Telecommuting Solves Power Problem - and More
By Barry Allen
The energy crisis in California has provided an excellent example of how an unforeseen (some may argue that the energy crisis was predictable) misfortune can wreak havoc on corporate profitability. The crisis in energy availability has caused the rethinking of how we do business. The best, most economical and feasible solution is to send workers home ... to work.
Aside from saving on energy costs, reducing costly office space, and reducing the risk of a centralized outage, telecommuting can provide many advantages for employer and employee alike. According to CareerBuilder Inc., 74 percent of workers like the option of working from home. Many employees feel better about their employers and feel more independent and productive on a more flexible schedule. There is a reduction in employee conflict and violence and an increase in employee retention, both of which are traditionally causes of business disruption in companies.
However, there are downsides. Telecommuting can be a challenge for employees who need social inclusion with coworkers or continual supervision, or who are uncomfortable with a flexible and ambiguous schedule. Also, some employees may not have the necessary equipment at home, e.g., computer, printer, software, or high-speed Internet access. Furthermore, not every function in business can be operated from home or through telecommuting. For instance, manufacturing, shipping, distribution, retailing, and reception duties are among those that must be centralized.
But for many services, such as call centers, health benefits administration, marketing, various infrastructure support services, travel, accounting, and legal, telecommuting can be a viable alternative. And employees who are good at communicating, reliable and trustworthy, disciplined, able to work independently, and have good time management skills can flourish in a home environment. Telecommuting can provide these employees more leisure time and less nonproductive road time due to the elimination of a commute; allow personal chores to be done during work breaks; reduce pollution by using less gasoline; and, as mentioned above, reduce the opportunity for employee conflict and save energy.
Coincidentally, as this is being written, Nortel Networks is developing the telecommunications infrastructure for a new evillage in Madera County California near Fresno. The initial plan is for 500 homes, with a target of 30,000, for all income levels. The program is designed to support the telecommuter who works for firms based in Los Angeles and the Silicon Valley.
Managers of successful telecommuters must learn to adapt to not being in constant visual contact with them. They must be easily accessible by phone or e-mail. Most importantly, though, they should understand the measurement and monitoring of results rather than best efforts or time spent-in other words, their orientation should change to a focus on results rather than the time clock. When looking at a results focus, management has to look at deliverables, such as expected outcomes for each of a telecommuter's accounts or projects. It is also helpful for managers to provide for telecommuters' interaction with other coworkers through occasional company outings, a company newsletter targeted toward the telecommuters, and awards banquets and luncheons. On-premises meetings should be scheduled (during light vehicular traffic hours), and workers who are not within commuting distance may be linked through desktop video so they may participate.
Here are two examples of firms deeply involved with telecommuting. The first, located in Los Angeles, Calif., is a provider of management consulting services. The business is four years old and uses a virtual business model to compete with the large consulting firms. Each consultant used on a project is a subcontractor. As these consultants or resources may be based anywhere, as are clients, the company is able to operate from a central point rather than supporting a number of physical offices.
The outsourced and off-premises services include billing, communications for the project consultants, sales and marketing support, client liaison and management of projects, financial and tax planning services, Web and IT maintenance, payroll and related compliance services, bookkeeping, and legal. Salespersons who are located in various parts of the country have weekly teleconferences with management. There is a reference checker located in Houston and someone who writes proposals using a pcAnywhere connection. The entire infrastructure has access to the company intranet site, which includes travel and event schedules.
The second business is an engineering research and development firm and a manufacturing company located in Rochester, Mich. The firm is over 20 years old. The principals manage a far-flung operation where, in many cases, they have never met the people working for the firm. They have software developers in Russia, a purchasing office in Korea, and business development in California. A strategically based sales force will be working from home offices and communicating with the company by telephone and Internet. The majority of the management for the manufacturing facilities is located off premises. This includes payroll, HR, and purchasing.
These examples show that telecommuting can work for the right company with the right employees. And in a time when rolling blackouts could strike at any time, you can be prepared to save your company from the devastating financial losses by migrating toward telecommuting. You won't be alone.
The one caveat is that it is essential that the business processes are redesigned prior to and not subsequent to embarking on this model.
About the Author
Barry Allen is the CEO and Visionary of International FieldWorks Inc., specializing in business management, law, and technology. His background includes the startup, turnaround, and management of businesses in Michigan and California. For many years he was the deputy director of Civil Defense in Southfield, Mich., while owning, operating, and building a multimillion-dollar physical and electronic security corporation. He can be reached at ba@fieldworks.net
May/June 20001 Vol. VI Number 3 |
