Performance and Risks in the European Economy
Cross-functional Teams and their
Role in Increasing Competitiveness of the Organizational Partnerships
, Carmen Voinescu
Abstract: In this paper we r eview the role of the cross-functional teams for increasing competitiveness of the various
organizational partnerships. The present complexity of the internationa l business environment, the high competition
and the economic globalization push many organizations to seek for new organizational partnerships, in order to
faster reach their goals. Such organizational partnerships may be the networks of enterprises and clusters. For both of
them, the main factor to increase competitiveness is the cross-functional teams (CFT) and their effective team work.
Through communication and mutual understanding, the CFT can overcome barriers between member entities and lead
to better economic parameters. The main employed method was a survey of the management literature about CFT.
The r esult is a clear presentation of the CFT and of their effective work manner to reach a competitive level for
various organizational partnerships.
Keywords: cross-functional teams; competitiveness; effectiveness; network
JEL Classification: M21
Generally speaking a company is being competitive when it manages to produce high quality goods
and services at a lower price than its competitors. Competitiveness may be also defined as the
possibility to get performances after being present on the market (Gavrila & Gavrila, 2008). But
giving the nowadays economic complexity, many organizations are moving to a new organizational
model, such as various partnerships, networks of enterprises or clusters in order to reach their purpose
faster by putting together their capital and skills. “In a globalizing economy, competitiveness means
information and know-how rather than capital and physical assets (Nedelea & Paun, 2009). The more
an organization develops the skills and knowledge of employees, the higher is its capability to face the
When a knowledge based economy is being developed, a process of revision the internal organization
of the enterprises takes place, which is not any more based on Taylor pattern (Dan, 2007).
Factors that have promoted organizational partnerships can be divided into two categories: motivators
and facilitators (Baker, 2002). Among motivating factors, the most important are: pressure to access
know-how and promote new knowledge and learning, coping with greater competition, obtaining
complementary competencies, managing risk, improving flexibility and complex adaptation. As
facilitating factors, the following can be mentioned: organizational position and reputation, trust,
communication technology and the internet, government and regulatory context.
Networks of enterprises and clusters are created because they facilitate the common use of their
resources, but the dissemination and transferability of the final results too. They include various
PhD Candidate, University of Craiova, Fa culty of Ec onomics and B usiness Administration, Department of Management-
Marketing, Address: 13, AI Cuza Street, Craiova, Romania, +40 723 330961, Corresponding author:
PhD Candidate, University of Craiova, Address: 13, AI Cuza Street, Craiova, Romania, e-mail: email@example.com