In this paper, we propose that a social network perspective can contribute to addressing the unanswered questions and resolving the debates on work group effectiveness by capturing the dynamics of group advantages inherently derived from the relational nature of the group. We generate propositions concerning three relationships within and outside a group: (1) the vertical relationships between the leader and the members within a group, (2) the horizontal relationships among the members within a group, (3) the group’s external relationships with people outside a group. We explore how the network characteristics of these three relationships affect work group performance.