Several weeks ago I posted some thoughts on what Charlie Grantham and I call the ReFormation of Work (Parts One, Two, and Three are available here, here, and here). I was pleased to see the reactions and comments that our admittedly far out thoughts stimulated. Not everyone agreed with us but we clearly touched some raw nerves.
In fact, we really do believe that nothing short of a reformation in management practice is required to cope with the changes that face virtually every organization and the entire economy these days.
Specifically, our experience suggests that your future business success depends directly on your ability to understand the shifts that are occurring and to redefine your workforce, workplace, technology, and business strategies accordingly.
We like to recall the simple statement by one of our clients not too long ago that, when faced with all the changes impinging on the world of work,
Management must come to the serious realization that doing nothing, or not taking action to change, will result in a significant threat to the health of the organization.
The undeniable reality (at least to us) is that computing and communications technologies are transforming traditional workplaces into virtual workspaces. The once-fanciful notion of working any time, any place has indeed become a reality. In our view, a fundamental transformation in the way work gets done and managed is one of the most distinctive aspects of the so-called new economy.
As we all know, knowledge work can now be conducted effectively from a corporate office, on an airplane, in a car, at the local coffee shop, or from just about any other place you can imagine. And with the growth of wireless access to real-time data, our assumptions of what we can know at any point in time and therefore, have to know are also being challenged.
New forms of outsourcing have also become common, driven by new technology capabilities. Many core business processes now cross multiple organizational boundaries and require collaboration among individuals and groups who work not only in different places but for different companies, or for themselves as independent contractors, consultants, temps, or part-timers.
Yet this is hardly the first time in history that work has been conducted in a distributed way. For hundreds of years larger organizations have had facilities in multiple locations in order to be close to their suppliers or customers, to take advantage of real estate savings, to have access to local talent, or to benefit from varying tax laws.
Operating multiple facilities and managing people in different locations has been common for a long, long time. Physical separation made managing difficult, but with the telephone and telegraph, in combination with trains, planes and automobiles, managing distributed work was certainly feasible if sometimes awkward and time-consuming.
For our purposes, we consider work to be distributed if any of the following conditions are met:
- Individual workers are located in different physical locations;
- Most normal communications and interactions, even with colleagues in the next office, are asynchronous; that is, they do not occur simultaneously; or
- The individual workers are not all working for the same organization, or are working within distinctively different parts of the same parent organization. They may have widely different terms of employment.
Each of these three dimensions impacts workforce management, and the interactions among them create new skill requirements, demand new management practices, and raise stress levels for everyone.
But today a richly interconnected and inexpensive communications and computing infrastructure allows those facilities, workers, and separate organizations to access, process, and transmit an incredible variety of information from almost any location on the planet. In many respects their physical separation has become virtually invisible and almost irrelevant.
However, it is important to remember that the idea of computer-supported distributed work is not really all that new. Many companies began experimenting with telecommuting programs twenty or thirty years ago. Road warriors have carted laptops and portable printers into airplanes, hotel rooms, and customers' offices for many years.
The concept of office hoteling was introduced more than a decade ago (thats the situation where individuals forgo private office space and must reserve office space for their temporary use when they visit the facility). Now we call it free address offices, or touchdown space but the core concept has been around for quite a while.
Yet the success stories are still few and far between. It turns out to be far more difficult to manage work and workers in a truly distributed but interconnected world than almost anyone realizes.
The principal challenge remains how to manage the many changes in organizational culture and behavior that distributed work requires. Every company needs a vision, a strategy, and the wisdom to implement new technology and transform working arrangements. This challenge is unquestionably magnified when the workforce becomes more distributed physically, organizationally, and even culturally.
Despite the hype and the growing belief that the Internet and information technology (IT) generally have meant the death of distance, (see Frances Cairncross, The Death of Distance, Boston: Harvard Business School Press, 1997) managing distributed work and a distributed workforce remains incredibly difficult.
For some extended thoughts on what distributed work means and the challenges it creates, please see my 2002 white paper, "Understanding Distributed Work" (originally prepared for the sponsors of our first Future of Work program)
In future posts Ill comment in more detail on the specific challenges to managers and workers, and offer some suggestions for easing the pain (see also Dave Desforges earlier description of some of things that Sun Microsystems has done to make its iWork program successful.
Its sad but true that the iWork program at Sun and the OnDemand Workplace program at IBM remain among the few genuine success stories we know about.
If youve got a good distributed work story, please contact me at jim@thefutureofwork.net. Were hungry for compelling success stories.
Tag: distributedwork
1. John on September 15, 2005 12:02 PM writes...
My company is struggling, and I mean really struggling, with this. We actually sell a satellite-based service that links remote offices for voice, video, and data but cannot seem to summon up the courage if that is the right word -- to use this technology ourselves in any meaningful way to manage among our differeent locations.
I appreciate that you acknowledge in your post the difficulty of making distributed working work, but I havent come across in my own reading credible arguments for the status quo and continue to wonder where the resistance is coming from? Is it simply a matter of managers fearing the loss of control over their employees and their time, or is it something more subtle an apprehension, perhaps, that a distributed workforce lacks a center-of-gravity that can draw people and their ideas, energy, and inspiration to a common location for sharing face-to-face with peers and colleagues.
The latter is clearly the impediment to any change here, and I suspect this is the case elsewhere, as well. Its from all those things that distributed working seems to compromise -- the informality, the spontaneity, the chance meeting in the hallway, the scribbling on the white board, the working lunch, and on and on that we seem draw strength from as an organization. To use a crude comparison, I just dont think we can replace Management By Walking Around with Management By Dialing Around.
Gasoline at $4.00/gallon may finally do what a hundred seminars and thousands of white papers could not and get people into touchdown space. In the meantime, we are actively considering calling a number of our now-distributed sales, marketing, and back office professionals home from the field. We havent given up on distributed working, but we are relatively small and the thinking here is that until we can establish something that all employees can recognize as a company identity, we cannot simply abandon them in the field to make one up on their own.
Permalink to Comment2. Susan Joyce Thomas on September 16, 2005 10:45 PM writes...
The Washington Post published an article on 14 Sept 2005 titled "Telecommuting Interest Soars - Pump Prices Spur Workers To Abandon Long Drives" (http://www.washingtonpost.com/wp-dyn/content/article/2005/09/13/AR2005091301973.html).
The article discusses worker reaction to post-Katrina gas prices in the DC area, and notes "Teleworking advocates -- including the federal government -- say they hope widespread consternation about rising fuel prices will prove to be the tipping point needed to bring about a telecommuting revolution. And they have been scrambling to convert the public to their cause."
OPM issued a government-wide memo urging telecommuting as a way to alleviate a post-Katrina gas shortage. A study by George Washington University's Center for Economic Research said that every worker who begins telecommuting could reduce government transportation spending by $3,000. Teleworkers grew from 11.3 percent of commuters in 2001 to 12.8 percent in 2004.
A major obstacle to teleworking is resistance by middle managers, though studies have shown employees are more productive when teleworking.
My personal experience? Bosses at my former job vetoed telecommuting for years and had many unhappy employees. The people I know who are happiest at their jobs have options to telecommute and have flexible schedules. Telecommuting saves time and money for employees and employers. When I go back to work, I have to find a position that provides flexibility re work times and location.
Another factor that no one has discussed is that some DC-area employees who are parents and caregivers would prefer to reduce the time spent in their DC offices because they know that, in an emergency, evacuation from downtown DC to surrounding counties would be a disaster.
Permalink to Comment3. Ken on September 19, 2005 9:44 AM writes...
"Is it simply a matter of managers fearing the loss of control over their employees and their time, or is it something more subtle ..."
I have recently been consulting (software development) in several companies in conservative West Michigan. Close, personal supervision is viewed in most of these companies as both necessary and the most productive approach. Distributed work is viewed very much as a "won't work for us" thing here in the (paternalistic) heartland.
I have also seen resistance of the form "it would be OK for me, but not for my people". Letting go, it seems, is scarier than going ones self.
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