Team building has become an important organizational development intervention. It is used to train individuals to work together. The aim of team building is to improve team performance while achieving an organizational goal. Team building activities are based on meaningful games that require the members of a team to cooperate in order to accomplish a specific task. Usually, the members of a team are in the same physical location when they perform a task. However, there are also teams comprised of members who are not always in the same place at the same time. We have designed, developed and are currently testing a virtual world that supports team building activities for teams that are geographically dispersed. Virtual worlds create the illusion of a real environment in which individuals perceive themselves as existing within that environment. Virtual worlds also allow people to share the same environment, to interact and to talk. We conducted an experiment in order to demonstrate that virtual worlds can be effectively used for team building activities. We first recruited twenty-five college students and randomly assigned them to five teams (five subjects per team) and two groups. The first group (called the "real group") performed a team building activity in a real setting while the second group (the "virtual group") had the opportunity to perform the same activity in a virtual world first. Using standardized tests, we measured team performances, collected data on team cohesion and asked the participants to evaluate their experiences. The virtual group performed better than the real group. The team cohesion results were similar among the two groups. The results are presented and discussed in this article.