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New Priorities for Employers Regarding Work Family Balance in the 21st Century
(veiw as a word document)

By Jennifer Shelton
*This report was written to fulfill part of the requirements for an MBA course on "The Virtual Workplace"
taken during fall term 2001, with Professor Kristi Lewis Tyran, Western Washington University.


PREVIEW
The issue of work and family balance has become a prominent topic in the last decade. More recently, the tragic events of September 11, 2001 have impacted people's view of work, possibly forever. Businesses and workers in every industry nationwide were affected in some way. As a result, managers now have gained a renewed understanding that employees are people first and employees second.
The recent Work/Life Conference in New York City held in October 2001, after the terrorist attacks, focused on the challenges faced by corporate America in this changed world. Bernadette Fusaro, Vice-President of work/life Strategies at Merrill Lynch, said, "We think work/life programs will be critical in the difficult times ahead" (Finnegan 2001).
"The emphasis on meaningful work and on family and personal life has become much louder and stronger," says Ellen Galinsky, President of the Family and Work Institute (Finnegan 2001). Family Life in America is going through a restructuring and there is increased social and political concern over the fate of our children. Americans work more now than at any time since the Second World war (Hochschild 1997).
Virtual work and flexible work arrangements have also been popular topics in management literature. Recent research has focused on testing the effects of flexible work arrangements. The emphasis of the these tests has been on trying to determine the positive outcomes of creating this type of environment and examining the resulting changes in management style and organizational structure.
There is a great deal of interest in virtual teams and the process of telecommuting. Recent articles are providing more and more information about the importance of developing trust and communication in establishing these alternative work arrangements.
A question that many authors have explored in the last few years is the need for employer involvement inwork/family issues. Questions they have tried to answer are; how much should an employer be involved? Where do employers draw the line? The recent tragic events have reminded people that work sometimes comes second to their safety and the safety of their loved ones. Managers are being forced to pay closer attention to the way life affects work. They have to manage people, not just the job (Finnegan 2001). It is the employees' responsibility to create balance between their home and work life, but it is the employer's responsibility to provide the support and options necessary to accomplish this.
The increase in the proportion of working women has been one of the most significant social and economic trends in modern US history. Much literature has focused on the correlation between female employees and the extent of family-friendly benefits offered. Out of studies done on companies that provide family-friendly benefits, the financial, medical, and services industries rated the highest. These industries traditionally employ more women. But, due to the changing demographics of the American family, with many single parents, and dual-income families, more men are taking over the responsibilities of the family traditionally provided by the female. This has to be taken into consideration when implementing changes.
The breakdown of traditional communities of family care is a major contributor to individual and societal conflicts regarding work and family responsibilities. Many research studies have focused on this breakdown and attempted to provide guidance to decision makers based on their findings. As of yet, the United States has not been able to develop a comprehensive family care policy and integrated community-based infrastructure to augment or replace traditional supports for family care unlike other developed countries (Fredriksen-Goldsen/Scharlach 2001).

Corporate America is experiencing economic changes. Families and children end up bearing the added stress. Because of this, companies should take a closer look at their social obligation to help employees cultivate an enjoyable balanced life to raise their families (Edelman 1996). From an ethical and business perspective, employers should explore ways to provide employees the chance to balance their work and family life.

INTRODUCTION
Virtual telecommuting is a work option that many companies have adopted within the last decade. The virtual office -- the notion that work can be done virtually anywhere -- is here to stay. Today's communications technology allows the shift to the virtual office to be almost inevitable for every industry. Technology will allow a sales person meet his customers in one city or permit him/her to stay in touch with the boss across the country. This increase in technology is moving America toward a 24 hour, seven day a week economy.
As technology continues to generate more information and opportunities, the pace of life is escalating (Frederickson-Goldsen/Scharlach 2001). For most American families, time available for family responsibilities has significantly decreased. Balancing work and family responsibilities, especially the demands of child and elder care, are significant issues now and will continue to touch each of us at some point in our work lives, whether in the role of parent, spouse, or children of our aging parents. The need for family care giving can have profound implications for corporate America. A 1997 study estimated the aggregate cost of care giving in lost production to US business to be $11.4 billion per year. This was due to absenteeism, costs of hiring replacements due to those forced to leave because of care giving responsibilities, workday interruptions, and employee mental care. (Frederickson- Goldsen/Scharlach 2001).
Stressed employees are seeking to balance work and personal life. That is why more employees are requesting flexible benefits, including telecommuting from home, flextime, and a compressed work week. According to the Society of Human Resource Foundation Annual 2001 Benefit Survey, 58% of companies surveyed offer flextime, 37% offer telecommuting, and 31% offer compressed work week (Taylor 2001).
Many managers believe that adapting to these changes is a wise business investment. Previous studies have determined that reduced turnover, reduced absenteeism, recruitment advantages, good public relations, and improved morale were trends and advantages noted by companies that instituted child-care assistance programs (Place/Wise 1988). Tangible payoffs include lower real estate costs, less recruitment costs, a disaster planning tool, and increased productivity due to improved morale. The beauty for the employee is the life balance. Virtual work gives them back control over their life, so they can work under conditions that are best for them. Achieving quality--or helping employees achieve work-family balance--requires continual leadership from the top, and culture change alters the way business is done (Friedman/Johnson 1990).
Change doesn't come without a price. Moving from a structured and geographical setting to a virtual office involves a fundamental shift in how work gets done and how it is managed. In order to create an effective virtual workplace, the environment has to be structured differently than a traditional office. How do you manage and monitor people you rarely see? How do you foster teamwork and build a corporate culture when employees are geographically dispersed? How do you keep people motivated and accountable? One of the most important things to remember is that the entire management strategy has to change in a virtual work environment (Berger 1996).
The purpose of this report is to provide applicable information to employers to help them implement family-friendly options into their work environment and deal effectively with the changes. In order to accomplish this, I will first provide recommendations on selecting employees to participate in a flexible work arrangement, training employees to work effectively in this setup, providing structure and accountability and motivating and empowering employees in this area. I will also discuss options for companies and provide evidence for the benefits that result from flexible work arrangements. Finally, I will conclude with a brief summary of this shift in priorities that is taking place in today's work environment.


RECOMMENDATIONS
Selection
Several important factors need to be considered when selecting employees to participate in a flexible work arrangement. Not everyone is suitable for telecommuting. For example, those who have poor personal motivation and are not "self-starters" may need the external discipline provided by set hours and managed environment. Intrinsic motivation is important. Employees must be motivated enough to want to make the arrangement work. Employees also need to be trustworthy because managers have to empower them to do the work they are capable of doing (Berger 1996).
When evaluating the potential offering of flexible work options to employees, the most important factor is to determine if the workers are self-motivated, self-disciplined, and already very skilled at their job. Many companies have a policy that an employee can only telecommute after being with the company for at least a year. It is important that the employee be very familiar with the corporate culture and the company's policies and procedures.
Some questions employers should ask when determining who can effectively telecommute are,
    1.)   Is the person self-motivated while in the office?
    2.)   Are they accountable to do things when they say they will do them?
    3.)   How do they communicate with their coworkers and their supervisors?
    4.)   How do they deal with frustrations?
    5.)   How stable are they?
The types of people suitable for virtual work should enjoy using technology for communicating and decision-making. Some workers prefer traditional communication and decision-making practices and may not be able to adapt to electronically mediated self-governance. (Markus/Manville/Agres 2000). Helping the employees become aware of their own working style and strengths and weaknesses can enable them to monitor their own work as they go along. Managers should provide some options for self-analysis. Furthermore, many homes are not well equipped for a virtual office or types of telework. Even the most highly motivated individual could have problems focusing and completing concentrative tasks in a small apartment with children underfoot as well as noisy neighbors (www.eto.org.uk).
Not all job tasks are best performed in a self-managing environment. Some kinds of design or creative work, and customer service or sales activities gain considerably from the very close interactions of a team working together in one room or from the synergy of closely supervised teams. There is an advantage to the kind of team spirit and internal motivation that can best be generated by leaders and managers sitting in with the teams and leading from the front. Also, young people entering work for the first time may benefit greatly from working in a traditional office setting in their early years. For some people, going to work is an important part of their lives; the place of work is where they make their friends and develop their social skills and contacts (www.eto.org.uk).
Training
Virtual work is a new area. To implement this type of arrangement requires a new set of rules and policies due to the organizational structural changes that take place. In the traditional environment there is one transition at the beginning and ending of the workday. In the virtual office this transition may happen ten or twenty times a day. Employees need training to understand these implications of managing the frequency of transitions during the day. Mobile teleworkers need to be trained on how to set boundaries between work and family life. Educators can help teleworkers learn how to clearly communicate their expectations to family members (Hill/Hawkins 1996).
It is crucial to provide training to all involved in the virtual work arrangement. Managers need to be sure to communicate requirements to supervisors and office-based employees, virtual workers and their families. A representative should be involved with the team or individual worker from the beginning to oversee development of a training program. Depending on the needs of a company, managers or trainers should assess what subjects are to be covered during the training sessions.

  • Training to be delivered in virtual mode to avoid commuting to an office lecture.
  • Family life educators need proficiency in interactive CD's or web side communication.
  • Training to maintain technical proficiency is important since technology continually evolves and reinvests itself.
  • Virtual training methods should cover work-family time mix to optimize their time to effectively manage their demands of their work and family situation as well as their personal preferences.
  • Communicating the home workers expectations to the family members, including benefits to the whole family.
  • Advising on setting up the physical aspects of a virtual office in the home in order to better manage interaction with family during work time
  • Providing therapy resources for personal and family problems that may arise due to mobile virtual/telework work arrangements.
  • Overall, virtual workers need to be educated on how to use their greater work flexibility to benefit their families (Hill/Hawkins 1996).


Structure & Accountability
Managing virtual workers can be stressful for all involved if not set up effectively. The three most common reasons for telecommuting failure are, a lack of solid policies and procedures, a lack of support for telecommuters, and a lack of training for managers (Taylor, 2001). Traditional management generally goes through a setting up of goals or objectives, action planning to work on objectives, corrective actions, periodic reviews, and performance appraisals. In a virtual or telecommuting work arrangement, management should go through the same process but divide the objectives into smaller parts and review them more frequently.
Effective Feedback
Managers need to remember the following when setting objectives and giving performance feedback:

  • Promote acceptance of managers' observations by employee participation; employees who are allowed to voice opinions will be more satisfied with the feedback.
  • Set specific performance objectives and clarify exactly what is expected of the employee.
  • Discuss problem areas immediately to improve productivity.
  • Talk about how something can be improved rather than spending too much time on the downside of an employee's work; criticism triggers defensive reactions.
  • Reward an employee for a job well done.

Practice What You Preach
Managers or supervisors of virtual workers should obtain first-hand experience by working at least one day a week at home. This will help them to understand the challenges faced by the virtual worker and enable them to be more supportive and effective in developing a structure.
Clear Objectives
Managerial direction and control must be clearly established, and virtual workers' roles must be defined, including the limits of the scope of their work and responsibility. Measuring productivity and performance should not be different for on site and off site workers. Objectives should be clearly defined with measurable output based on quantity, quality, and time to complete. A good manager manages by results and not by activity. That is why it is so important to have clearly defined and measurable output.
Office Interaction
It is also important to make sure that the employee has scheduled enough days in the office, so that they do not become too isolated or separated from the organization. Colleagues who can offer advice do not surround home-workers, and managers need to be aware that they have to be available and pay attention to what may seem to be only minor concerns. Regular periodic evaluations of work and the home/office arrangement will provide the structure and guidance necessary to keep an employee motivated and accountable (Magid 1990).
Communication
Effective communication systems is key to effective motivation and accountability. Training and communication mechanisms need to be initiated to avoid problems. To ensure effective communication with off-site employees, regular contact has to be maintained. Some options are bulletin board, e-mail systems, periodic work review meetings, phone contact, and scheduled meetings. Structure needs to be set up so that coworkers and administration know when the worker is in the office and where they can be reached at any time while they are not at the office. Virtual workers need to be highly accessible.
Regular Meetings
Regular meetings need to be scheduled with the virtual worker to assess needs, give feedback, discuss problems, and just catch up. This way management will not feel they are losing contact, and the virtual worker will feel less isolated. During these meetings managers can help to set timetables and assess progress, so employees will have deadlines to keep them on target. When face-to-face meetings are not possible, other means of communication needs to be utilized; perhaps a key contact person can be selected to keep virtual workers aware of what is happening around the office.
It is important to connect work-family programs to other corporate objectives. Concepts of total
quality management provide five principles that link with work-family programs.

  • Concept of the internal customer
  • Continuous improvement
  • Importance of the individual
  • Expanded concept of productivity
  • Values and culture change (Friedman/Johnson 1990).

The Family Research Council has identified a consistent set of strategies that are recommended for
effective adoption of work-family policies:

  • Identify and involve a visionary leader to oversee the project
  • Involve a diverse group of people in the process
  • Identify roadblocks and obstacles to overcome
  • Gather facts and supportive information
  • Know what your competitors are doing
  • Define business objectives and connect work-family issues to a business strategy
  • Develop a plan and a timeline
  • Consider and prepare for short- and long-term implications of the proposal
  • Communicate continually
  • Provide feedback on success (Friedman/Johnson 1990).

One way to go about the task is to assign an implementation committee to determine how the program is to be administered. For large organizations, a telecommuting coordinator could be appointed in each department to interface directly with the project manager. The coordinators would have decentralized positions, managing the telecommuting programs in specific departments. A small organization may want a centralized program with a single project manager.
Coaching
Socialization and career management programs are two key initiatives for managing a virtual team environment. Some companies use coaches to take over control activities and oversee the process to organize virtual teams. Other companies use a team-based, peer-evaluated control system. In both cases goal setting is crucial. The coach can facilitate team dynamics and be responsible for team objectives. Each team member also needs to have individual objectives that involve project completion, customer satisfaction, financial issues, and performance.
Trust
It is necessary to develop trust to resolve issues when working in a virtual office because there is less casual face-to-face contact. Some tools that could be used to build trust and organizational connectedness are social events and small group meetings where members could learn about each others' experiences, skills, motives, and expectations. Furthermore, formal mentoring programs can be useful in building organizational connectedness of virtual workers.


Motivation and Empowerment
Motivation is one of the biggest concerns for employers when implementing virtual work arrangements such as telecommuting. There are a number of essential elements and factors that must be taken into consideration when developing a plan. The clarity of evaluation criteria is the key for generating feedback that can guide and re-enforce performance of virtual workers, particularly since managers are often unable to physically supervise. It is crucial to understand employee expectations and limitations. Setting clear criteria will establish expectancy, set up links between effort and rewards, and enable employees to track their progress and make necessary adjustments. It also helps establish quality among virtual workers because they can no longer use physical behavior to compare work outcome.
Goals & Objectives
When setting objectives with workers, managers need to ensure that they are reasonable, fair, and specific. They cannot expect an employee to work every day of the week and stay motivated. The incentive plan must be goal oriented with a defined time period. The worker or team can identify activities and assign job tasks with completion dates. When building a time line, managers need to remember to account for the unpredictable things in life and allow for a certain degree of flexibility. By encouraging the workers' participation in the process, it affords ownership and accountability.
Employee Empowerment
There is a better chance of improving productivity if employees have more control. When employees are part of the decision-making process, they develop the skills to think issues through for themselves. Empowering employees allow them to become leaders. Then they are able to go ahead when no direction is given and make changes when confronted with new information.
Managers' Role
A manager is the key to work-family success. An organization's survival depends not only on vision and philosophy but also on strategy and execution. Given the trend of more flexible work schedules, managers are being called to be more of a people manager in order to ensure that those flexible work schedules are effective (Magid 1990). Good managers are able to manage their people in the next room, the next county, and in the next country.
One way a manager can keep home employees motivated and accountable is to be supportive. Studies have shown that supportive managers have a positive impact on all employees' work. A supportive manager is someone who recognizes that employees have a life outside of work, provides positive feedback, engages in two-way communication, mentors employees, facilitates the completion of job tasks, empowers employees, and shows respect for employees. A supportive manager works with employees to rearrange work schedules when there is a legitimate need, allows them to take advantage of flexible work arrangements, and gives advance notice of early or late meetings.
Work Balance
Some virtual workers lose motivation because the demands of work become too much. Where do employers draw the line when it comes to workload? Companies are beginning to realize that they pay a price for overworking their employees. According to Hewlett-Packard, employers know that employees are responsible for achieving the right balance between work and personal lives. They can't do it for them…it's their challenge, but what they do is to create an environment that makes such balance possible. Personal experience has demonstrated that more flexible employers and managers are greatly appreciated by their employees. They claim it is a wonderful way to motivate their staff. Management sees its work-family program as a tool for productivity gains (Mackavey/Levin 1998).
When flexible work arrangements are used properly, improvements in productivity can be credited to a higher energy level resulting from less stress, better morale, improved quality of work, or the ability to focus on the task more directly. Setting up the proper structure is very important to managing a flexible work place and keeping the employees motivated.
Wise Management
Traditional principles no longer are effectively serving organizations. All of these findings point to basic management principles, including group and self motivation, employee empowerment, flexible rules, valuing individuals, proper monitoring, structures and processes, technology and training. A wise manager keeps an open mind to new dimensions of the work force, the market, and opportunities. A successful manager can manage any situation by properly motivating people, setting standards, providing recognition for employees' achievements, arming them with the resources and support they need, setting expectations fairly, and giving them appropriate responsibility (Mackavey/Levin 1998).


Options for Companies
One key way for employers to reduce employee stress due to work-family conflict is to provide an atmosphere of flexibility. Most working parents acknowledge that the majority of stress comes from situations such as the need to be in the office at times of day when child-care arrangements aren't available. There is also the need to leave work early to tend to a sick child when company policy prohibits use of sick leave for anything but an employee's own illness, or the timing of a return to work following a parenting leave.
Here are some tools current companies have found to be effective in implementing flexible work arrangements and addressing these issues:

  • Flexible work option request - this is a two-page form that focuses on the business reasons why the arrangement will or won't work. Interested employees are asked questions including,
       1) How will your proposed schedule sustain or enhance your ability to get the job done?
       2) Describe any additional equipment/expense that your arrangement may require.
       3) Detail any short-or long-term cost savings that may result from your new schedule to offset these expenses (Noble 1991).
  • Childcare referral services for employees (McGinty/Moss 2001).
  • Concierge service. These services offer a variety of time savers to free employees to focus on business (McGinty/Moss 2001).
  • Backup childcare services. Some companies now offer wholly or partially subsidized daycare solutions for parents with short-term childcare concerns (McGinty/Moss 2001).
  • College admissions support. As a complimentary service for companies that offer child care services and elder care programs, companies might offer a college advising service (McGinty/Moss 2001).
  • Assisted care for pets. (McGinty/Moss 2001).
  • Wellness programs. Subsidized memberships to health clubs. On-site wellness events such as massage, nurse access, and yoga (McGinty/Moss 2001).
  • Designated rooms for nursing working mothers to pump breast milk (Brady 2001).
  • Have parents actually care for infants at the office. One company spent less than $500 on playpens, infant swings, play gyms, and two infant gates. The experiment was a resounding success. It sent a spark throughout the company, breathing new life (Noble 1996).
  • Require telecommuters to provide their own equipment, but offer low-interest loans payable via payroll deduction across 3 years (Taylor 2001).
  • Support parents' need for supervision of children during non-school hours. Some firms recruit and train childcare providers who offer programs for after-school hours or school vacations (Taylor 2001).
  • Give employees the opportunity to vary work hours, such as working at home, using flextime, or compressing their workweek (Taylor 2001).

Options for smaller companies could be,
    1) providing daycare referrals
    2) providing child care reimbursement as part of a flexible benefit plan
    3) taking out "company spaces" in daycare centers for lease to employees (Noble 1996).


BENEFITS
Productivity
Increased productivity has been documented as being a major benefit of virtual work arrangements. Productivity can also be increased because teleworkers avoid travel times and the interruptions of an office environment. They can also work at their peak times. "Pitt-Catsouphes and Marchetta reported in 1991 productivity increases of between 10% and 30%. Results from the Federal Flexiplace Project (US Department of Transportation, 1993) also indicated improved job performance of telecommuters" (Hill/Miller/Weiner/Collihan 1998). A survey of Fortune 500 companies with virtual work force arrangement indicates that improved productivity and customer response are the most common benefits (Greengard 1994).
Employees who might leave due to family or relocation issues can still remain in their jobs and employees can retain their skills. If an organization is restructuring, people can continue to work with less disruption. Teams representing the best skills and experience for a particular project can be created regardless of geography and time zones. Organizations with effective virtual or telework programs are more resilient in the face of external disruption, such as natural disasters or terrorist actions because employees are set up to work at home. Telework can enable staff to work limited hours to match peak workload or be on standby time at home at retainer rates and paid at higher rates when needed for active work. Customer service can be extended and enhanced as well (Taylor 2001).
Work-Family Balance
Virtual work can enable a better balance of work and family life. The flexible hours empower individuals to spend quality time with family members and still get their job done. With a flexible work arrangement, individuals can expect to see more of their family and participate in home responsibilities more easily, allowing for a better balance of work and family life.
Some work-family balance studies have found mixed results. Without proper training, many employees have trouble setting boundaries when working at home and find that they can't achieve any balance between work and home life because the boundaries are blurred. Previous research also found that some telecommuters exhibited characteristics of workaholism because of lack of work-life separation. (Hill/Miller/Collihan 1998). Proper selection, training, and management can help to prevent this from occurring. Overall, when surveyed, employees in a variety of industries were very happy with the arrangement and were able to achieve more balance in their lives, resulting in less stress and more satisfaction.
Retention
Supervisors and managers who support family-friendly activities find them beneficial because they help to attract and retain quality employees, boost morale, and reduce unscheduled leave. Most believe that family-friendly programs do support mission accomplishment overall.
If a flexible workplace and worker-friendly benefits help retain one good employee for an extra year, a company can save up to $25,000, the cost of a headhunter. Some organizations can't compete with the salaries and stock options, so they compete through work style and corporate culture. Employees who might otherwise leave due to family or relocation issues can still remain in their jobs and employees can retain their skills.
Satisfaction
An important benefit for many rurally-based virtual workers is that they are able to have more involvement in their community, participating in local politics, clubs, or societies at times of the day when they normally would have been a commuter on the road.
In a telecommuting survey done by AT&T, the majority of telecommuters, 76%, felt they accomplished more when they work at home. With the time they save, many telecommuters spend more time with their families, do even more work, run errands, or just have more fun.
Societal Benefits
Not only can a company benefit from virtual telecommuting, society as a whole experiences positive effects. For example, by increasing the numbers of virtual workers, traffic congestion is reduced. Consequently, pollution also decreases. Based on an AT&T survey, a typical telecommuter avoids generating 43 pounds of pollution, saves two gallons of gasoline, and 41 miles of travel a day by working at home. (Att.com). In California and some other states, there are legal or fiscal programs aimed at encouraging telework as part of a battery of anti-pollution measures (www.eto.org.uk).
Telework can enable people with specific difficulties the opportunity to be employed. In an area of high unemployment, virtual work provides access opportunities that arise anywhere worldwide. Overall, virtual work and telecommuting are an important element of economic regeneration because they are central to future opportunities for trade and work.
Children are the unseen stakeholders in the workplace. Our future generation will benefit from the attention that corporate America gives to the area of work-family balance. When parents have work designed with their needs in mind they can be more psychologically available to their children. When work experiences are positive it builds self esteem. Resources provided by employers, both economic and social, allow for good careers and enriching jobs. This can positively impact the families and children of our country (Friedman/Greenhous 2000).


CONCLUSION
This new era provides a historic opportunity to create new types of leadership and vision, and establishes new roles for managers and the people they employ. Companies involved in establishing flexible work arrangements can fulfill the mission of fostering trust and giving people a greater sense of their self-worth and of their larger role of society.
A significant shift in how our nation helps families succeed at home and work is required. All working Americans should be able to take time off when they need it to care for their families without losing the income to support their families. It can make all the difference in their lives. For an employer, this shift in focus will demand thought, creativity, and a willingness to experiment. The changes have to be implemented in a way that give families flexibility and don't undermine our dynamic and growing economy.
Large corporations, small businesses, nonprofits, and other organizations can create context of shared purpose in which their colleagues, employees, and young people in general, will learn to care for the larger good of the whole society (Mackevey/Levin 1998).
By selecting and tailoring benefits to their employee population, ideally allowing them to choose the benefits that best suit them as individuals, employers may be surprised to discover benefits for their business that far outweigh the costs. By helping employees address outside demands, companies will reap the rewards of increased focus, time on the job, gratitude, and loyalty.

 


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