If you look at many of the recent unicorns in the tech industry, you’ll notice one thing in common. They all have globally distributed teams. Stripe, Mural, Canva, and Gitlab all have teams working remotely or from their offices around the globe.
Their industry or mission doesn’t matter; they found success while working through multiple time zones and cultures. As venture capital investment shows no signs of cooling down, the number of billion-dollar globally distributed startups will continue to grow.
But what are the strategies that have gotten these companies where they are today? Certainly, they must have struggled at first before finding a rhythm for their distributed operations. We dive into guide of how to manage globally distributed team in the sections below.
A globally distributed team or a geographically dispersed team is a group of employees who work together at the same company but not physically from the same place or country. They can work together at the same time, in sprints or separately, to complete projects.
Many startups are gravitating towards the distributed model because they can quickly hire top international talent while saving on renting real estate around the globe.
The quick injection of knowledgeable people allows them to develop their products more rapidly and expand into various international markets.
More diverse teams have a broader perspective which allows for more innovation.
They can also experience faster learning and skill development than co-located teams.
The reality is that companies can save a great deal by hiring developers in other countries rather than paying San Francisco wages.
As companies scale from their first couple of employees, they will find several similar growing pains.
One of the biggest struggles for companies switching to remote or a distributed setup is managing their team as if they were still in the office.
They will ping their workers at all hours of the day, not write anything down during meetings, and try to keep a 9-5 workday. To manage a globally distributed team successfully, you have to change your tech stack and mindset on how work is assigned and completed.
Here are some of the core elements in managing and setting up a distributed team.
For your globally distributed team to collaborate remotely, you need a couple of fundamental software programs and then build out your tool stack from there. The tools you decide to include after setting up a foundation will depend on your industry and product.
One of the most helpful strategies for hybrid organizations is to go digital or remote-first. This means predisposing all processes as if everyone was remote.
The benefits as described by the CEO of Mural, Mariano Suarez-Battan are endless:
Digital-first practices will help level the playing field for everyone, especially remote workers. It will also help you keep up the momentum of the project. Combine live, local sessions to build organically and get team work done fast. Yet capture your ideas digitally so that when the team separates, they can keep iterating without loss of context.
Additionally, being digital makes ideas shareable, and that will provide the necessary transparency and openness that fosters serendipitous connections.
To avoid stressed and burned-out employees, you need to have communication guidelines for your globally distributed employees. This prevents conflicts with timezones, and miscommunications and lets everyone work at their most productive hours.
Most importantly, it helps set the right expectations for when your workforce can return to offices and how their team leader will measure their performances.
In Stripe’s Guide to Engineering by Raylene Yung, she says:
I spent significant time in 1–1s and reviews, giving behind-the-scenes feedback (often critical), support (org projects can feel thankless, especially when done on top of “day jobs”), and recognition (celebrate org ships like product ones!). For new forums, I attended almost every meeting for months or even years, to spot improvements and signal their value — if other people’s time is required, they better be valuable enough for my time too.
One of the most prominent arguments against forming globally distributed teams is how you engage people from so many different cultures and backgrounds. How can you create a company culture while remote?
Well, it starts with every employee living by a companies values. These are set to inspire and guide interactions within your organization. As a manager or an HR rep, you just have to be a bit creative to foster these interactions and team building virtually.
Canva, for example, created the Culture Book. Their Co-founder and CPO, Cameron Adams, explains how it helps new starters know the company values and how each team member strives to live them daily.
The Culture Book highlights how we strive to live by our values and paves the way for new employees to feel at home within our organization straight away, so they’re ready to take on the world with us.
One of the biggest factors in employee retention is if they had a solid onboarding experience or not. Feelings of isolation are common in remote teams, and your company should feel like a place people want to be during the day.
Not somewhere that people dread logging into.
To create a welcoming atmosphere, you first need to have a standard hiring and onboarding process.
Here is an example of a simple remote onboarding process that we modeled off our own:
Equipment Management software is quickly becoming an essential part of all globally distributed teams. The challenge is to get high-quality devices anywhere globally and manage them through each employee’s tenure.
Luckily, there are solutions like GroWrk that can deliver laptops and other equipment for setting up a remote workspace to over 150 countries.
A great example is a US-based remote engineer hiring platform that used GroWrk to get their laptops, devices, and home office equipment to team members in Mexico and Colombia.
In 2020, the company decided to close its offices in the two countries and allow all its engineers to work remotely. They needed to get the devices to each worker and provide them with the correct ergonomic home office equipment. In 72 hours, GroWrk tapped into their global supply chain network to offer a solution that set up the delivery of all the equipment to multiple cities.
GroWrk, IT asset tracking solution provider that could have a dashboard of all their inventory and track each item through its sending and receiving process. In the end, the company saved over 300 hours in logistics planning and built up a remote infrastructure to keep their company growing.
From this guide, you should know some of the tactics that billion-dollar companies with globally distributed teams use to scale. The main thing to take away is balancing creating a company culture while respecting the cultures of all your employees.
Documentation, trust, and empowerment will take you a long way in this endeavor.