Survival of The Flattest: Team Status Differentiation Influences How Negative Performance Feedback Impacts High-Status Member Addition and Team Performance

Integrating research on hierarchy and team membership change, we argue that a less hierarchical team is more effective at dealing with negative performance feedback because they are more likely to bringing in high-status new members. Consequently, addition of high-status new members may facilitate team performance, especially for teams that face high goal complexity. We tested and confirmed their predictions using longitudinal data from 5,299 teams in a major social networking company. This study contributes to the burgeoning discussion on the interplay between past performance and hierarchy as well as the literature on team membership change.