E-Leadership and Trust Management: Exploring the Moderating Effects of Team Virtuality

Introduction

Trust in virtual environments has become an increasingly important and acknowledged topic in both computer-supported cooperative work and in e-business research. In virtual collaboration, trust is identified as a key factor in successful interactions and is associated with cooperative behaviors, coordination and high virtual team performance (Bidault & Castello, 2009; Jarvenpaa et al., 1998; Jarvenpaa & Leidner, 1999; Kanawattanachaï & Yoo, 2002; Liu et al., 2011). However, the specific characteristics of the virtual context inhibit its establishment and development. This is due to virtual team members’ reliance on computer-mediated-communication (CMC) that eliminates the face-to-face interactions, physical proximity, verbal cues and facial expressions which contribute to interpersonal relationship development (Brown et al., 2004; Greenberg et al., 2007; Handy, 1995; Mockaitis et al., 2009; Townsend et al., 1998). This is why most studies consider the virtual context to be a barrier to trust building, and consequently attempt to improve the situation by identifying factors that can facilitate trust management in virtual teams.

Current literature on the topic shows that leadership plays an important role in fostering trusting relations between remote members. Many studies have revealed that effective leaders develop high levels of trust, which in turn results in enhanced team performance (Jarvenpaa et al., 1998; Kayworth & Leidner, 2001/2002). Yet, less is known about how e-leaders build and develop trust in virtual teams, or the mechanisms that help them to do so. Previous studies have identified strategies and determinants for establishing trust, without specifying the leaders’ contribution to these strategies, despite their role in dealing with the challenges virtual teams face. The effects of team virtuality on relationship building are also understudied, even though they result in different mechanisms and processes. Indeed, varying levels of virtuality generate varying communication needs and behaviors as well as varying trust management practices (Casey, 2010; Furomo & Pearson, 2006; Muethel et al., 2012; Robert et al., 2009).