Teamwork was already presented since the beginning of human history and will continue to be the essence of human living and development. Pressure of global competition, the need to align business models with complex environments and the urgency in continuous innovation have led to the critical use of teams as a key element of organizational design. In the context of NGOs, many have exercised teams as their central management to carry out projects. However, since the Asia financial crisis occurred in 1998, the competition to attract donators becomes heightened among NGOs. Many donators inquire the organizational performance as part of the requirement, which consequently determine their survival. One way to improve NGOs’ competitive advantage is none other than to enhance their teamwork performance. The purpose of this research is to explore the relations between team characteristics, team effectiveness, organizational performance, and organizational survival and competitiveness in the NGOs context. A Team Effectiveness, Organizational Performance, Organizational Survival and Competitiveness (TEPS) Model developed by Shih and Putri, was analyzed by using Partial Least Squares (PLS) method. 152 samples were obtained in an Indonesian NGO, Yayasan Cinta Anak Bangsa (YCAB Foundation) for this study. The result indicated that team characteristics indeed had a positive and significant effect towards team effectiveness; in which team effectiveness also had positive and significant effect towards innovation, customer’s satisfaction, and financial performance, as well as organizational survival and competitiveness of YCAB. Practical implications and suggestions were also proposed in order to improve the teamwork performance in YCAB Foundation.

Teamwork was already presented since the beginning of human history and will continue to be the essence of human living and development. Pressure of global competition, the need to align business models with complex environments and the urgency in continuous innovation have led to the critical use of teams as a key element of organizational design. In the context of NGOs, many have exercised teams as their central management to carry out projects. However, since the Asia financial crisis occurred in 1998, the competition to attract donators becomes heightened among NGOs. Many donators inquire the organizational performance as part of the requirement, which consequently determine their survival. One way to improve NGOs’ competitive advantage is none other than to enhance their teamwork performance. The purpose of this research is to explore the relations between team characteristics, team effectiveness, organizational performance, and organizational survival and competitiveness in the NGOs context. A Team Effectiveness, Organizational Performance, Organizational Survival and Competitiveness (TEPS) Model developed by Shih and Putri, was analyzed by using Partial Least Squares (PLS) method. 152 samples were obtained in an Indonesian NGO, Yayasan Cinta Anak Bangsa (YCAB Foundation) for this study. The result indicated that team characteristics indeed had a positive and significant effect towards team effectiveness; in which team effectiveness also had positive and significant effect towards innovation, customer’s satisfaction, and financial performance, as well as organizational survival and competitiveness of YCAB. Practical implications and suggestions were also proposed in order to improve the teamwork performance in YCAB Foundation.

Backwell, J. (2004). Insecurity for NGOs. Retrieved from http://www.insideindonesia.org/ feature-editions/insecurity-for-ngos
Bandura, A. (1986). Social foundations of thought and action: A social cognitive theory. Englewood Cliffs, NJ: Prentice-Hall.
Banerjee, N. (2006). A note on capabilities that contribute to the success of non-governmental organisations. Discussion Paper 57P. Maastricht: ECDPM. Retrieved from http://www.ecdpm.org/Web_ECDPM/Web/Content/Content.nsf/0/2728AE27AA2 68E1DC12571D2002D2586?Opendocument?OpenDocument#sthash.7BTE1e7x.dpuf
Bartee, R. T., Grandjean, B. D., & Beiber, S. L. (2004). Confirming the reliability of a theory-driven survey instrument. American Journal of Health Studies, 19, 175-179.
Belbin, R. (1981). Team roles at work. Oxford, UK: Butterworth Heinemann.
Boli, J. & Thomas, G. M. (1999). Constructing world culture: International nongovernmental organizations since 1875. Stanford: Stanford University Press.
Bray, S. R. (2004). Collective efficacy, group goals, and group performance of a muscular endurance task. Small Group Research, 35(2), 230-238. DOI: 10.1177/1046496403260531.
Brown, T. C. (2003). The effect of verbal self-guidance training on collective efficacy and team performance. Personnel Psychology, 56(4), 935-965. DOI: 10.1111/j.1744-6570.2003.tb00245.x.
Campion, M. A., Medsker, G. J., & Higgs, A. C. (1993). Relations between work group characteristics and effectiveness: Implications for deigning effective work groups. Personnel Psychology, 46, 823-850. DOI: 10.1111/j.1744-6570.1993.tb01571.x.
Campion, M. A., Papper, E. M., & Medsker, G. J. (1996). Relations between work team characteristics and effectiveness: A replication and extension. Personnel Psychology, 49(2), 429-452. DOI: 10.1111/j.1744-6570.1996.tb01806.x.
Chan, A. (2011). The challenges of human resource management. Retrieved from: http://aassco.com/publi/user_data/challenges-of-human-resource-mangement.pdf
Chin, W. (1998). Partial least square approach to structural equation modelling. In G. A. Marcoulides (Ed.), Modern methods for business research (pp. 295-336). Mahwah, NJ: Lawrence Erlbaum Associates, Inc.
Chou, H. W., Lin, Y. H., Chang, H. H., Chuang, W. W. (2013). Transformational leadership and team performance: The mediating roles of cognitive trust and collective efficacy. SAGE Open, 3(3), 1-10. DOI: 10.1177/2158244013497027.
Cohen, S. G. (1994). Designing effective self-managing work teams. In M. M. Beyerlein & D. A. Johnson (Eds.), Advances in interdisciplinary studies of work teams: Theories of self-managed work teams (pp. 67-102). London: JAI Press.
Cohen, S. G., & Bailey, D. (1997). What makes teams work: Group effectiveness research from the shop floor to the executive suite. Journal of Management, 23(3), 239-290. DOI: 10.1177/014920639702300303.
Cohen, S. G., & Ledford, G. E., Jr. (1994). The effectiveness of self-managing-teams: A quasi-experiment. Human Relations, 47(1), 13-43. DOI: 10.1177/001872679404700102
Cohen, S. G., Ledford, G. E., Jr, Spreitzer, G. M. (1996). A predictive model of self-managing work team effectiveness. Human Relations, 49(5), 643-676. DOI: 10.1177/001872679604900506.
Cordery, J. L., Mueller, W. S., & Smith, L. M. (1991). Attitudinal and behavioral effects of autonomous group working: A longitudinal field study. Academy of Management Journal, 34(2), 464-476. DOI: 10.2307/256452.
Costa, A. C. (2003). Work team trust and effectiveness. Personnel Review, 32(5), 605-622. DOI: 10.1108/00483480310488360.
Cotton, J. L., Vollrath, D. A., Froggatt, K. L., Lengnick-Hall, M. L., & Jennings, K. R. (1988). Employee participation: Diverse forms and different outcomes. Academy of Management Review, 13(1), 8-22. DOI:10.5465/AMR.1988.4306768.
Courtney, R. (2002). Strategic management for voluntary non-profit organisations. London: Routledge.
Cutt, J., & Murray, V. (2000). Accountability and effectiveness evaluation in non-profit organisations. London: Routledge.
Davis, D., & Davis, W. (2008). Team performance inventory. USA: John Wiley & Sons, Inc.
DeMatteo, J., Eby, L., & Sundstrom, E. (1998). Team-based rewards: Current empirical evidence and directions for future research. Research in Organizational Behavior, 20, 141-183. Retrieved from http://www.tamu.edu/faculty/payne/PA/DeMatteo%20et% 20al.%201998.pdf
Drach-Zahavy, A., & Somech, A. (2002). Team heterogeneity and its relationship with team support and team effectiveness. Journal of Educational Administration, 40(1), 44-66. DOI: 10.1108/09578230210415643.
Driskell, J. E., Hogan, R., Salas, E. (1987). Personality and group performance. In C. Hendrick (Ed.), Group processes and intergroup relations: Review of personality and social psychology, 9, (pp. 91-112). Beverly Hills, CA: Sage.
Duque, L. C., & Schneider, U. (2008). Market orientation and organizational performance in the nonprofit context: Exploring both concepts and the relationship between them. Journal of Nonprofit and Public Sector Marketing, 19(2), 25-47. DOI: 10.1300/J054v19n02_02.
Dyer, J. L. (1984). Team research and team training: A state of the art review. In F. A. Muckler (Ed.), Human factors review (pp. 285-323). Santa Monica, CA: Human Factors Society.
Elenkov, D. S. (2002). Effects of leadership on organizational performance in Russian companies. Journal of Business Research, 55(6), 467-480. DOI: 10.1016/S0148-2963(00)00174-0.
Ezzamel, M., Lilley, S., Wilkinson, A., & Willmott, H. (1996). Practices and practicalities in human resource management. Human Resource Management Journal, 6(2), 63-80. DOI: 10.1111/j.1748-8583.1996.tb00397.x.
Fleishman, E. A., & Zaccaro, S. J. (1992). Toward a taxonomy of team performance functions. In R. W. Swezey & E. Salas (Eds.), Teams: Their training and performance (pp 31-56). Norwood, NJ: Ablex Publishing.
Foo, M. (2011). Teams developing business ideas: How member characteristics and conflict affect member-rated team effectiveness. Small Business Economics Journal, 36(1), 33-46. DOI 10.1007/s11187-009-9176-8.
Forsyth D. R. (1990). Group dynamics. USA: Brooks/Cole Publishing Co.
Friel, C. M. (2010). Note on factor analysis. Retrieved from http://www.bama.ua.edu/~ jcsenkbeil/gy523/Factor%20Analysis.pdf
Gladstein D. L. (1984). Group in context: A model of task group effectiveness. Administrative Science Quarterly, 29(4), 499-517. DOI: 10.2307/2392936.
Goodman, P. S. (1986). Designing effective work groups. San Francisco: Jossey-Bass.
Goodstein, L. D., & Pfeiffer, J. W. (1985). The 1985 annual: Developing human resources. San Diego. CA: University Associates.
Guzzo, R., & Dickson, M. (1996). Teams in organizations: Recent research on performance and effectiveness. Annual Review of Psychology, 47, 307-338. DOI: 10.1146/annurev.psych.47.1.307.
Hackman, J. R. (1987). The design of work teams. In J. Lorsch (Ed.), Handbook of organizational behavior. Englewood Cliffs, NJ: Prentice-Hall.
Hackman, J. R. (1990). Groups that work (and those that don't). San Francisco: Jossey-Bass.
Hair, J. F., Ringle, C. M., & Sarstedt, M. (2011). PLS-SEM: indeed a silver bullet. Journal of Marketing Theory and Practice, 19(2), 139-151. DOI: 10.2753/MTP1069-6679190202.
Hammond, H. R. (2008). The antecedents of affective commitment to the team and their impact on team effectiveness. TUI University. Retrieved from ProQuest Dissertations and Theses.
Heap, S. (2000). NGOs engaging with business: A world of difference and a difference to the world. Oxford: INTRAC.
Henseler, J., Ringle, C. M., & Sinkovics, R. R. (2009). The use of partial least squares path modeling in international marketing. Advances in International Marketing, 20(1), 277-320. DOI: 10.1108/S1474-7979(2009)0000020014.
Hersey, P., & Blanchard, K. (1993). Management of organizational behavior: Utilizing human resources. Eaglewood Cliffs, NJ: Prentice Hall.
Hobman, E. V., Bordia, P., & Gallois, C. (2004). Perceived dissimilarity and work group involvement: The moderating effects of group openness to diversity. Group & Organization Management, 29(5), 560-588. DOI: 10.1177/1059601103254269.
Hyatt, D. E., & Ruddy, T. M. (1997). An examination of the relationship between work group characteristics and performance: Once more into the breech. Personnel Psychology, 50(3), 553-585. DOI: 10.1111/j.1744-6570.1997.tb00703.x.
Janz, B. D., Colquitt, J. A. and Noe, R. A. (1997). Knowledge worker team effectiveness: The role of autonomy, interdependence, team development, and contextual support variables. Personnel Psychology, 50(4), 877–904. DOI: 10.1111/j.1744-6570.1997.tb01486.x.
Johnson, D., & Johnson, F. (1997). Joining together: Group theory and group skills. 6th edition. Boston: Allyn & Bacon.
Kaplan, R. S., & Norton, D. P. (1992). The balanced scorecard-measures that drive performance. Harvard Business Review. Retrieved from www.marketmatch.com/ content/download/1075/6422/
Katzenbach, J. R., & Smith, D. K. (1993). The wisdom of teams: Creating the high-performance organization. New York: McKinsey & Co., Inc.
Kennedy, P. (1989). Non-nested hypothesis tests: A diagrammatic exposition. Australian Economic Papers, 28(52), 160-165. DOI: 10.1111/j.1467-8454.1989.tb00466.x.
Kerlinger, F. N. (1986). Foundations of behavioral research. 3rd edition. Fort Worth, TX: Holt, Rinehart, and Winston.
Khalaf. G., Manson, K., & Shukur, G. (2013). Modified ridge regression estimators. Communications in Statistics-Theory and Methods, 42(8), 1476-1487. DOI: 10.1080/03610926.2011.593285.
Klimoski, R., & Jones, R. (1995). Staffing for effective group decision making: Key issues in matching people and teams. In R. A. Guzzo and E. Salas Associates, Team effectiveness and decision making in organizations, San Francisco: Jossey-Bass Publishers.
Kozlowski, S. W. J., & Bell, B. S. (2003). Work groups and teams in organizations. In W. C. Borman, D. R. Ilgen, & R. J. Klimoski (Eds.), Handbook of psychology: Industrial and organizational psychology, 12, (pp 333-375). London: Wiley.
Kraiger, K., & Wenzel, L. H. (1997). Conceptual development and empirical evaluation of measures of shared mental models as indicators of team effectiveness. In M. T. Brannick, E. Salas, & C. Prince (Eds.), Team performance assessment and measurement: Theory, methods, and applications (pp 63-84). Mahwah, NJ: Erlbaum.
Kwak, E. J. L. (2004). Team effectiveness and characteristics: Apparel product development teams. The Florida State University. Retrieved from ProQuest Dissertations and Theses.
Lawler, E. (1986). High involvement management. San Francisco: Jossey-Bass.
Lawler, E. E., Mohrman, S. A., & Ledford, G. E., Jr. (1992). Employee involvement and total quality management practices and results in Fortune 1000 companies. San Francisco: Jossey-Bass.
Lencioni, P. (2002). The five dysfunctions of a team: A leadership fable. San Francisco: Jossey-Bass.
Levi, D. (2001). Group dynamics for teams. USA: SAGE Publications, Inc.
Liden, R. C., Wayne, S. J., Jaworski, R. A., & Bennett, N. (2004). Social loafing: A field investigation. Journal of Management, 30 (2), 285-304. DOI: 10.1016/j.jm.2003.02.002.
Lin, D. Q. (2009). Knowledge management. Taipei: Best-Wise Publishing Co., Ltd.
Macy, B. A., Peterson, M. F., & Norton, L. W. (1989). A test of participation theory in a work re-design field setting: Degree of participation and comparison site contrasts. Human Relations, 42(12), 1095-1165. DOI: 10.1177/001872678904201203.
Mann, P. S. (1995). Introductory statistics. 2nd Edition. USA: John Wiley & Sons.
Martins, L. L., Gilson, L. L., & Maynard, M. T. (2004). Virtual teams: What do we know and where do we go from here?. Journal of Management, 30(6), 805-835. DOI: 10.1016/j.jm.2004.05.002.
Maxwell, J. Team effectiveness questionnaire 2.0. Retrieved from http://www.firststeps training.com/images/pdf/teq2.0_sample.pdf
Mayer, R. C., Davis, J. H., & Schoorman, F. D. (1995). An integrative model of organizational trust. Academy of Management Review, 20(3), 709-34. doi:10.5465/AMR.1995.9508080335.
McClay, R. (2009). 10 Steps to successful teams. Illinois: Versa Press, Inc.
McComb, S., Green, S., & Compton, W. (1999). Project goals, team performance, and shared understanding. Engineering Management Journal, 11(3), 7-12.
McGrath, J. E. (1964). Social psychology: A brief introduction. New York: Holt, Rinehart & Winston.
Mischel, L. J., Northcraft, G. B., Markovsky, B., Lovaglia, M. J., & Lawler, E. J. (1997). Advances in group processes. Greenwich, CT: JAI Press.
Mohrman, S., Cohen, S., & Mohrman, A. (1995). Designing team-based organizations. San Francisco: Jossey-Bass.
Neuman, G. A., Wagner S. H., & Christiansen N. D. (1999). The relationship between work-team personality composition and the job performance of teams. Group & Organization Management, 24(1), 28-45. DOI: 10.1177/1059601199241003.
Neuman, W. L. (2011). Social research methods: Qualitative and quantitative approaches. 7th Edition. UK: Pearson Education, Inc.
Nunnally, J. C. (1978). Psychometric theory. 2nd Edition. New York: McGraw Hill.
Nunnally, J. C., & Bernstein, I. H. (1994). Psychometric Theory. 3rd Edition. New York: McGrawHill.
Partington, D., & Harris, H. (1999). Team balance and team performance: An empirical study. The Journal of Management Development, 18(8), 694-701. DOI: 10.1108/02621719910293783.
Pearce, J. A. III, & Ravlin, E. C. (1987). The design and activation of self-regulating work groups. Human Relations, 40(11), 751-782. DOI: 10.1177/001872678704001104.
Pearson, C. A. L. (1992). Autonomous workgroups: An evaluation at an industrial site. Human Relations, 45(9), 905-936. DOI: 10.1177/001872679204500903.
Pinto, M. B., Pinto, J. K., & Prescott, J. E. (1993). Antecedents and consequences of project team cross-functional cooperation. Management Science, 39(10), 1281-1296. Retrieved from http://www.jstor.org/stable/2632967
Rasker, P., van Vliet, T., van den Broek, H., & Essens, P. (2001). Team effectiveness factors: A literature review. TNO Technical Report No.: TM-01-B007, Soesterberg, the Netherlands.
Renshaw, S., & Krishnaswamy, G. (2009). Critiquing the knowledge management strategies of non-profit organizations in Australia. Proceedings of World Academy of Science, Engineering and Technology, 49, 456-464. Retrieved from http://citeseerx.ist.psu.edu /viewdoc/download?doi=10.1.1.192.8007&rep=rep1&type=pdf
Robbins, S. P., & Judge, T. A. (2013). Organizational behavior. 15th Edition. USA: Pearson Education, Inc.
Ryan, D. Dimensions of teamwork survey. Retrieved from http://rgp.toronto.on.ca/PDFfiles/ Dteamsurvey.pdf
Saidi, Z. (2001). A role in public affairs? Five challenges for Indonesian NGOs. Retrieved from http://www.alliancemagazine.org/en/content/a-role-public-affairs-five-challenges indonesian-ngos
Salas, E., Dickinson, T. L., Converse, S. A., & Tannenbaum, S. I. (1992). Toward an understanding of team performance and training. In R. W. Swezey & E. Salas (Eds.), Teams: Their training and performance (pp. 3-30). Norwood, NJ: Ablex.
Schwartz, R. M. (1994). The skilled facilitator: Practical wisdom for developing effective groups. San Francisco: Jossey-Bass.
Shea, G. P., & Guzzo, R. A. (1987). Groups as human resources. In K. M. Rowland & G. R. Ferris (Eds.), Research in human resources and personnel management (pp. 323-356). Greenwich, CT: JAI Press.
Shea, G. P., & Guzzo, R. A., (1992). Group performance and intergroup relations in organizations. In M. D. Dunnette & L. M. Hough (Eds.), Handbook of industrial and organizational psychology, 3, (pp. 269-313). Palo Alto, CA: Consulting Psychologists Press.
Steiner, I. (1972). Group process and productivity. New York: Academic Press.
Stewart, G. L., Manz, C. C., & Sims, H. P, Jr. (1999). Team work and group dynamics. USA: John Wiley & Sons, Inc.
Sun, W., Xu, A., & Shang, Y. F. (2012). Transformational leadership, team climate, and team performance within the NPD team: Evidence from China. Asia Pacific Journal of Management. DOI: 10.1007/s10490-012-9327-3.
Sundstrom E., De Meuse K. P., & Futrell D. (1990). Work teams: Applications and effectiveness. American Psychologist, 45(2), 120-133. DOI: 10.1037/0003-066X.45.2.120
Sweeney, J. (1973). An experimental investigation of the free rider problem. Social Science Research, 2, 277-292. DOI: 10.1016/0049-089X(73)90004-5.
Tannenbaum, S. I., Beard, R. L., & Salas, E. (1992). Team building and its influence on team effectiveness: An examination of conceptual and empirical developments. In K. Kelly (Ed.), Issues, theory, and research in industrial/organizational psychology (pp. 117-153). New York: Elsevier Science.
Thompson, L. (2000). Making the team: A guide for managers. Upper saddle river, NJ: Prentice Hall.
Tziner, A., & Eden, D. (1985). Effects of crew composition on crew performance: Does the whole equal the sum of its parts?. Journal of Applied Psychology, 70(1), 85-93. DOI: 10.1037/0021-9010.70.1.85.
Van Aken, E. M., & Kleiner, B. M. (1997). Determinants of effectiveness for crossfunctional organizational design teams. Quality Management Journal, 4(2), 51-79.
Wall, T. D., Kemp, N. J., Jackson, P. R., & Clegg, C. W. (1986). Outcomes of autonomous workgroups: A long-term field experiment. Academy of Management Journal, 29(2), 280-304. Retrieved from http://www.jstor.org/stable/256189
Watkins, K. E., & Marsick V. J. (1999). Dimensions of the learning organization questionnaire: Introduction. Retrieved from http://www.partnersforlearning.com /instructions.html
Watson, W. E., Kumar K., & Michaelsen L. K. (1993). Cultural diversity’s impact on interaction process and performance: Comparing homogenous and diverse task groups. Academy of Management Journal, 36, 590-602. DOI: 10.2307/256593.
Wellins, R. S., Byham, W. C., & Dixon, G. (1994). Inside teams: How 20 world-class organizations are winning through teamwork. San Francisco: Jossey-Bass.
Wellins, R. S., Wilson, R., Katz, A. J., Laughlin P., Day, Jr., & Price, D. (1990). Self-directed work teams: A study of current practice. Pittsburgh, PA: Development Dimensions International.
Wheelan, S.A. (2013). Creating effective teams: A guide for members and leaders, 4th edition. USA: SAGE Publications, Inc.
Williams, F., & Monge, P. (2001). Reasoning with statistics: How to read quantitative research. 5th Edition. USA: Thomson Wadsworth.
Yeatts, D. E., & Hyten C. (1998). High-performing self-managed work teams: A comparison of theory to practice. USA: Sage publications, Inc.
Yeh, E., Smith, C., Jennings, C., & Castro, N. (2006). Team building: A 3-dimensional teamwork model. Team Performance Management, 12(5/6), 192-197. DOI: 10.1108/13527590610687947.
Yu, C. (2005). An I-P-O model of team goal, leader goal orientation, team cohesiveness, and team effectiveness. Texas A&M University. Retrieved from ProQuest Dissertations and Theses.
Zander, A. (1994). Making groups effective. San Francisco: Jossey-Bass.
Zoogah, D. B. (2006). Alliance mental models and strategic alliance team effectiveness. The Ohio State University. Retrieved from ProQuest Dissertations and Theses.