Once a temporary solution, remote work has become a standard feature businesses can pull out of the productivity toolbox. In the US, 16% of companies are fully remote, 56% offer employees the opportunity for remote work, and 80% have incorporated a hybrid workforce model that includes work-from-home arrangements.
In theory, remote work seems like a smart solution to improve productivity. An employee who works from home doesn’t have to worry about traffic and should be able to complete more work on time. Once he’s had his morning coffee, he’s good to go.
A remote worker can work anywhere – a coffee shop, the food court, the train station, or the public park. All he needs is an internet connection. With a work environment of his choosing, a remote worker should be happier, less stressed, and more relaxed.
Because a remote worker can manage his hours, he can find time for his family, exercise, and other non-work-related matters.
Collectively, these factors can contribute to better quality work and higher productivity.
If this is true, why has remote work become polarizing for businesses? Why are some businesses – including Martha Stewart – pushing back against remote work?
Is remote work more productive?
What Is Remote Work and How Did It Become Popular?
Remote work is an employment arrangement whereby the employee or the contracted talent carries out his scope of work as defined by his employer or client outside the traditional confines of an office.
The concept of remote work is not new. You can trace its origins as far back as the 19th century when telegraph operators sent messages using telegraph machines from their homes.
However, remote work became a buzzword in 2013 when Yahoo! CEO Marissa Meyer offered telecommuting arrangements to employees.
The objectives of Yahoo’s telecommuting program were to increase productivity and to improve the work-life balance of employees, especially working moms, by giving them more time with their families.
By June 2013, Meyer unexpectedly cancelled the telecommuting program and ordered Yahoo employees back to the workplace. Amidst the outcry from working mothers of Yahoo, Meyer justified her decision by saying that a shared-space arrangement would improve collaboration and innovation.
However, the remote work snowball continued to gain momentum and grow in popularity. A 2014 survey conducted at the Global Leadership Summit in London showed that 34% of participants forecasted that more than 50% of their workforce would telecommute by 2020.
Ironically, the events of 2020 fast-tracked the growth of remote work. One of the biggest arguments favoring remote work is that it provides businesses with a built-in “disaster-control” mechanism. If an event occurred that would paralyze operations, having a remote or satellite office would keep business going.
The lockdowns shut businesses for three (3) months. An estimated 200,000 businesses closed down permanently. It was a bitter lesson for all businesses. Digital technology provided the means for businesses to establish remote work setups. So why not harness the power of the latest digital innovations?
Some businesses believe remote work isn’t as effective as it’s thought out to be.
What Are The Disadvantages Of Remote Work?
For someone who has built several successful businesses in publishing, entertainment, and merchandising, you’d expect Martha Stewart to be a staunch advocate of remote work.
Otherwise, how would she get things done at her businesses and still have time for modeling, podcasting, and guesting in many popular TV shows?
As it turns out, Stewart believes remote work doesn’t improve productivity. In her opinion, it’s not possible to get a lot of things done in only three (3) days of work.
From the perspective of someone who became successful from taking on different projects, Stewart thinks remote work takes the edge out of the daily grind – the thrill out of the side hustle.
The truth is that Stewart isn’t the only one pushing back against the idea of remote work. Other companies, such as JP Morgan, Disney, and Amazon, require their employees to switch back to the 9-to-5 office lifestyle.
What are the perceived disadvantages of remote work?
1. The Existence of Distractions at Home
You could be working on a deadline when all of a sudden, the doorbell sounds, the telephone rings, someone knocks on your door, the dog starts barking, or one of your kids is asking for help on his homework.
Sure, you can choose not to answer the doorbell, leave a voice message on your phone, put a “Do Not Disturb” sign, and schedule tutorials with your children.
Then, you must deal with the temptation of napping on the sofa, watching the latest NBA game on TV, taking a one-hour snack break, or just bouncing a ball against the wall.
2. Collaborative and Leadership Challenges
Even with Zoom, Slack, GoToMeeting, Google Meet, and Microsoft Teams, meetings are more productive when they’re conducted face-to-face.
It’s natural to be more attentive in a shared space location. Everyone’s wearing office clothes, and there are no distractions in the meeting room.
You save time from sharing screens or changing tabs because all the information you need is displayed right before you. The presenter can explain his report better using a whiteboard or emphasizing key points on a single screen.
3. Concerns About Data Security and Confidentiality
Data security and confidentiality are top priority for companies that allow remote work. Typically, the remote worker is responsible for the computer hardware, software, and Internet connection in his home.
Unless the computer is connected to a network, the employer won’t know the remote worker’s browsing activity or if the computer is being used by other people in the household.
It’s also possible for the remote worker to work in a coffee shop, food court, or a library where he connects to public wi-fi. This increases the risk of confidential data getting stolen and systems hacked by cyber-criminals.
4. Latency and Other Technology Issues
If the remote worker’s bandwidth isn’t enough, he’ll have difficulty accessing files that require a lot of memory. He could drop off unexpectedly during a Zoom call.
What if the Internet provider experiences downtime? What if the remote worker’s operating system (OS) is so outdated that he can’t get regular updates on his browser and software?
5. Increased Risk of Miscommunication
A telecommuting program has to be supported by precise workflows to succeed. The different areas of responsibility in a telecommuting program – file retrieval, file submissions, quality assurance, and work endorsement – must be guided by processes that make the flow of work smooth and seamless.
However, mistakes can still happen.
For example, a file might have been incorrectly saved in the wrong folder. The remote worker might have forgotten to update the status of the file or inform the rest of the team that the file has been completed and is subject to review.
These mistakes can compromise productivity and cause delays that could drive up costs, increase business risks, and affect the relationship with clients and customers.
What Do the Numbers Say About Remote Work – Is It Really More Productive?
A study conducted by the Becker-Friedman Institute of Economics that covered the period of 2021 to 2022 showed that remote workers saved two hours per week compared to those who work in an office. This is largely because remote workers didn’t have to commute. The average time for the daily commute was estimated to be 72 minutes.
Of the two hours saved per week, remote workers allocated 40% to work, which translated to 48 minutes of more productive time.
A second study on remote work, conducted by Stanford University in 2020, revealed that remote workers were 5% more productive than office workers.
The National Bureau of Economic Research (NBER) shared the results of a survey they conducted from 2010 to 2019. According to the survey, companies that hired remote workers experienced a 1.1% increase in productivity. However, after the pandemic, productivity increased by 3.3%.
If the numbers don’t seem impressive, the companies that didn’t use remote workers experienced a decline in productivity.
Thus, there’s no substance to Martha Stewart’s argument that remote work negatively impacts productivity. The results of three (3) studies from reliable agencies show remote work improves productivity by 5% to 9%.
How Do Employees Feel About Remote Work?
They love it!
Business consultancy firm McKinsey & Co. released the results of their third American Opportunity Survey. The results of the survey are as follows:
- 58% of Americans work from home at least once a week.
- 35% of Americans work from home five days a week.
- Remote work includes both white and blue-collar jobs.
The most impressive statistic from the survey is that 87% of Americans would accept a remote work opportunity if offered.
87% is a highly significant number. The survey proves that the pandemic created a massive shift in work attitudes and behaviors.
A 2022 study by McKinsey revealed that the number one reason Americans accepted job offers was the availability of a remote work assignment.
Why do Americans love to work remotely?
A 2021 survey conducted by YouGov listed the top reasons why Americans prefer remote work or work-from-home arrangements:
- The absence of a commute – 68%
- Flexible work hours – 63%
- Casual dressing – 55%
- More time to do household chores – 52%
- Social distancing – 51%
- More time with the family – 39%
- Work autonomy – 36%
- Improved productivity – 32%
Thus, if you want to hire the best talent for your company, you must offer remote work opportunities.
Conclusion
The numbers don’t lie.
Remote work improves productivity and employees want the opportunity to work from home.
If employees are happy, they’ll give you their best because they want to continue working for you.
We’re not just saying this. Our statement is supported by research.
A 2018 study by Stanford University showed that companies that incorporated remote work or telecommuting arrangements reduced attrition levels by 50%.
If you’re thinking of hiring remote workers for your company, we hope this article helped you arrive at a decision. At Mountaintop, we have remote workers as part of our team and are happy with the results.
To be more certain of your decision, let’s book a time to talk about remote work and how you can apply the strategy to your business.
If you enjoyed this article and found it helpful, feel free to share it with others.
