Emotional intelligence and transformational leadership in virtual teams: lessons from MMOGs

Purpose As business is becoming more global, virtual teams are getting increasingly prevalent. The purpose of this paper is to examine virtual team effectiveness by taking a deeper look at the Virtual World Teams (VWTs) of Massively Multiplayer Online Games (MMOGs). Design/methodology/approach The paper investigates the effects of leaders' emotional intelligence and transformational leadership on virtual team effectiveness, including three sub-factors of team effectiveness: team performance, viability and team member satisfaction. In addition, the indirect effect of emotional intelligence on team effectiveness via transformational leadership was examined. In total, 500 MMOG players that belonged in virtual world teams participated in the study. Hypotheses were tested through a series of multiple linear regression analyses, and one-way ANOVA tests were used to explore the impact of gender on the key factors of team effectiveness. Findings The analysis revealed a significant predictive relationship between perceived leader emotional intelligence and virtual team effectiveness sub-factors, mediated by transformational leadership behavior. Further analysis revealed gender differences in players' perceptions of their leader emotional intelligence, transformational leadership and virtual team effectiveness. Practical implications This paper adds to the literature by revealing important predictors of virtual team effectiveness. These findings suggest implications for research and practice in the fields of Human Resources (HR), Human Resource Development (HRD) and training programs for e-leaders. The results of the analysis based on gender differences also have theoretical and managerial implications. Originality/value The study provides evidence that transformational leadership mediates the relationship between leaders' emotional intelligence and team effectiveness in a virtual team.