Why individuals in larger teams perform worse

Research shows that individuals in larger teams perform worse than individuals in smaller teams; however, very little field research examines why. The current study of 212 knowledge workers within 26 teams, ranging from 3 to 19 members in size, employs multi-level modeling to examine the underlying mechanisms. The current investigation expands upon Steiner’s (1972) model of individual performance in group contexts identifying one missing element of process loss, namely relational loss. Drawing from the literature on stress and coping, relational loss, a unique form of individual level process, loss occurs when an employee perceives that support is less available in the team as team size increases. In the current study, relational loss mediated the negative relationship between team size and individual performance even when controlling for extrinsic motivation and perceived coordination losses. This suggests that larger teams diminish perceptions of available support which would otherwise buffer stressful experiences and promote performance.