Multinational organizations are exploring innovative ways to organize and manage people in order to meet the challenges of managing across borders. When managed effectively, transnational teams help firms achieve the autonomy and flexibility needed to serve a variety of customers in different regions while obtaining the efficiencies afforded by an integrated organization. Working either within the firm's formal structure or as a complement to it, a transnational team can connect the best ideas and innovations from each part of the company and use them in ways that add value throughout the organization. They may form a nucleus from which a broader network of talent and relationships can he developed. Some firms are making concerted efforts to realign their human resource (HR) strategies, policies, and programs to support and develop transnational teams. The HR function within some multinational firms is already in a good position to support transnational team development. It has both the expertise and influence to help teams make a larger contribution to company success. In other multinational companies, the HR function has much work to do before it can fully support the efforts of transnational teams.