The Advantages and Disadvantages of Team-Based Working System

1. Introduction

In today’s business world, the team-based working system is gaining popularity as organizations strive to become more agile and responsive to the ever-changing market demands. This paper provides a critical evaluation of the team-based working system and all the possible advantages and disadvantages of this organizational structure.

2. What is team-based working system?

The team-based working system is a type of organizational structure where employees are organized into teams and work collaboratively to achieve common objectives. This system is also known as team-based performance or team-based system.

3. Advantages of team-based working system

There are several advantages of team-based working system, which are as follows:

a. Facilitates team learning: In a team-based working system, employees have the opportunity to learn from each other as they work together towards common goals. This type of learning is known as social learning or collaborative learning, and it can be very effective in developing employee skills and knowledge.

b. Reduces hierarchical barriers: Team-based working system can help to reduce hierarchical barriers between employees of different levels within an organization. This can lead to better communication and collaboration between employees, which can ultimately improve organizational performance.

c. Encourages creativity and innovation: The team-based working system generally encourages creativity and innovation as employees are given the freedom to experiment and explore new ideas. This can result in the development of new products, services, or processes that can give organizations a competitive advantage in the marketplace.

4. Disadvantages of team-based working system

There are also some disadvantages of team-based working system, which are as follows:

a. Cultural differences may impede success: In a globalized business world, it is not uncommon for teams to be composed of members from different cultural backgrounds. These cultural differences can sometimes lead to communication problems and conflict within teams, which can impact team performance negatively.

b. Management system may be complex: The management system of a team-based organization can be quite complex due to the need to coordinate the activities of multiple teams. This can make it difficult for managers to effectively monitor and control organizational performance.

5. Conclusion

The team-based working system has both advantages and disadvantages, but it is generally seen as a positive step for organizations that are seeking to become more agile and responsive to the ever-changing market demands.


The advantages of team-based working are that it can promote communication and collaboration between team members, allow for division of labor and specialization, and provide support and motivation. The disadvantages of team-based working are that it can lead to conflict between team members, create a sense of competition rather than cooperation, and require more time for coordination and decision-making.

Team-based working can affect individual workers by promoting communication and collaboration, allowing for division of labor and specialization, providing support and motivation, or by causing conflict between team members.

Factors that should be considered when deciding whether to implement a team-based working system in an organization include the size of the organization, the nature of the work being done, the level of experience and expertise of the employees, and the organizational culture.