One of the largest expenses a company has is its facility costs. The larger the corporation the greater the tendency to have multiple buildings spread over several metropolitan areas. This is particularly true for companies involved in mergers and acquisitions. A company with an eye on the future will already be looking to consolidate employees into localized buildings and where possible to move to telecommuting to reduce overhead costs.
Pros of Telecommuting
Increased productivity
With the commute shortened to a quick walk down the hall into the home office, employees are able to start working sooner and stay working longer. They can work from any location. With today’s advanced technology, it’s easy to plug in and boot up no matter where a person is, even in the car. Long drives, as a passenger of course, can become productive work sessions simply by using a converter. During the back to back blizzards that hit Washington D.C. in 2009, the Federal Government recognized that employees who brought laptops home with them kept on working through the storms.
Cost savings
Telecommuting reduces facility costs by lowering fixed expenses. This, in turn, increases profit.
Increased employee pool
By offering flexible work arrangements, a firm is no longer limited to recruiting from the labor force closest to the office or face relocation charges when a strong candidate is located outside of the area. Geographic boundaries fade. Businesses can find and hire the best of the best from across America, or even the world.
Employee Retention and Morale
The implementation of a telecommuting plan increases employee productivity and employee satisfaction. It underscores the fact to the employee that the company is listening to the needs of its workforce. By enabling an employee to have a flexible schedule and work place, the company benefits from increased productivity and a more satisfied, engaged employee.
Cons of Telecommuting
Employee Management and Engagement
As the workforce spreads out and decentralizes from a common location, employee management becomes more complicated. It takes more work and effort for a manager to stay in contact with a long distance employee whether that person is telecommuting or working in another office. How to analyze and rank productivity must also be a consideration before a company institutes a telecommuting policy. Given the different types and kinds of work a person can do from home, determining if an employee is productive during work hours can be difficult.
A company can overcome these challenges by implementing an instant messaging system within the organization for easy communication between employees, ensuring long distance employees have cell phones by which to be reached, or using one of the new technologies which randomly scans an employee’s screen throughout the day and forwards the image to the appropriate manager.
Before adding telecommuting to the list of employee benefits, a strong telecommuting policy must be developed. Prior to the start of the telecommuting arrangement, the policy should be reviewed and agreed upon by both the manager and employee. It is the best insurance against abuse and misunderstanding. While telecommuting is not for everyone, the benefits for the employer and employee make it a must for any robust benefits program.
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