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Smart Business Strategy Adeel Lari HHH Institute of Public Affairs July 28 28, 2009
eWorkPlace is state sponsored program for metro area employers interested in implementing a telework business strategy to achieve cost reductions along with increased productivity, work quality, and morale.
Part of the federal Urban Partnership Agreement.
Urban Partnership Agreement USDOT initiative to fight congestion Up to $1.1 $1 1 billion in grants Needed four elements – 4 T’s – – – –
Tolling Technology Transit Telecommuting g
Minnesota UPA Federal Funds: $133.3 million State Funds: + $ 50.2 million Total Funds: $183.5 million Telecommuting: $3.5 million Now: $3 2 million $3.2
Minnesota UPA Team
Market Research To ensure that telework initiative is based on scientific knowledge Better understand the barriers and opportunities Provide input in the development of Marketing and Communication Plan (MARCOM) Provide input into branding, advertising, and marketing/education materials
Market Research One-on-one interviews and secondary research provided initial information and hypotheses Focus groups (qualitative) Telephone interviews (quantitative)
Findings Few companies had a policy – Ad hoc – Don’t ask, don’t tell
Confirmed earlier learning
Findings Top Advantages – For Employees Saving (time/money) Flexibility Work/life balance
– For HR Recruitment/retention/morale Increased productivity Cost saving
– For Senior Executives Solve a business problem/issue (i.e. – last year cost of gas was absenteeism problem) g Now: Cost saving
Not for everyone/every job (fairness) Might hurt career Policy issues Manager g attitude/culture How to evaluate/measure Lack of benefit awareness
Findings A program to s support pport telecommuting telecomm ting would: o ld – Educate What are the benefits to employers in particular?
– Support How to develop a policy? Select participants?
– Train/coach How to manage? Be a telecommuter? Address challenges and solutions.
The program would be expected to
reach people with… Advertising – Online – Outdoor – Maybe radio to create awareness and a sense of legitimacy among managers
Brochures – To be posted – Have information available at a glance
Potentially live meetings – Get-togethers (annual/quarterly) – Awards programs – Training 12
Telecommuting 2008 Figures Net Effect: 9% of those who don’t normally work at home, nor are self employed, telecommute today
Had paying job
62% of 800
Percent of employed who were Self-Employed
15% of 500
Percent of qualified employed that home is normal workplace
Percent of employed - excluding self employed and those who normally work from home -i.e., “Pure telecommuters”
25% of 61
9% of 500
Those who are not self employed but perhaps normally work from home: Avg= 2.5 days /week-and this is about the same as in ’94 but declined and came back up over 14 yr. Work at a satellite location (Avg. = 2.4 days per week)
4% of 423
Work Plan for UPA • Identify Target Employers • Marketing and Education • Recruitment • Migration • Evaluation and Measurement 14
eWorkPlace Implementation Partners CultureRx – Will implement Results-Only Work Environment (ROWE) in organizations through its products and services
Transportation Management Organizations (TMO’S) – Will help organizations implement traditional telework by providing idi expertt services i
ROWE— ROWE —Results Only Work Environment
Deep impact on the business culture, operation and mindset of the management and personnel No schedules. People make choices about where and when work is done. done Free to work where ever you want, when ever you want, want as long as the work gets done done.
Telework Telework ((also known as telecommuting) g) is a business strategy and work process that enables employees to work from a remote location and be connected to the office and clients via technology technology—internet, internet phone phone, and mobile devices
Telework Telework can be performed on a full or part part-time time basis and is often complemented with flexible scheduling Seamless and transparent way of doing business with customers and coworkers Effective internal leadership is key for telework success
Telework Not for everyone, y , but ideal for employees p y who routinelyy use phone and computer Telework does not send people home so that you don’t hear or see them regularly Not a substitute for child-care or elder-care Most often not a FT arrangement
Who Benefits Telework is a win-win-win program for: 1. Employers of all sizes/industries 2. Employees 3. Communities
E l Employer Improve productivity – – – –
Employees have fewer distractions and less “water cooler” time Work can take place any time, anywhere Reports indicate productivity increases an average 20% - 30% Increase customer service coverage and effectiveness via ability to work during bad weather or emergencies
Increase employee motivation, morale, and work quality – Empowered employees—signals employees signals trust and confidence – Teleworkers work smarter with more commitment – Improve recruitment and retention of talent
Employer Benefits Reduce costs – – – –
Cut office and parking space needs Reduce facility costs—heating and cooling Reduce the cost of recruiting and training Save as much as $10,000 per teleworker in reduced absenteeism and job retention (AT&T survey)
Employer Benefits Enhance resilience and flexibilityy – Allow continuity of operations in the face of external disruptions (severe weather, natural disasters, pandemics or terrorism)
Build employer social responsibility
Employee Benefits Save time and money – Eliminate or reduce rush hour commute time – Conserve gas, save on car maintenance and parking A study by Tandberg found federal employees could save an average $5 $5,878 878 annually in commuting costs costs.
Employee Benefits Flexible Hours – Helps employees work when they work best
Enhance Life Balance and Quality – Better manage work and home responsibilities—life is easier – More time for health, wellness and community activities
Community Benefits Improve air quality – Reduce congestion A study by George Mason University found for every 1% of the D.C. population who telecommutes there’s a 3% reduction in traffic delays.
Conserve energy − Sun Microsystems found commuting was responsible for 98% of each employee’s carbon footprint. Working from home 2-1/2 days per week saved 2-1/2 weeks of commuting time p per yyear.
Community Benefits Improve highway Safety –Fewer cars on the road result in fewer accidents –More reliable travel times
Program Services Wealth of telework information via the eWorkPlace website, toolkits, and blog – – – – – – –
Managers’ guide Selection guide and checklist Solutions to issues/barriers Case studies (employer & teleworker) B i Business reports t White papers Ask the Expert corner
Program Services Customizable telework tools – – – –
Join and learn from a network of professionals implementing telework—best practices Free telework and IT consultant services to qualified employers—tap over 40 years of national expertise based in the Twin Cities
Expert Service Support Free Expert Services for Early Enrollers! Limited on first come, first serve basis to qualified employers eWorkPlace offers highly specialized telework services from industry experts, experts including – – – –
On-site training and consultation E-learning IT advice Troubleshooting
Our Experts--MITE Help organizations make smooth transitions to telework Excel in policy, start-up, follow-along and evaluation— crucial for f success 12 000 US employers Trained 12,000 via customized training and national presentations
Midwest Institute for Telecommuting Education Founded 1991
Our Experts—WFC Resources E-courses making g a difference for managers g and staff in more than 50 companies worldwide Classroom training allows your trainers to conduct their own courses Web Web-based based training keeps employees productive, loyal, committed and engaged with optimum skills WFC Resources Founded 1984 36
Expert Service Support Refine the business case & communications Simplify implementation steps Lower manager resistance Raise the level of management skills Benchmark for specific industries Customize teleworker, manager and joint training Communicate key performance measures 37