Insight: Flexible Work Arrangements

In 2008, almost 20% of workers have some flexible workplace options. Yet the growth of these has been very slow and their promise remains just that - a possibility, not a reality for the many employees who are interested. However, the increasing difficulty of commuting in metro areas and the recent spike in gas prices are pushing many executives to consider new working options.

By now you have heard of the many variants on flexibility in the workplace: tele-commuting, remote work centers, compressed workweeks, nomadic workers, hoteling, on-shoring, flex-hours, and virtual organizations.

These practices can offer organizations enhanced recruiting and retention, improved productivity, and cost savings. Some offer a chance to help improve the environment. But each also requires some forethought and planning to be successful. Not all jobs are candidates for the same types of flexibility, neither are all employees.

Perhaps you might want to start a pilot program in one section of your organization or consider some options for a summer-only program. What should you consider?

Flexible workplace's advantages include:

  • Attract talented employees from more sources
  • Many employees see as a valuable option
  • Employee productivity improvements
  • Energy savings (personal and organizational)
  • Environmental benefits (reduced traffic, lower energy usage)
  • Work-life balance aspects
  • Improved customer service potential
  • Reduced office costs
  • Can reduce stress of commuting, work interruptions

And, disadvantages include:

  • Company security issues
  • Company privacy issues
  • Individual privacy issues
  • Loss of creativity in some areas
  • Some workers can become isolated or alienated
  • Untrained, unprepared managers lose effectiveness, fear the changes
  • Work can expand into other areas of life, become 'on' all 24 hours a day

Start small! If you want to consider options to see what might be most effective in your operations and for your employees, the easiest ones to experiment with are:

Flexible schedules around a set of core hours, such as 10am - 3pm.

Summer work hours where people work longer hours four days a week so as to have one-half or one full day off each week. This might involve closing early on Fridays or alternating days off among employees to provide full operations over your standard work hours.

Compressed workweeks of either four 10 hour days per week or eight 9 hour days and one 8 hour day over two weeks. Some industries, such as health care, also offer three 12 hour days as a full work week.

Highly sought after by many employees is tele-commuting for one or more days per week. This is more complex to establish as it does require more attention to security, equipment, and legal issues. But it can offer significant retention and productivity advantages plus potential cost savings.

Most studies indicate managers are the biggest, but not the only, problem in flexible work. Managers are accused of resisting the loss of presence on a daily basis and of unwillingness to do the planning inherent in working with people in multiple locations. Yet, most organizations do not have the processes or structure in place to manage flexible work effectively. If you decide to try a pilot system, you should evaluate the managers involved and provide development as needed so that they can effectively operate remotely.

See also the SHR White Paper on "Real People - Flexible Organizations" for a fuller discussion of options and processes.

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