Is Distance Dead? Face-to-face Communication and Productivity in Teams

Diego Battiston, Jordi Blanes i Vidal, Tom Kirchmaier

Research output: Working paperResearch

Abstract

Has technology made face-to-face communication redundant? We investigate using a natural experiment in an organisation where a worker must communicate complex electronic information to a colleague. Productivity is higher when the teammates are (exogenously) in the same room and, inside the room, when their desks are closer together. We establish face-to-face communication as the main mechanism, and rule out alternative channels such as higher effort by co-located workers. The effect is stronger for urgent and complex tasks, for homogeneous workers, and for high pressure conditions. We highlight the opportunity costs of face-to-face communication and their dependence on organisational slack.
Original languageEnglish
Place of PublicationLondon
PublisherCentre for Economic Performance (CEP), London School of Economics and Political Science
Number of pages57
Publication statusPublished - Mar 2017
Externally publishedYes
SeriesCEP Discussion Paper
Number1473

Keywords

  • Teamwork
  • Face-to-face communication
  • Distance
  • Organisations

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