Telecommuting can improve productivity, savings

Jill Edwardson, a human resources manager, has<BR>telecommuted for almost three years.
Jill Edwardson, a human resources manager, has
telecommuted for almost three years.

Telecommuting has become just as trendy as using hand-held devices and cellular phones to conduct business. But does it work for everyone?



Studies show that it’s a win-win situation for both employers and employees who telecommute once time management, productivity and cost are added to the equation.



A 2000 survey conducted by Challenger, Gray & Christmas Inc. in Chicago found that most companies report that telecommuting employees have productivity rates up to 25 percent higher than workers have in a central office.

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Telecommuters find that they can do more when they are less stressed and are not confined to an office environment, say experts.



Jill Edwardsen, 34, a human resources manager with Edwards & Angell LLP in Providence, said she telecommuted for nearly three years because of a medical condition and found it easier to get more done at home versus in the office.



Edwardsen said being at home resulted in more productivity because there aren’t any interruptions.



“I found it to be easier,” she said from her home. “If I had a big report to do, I could do it without the interruption of phone calls and people walking into my office,” she said. “A report may take over two days (to finish) at work, at home it’s an hour or so.”



Cost savings also come into play for employers who have a telecommuting program in place.



Long-distance relationships with employees avoid the cost of relocation, which can sometimes cost $80,000 per employee, according to a study written by Olsten Corp., a staffing agency now owned by Swiss-based Adecco.



Real estate costs also come into play. Nearly 70 percent of desks, offices and workstations are unoccupied during a typical workday, so offering telecommuting programs gives companies the opportunity to consolidate office space, according to Dr. Franklin Becker, co-author of “Workplace By Design.”



And the cost of replacing workers is also lower for companies that have telecommuters because those companies find their employees are less likely to leave.



These are several of the cases that Suzanne Gibson of Discover Resources Inc., an executive coaching company in Warwick, gives to her clients.



Gibson, who runs a home office and does most of her work via telephone, said clients tell her they are saving lots of money in allowing individuals to telecommute. In fact, some of her clients, who are in the insurance industry, are required to provide their own equipment – and therefore save money for the company.



So does telecommuting burn a hole in an employee’s wallet?



Not for Edwardsen.



“I used my personal computer in the beginning and connected into the phone line,” she said. “Then I’d bring a laptop home and dial in from home,” she said. The connection was made through a local, dial-up number.



“If I had to make a long distance phone call, I’d call into the Providence office and someone would make the call and transfer me,” she added.



Still, allowing employees to work from home one, two or more days a week doesn’t work for everyone and in every case, according to Stu Freeman, director of administration at Edwards & Angell.



“I would not encourage a lot of employees to do it because part of the culture of the firm is to be with other employees and lawyers that you work with,” he said.



There are, however, exceptions to every rule.



“We’d consider it for extreme child care or issues of health,” he added.



Edwardsen said she agrees that it should be a case-by-case basis.



“I’d say definitely telecommuting is most appropriate for exempt employees who aren’t paid overtime,” she said. “Certainly some jobs would not be appropriate for telecommuting. It (needs to be) a position where the work is project oriented.”



Gibson disagreed, adding that nearly every job can be done from home while still collaborating with colleagues.



“I think in this day and age with technology and instant messaging there is still a way (to collaborate),” she said. “I believe that you can set up any job from home.”



According to a study published by the International Telework Association and Council, broadband has increased the number of employees working from home.



Having broadband can save more than $5,000 per teleworker, says the report, because broadband teleworkers reported an average productivity increase of 33 percent.



For an employee with an annual wage of $44,000 or daily equivalent of $169, the productivity increases into $56.28 per workday at home.



Telecommuting is great for some businesses that want to save money and retain employees, but it won’t change the minds of old, traditional businesses that have a different mentality, Gibson concluded.


“There are still companies that have the culture of ‘tell the employee what
to do,’” she said. “And yes, there’s a certain amount of people that say, ‘We’ve
always done it this way, why change now.’”


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