The market intelligence firm IDC estimates that the worldwide mobile worker population will increase from just over 1 billion in 2010 to more than 1.3 billion by 2015.
But even as study after study confirms that employees from all four generations of today’s workers are working remotely and increasingly want (and even require) their prospective employers to offer workplace flexibility, some companies – like Yahoo, Best Buy, and now Reddit – are equating workplace productivity with face time in the office.
When Marissa Mayer banned telecommuting at Yahoo, we began again a debate of the benefits and pitfalls of virtual working. Soon after
And now, even the forward-thinking tech company Reddit has ordered its remote workers to relocate to San Francisco, or else say goodbye to their jobs.
These companies demonstrate an understandable fear that geographically diverse workforces will face disadvantages. Employees may work less effectively, they reason, without the synchronous real-life moments that help power collaboration and innovation.
However, they need only look to companies like Corning Incorporated, which has harnessed Yammer as a tool for real time collaboration and innovation, for a model in how to use enterprise collaboration tools to bring remote workers “together.”
But, more importantly, these companies are missing a second point: In an age when finding and retaining top talent is among the strongest predictors of a company’s success, workplace flexibility must be viewed as a necessary tool to increase employee satisfaction and productivity, rather than a perk that may or may not be bestowed. As both Aetna and American Express have documented, workplace flexibility programs that are treated as part of a company’s strategy can generate cost savings, talented worker pools, increased efficiency, and more satisfied employees.
The hiring marketplace has become extremely competitive in recent years, and truly skilled college graduates now can have the pick of the litter when it comes time for them to choose new employers. According to Cisco’s soon to be released Cisco 2014 Connected World Technology Report, more than 60% of workers report that their current or future job searches will not be limited to their hometown, or even their home country. That means the fight for talent is now a global one – and workplace flexibility remains key in determining the best-in-breed employers.
As Cisco uncovered in its 2014 Connected World Technology Report, workers value flexibility over almost anything else. Those surveyed indicated that flexibility was the second most important factor, after salary, they would consider when evaluating a job offer. 66% of American millennials said they felt an organization that adopts a flexible, mobile, and remote work model has a competitive advantage over one that requires employees to be in the office from 9am to 5pm every weekday.
My own research supports these metrics. For my recent book The 2020 Workplace, I interviewed many workers in the Millennial generation – a group that will be 75% of the global workforce by 2025 – and they said they expect work and life to completely blend together in today’s 24/7 world. There is no distinction between “work,” and “life,” both seamlessly blur together.
So what are five practices your organization can take advantage of in thinking about workplace flexibility as strategy for impacting your business?
1) Consider flexibility a strategic imperative: Workplace flexibility is a strategic lever not an employee perk. Both
2) Offer training for both virtual workers and virtual managers: Companies that are seeing business impact in workplace flexibility have designed policies and training to prepare virtual employees and virtual managers for how to work in this new world of work. American Express realizes the job of creating the workspace for tomorrow requires a robust set of policies, trainings and, communications governed by a cross functional team. Key areas covered in the American Express virtual work training include: training on using new technology tools, tips and tricks on being a mobile worker and how to lead a virtual team in a mobile work environment.
3) Conduct On-going Research: American Express regularly conduct research each year on the needs and priorities of each department and position to ensure key roles are designated according to HUB, CLUB, ROAM, and HOME categories. This type of oversight is crucial to making sure that flexible work policies remain productive and don’t become an abused privilege.
4) Craft Robust Communication: Creating a flexible workspace policy is just the beginning. Working remotely for many managers is a change of pace, and they need to thoroughly understand the policy in order to do their own job efficiently. According to Future Workplace’s Multiple Generations @ Work Survey, less than half of all workers (44%) are aware of workplace flexibility/telecommuting policies offered by their company.
5) Measure Results: One of the key benefits is employee retention. Aetna has documented that working remotely is a retention tool, with annual voluntary turnover for those Aetna employees who work at home in the 2 to 3 per cent range, as compared to company-wide turnover that is about 8 per cent.
Readers, do you agree? Does your employer allow workplace flexibility and how highly do you value this benefit?
Jeanne Meister is a Partner at Future Workplace and co-author of The 2020 Workplace book. You can follow Jeanne on Twitter, connect with her on Linkedin, and sign up to receive the latest Future Workplace newsletter here.
