The Benefits to Businesses & Employees
of Working at Home
by www.SixWise.com
Many workers revel in the thought of telecommuting, or working
from home: no commute, savings on gas money, and, of course,
no one looking
over your shoulder. But the benefits of working from home
are not just for employees, businesses also benefit from at-home
workers.
Many major companies are recognizing the win-win benefits
of having employees telecommute. In 2007, one such company,
Best Buy, plans to transition all 4,000 of its corporate
workers to a "results-only work environment"
(ROWE), which will focus on productivity, not hours
worked.
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Currently, only 11 percent of employees telecommute to work
sometimes, and only 2 percent do so full-time, according to
the National Technology Readiness survey. However, the number
of work-at-home employees is on the rise; since 2005, the
number of full-time employees who have the option of working
from home at least one day a month rose 30 percent, to reach
nearly 10 million Americans.
Telecommuting Benefits to Employees
Among the biggest perks of a work-from-home arrangement is
a better work-life balance for employees.
"It helps employees accommodate other things, like child
care, a long commute or elder issues," said Rose Stanley
of WorldatWork, a nonprofit organization for human resources
professionals.
An out-of-whack work-life balance is a drain on many employees.
Those who routinely put in long hours or overtime at work
increase their risk of illnesses including high blood pressure,
heart disease, depression, diabetes, chronic infections and
even death. This increased stress can easily lead to burn
out and reduced productivity on the job.
According to Human Resources Development Canada (HRDC):
"When employees are "out of balance," they
experience more stress and fatigue and tend to be absent
from work more often due to these reasons. They have less
focus while at work because they are worried about issues
at home and they are also more distracted at home because
work matters weigh on their minds. The end result is that
neither situation is healthy or productive; in short, it's
a lose/lose situation for employees, their families and
their employer."
However, working from home immediately gives a worker more
time by cutting out the commute. Meanwhile, a more flexible
schedule means that workers can arrange their work around
life activities, like a parent's birthday or a child's soccer
game, instead of being forced to miss them.
The end result for the employee is less stress, increased
family time and greater productivity at work. Meanwhile, according
to the National Technology Readiness survey, telecommuting
would save the average worker about $688 a year in gasoline
costs. (If everyone who had the option of working from home
did so, a full 25 percent of adults would be working from
home -- and collectively saving nearly $4 billion a year in
fuel costs.)
Benefits of Telecommuting to Employers
Telecommuting is second only to "casual days" when
it comes to the fastest-growing shift in workplaces, according
to the American Telecommuting Association (ATA). Why? Because
allowing employees to work from home is incredibly beneficial
for businesses.
It's not surprising, then, that some 85 percent of executives
are expecting a significant jump in the number of telecommuting
workers in the next five years, according to a Boston Consulting
Group study.
" ... The benefits of telecommuting [for employers]
include increased productivity, lowering of absenteeism, lower
turnover, a higher base of qualified candidates, and it could
reduce office space requirements," Stanley said.
Indeed, studies have consistently shown that businesses that
shift to telecommuting enjoy a 10 percent to 15 percent increase
in productivity, according to ATA. Meanwhile, expenses
are cut significantly, as fewer in-office workers means less
of a need for offices, desks, copy machines, office supplies,
etc.
Working from home offers employees more autonomy, flexibility,
and less commute time, but demands self-discipline to
stay focused.
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Businesses are also able to increase their search area when
it comes to hiring new candidates (as people who live across
the country could now be considered). And, according to the
Canadian Center for Occupational Health and Safety, businesses
that add to employees' work-life balance by offering more
flexibility enjoy such benefits as:
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An increased ability to attract new employees
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A more diverse workforce
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Improved morale and better relationships between colleagues
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Less stress and burnout, and greater satisfaction, among
employees
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Increased initiative and teamwork among employees
Major Companies Jumping on the Telecommuting Bandwagon
Already, major businesses across the country are embracing
telecommuting environments. Consider:
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IBM: 40 percent of workforce has no official office.
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AT&T: One-third of managers telecommute.
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Sun Microsystems, Inc: Nearly half of employees
work from home (and they estimate savings of $400 million
in real estate costs over six years as a result).
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Best Buy: By the end of 2007, all 4,000 corporate
workers will be transitioned to a new "results-only
work environment" (ROWE), which encourages employees
to work any hours they please, where they please, as long
as they get their work done. (And, in one of the most
experimental moves yet, Best Buy plans to test the ROWE
initiative in retail stores in 2007 -- among both managers
and workers, though they aren't saying how they intend
to do this.)
Challenges of a Work-at-Home Environment
You've heard about the pros, now for the cons (yes, there
are some when it comes to working from home). For employees,
a high level of self-discipline must exist to keep to project
deadlines and not get distracted with family issues at home.
There is also the challenge of distancing yourself from the
office (when the office is steps away from your bedroom, kitchen
and family room).
Meanwhile, employers face their own challenges, such as "ensuring
employees are completing their work projects, have appropriate
technology in place at home and have acceptance within the
organization from supervisors and co- workers," Stanley
said.
Harprit Singh, CEO of Intellicomm, an Internet development
and communications services firm, voices similar sentiments.
"For a telecommuting program to be effective, it should
emphasize the benefits of work-life balance to employees and
equip them with the necessary technologies to be productive
in a remote environment. Employers not only need to ensure
that the teleworking employees do not miss out on the important
matters at the office, but also remain conscientious about
their productivity," Singh said.
Want to work from home AND own your own business? Check out
our past article, "Do
You Have What it Takes to Start a Successful Home-Based Business?"
Recommended Reading
Working
Long Hours Now Proven to Kill You: How to Work Smarter, Not
Longer
What
to do if You Suffer from Lack-of-Appreciation-itis at Work
or at Home
Sources
OCRegister.com
December 18, 2006
BusinessWeek.com
December 11, 2006
TucsonCitizen.com
December 5, 2006
The American
Telecommuting Association
Canadian
Center for Occupational Health and Safety