1. New Ways of Working (NWoW) aim to increase flexibility in the workplace through initiatives like flexible working hours and locations. This benefits companies by increasing employee motivation, productivity, and financial results.
2. Implementing NWoW has been shown to increase employee satisfaction by 10% and productivity by 10% based on case studies. Companies with highly engaged workforces also see greater returns for stockholders.
3. Flexibility is a key aspect of NWoW, allowing employees more control over when and where they work. Companies that have implemented flexible initiatives report benefits like improved recruitment and retention as well as work-life balance for employees.
New Ways of Working: Benefits of Workplace Flexibility
1. 1
Running head: NEW WAYS OF WORKING
New Ways of Working:
Benefits of Workplace Flexibility
Catalina Manzano Laina
Northeastern University
Managing Human Capital
Prof. Ladge
December 2018
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New Ways Of Working
Millennials are conquering the workplace. Studies show that more than 30% of
American workers today are part of this disruptive generation, and so the workplace is not
anymore represented by Baby Boomers1
. Should companies adapt the workplace to new
generations? What benefits can be retrieved from these changes? How could they implement
them?
Companies are nowadays facing a diverse aging workforce. Four different generations are
currently working together to grow their countries’ economies2
. For instance, we can find the
Baby Boomers, born between 1946 and 1965. Loyalty to their firm is a key driver for these
workers, who are looking for a promotion within the company3
. People born between 1966
and 1977 make part of the so-called Generation X. They have experienced the appearance of
PC’s and other technologies that make them more aware of the importance of connection.
People in this group look for work-life balance and more independence in their job posts.
They are the first ones breaking with the tendency to stay fixed in one company as they are
open to new labor opportunities3
. This disruption leads us to the next generation, the largest
in the labor force since 2016, Generation Y, also called the Millennials3
. I am part of those
who have experienced the birth and exponential growth of smartphones and so the
importance of connectivity in the workplace3
. For us, work is a mean to an end, we want to
find a sense of purpose in it4
. According to PwC’s Millennials at Work Report5
, Gen Y is
expected to make up half of the workforce by 2020 in some countries, a figure that will be
increased to 75 percent by 2025. These numbers may suppose a threat to companies that are
used to generate offers for people who understood work in a different way that Millennials
do. Employers should consider catering to the new requirements in order to beneficiate from
this situation and here comes the New Ways of Working.
New Ways of Working, also found as NWoW, are all those disciplines that have an impact
on where, when, how and with whom we work. This includes initiatives promoting
flexibility, collaboration, or agility in the workplace.
We can find a large list of benefits that companies may encounter when putting NWoW into
practice. In fact, we could divide them in three groups: benefits regarding motivation,
productivity and financial results.
People spend a lot of time working in their offices each week. Therefore, motivation is a key
driver towards employee satisfaction. A lot of studies have been done regarding the
implementation of NWoW and the implications in regard to motivation. Let’s refer to PwC
Birmingham office and their implemented “lifestyle program”. Thanks to it, the company
became the number 1 graduate employer of choice, and 87% of its employees said the
company was a great place to work7
.
Motivation drives productivity. When an employee is satisfied with his job, he tends to work
more efficiently. We can call this phenomenon the “inner work life effect” as stated by
Amabile and Kramer (2011). It confirms that when people are happier at work they end up
being more productive and committed to it. In fact, multiple study cases prove that NWoW
can increase productivity by 10%8
. If you don’t believe these numbers, refer to the study
carried out on two Nike T-shirt factories in Mexico. The factory that gave workers more
freedom had better results regarding productivity and cost-reduction9
, which leads us to the
last point: economic growth.
The ultimate goal for companies is to boost their bottom line. How can NWoW make that
happen if it only produces employee satisfaction? The good thing is that there are proofs
supporting that increasing motivation and productivity implies increasing margins. Indeed,
Aon Hewitt found that companies with a highly engaged workforce had greater returns to
stockholders10
.
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New Ways Of Working
New Ways of Working have proved to be beneficial for companies regarding employee
satisfaction, productivity and economic results. Companies can agree on this point, but they
sometimes struggle when trying to implement them. They usually don’t know where to start
and what to do in order to build a strategy adapted to their employees’ needs. Here comes the
key: flexibility.
In the past, the norm for most people was to have a fixed job post with a fixed location and
set of hours to be working. Today, young people question the culture of presenteeism,
valuing more personal freedom and independence1,11
. One in three millennials would
prioritize device flexibility and work mobility over salary when comparing two job offers12
.
Martin Norton, WorkSmart Project Manager, highlights that “flexible working is a vital part
of improving working lives and has a demonstrable impact on recruitment, retention and
return to work”13
.
As can be seen, flexibility is one of the most prominent words when describing the work of
tomorrow. We could define it as a new approach that aims to change the control employers
have on their employees. Individuals working under a flexible system would control their
own time, deciding not only when but also where to work.
The benefits that could be provided by implementing initiatives aimed to increase flexibility
are numerous. Work-life balance advantages, ability to schedule work independently,
avoidance of rush-hour commutes that imply delays, reduction of absenteeism, or lower
office space requirements are just some of them.
Now, how can we become more flexible? Flexible working hours may include flexi-time
schedules, compressed workweeks, part-time job and job sharing. Besides that, flexible
working location may include home and satellite offices as well as working on the move14
.
Changing workspace is another way to achieve flexibility1,15
. For instance, we can mention
multispace offices which combine different functionalities under one roof. Employees choose
where to work depending on their needs for each moment: concentration, teamwork,
meetings, etc.
If you are wondering if this is possible, here are some examples of companies that have
already implemented flexible initiatives. Ryan, the global tax services firm, launched the
MyRyan program, which allows employees to work anywhere, anytime, as long as the work
gets done. With this initiative the company won over one hundred workplace excellence
awards such as Fortune “Great Place to Work” in the US and Canada2
. Other companies such
as Microsoft and Deloitte have implemented flexible plans in order to promote career
advancement and have demonstrated to be highly effective16
. Finally, HP and Sun
Microsystems have implemented mobility plans, resulting in space reduction and lower
carbon footprint17
.
Let’s finish this article with a personal experience. In my previous internships, I have had the
chance to work for both a company that rigorously controlled employees and their working
hours and a company that promoted flexible working. The two experiences were totally
different, and the answer to which one was better is obvious.
In fact, the later was a NWoW consulting firm. As they were building strategies for
companies worldwide, they were the first ones implementing NWoW initiatives. As a worker
there, I could decide when and where to work. If I had a medical appointment one morning I
could arrive to the office afterward and I would leave later that evening. Also, if I wasn’t
being productive one day, I could go home earlier and I would not mind doing work from
home that weekend. The results were significant, workers were incredibly motivated and
4. 4
New Ways Of Working
satisfied with their jobs and you could feel a collaborative and productive environment.
Employers trusted us, and we could prove them right with our results.
Diversity in the workplace is a reality. Changing requirements imply changing conditions and
so companies should focus on developing tools to implement New Ways of Working. By
doing so, they can take advantage of the multiple benefits that they can provide. Increased
motivation, productivity and margins can easily be achieved by putting into practice diverse
techniques that reinforce workplace flexibility. With this in mind, leaders cannot miss the
opportunity. NWoW are not anymore a trend, they are the New Normal.
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New Ways Of Working
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10
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11
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New Ways Of Working
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