At Atomic Object, we’ve long believed in the power of colocation when building great software together. Recent data and industry experiences continue to validate this approach while also highlighting the complex realities of today’s work landscape.
The Power of Being Present
As software consultants focused on creating exceptional outcomes for our clients, we’ve seen firsthand how face-to-face collaboration amplifies our ability to solve complex problems. The research backs this up – according to PMI’s IT Project Success Survey, co-located agile teams achieve a 79% success rate compared to just 55% for geographically distributed teams.
Why such a stark difference? It comes down to the richness of in-person interaction. When we’re together in the same space, we can communicate through multiple channels simultaneously – words, gestures, expressions, and shared visual tools like whiteboards. We build deeper trust through informal interactions and micro-moments of connection. We can resolve blockers and misunderstandings quickly through rapid feedback loops, and we create a shared context that helps align our mental models. As Bob Gilbreath notes in his recent piece on in-person collaboration, “Video is on a 2-D screen. In-person isn’t 3-D…it’s more like 10-D when you add up all the activated social senses.”
The Reality of Distribution
At the same time, we recognize that geographic distribution is an increasingly common reality in our industry. Whether driven by talent access, client needs, or individual preferences, many teams now operate with some degree of distribution. Although we’ve chosen a hybrid approach at Atomic, many of our clients are distributed nationwide. This brings inherent challenges. Communication becomes more formal and less spontaneous, while time zone differences can slow down decision-making. Cultural misalignments may create friction, and the need for documentation increases significantly.
Making It Work
While we believe in co-location as an ideal, we’ve learned that success is possible across different models when teams intentionally address the risks. We’ve found it essential to invest heavily in relationship-building during in-person time and create clear communication protocols and shared working hours. Using high-bandwidth communication tools when remote, documenting decisions and context explicitly, and holding regular face-to-face gatherings to reinforce connections have all proven crucial to distributed success with our clients.
The Path Forward
As we navigate the evolving landscape of software product development, we remain committed to creating environments that maximize team effectiveness and client value. While technology enables distributed work, we shouldn’t mistake capability for optimality. The future likely lies in thoughtful hybrid approaches that leverage the benefits of colocation while accommodating the flexibility of distribution where needed. The key is intentionality about the tradeoffs and implementing the practices and tools needed to succeed in whatever model best serves your team and clients.
What’s your experience with colocation versus distribution? We’d love to hear your thoughts and lessons learned in the comments below.