists of members on the same hierarchical level but from various departments within an organization.
Despite its growing importance, about 75 percent of global cross-functional teams face dysfunctional challenges.4 To illustrate, while cross-functional teams gather people from different areas of expertise to coordinate complex projects, such teams are tough to manage due to leadership ambiguity. Further, such diversity in team members also entails a high risk of workplace conflicts.
What are the advantages of cross-functional teams?
Cross-functional teams entail various benefits for companies, among which the following three advantages are most prominent:
Cross-functional teams accelerate task completion.
With their skillful and diverse members, cross-functional teams can tackle various projects at hand.
Cross-functional teams are dynamic and creative in producing innovative ideas.
Virtual Team
Virtual teams have recently arisen as new global group dynamic trends. Also known as geographically dispersed or remote teams, virtual teams imply people working together without being physically present.
A virtual team relies on digital technology to unite virtual members to work towards common goals.
Accordingly, virtual teams' most significant advantage is that they can stay connected and informed anywhere and at any time, regardless of their physical locations.
70 percent of professionals work remotely in some capacity at least once a week, with 53% doing so for half the week.
- Ariel Lopez 5
More interestingly, virtual teams are often more engaged than physical ones.5 The reason is that working in the same office can decrease team satisfaction when individuals fear or worry about their leaders. Thus, the physical absence of leaders in virtual teams encourages members to connect more.
Multiteam System
If you are wondering about a team that can unite different departments within your organization, not just the individuals, perhaps a multiteam system is ideal for you.
A multiteam system is a team that consists of different teams working together to realize overarching goals.
The multiteam system is quite a new concept for organizations worldwide. While a multiteam system is larger than a team, it is still smaller than an organization. Organizations often need to form multiteam systems to resolve highly complex tasks requiring higher coordination and expertise.
The role of leadership in a multiteam system
When it comes to a multiteam system, leadership is extremely challenging. Researchers have highlighted the importance of functional leadership theory in conceptualizing an appropriate role for team leaders in a multiteam system. Accordingly, this theory centers on the ability of leaders to build and maintain relationships on a broad level. Thus, leaders under this theory take the core responsibility "to do, or get done, whatever is not being adequately handled for group needs." 8
Examples of Teams Types
What do different types of teams look like in real-life contexts? Let's then go through some real-life examples of the different types of teams.
Types of Teams | Example |
Problem-solving team | From the 2008 world financial crisis onwards, organizational task force teams and governmental committees teamed up in the US to drive the country out of a looming economic recession. |
Cross-functional team | A start-up company has received new funding from its angel investors. Thus, the company wishes to make appropriate funding reallocation to develop its new sales department. Accordingly, a cross-functional team has been created with members from each existing department. Together, the members represent their own departments and determine how to reallocate the new funding. |
Self-managed team | Within the sales team, members have to deliver a monthly sales pitch to their sales manager. Thus, to discuss their next sales pitch's theme and objectives, sales members gather in a self-managed team without the presence of the sales manager. |
Virtual team | The virtual Yelp Community Team is a perfect example of virtual teams. Accordingly, at Yelp, there are remote full-time community managers (in big cities) and remote, part-time community ambassadors (in small cities), who all act as local representatives of the company. Thus, these remote positions connect the entire community of Yelp's users, business owners, and representatives without needing physical appearance. |
Multiteam System | A popular example of a multiteam system is the Provincial Reconstruction Team created by the United States government. Accordingly, the Provincial Reconstruction Team involves nationwide military officers, diplomats, and reconstruction experts working together to improve unstable states' reconstruction development across the country. |
Table 1 - Types of Teams and Examples
Common Types of Formal Teams
Besides common types of teams divided based on their functions and scale, teams in organizations can also be classified into two types of teams: formal and informal. However, within professional business contexts, formal types of teams are of greater importance within professional business contexts.
A formal team is a group of individuals formed by the management team in an organizational structure to accomplish specific tasks and goals.6
In this explanation, we will introduce to you some popular types of formal teams at work:
Types of Formal Teams | Explanations | Example |
Command team | Command teams are often formed within a singular department. Accordingly, such teams consist of departmental managers and employees under their authority. | A marketing team with a marketing manager and three marketing employees. |
Task force | A task force team is often formed temporarily to tackle specific business issues. Thus, after resolving the issues, a task force team will dissolve. | A global hotel creates a task force team to set up its new property in a new country. |
Committee | A committee often consists of management team members performing specific organizational tasks. Often, a committee is long-term and can exist for many years or even decades within organizations. | At modern workplaces, some companies have created wellness committees, which focus on ensuring and improving employees' welfare. |
Table 2 - Common Types of Formal Teams
Types of Team Culture
When it comes to group dynamics, there are also various types of team cultures that shape the unique characteristics and spirits of teams. Within business contexts, types of team culture are mainly defined by the extent to which leaders and team members value productivity, people, and relationships at work.
In general, there are six different types of team culture, which are most popular in workplaces.
Types of Team Culture | Explanation |
Corrosive culture | This culture is quite toxic, consisting of utmost conflicts, negativity, frustration, gossiping, distrust, and selfishness. |
Country club culture | In this culture, team members focus on looking good and having a good time together rather than winning competitions and championships. Thus, country club culture is quite soft and superficial, with little trust and accountability. |
Comfortable culture | In a comfortable team culture, results and relationships are equally important. Team rules and organizational structure comply with reasonable standards. In this situation, team members are not forced to leave their comfort zone. |
Competitive culture | As its name suggests, results are more important than relationships in a competitive team culture. A strong sense of competition is adopted externally with competitors and internally with team members. |
Cut-throat culture | Being even fiercer than a competitive culture, the cut-throat culture only concerns results and performance while neglecting members' characters and skills. |
Championship culture | While a championship culture has a strong sense of mission and purpose to drive members toward desirable outcomes. Such team culture also sets a high standard for its members in terms of character and skills. Thus, a constant and frequent evaluation and feedback process are highly characteristic of a championship team culture. |
Table 3 - Types of Team Culture
Indeed, people make regular use of team concepts and group dynamics in their daily life. Thus, a proper understanding of different types of teams can make the procedure of team development more approachable and comfortable.
If everyone is moving forward together, then success takes care of itself.
- Henry Ford 7
Types of Teams - Key takeaways
- A team consists of individuals collaborating on specific tasks to achieve common goals and objectives.
- The five most popular types of teams in an organization include problem-solving teams, self-managed work teams, cross-functional teams, virtual teams, and multiteam systems.
- A formal team is a group of individuals formed by the management team in an organizational structure to accomplish specific tasks and goals.
- There are six popular types of team culture at work: corrosive culture, country club culture, comfortable culture, competitive culture, cut-throat culture, and championship culture.
References
- Sean Peek. Steve Jobs Biography. 2022. https://www.businessnewsdaily.com/4195-business-profile-steve-jobs.html
- Robbins Stephen and Timothy Judge. Organizational Behaviors. Pearson. 2014.
- Luna Mampaey. 10 benefits of great teamwork. 2022. https://herculeanalliance.com/2022/03/01/10-benefits-of-great-teamwork/.
- Tracy Middleton. The importance of teamwork (as proven by science). 2022. https://www.atlassian.com/blog/teamwork/the-importance-of-teamwork.
- Ariel Lopez. What Is a Virtual Team? Definition & Examples. 2020. https://www.projectmanager.com/blog/what-is-a-virtual-team
- Hitesh Bhasin. What Is A Formal Team And Types Of Formal Teams?. 2019. https://www.marketing91.com/formal-team-types-formal-teams/.
- Fred Wilson.The 113 Best Teamwork Quotes to Inspire Collaboration & Motivation. 2020. https://www.ntaskmanager.com/blog/best-teamwork-quotes/.
- Stephen J. Zaccaroa, Andrea L. Rittmana & Michelle A. Marksb. Team leadership. 2001. https://www.qub.ac.uk/elearning/media/Media,264498,en.pdf
Explanations 
Textbooks 
Exams 
Magazine 
