Thanks to near-universal WiFi, faster processing speeds, and exponential growth in data storage, many companies no longer require some employees to commute to a centralized office.
For businesses, the benefits include less need for costly office space, the ability to attract premium job candidates outside of the business’s geographic region, and real-time online supervision of their workforce’s progress.
And for employees lucky enough to be able to work at home, the benefits include an improved work/life balance, flexible schedules, and the elimination of unproductive commuting time.
Rethinking the Work from Home Model
But allowing employees to work from home may look good on paper, it may not always boost the bottom line as much as predicted. And many companies are now reconsidering the issue.
Last week, computing giant IBM announced that it no longer will allow its employees to work from home. Thousands of employees will be given the choice of commuting to a regional office or leaving the company altogether.
IBM’s decision to call in its remote workers may partially be a move to cut labor costs. The company has had 20 straight quarters of declining year-over-year revenue. But it also could be an indication that the “business model of the future” — in which workers interact with each other remotely from all over the globe — may have been a little premature.
The Hidden Downside of Working from Home
For many workers, the concept of rolling out of bed and working in front of the computer in your underwear, if you choose, has some appeal. But it also can be much harder than originally thought.
Without the physical proximity of a supervisor or manager, many people can easily be distracted by other things, including family responsibilities, streaming entertainment, and even video games. It takes a lot of self-discipline to work remotely, more than the average worker has.
Then there is the lack of socialization with co-workers. While this can be the bane of managers who cringe whenever they see their employees chatting around the water cooler, it also can be an important part of collaboration, innovation, and creating a unified vision of company goals.
When there are no co-workers to compare notes on the latest business plans or sales objectives, for example, individual workers can sometimes fail to work toward common goals.
IBM’s move may signal a reversal of the trend towards business allowing employees to work remotely from home. Whether or not other companies follow suit remains to be seen.