Aequus Partners' Diversity and Flexibility e-newsletter, June 2009
Dear ColleaguesIn this newsletter we turn our attention to a relatively new field of enquiry, namely: connecting the sustainable workspace to a sustainable workforce. Sustainability of the environment is at the forefront politically, socially and economically, so we ask, what are the consequences of this sustainability movement on the workforce and work practices? For example, can eco friendly workspaces contribute to a more collaborative workforce, and what management strategies are needed for virtual workers?
In an endeavour to answer those questions, we profile (i) a vision for workforce and workplace sustainability at Cisco; (ii) a new book from a leading international researcher on workplace collaboration, innovation and corporate transformation; (iii) US research on mobile/flexible workers and their diverse needs for technology and space; (iv) a 6-star green office building in Australia and its impact on the workforce; and (v) some sustainability websites of interest.
In particular we look at:
- US article: A vision of workforce and workplace sustainability. This article from a Director at Cisco discusses the workplace and workforce of the not too distant future; a workforce comprising a smart human network of employees and stakeholders working in collaborative, agile and interactive ways across the world to achieve business outcomes. It discusses workforce composition, workspace and work styles.
- Book review: Disciplined collaboration. This review profiles a new book from an international researcher on collaboration and proposes the major benefits of, and some key conditions for, a collaborative workplace. The author proposes “disciplined collaboration” where leaders assess when (or when not) to collaborate and instill in staff the ability to collaborate when required.
- US research: Workspace design for mobile workers. This research debunks some beliefs about the mobile workforce (ie workers who have choices about when, where and how they work) and investigates the needs of diverse mobile workers in terms of their technology, space and integration requirements. It finds that a “one size fits all” approach to mobile work is not helpful and the role of the worker defines their needs, not the fact that they are mobile per se.
- AUS case study: Stockland head office. Stockland is an ASX listed property group which recently moved its head office into a 6-star green rated building in central Sydney. In this case study, we profile the benefits to health and productivity in the workforce and some unexpected flexibilities that have come about in the new environment.
- Websites: Through the research for this newsletter, we found some interesting websites and resources concerning green issues, sustainability and workforce strategy.
1. US article: A vision of workforce and workplace sustainability
This article is from the Director, Public Sector, Cisco Internet Business Solutions, Gerald Charles. In essence, Charles draws together technological developments which enable greater collaboration with worker agility and organisational flexibility, all of which contribute to a sustainable workforce of the future.
1.1 Introduction and background
Charles outlines a future scenario where a new employee receives workplace information and greetings from colleagues through a variety of means, utilising online learning, automated systems and instant messaging, none of which assumes the employee is actually in the office. She may be at home or in an off-site location, as part of an organisational structure, Charles points out, with a much improved environmental footprint.
A vision of workforce and workplace sustainability incorporates technology as a strategic tool which enables workers to collect and exchange information quickly and efficiently, allowing them flexibility and autonomy through their ability to choose when and how they work. The new capabilities of Web 2.0 and fundamental shifts in societal attitudes towards sustainability and flexibility dictate a new, collaborative framework for the workforce.
1.2 A framework for collaboration
Charles proposes four elements for an effective collaboration framework utilising technology:
- confidence in decision-making through greater trust, which is enabled by “presence data”, ie information on the location and environment of the person with whom an employee is collaborating remotely;
- agility in getting information to employees quickly, no matter where their location;
- group information sharing through connections between those who have the knowledge with those who need it; and
- empowered work experience through increased engagement of workers who have autonomy and choice over work.
- Workforce composition and output: businesses can now tap into a geographically diverse talent pool and use social networking applications to connect people and develop products. Within an organisation it is not uncommon for people to collaborate on a project who do not work in the same location, may not work for the same organisation, or even live in the same country.
- Workspace: a 21st century workspace is defined by the access employees have to tools, resources and people to get the job done, not by a time clock or being at a desk in front of a supervisor. Work needs to happen when people need something done and can source the right people to do it, no matter where they are located.
- Work styles: a typical work day may begin at home at 7am, pause at some point during the day, and re-commence late in the evening from another location. The ways and means of production are changing and will continue to do so.
Charles concludes by proposing that workforce and workplace sustainability is “about ‘us’, a smart, secure human network of citizens, their governments and other stakeholders utilizing various work styles and workspaces to achieved desired outcomes.”
To achieve this sustainable vision, there is a need to:
- accelerate the ability to recruit, hire and retain the right talent at the right time;
- ensure the effective use of information;
- improve efficiency through workforce engagement;
- provide service innovation;
- use technology to break down performance barriers; and
- reduce the physical footprint of organisation’s resources and costs.
2. Book review: Disciplined collaboration
Can changes to workspaces, eg their configuration, create a more collaborative workforce? Yes, if those opportunities are harnessed through a disciplined approach to collaboration. In this note we profile a new book by Professor Morten Hensen (University of California, Berkeley, and INSEAD, France) on what it takes to create the right conditions.
2.1 Introduction
In his recent book, Collaboration: How Leaders avoid the traps and create unity, and reap big results, Professor Hansen provides a compelling argument for a strategic, organisational emphasis on collaboration. Hansen’s focus is on (i) where collaboration occurs within an organisation, for example across business units, divisions, countries, product lines or manufacturing plants; and (ii) the approach to collaboration.
He argues for disciplined collaboration, which is defined as:
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“the leadership practice of properly assessing when to collaborate (and when not to) and instilling in people both the willingness and ability to collaborate when required.” (p. 15)
2.2 Research
Using research data from a range of organisations, Hansen shows that there are three major benefits of disciplined collaboration:
- better innovation: resulting from people within different areas of a business working together (eg by combining existing products, expertise or technologies) to create new ideas more quickly;
- better sales: collaboration across different organisational units to increase cross-selling and better customer service (thus increasing customer retention); and
- better operations: when effective solutions and ways of operating in one area of the business are adopted by another area of the business leading to a reduction in operational costs.
2.3 Actions
Three steps to implement disciplined collaboration are outlined in the book:
- Evaluate opportunities for collaboration (eg cross-selling; innovation).
- Identify the barriers to collaboration (eg people are not willing to provide information and help others when asked; people are not able to transfer complicated knowledge from one business area to another).
- Tailor solutions to eliminate barriers to collaboration by, for example:
- Cultivate T-shaped managers and employees who are able to simultaneously focus on the performance of their own unit (the vertical part of the T) and across the organisation (horizontal part of the T).
- Build nimble interpersonal networks by focusing on: outward (across the business) rather than inward networks; diversity (eg in terms of people, technology or different types of experts) rather than size; and weak (having infrequent contact and not personally close) rather than strong ties.
For more information, see Morten T. Hansen (2009), Collaboration: How Leaders avoid the traps and create unity, and reap big results. Harvard Business Press.
3. US research: Workspace design for mobile workers
This US research explores the increasing take-up of mobile work practices (which are defined as any worker who “has choices concerning how, when and where they work) and the corresponding adjustments made by organisations to accommodate these employees so they can perform their jobs effectively. The premise of the research, by Venezia, Allee & Schwabe (Value Networks LLC), is that the shift to mobile work and associated changes in workspace and technology design are affecting diverse roles, work activities, collaboration and worker satisfaction.
Venezia et al investigated these associations via mobile worker responses to survey questions about communication methods, equipment needs, workspaces and demographic diversity. The research found that a number of ideas about mobile workers (ie that they are young, work in technology related areas and occupy lower level jobs) were untrue and that although mobile, these workers are diverse and need recognition in the organisation through physical workspace, connectivity and inclusion.
3.1 Background and aim
A recent international study outlined in Venezia et al’s research (Nemertes, 2007) revealed that a large number of workers now consider themselves to be virtual, with workgroups spread across multiple locations and geographies. Many employees in this study indicated that they work outside traditional office locations, and that they used real-time collaboration tools (eg web conferencing, instant messaging) as a matter of course. Despite the high numbers of mobile workers, however, fewer than half the organisations in the study had a mobility strategy and even fewer had a dedicated mobility budget.
Venezia et al argue that the economic benefits of mobile work have been well established, however, despite these benefits, organisations have been cutting budgets and other supports for mobile workers. This in turn has led to worker dissatisfaction and feedback from mobile workers that they feel marginalised, isolated and unsupported in the way they are allocated space and equipment. It appears that it is no longer enough to provide a one size fits all package for mobile workers and that organisations need to recognise their diversity of skill, work practice and support needs.
Previous studies have also demonstrated the impact of neglecting to assign work spaces to mobile workers. Research has shown that when organisations conduct workspace usage analyses and realise a large percentage of workspace is vacant, a common solution is to create an unassigned space for the percentage of the workforce which is mobile. Money and space are saved, however, obstacles and resistance are encountered in the mobile workforce. This research then, aims to discover the underlying drivers and influences on the mobile workers themselves to better equip organisations to manage them.
3.2 Method
The study was conducted on the premise that mobile workers depend upon a web of relationships (ie a network) to fulfil their tasks and that the network generates economic and social value through complex exchanges of benefit. A survey was designed which included questions about the relationships and roles of mobile workers, the value proposition of the relationships, the role of the worker, their use of technology, space needs and work habits and general attitudes towards mobile work.
In total, 557 respondents participated in the survey from 84 organisations. Of these, 246 were from one multinational conglomerate and the remaining 311 were from multiple companies.
3.3 Findings
The research found that a number of commonly held beliefs about mobile workers were not supported.
(i) Assumptions about age, gender and professional stature
A commonly held stereotype about mobile workers suggests they are young, female and occupy lower level job roles. This research found however, that the majority of the mobile workers were men (65%), family oriented (married or living with a partner), working long hours (75% worked over 40 hours per week) and mostly in professional, managerial or executive positions.
They were frequently working on specific issues and projects with clients as active consultants and problem-solvers, rather than in sales or support roles. They were also career-oriented: 67% worked in an organisation with a mobile work programme and were long-term employees (more than 20% had worked 16-20 years for their employer).
(ii) Assumptions about workspace
There is a tendency to assume that mobile workers are constantly on the move, however the study revealed that most can actually be found in the same location on a daily basis. They are mainly working in a home office where they complete task-oriented work (60% reported being more productive in a home office).
Mobile Workers expressed a compelling need, however, for team space at their place of work. More than 50% of respondents stated they needed conference space at their employer office but had trouble accessing it.
(iii) Assumptions about technology use
There has been an assumption that the mix of technologies needed by mobile workers is similar, regardless of where and how they work. The survey found, however, that aside from laptop, mobile phone and email, there were very different technology needs among respondents. The diversity of work roles meant that other forms of technology (eg the ubiquitous Blackberry and wireless connectivity) varied in importance according to job requirements, and that different technology packages were needed by different workers.
(iv) Mobile worker roles
The study found that the key differentiator for technology and workspace needs was not age but in fact entirely dependent on the worker’s role in the organisation. The authors suggested that technology and workspace designers need to pay more attention to the recurring theme that a mobile worker’s role drives behaviour, and also determines the kind of support they need to work effectively. Mobile workers are diverse in role, work practice, demography and support requirements, yet organisations tend to establish cloned technology packages for all mobile workers.
3.4 Case studies
To further explore the data, the researchers examined the three most common leadership roles assumed by mobile workers, namely problem-solvers, consultants and leaders, in terms of their work habits, technology needs and workspace requirements.
Problem-solvers tended to be home-based workers, typically having many single contacts in a day and handling multiple issues at once. Hence, they needed reference materials close at hand, a regular office set-up with high quality internet connection. When problem-solvers work in the office, they tend to do the same kind of work there, using back office services (printing, mailing) and they need designated workspace to achieve outcomes.
Consultants however, work differently. They have a low number of contact points in a day, but with the highest frequency of interactions with those people, working on a project basis and are physically highly mobile. This group expressed the greatest need for mobile devices (eg mobile phone, laptop and teleconference facilities). When they work in the office they are often demonstrating or presenting to clients, and need access to these facilities.
Leaders had a medium range of contacts through the day, but with numerous and frequent interactions, requiring a steady flow of information. Leaders were most concerned about having immediate access to the people with whom they work, they needed formal conference space at the office as they are representatives of the company. Technology requirements were those which helped manage contacts and schedules, rather than large amounts of documentation.
3.5 Discussion
In dealing with these diverse and multiple needs of mobile workers, challenges are presented to organisations in terms of the office landscape, costs, design and flexibility. The researchers suggest some options for organisations including:
- a realistic mobile worker budget and strategy;
- sharing office space;
- a holistic approach to the connection between the workspace and the workforce, the type of work being done and the optimum environment;
- a new look at space design to facilitate the increasingly mobile population, which incorporates both the mobility of work with the mobility of the workplace, utilising highly portable technology, equipment and tools; and
- design for mobile workers which considers the difference in their technology use and role.
For more information, see Venezia, C., Allee, V. & Schwabe, O. (2008) ‘Designing productive spaces for mobile workers: role insights from network analysis’ Information Knowledge Systems Management Vol 7 p 61-75.
4. AUS case study: Stockland head office
Founded in 1952, Stockland is a property group of 1,300 employees and a top 50 ASX company. Stockland develops and manages a large portfolio of community, apartment, retirement living, retail, office and industrial assets. In mid-2007, 600 employees based in Sydney, moved into a refurbished office space, known as Stockhome. The new office had been designed and constructed to achieve a 6-Star Green Star – Interiors v1.1 rating and is the first office interior in Australia to do so. During the design and construction process, employees were engaged to contribute to, comment on, pilot and approve interior design elements as well as new ways of working. Consequently, employee pride in the new space is high and survey measures are finding positive impacts on health and productivity.
4.1 Background
Stockland head office employees were working in a building in central Sydney which was increasingly becoming over-crowded, environmentally unpleasant and uncomfortable. Despite this, employee engagement scores were consistently high, and Stockland were, and continue to be, proud of a positive and vibrant culture. However, a move was necessary and when suitable office space was found, a commitment to sustainability and unifying the business meant that the design and construction were as environmentally sound as possible.
4.2 The engagement process
Employees across the organisation were involved in the design and construction process, through the use of surveys, focus groups and “champions” of change. Although the prospect of moving into a new and innovative building was attractive, there were also significant changes to be made to the way people were going to work and interact. For example, the new office space is completely open plan, for all employees from the most senior to junior, where as previously employees had had their own offices. There were also going to be changes in product consumption, for example, reducing the number of printers for employees from 140 to 40. These and other work practice changes needed the commitment and engagement of employees to succeed.
4.3 Measures and findings
In November 2006, a pre-occupancy survey was undertaken at the former head office. This and subsequent surveys used the Building Use Study (BUS) methodology, a well-recognised and internationally used method of measuring the performance of buildings from the user perspective. A post-occupancy study was carried out in May 2008 with a 38% response rate (246 employees).
(i) Perceived health
The BUS measures twelve indices of internal comfort and satisfaction, which include temperature, air quality, lighting, noise, design, image to visitors, perceived health and perceived productivity. In the pre-occupancy study, employees rated the perceived health in their office as significantly lower than both Australian and international benchmarks, whereas in the post-occupancy study it was rated in the 90th percentile in the Australian benchmark data set. Absenteeism was relatively unchanged, albeit that a number of employees felt that the fresh air and high quality of the work environment contributed to their well-being.
(ii) Perceived productivity
In terms of perceived productivity, there has been an increase of nearly 10%, from -2.38% in the old building to +7.21% in the new building. The 7.21% result is in the top 12% of the Australian benchmark dataset. This provides a useful indicator of the impact that environmental conditions (eg building design features) have on employees’ ability to undertake work. Building design features such as an internal atrium and central stairs, open plan and a focus on employee comfort support this outcome.
(iii) Organisational flexibility
There is also increased organisational flexibility as a result of the design. First, employees are much more able to meet frequently and informally using the many meeting spaces spread around the new building, as well as “bumping into” each other on the central stairway. Second, they are able to be relocated to other floors of the building (in the event of a business unit move) efficiently as the work stations are identical so units can be positioned in their most effective location. There is also a large learning centre within the building where up to 100 employees at a time can attend workshops and seminars, or use the learning spaces for specific learning needs of their group.
(iv) Work practices
There is considerable pride in Stockhome, and consequently the relationship between Stockland and its clients and stakeholders has changed. Stockland now hosts more events and meetings; employees bring their families in to see the building and share a meal there. Parts of the new interior have been used in flexible ways, for example, a meeting room has been customised to support the sales process for a new apartment development to avoid the necessity of having to build a sales suite on site.
Many employees at Stockland are mobile: visiting sites, working with clients or travelling. However, each employee has a designated workspace, with hot desks available for interstate visitors. This design was in response to employee feedback on the importance of having a permanent work area. The achievement of the 6-Star Green Star rating required the commitment of employees. In order to achieve this, sustainable work practices have been embedded in the organisation, from fewer printers using 100% recycled paper and centralised stationary supplies to employees participating in rubbish sorting at their desks and awareness of sustainable materials utilised in the office space.
4.4 The future
Stockland did not set out on this sustainability journey with the intention of changing their organisational culture; they were already proud of their brand, values and ideals. However, the need to move into new offices and the commitment to sustainability has led to positive employee outcomes, changes in organisational and work behaviours and improved perceived productivity. It is hoped these positive trends will continue with increased flexibility and productivity in the future.
With thanks to Jo Metzke, Manager, Group Learning & Development, Stockland. For more information go to www.stockland.com.au
5. Websites
Through the research for this newsletter, we found a number of websites and resources on workforce and workplace sustainability which we thought may be of interest to some of our readers.
- For information on sustainable and green building design and construction, forums and articles, the Green Building Council of Australia www.gbca.org.au
- For information on sustainability and business decision making, the Executive Leader www.environmentalleader.com
- For a range of articles on innovation, strategy, leadership and culture, the CEO Forum www.stockland.com.au.
Regards,
Juliet Bourke and Dr Graeme Russell
Partners
Aequus Partners
www.aequus.com.au
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