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full

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To complete complex and knowledge-intensive tasks, IT work critically relies on the interaction of team members. While heralded as a contribution to performance, diversity is also linked to negative team outcomes. Given the critical role of team collaboration, we investigate the effects of diversity on performance in IT projects. Drawing on faultline theory as a measure of diversity, we develop and test hypotheses on the performance effects of the strength of identity- and knowledge-based faultlines and the number of resulting factions in 424 IT projects. While insignificant, knowledge-based faultlines positively relate to performance. The number of potential group divisions has a positive effect if identity-based and a negative effect if knowledge-based. Unexpectedly, we find identity-based faultlines to significantly improve performance. Findings are of value to research by furthering knowledge on the specifics of IT work and effects of diversity. For practice, we provide important considerations for how teams can be designed to achieve superior outcomes.

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Investigating the Performance Effects of Diversity Faultlines in IT Project Teams

To complete complex and knowledge-intensive tasks, IT work critically relies on the interaction of team members. While heralded as a contribution to performance, diversity is also linked to negative team outcomes. Given the critical role of team collaboration, we investigate the effects of diversity on performance in IT projects. Drawing on faultline theory as a measure of diversity, we develop and test hypotheses on the performance effects of the strength of identity- and knowledge-based faultlines and the number of resulting factions in 424 IT projects. While insignificant, knowledge-based faultlines positively relate to performance. The number of potential group divisions has a positive effect if identity-based and a negative effect if knowledge-based. Unexpectedly, we find identity-based faultlines to significantly improve performance. Findings are of value to research by furthering knowledge on the specifics of IT work and effects of diversity. For practice, we provide important considerations for how teams can be designed to achieve superior outcomes.