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Abstract

There is increasing recognition that group members learn not only within the group (i.e., local learning), but also externally (i.e., distal learning), and these two group learning processes may facilitate group performance in different ways. Yet, despite this recognition, there is much that is not understood about whether they complement or inhibit each other in affecting group performance, and whether group social and task conditions that foster one type of learning do so at the expense of the other. The findings from this field study of teams from four firms show that (1) local learning and distal learning are positively related to group efficiency and group innovativeness, respectively; (2) distal learning negatively interacts with local learning to impede group efficiency; and (3) high levels of group cohesion promote distal learning but diminish local learning. Overall, these findings suggest that there are not only performance trade-offs to engaging in either only local or distal learning, but also performance disadvantages to engaging in both types of group learning because distal learning impedes local learning from achieving a high level of group efficiency. In addition, there is preliminary evidence to suggest that tensions can arise from simultaneously managing both types of group learning because a high level of group cohesion increases distal learning but decreases local learning.