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Freeing Work from the Constraints

of Location and Time:


An Analysis Based on Data
from the United Kingdom

Lotte Bailyn

90s: 87-037

June 1987

Sloan WP# 1907-87

This paper has appeared in "New Technology, Work and Employment"


Vol. 3, No. 2, Autumn 1988.

I 1987 Massachusetts Institute of Technology

Manaqement in the 1990s


Sloan School of Management
Massachusetts Institute of Technology
Management in the 1990s

Management in the 1990s is an industry and governmental agency supported


research program. Its aim is to develop a better understanding of the
managerial issues of the 1990s and how to deal most effectively with them,
particularly as these issues revolve around anticipated advances in Information
Technology.
Assisting the work of the Sloan School scholars with financial support and as
working partners in research are:
American Express Company
BellSouth Corporation
British Petroleum Company, p.l.c.
CIGNA Corporation
Digital Equipment Corporation
Eastman Kodak Company
Ernst & Young
General Motors Corporation
International Computers Ltd.
MCI Communications Corporation
United States Army
United States Internal Revenue Service
The conclusions or opinions expressed in this paper are those of the author(s)
and do not necessarily reflect the opinion of the Massachussetts Institute of
Technology, the Management in the 1990s Research Program, or its sponsoring
organizations.

Acknowledgements
This paper is based on information collected in the United Kingdom in 1986-7. It
is part of a collaborative project with Dr. Constance Perin, Principal Research
Associate, Management in the 1990s, on information technology and the
home/office pattern of work. The work is supported by funds from the
Management in the 1990s Program of MIT's Sloan School of Management.
Freeing Work from the Constraints of Location and Time

Information technology is making possible new patterns of work,


with greater flexibility in location and time. But traditional
assumptions about the requirements of coordination and control serve
as a strong deterrent to their implementation. This paper deals with
these possibilities and with their limits; it does so by means of
data collected in Britain at a number of sites, with different
populations, and by a variety of means.
Having to work in a particular location - the office - over a

particular period of time - the office day - is a key feature of the

way industrial work has been organized for over two centuries. This
mode of working has many obvious advantages:
for individuals: 'it structures their time
'it gives them social contact
'it gives them a sense of achievement,
of worth, of identity
for the organization: 'it permits control and coordination
of work
'it makes employees visible - hence they
can be guided, evaluated, and developed
'it mandates the interaction necessary
to secure consensus on organizational
goals
It represents a traditional, stable structure, to which we have
become accustomed. So why talk about its negative aspects, the
constraints imposed? Most generally, because there is a feeling that
the way we traditionally have managed work is no longer doing the job
as well as current conditions seem to require. More specifically,
because in a world of multinational corporations and global markets,
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distance and time have taken on different meanings. An office day in


one part of the world is private time elsewhere, but the communica-

tion between them can now be instantaneous. This realization hit


with a bang, a big bang, at the London stock exchange last October:

The task was to come up with a system that would make the
London market competitive in a world where technology had
eliminated geographic distance as a factor, and where
markets in different time zones and different countries
competed directly.l
The new importance of time is also attested to by analysts in the

field of time geography. One of these, Murray Melbin, has called


time the last big frontier and talks about the colonization of time:

The last great frontier of human migration is occurring in


time - a spreading of wakeful activity throughout the
twenty-four hours of the day. 2

And, with the advent of new techn ology, loc atio n too is becom ing more
and more irrelevant, at the same time as it is becoming more of a
problem because of the expense of central c ity offices and the toll
of commuting - both for people an d for the envi ronment.

Hence it is important to cons ider what is i nvolved in ext ending


the boundaries of work beyond the office. Spec ifically, I wa nt to
consider the extension into the h ome, a sub ject that has gott en a

great deal of attention lately. It is vari ous 1 y called

telecommuting, telework, distance working, flex iplace. Some


futurists have predicted that by the end of the 1990s one-thi rd to
one-half of all people will be wo rking from hom e, half of the se with

computers. And though I doubt whether thes e predictions will come


true - previous ones have not - still, working from home as part of

1 D.N. Thompson, Big bang: The cit y revolution begins. Busi.ness


Quarterly, 51(3), 1986, p. 79.

2 M. Melbin, The colonization of t ime. In T. Carlstein, D. Parkes,


and N. Thrift (eds.), Human acti vity and time geography, New
York: Wiley, 1978, p. 100.
-3-

a company organization is an important phenomenon, which needs to be


taken seriously. For one thing, it is here to stay, in some form and
to some extent, and the e vidence we have indicates that it can play
an important role in maki ng work more productive. Further, there has

been a great deal of publ icity and much glib talk about pros and
cons, but very little cri tical empirical investigation. Finally, by

analyzing the resistance to this pattern of work - and there is lots


of it, by bot h the peop le potentially involved and their managers -
we can learn much about t raditional managerial processes, which may
in any case bDe useful.
The strat egy of our research into this pattern of work has been
to study livi ng cases in some detail and to limit the investigation
to a particul ar part of the work force. We have concentrated on
higher level, higher pa id personnel - in the technical, managerial,
professional levels of organizations. The issues they present are
very differen it from tho se confronting lower level, clerical workers
involved in dlata entry or word processing, and some of the confusion
in the discus;sion of wo)rking from home has resulted from not clearly
differentiati ng these t wo types of employees. The employees we study
are an increasing part of the work force, and also represent its
highest cost. They are the ones who deal with the nonroutine,
unstructured tasks in organizations. In them, therefore, resides the
flexibility necessary for organizational adaptability to an ever
increasing rate of change.
And so, we deal with high level personnel. Almost by definition
the work they do cannot be done in full isolation, and so we are NOT
dealing with people who are always at home. In fact, one of the
first things we found when we began was that employees of
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F-International, a well known home-based software development house


in the UK, and the home-based contract programming unit of ICL,
normally spend anywhere from 20% to 70% of their time away from their
homes. So they are not always at home, but they are also not office-
based workers who do overtime or oveflow work at home. All of us
spend some evenings and weekends working at home, many with computers
with or without links to the office. This pattern creates no
problems, at least not for the organization - the perspective of the
family is another matter. In fact, a number of American companies
have assisted their employees in buying computers at home to pursue
their work, but made their help conditional on those employees still
spending the normal working hours in the office. This overflow
pattern is not the focus of our study. Rather, we are interested in
the office/home pattern, where people spend some of the regular work
week working at home; a partial substitution of work at home for
office-based work, not an addition to it.
It is this pattern, we believe, whose increase has the potential
to benefit both individuals and organizations. But to do so will
require changes in managerial processes. It is our thesis that such
changes are necessary in any case if organizations are to become more
adaptable: to accommodate new kinds of people in the work force, to
deal with rapidly changing demands.
In order to investigate these issues we have looked at home-based
work forces and compared them to office-based workers doing the same
kinds of tasks; and we have looked at employees who have traditional-
ly not worked in an office - i.e. field forces - some of whom may

have an office base, others of whom are based in their homes - or in


their cars.
-5-

Before giving the details of the two British study sites,


however, I would like to present the case of Rank Xerox, whose
experiment in network ing represents one successful way of using
information i technolog y in a reorganization of work location and
employee re.lations.

Rank Xerox: An Example of the Spin-Off Pattern 3


-

Rank Xerox started their networking experiment in 1982. It was


motivated primarily by the high expense of London office costs. They
figured that for an employee earning 10,000 in salary, their actual

outlay, including a 11 benefits and office costs, was 27,000, and


that this extra £17 ,000 was non-productive expenditure. But cost was

not the only motiva tion. They also believed that they could motivate
some of their high level people better if they made them more
independent, and, s ince the technology of linking micros to central
mainframes was avai lable relatively inexpensively, they felt the time
was ripe for their experiment.
They closed one of their buildings, and over the next four years
sent about 5% (50 men and 6 wome n) of their central office staff out
into the w orld as independent businesses. These people are not only
in compute r systems development, but in many other fields, including
marketing, market research, busi ness planning, finance, legal, tax,
personnel (recruitment, safety, security, pensions), PR. What is
common to them is that they are all information workers from

3 The information presented here stems from P. Judkins, D. West,


and J. Drew, Networking in orqanisations: The Rank Xerox
experiment, A-d-ershoot: ower, 9-T P. Judkins, Towards new
patterns of work - the Rank Xerox networking experiment, European
Management Journal, 4, 1986, 192-196; D. Homby, Can we teach
ourselves to change? The Royal Bank of Scotland Review,
September 1986, 14-21; and some-informal discussions with the
people involved.
III

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manageria 1 or professional executive jobs in t he company and that

they work on tasks in an output mode What th is means is that the

organizat ion's concern is only with the output of their jobs, in


contrast to employees who work in a continuity mode, where physical
presence is necessary for fulfilling tasks.
The c Iompany was very careful abo ut its ini tial selection of

networker s. Not only were the tasks carefully scrutinized, but so


too were the people. Choices were based, in part, on personal ity
tests and the companiy refused to take anyo ne with high social needs.

Having made their seelection, they then hel ped these people set up
their own companies: they provided them wi th the computer equi pment

they need ed, trained them in sales techniq ues, taxation, and o ther

issues of small busi nesses, counseled them and their families on the
problems associated with an office at home (they even had outs ide
consultants des ign various alternati ve hom e set-ups), and cont racted
for their servi ces up to 50% of thei r tota 1 output.

Of particul ar importance is the compan,y 's claim that this 50% is


equivalent to the fulltime services of these people when they were
office-based. They attribute this to three factors. First, the
productivity of the networkers increased when they were working on

their own and for themselves. Second, and more important, management
techniques were improved. It was now necessary for managers of the
networkers to make closer specifications of need and to think more
precisely about the quality and time standards that the work
required. Finally, there was an increase in productivity of core
support staff who took over some of the continuity tasks of the
networkers,.and thus had to get equipment and training - all of which
led to higher motivation and self-management.
-7-

Rank Xerox identified two kinds of people they considered most


eligible for networking. The first was an entrepreneurial type who
wanted a full time business with clients. The second was a person
who only wanted to network for 50% of his or her time, in order to do
something else. People considered not eligible were those who were
too social or did not have enough self-direction, as well as
employees singled out for movement up the Rank Xerox hierarchy. This
last criterion created some interesting dynamics: some people wanted
to network but were turned down because they were considered to have
too much management potential.
The company sees networking as one of a number of experiments on
new relations to work, and report that not one has so far failed.
Their biggest mistake, they feel, was that they concentrated too much
on networkers and not enough on the core staff left behind - both
support and management, particularly the latter. These managers
needed new skills in managing output, managing for time and quality,
designing and scheduling of work, setting quality standards, and
broking and purchasing. They had to learn not to be concerned with
how things are done, but merely with the output. This management
style has now permeated the whole organization, and is no longer so
much of an issue in relation to networkers.
This, then, is the spin-off pattern: separating employees from
the parent company and contracting with them to buy their services.

Home-Based Programming Service of a Computer Company


A different pattern is the integrated pattern, exemplifed by the
home-based programming service of a British computer company. This
program was started in the late 'sixties as a way of allowing women
II

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with scarce computer skills to continue to serve the company part-


time, and to k eep up t heir skills and their involvement with work,
while at the s ame time raising a f amily. Initially they formed an

hourly work force with no employme nt benefits and did mainly body-

shop work, tak ing bits of programm ing home to finish in isolation.
This part of t he compa ny has now b een turned into a business unit in
its own right and is m aking a prof it. It is managed by a fulltime
home-based man ager, ha s its own career structure with both a
management and a techn ical t rack, and is involved in a variety of

projects devel oping systems for both internal and external

applications. The wor kforce is st ill paid by the hour (though this

is not true of its man agers) , but they are now eligible for most
employee benef its. Th e unit has a pproximately 120 people in it,

including its manageme nt, wi th abo ut 30 technical authors. It is

still mainly f emale, though they n ow have a number of men, primarily


in the second Rank Xerox category, those interested in other
activities or in a particular location of t he country.

At this site we were able to study in d etail the differences


between this w ork force and those employees doing offic e-based

systems develo pment. We targeted 55 people clearly in systems


development in the home-based unit, and 51 systems deve lopers who
were office-ba sed. This latter group consi sted of both employees and
contractors, b ut all were working at compan y office sit es. We sent

everyone in each of these groups a detailed questionnai re, based on


intensive pre-test interviews, in order to discover whether they did
their tasks differently and whether they related differently to their

work. The response rate was good (89% of the home-based group; 78%
of those office-based), and the results can be summarized in the
following points:
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1. There are basic demographic differences between the groups. The


home-based unit is primarily female, the office based unit more
heavily male. Further, most of the home-based ("off-site")
people are working parttime. They typically start at 16 hours/
week (which is the minimum legally for an employee) and slowly
increase until they reach 37 hours/week (fulltime). The predomi-
nantly parttime aspect of their work is seen as problematic by
many company managers, even though their on-site people often
spend only part of their time on a given project.

2. The home-based work force is older and more experienced. They


have a mean of almost 15 years computer experience compared with
less than 10 for office-based employees. This difference in
experience probably reflects a higher level of competence, since
there seems to be agreement that if these employees had remained
on-site, they would have been promoted out of these jobs. And
there are more technical people, in comparison to business
analysts or managers, in the home-based group. This experience
edge is not fully appreciated by company managers.
3. The work is done in different locations. Bot h groups do the
initial specification stages of a system on t he user site.
Analysis and development, in contrast, differ entiate the groups
in the expected way: the home-based group wor ks alone and in
isolation, and the on-site group works in the office. What is
most interesting, however, is that in the lat er stages of systems
development, where they are doing testing and giving first level
support, the home-based group once again retu rns to the user
site, whereas the office-based group stays in their offices.
Since the home-based workers are used to movi ng around, they can
more easily shift to the most advantageous site, which is likely
to be the user site for these implementation steps.
4. The home-based systems developers are as like ly to build systems
for micros as for ainframes, which contrasts dramatically with
the office-based group, almost all of whose p rojects are for the
mainframe. And the home-based group works on smaller projects:
even when developing for the mainframe, the a verage number of
people on a project is only a bit over 4 comp ared to almost 16
for the office group. There is no doubt that systems requiring a
large project team may be easier managed if e veryone is located
in the same place, though it should be noted that the home-based
unit has evolved its own system of project ma nagement, based on
phone links - slowly becoming electronic link s - and site visits,
by which people in dispersed locations can jointly work on a
complex project.
5. There is a different degree of discretion and control in the
home-based group, at least according to self reports. Those
involved in the actual technical work report a longer time in
which they work on their own without having to give a formal
report of progress; and they are more likely to have full control
over the stage in development with which they are most involved.
0-

6. The home-based systems developer s describe their work in


distinctive ways. They report t hat deadlines are less important
and that their workloads are les s irregular than is the case for
the on-site employees. Further, more say that work requires
concentration and they are less likely to use pre-set procedures
in their work.

7. Not unexpectedly, the communicat ion patterns of the two groups


are very different. Daily inter action is seen as much less
necessary by the home-based grou p, and their primary mode is the
telephone, and not face-to-face. It is interesting, further,
that when asked to consider thei r reactio n to total electronic
communication they are both more concerne d about the isolation it
might create for them, at the same time a s they are more likely
to see something positive in thi s possibi lity. The office group,
in contrast, is almost entirely negative to this idea, mainly,
they say, because it would creat e chaos, would not work, would
take too much time, or would otherwise be technically deficient.

8. Most interesting, perhaps, is the finding that the home-based


workers have a different reaction to thei r work. They are less
concerned with the instrumental or social returns to work, and
more engaged in its intrinsic qualities: the challenge it
provides and the resulting sense of achie vement, the ability to
keep up and learn new skills. They are a lso more satisfied with
their jobs. And even though they report less fun or leisure in
their lives and a lesser feeling of succe ss in their work, they
have a greater sense of achievement.

To sum up. The home-based systems developers represent a highly


competent workforce with very high motivation. Their relation to the

company is almost one of mutual exploitation. They are grateful to

be allowed to work and to keep up their skills, and report that if

stuck with a problem, they will stop counting time and turn to
non-work activities, during which they might well come up with the

solution that had previously eluded them. Thus thinking time is

often unpaid. And so is learning. A number of them, eager to enter

or reenter this type of work, expressed their willingness to learn


new techniques, or brush up on old ones, on their own time. In some

ways, the fact that they are paid by the hour is a fallback to
traditional employment relations. Their work would seem to fit

better the category of fees for output rather than wages for time put
-11-

4
in. But this is an observer's point of view. They themselves do

not complain, and comment on the fact that being on an hourly rate
allows their transportation time, when they go on site, to be part of
their paid working time.
Despite these apparent advantages, they seem, as of now, to be a
somewhat underutilized resource. On-site managers still see working
from home during the normal work week as against company policy -
even though their open office plan would make this an advantageous
alternative for the kind of work that requires uninterrupted
concentration. (It should be noted, parenthetically, that the
office-based staff complain a great deal about their working
conditions.) But pressure from limited office space and staffing
restrictions may well change this situation and make the home-based
programming staff more appealing to more company managers.

OILCO: An Example of a Field Force


The final UK study site is the field force of a major
international oil company. There are two kinds of people in the
field in this company: sales representatives, and professionals who
deal with property issues of surveying, buying and selling, and
construction. The former have always worked from home, but the
latter were only moved from an office a few years ago. Moreover, t he
company has recently started a pilot project to give some of their
sales reps computers. Hence this company is a good site for studyi ng
the issues surrounding working remotely - particularly from home -
and how they relate to the introduction of information technology.

4 C. Handy, The future of work: A guide to a changing society.


Oxford: Basil Blackwel, 1984.
-12-

5
Many interesting results emerged from this study. To appre-
ciate them it is important to understand that the key aspect of the

work situation of these employees is that they are evaluated and


judged by their outout, and are not subject to any direct surveil-
lance over their time or mode of working. One representative even

told me that in his last appraisal he was told he was spending too
much time on his work, and his manager was worried about the effect
this was having on his family.

The introduction of a computer into such a work setting was found


to have a number of mixed effects. To begin with, electronic mail

was viewed very positively. It freed the reps from having to inter-
act with the central office only during office times, and made it

much easier to communicate with their manager and their colleagues.


This increased control over the use of their time was frequently

mentioned, since it gave them more time in the field, which is, after
all, a representative's only really productive time. On the other
hand, because time on the machine can be monitored, it imposed a

constraint on allocating their time in personally optimal ways. One


rep told me that he might not come home over lunch to do some quick

paper work because the computer usage involved could be misinter-


preted by the central office; it might be assumed that he had not

been out at all during the day. A number mentioned their awareness
of the signal that the timing of their computer usage might give
about their work patterns, and feared that it might lead to a partial
return to monitoring input, from which their jobs had previously

5 The data are based on intensive, relatively unstructured inter-


views with 4 home-based sales representatives, 4 home-based
property professionals, 2 home-based field managers, 4 central
office managers, the project leader of the pilot computer group,
and the office liaison to the pilot group.
-13-

left them immune. I should say, thou gh, that I also got the impres-
sion that some welcomed this way of i nforming central office of the
number of hours they actually worked, and, I suspect, logged in late
in the evening or during the weekend partly in order to make this
point.

A second discernible effect of the compu ter was to improve the


presentational aspects of the work of the representatives. With a
spread sheet and a graphics package they wer e able to send in reports
which had a more professional look, and, the y reported, got speedier
and more accurate responses. In general, they felt that the computer
allowed them to be more professional. At the same time, they com-
plained that the computer seemed to lead cen tral office to make more
requests for information, as if there were n o appreci ation of the
fact that information has a cost - in this c ase the c ost of inputting
the data necessary to provide the requested r esults. Presumabl Y,
this is a transitional phenomenon. Once all central office man agers
are themse lves working with computers they w i 11 quick ly realize the
costs invo lved, as well as the benefits - at least th is is what I was
told by th e people whom I interviewed.
A fina 1, and probab ly the most important effect t hat could be
traced, at least in par t, to the introduction of the computers wa 5
the shift in the system of approvals that was beginni ng to be
evident. The oil indus try, of course, has been passi ng through a
very volat ile period, a nd one of the reasons behind introducing t he
technology was to allow the sales representat ives to become more
responsive to quick cha nges in pricing. The computer s, for the f irst
time, gave the reps ful 1 access to the inform ation on which decis ions
about prices and credit are based. And thus it was possible to

jj··C(___·
_1___11_1_________-. .---.--1_·--^-11_._II-
-____________
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delegate to them more of the authority to make these decisions. The


process was not yet complete. They are not yet able to input their

decisions directly into the mainframe data base. As it was explained


to me, "we did not want to give them too much responsibility all at

once." But the systems are being developed to allow them to do this,
which will complete the transformation of the traditional mode of
sending all approvals up the managerial hierarchy.
And the professionals, what was the result of their being sent

home? In contrast to the pilot computer project - which was almost a


perfect model of a successful implementation - the reorganization
that sent the professionals home was done in the traditional
bureaucratic manner: no discussion, no reas ons given, no thought to

poss ible adverse consequences. It was init iated at a time of reduced


work load, and for a while seemed to be func tioning wel 1. But as the
dema nds on the professionals increased, the situation changed, par-
ticu larly for those whose work required man y contacts with people

outs ide the company - with local authoritie s, contract ors, etc. They
felt they were now expected- to do many more c lerical jobs themselves,
whic h previously had been handled by office S upport staff. And
thou gh their promised computers might ease th is burden, they were

afra id the machines would only exacerbate a S ituation where "requests

for numerical and financial information from a higher level become a


priority and the real work has to suffer." 6

6 Itis an important point that those professionals whose contacts


were mainly with people inside the company were much less bothered
by the move home and were considerably more optimistic about the
eventual value of the computer. What this underlines is the fact
that changes in work patterns may have very different effects
depending on small differences in the tasks to which they are being
applied. Thus managers who base their decisions primarily on their
own experiences - in this case typically as sales representatives -
may inadvertently be creating impediments to productivity, rather
than aids.
-15-

There were also some perceived advantages to the move from an


office to a home base. These professionals very m appreciated the
greater freedom it provided them. Previously they d felt obliged
to check into the office whenever they were not in the field, which
took time and effort that they now c ould spend on the ir "real work."
In general, when one considers t he changes in wor k habits that
the move brought abo ut, working from home seems to exacerbate the
effect that interest of the task or one's mood has on the motivation
to work. In contras t, the office environment works a s a leveler. It
is not as good fo r interes ting tasks on days one is r eally motivated;
under these condi tions one could do better at home. But if things
are dull, or one is tired, it forces attention to wor k; home would
make it easi er to give in to inertia Of course, if one really had
control over time - which working from home should ideally provide -
then one wou ld immediately stop work ing, go out and p lay golf, and
renew one's work energies. Unless a person were clea rly not suited
to the job, such a strategy ought to increase the qua lity of the
output. But the hold of tradition al assumptions abou t the proper
time to work is very strong. As o ne professional - a man without a
family said when asked what he wou ld do if he found himself some
Wednesday unable to do much work: "n o, I wouldn't wan t to work on
ii
Saturday instead of Wednesday; I wou ld just grind on.

* * * * * *

My conclusions from these data fall into four main points.


1. Information technology makes it possible to free work from the -

constraints of location and time.

---------------- ·---
----------------------
-16-

The technology is available, but its effect can be

undermined by tradi tional assumptions. The hourly rate of the


home-based computer programmers may be an example of such a
holdover. Further, as has already been mentioned, the ability
to monitor t he time of work can inadvertently undo some of the
advantages t hat res ult from the working conditions of an off-s ite
field force. There is danger, also, that the computer could
increase the commun ication of trivia. Group managers who
transmit eve rything to their groups via electronic mail may be

undermining the tas k of setting priorities - which they would


have to do if they were sifting through the same information ii
n
order to pre pare agendas for monthly group meetings. Finally,
there is the danger of information overload. One must be care-ful1
not to fall into th e following trap, reported from a member of

the field force tha t had recently been moved home:

It is my opini on that the distribution of work from


central office is made with little or no thought of the
workload of the recipient but only of company targets;
for staff work inq "on their own" at home. this is a
j . ...

soul destroyin g experience.

2. The office/home pattern of work can lead to greater productivity


and increased satisfaction.
The effect of this pattern depends primarily on its capacity
to free work from the constraints of conventional office time.
It permits one to work at one's individually most productive
times and to make use of small bits of available time. It makes
it easier to work in off-hours and to take advantage of times of
low computer utilization, or of times in different parts of the
world. It may also be cheaper. In one unit of mainframe support
people, for example, their critical work had to be done during
-17-

off shifts so as not to interfere with the daily use of the

computer. Nonetheless, these employees were still expected to be

in the office during the nor)mal workday - primarily to talk,


because there were no real t asks for them to do - and then they
were given overtime for off- shift duty.
It must be remembered, however, that the usefulness of
working from home is depende nt on the type of task involved as
well as on the type of peopl e who do i . As far as tasks are
concerned, it is fairly obvi ous that o n ly tasks that do not
require extensive interactio n will ben e fit from this mode; and
that it will be particularly useful for those jobs where the
output is critical and where periods o f extended concentration
are necessary. A more speci fic charac t erization of home-based
tasks stems from a research study of t h e high technology
community around Cambridge, England.7 These people report that
it is not the most creative tasks that are best done at home; for
thos e one needs to be able t o "bounce off ideas" with other
peop le. Rather, what they 1 ike to tak e home are the "menial but
hard tasks" - those t hat are most like ly t o be ignored in the
more interactive and "exciti ng" office env ironment. This notion

is c orroborated by a manager at OILCO who takes those tasks home


that are "long term j obs tha t I never have time for, regular jobs
on a long timescale - maybe every six mont hs or every year." As
to selecting appropri ate peo ple, it has already been mentioned
that they should not be too social, and
d, bviously, they need to
be "self-motivated" and "self-disciplined" - but if one remembers
the level of people being talked about, and the proviso that not

7 Communicated to me by the director of the study, Dr. Anna-Maria


Garden, Senior Research Fellow, London Business School.
18-

all of their time is spent at home, it seems likely that the


character of the task is a more critical element.

3. Working from home has advantages and disadvantages for both the

individual and the organization.

Besides the increased productivity and satisfaction that


this pattern of work may entail, it also contributes to the
recruitment and retention of people with scarce skills. It can

bridge the "career gap" for women with children; it can accom-
modate locational preferences; it permits people to combine work
with other interests; and it allows the organization to call on

the service of people who otherwise might not be available to

them, for example disabled persons or retired employees. It may


also be an optimal way of dealing with non-core staff: Rank Xerox
reports that Japanese delegations have come to investigate their

networking system as a way of dealing with their large peripheral


work force. Finally, it meshes with the trend toward decentrali-

zation, both functionally and geographically.


For the worker, the main disadvantage is the potential
intrusion into the home. Many people mentioned that they were
now not able to get away from work, that they had difficulty

separating work from their private life. As one professional at


OILCO said of being moved home:

Work has completely invaded the privacy of my home...


the strain of this is, I fear, having an effect on the
health of my wife who is naturally drawn into the
system and is definitely affecting my health; the long
hours and close proximity of work requiring attention
means that I am becoming unable to "switch off" and
relax.
What this means is that individuals have to learn to control the
boundary between work and home in new and different ways and
-19-

cannot depend only on spatial segmentation. Often this requires


a separate room and a separate phone line with an answering
machine. But it may also be a psychological issue. One hears
people say that they are a different person at home and at work,
and the task of integrating the two selves can occasionally be a
problem. And, given current cultural expectations, this issue
plays itself out in different ways for men and women. 8 The
boundary between work and home is differentially permeable for
the two sexes. 9 It is easier for women to work at home - they
do it all the time - but, paradoxically, it may be easier for men
to fight the distractions there and to give work the necessary
priority while at home.
Organizationally, there is danger of local optimization of
work outcomes, of work not meshing well with the overall goals of
the company. But as long as one is not always at home - and this
is the assumption of this pattern - this need not be a critical
issue. It means, however, that organizations must provide an
office liaison for their home-based workers, and must continue to
have face-to-face meetings and to provide other links to the
office. Rank Xerox, for example, continues to count their
networkers as company employees: their names and phone numbers
are listed in the directory, they get all company information and
are invited to all social functions.

8 One manager reported to me that there was some "sexist feeling"


when he introduced micro-computers into his office:
Some of the men felt that typing was girl's type of work
and did not really want to get involved with it; some of
the women felt that computers were technical and therefore
man's work.
9 J.H. Pleck, The work-family role system. Social Problems, 24,
1978, 417-425.
-20-

4. Using computers to work from home for part of the normal work

week leads to changes in managerial processes.


This finding is perhaps the most important result of our
research. Two changes are particularly important. The first,

already mentioned, is the shift from managing input (time put in,

way of working) to managing output, the results of work. This is


not a new idea, of course, but what is new is that it seems to be
easier to do this if people are NOT visible. In fact, it then

becomes a necessity. As one manager put it:


One can't afford to care how they do it. If they are
near one is more critical and everyone is different.
If you see them, you see how they are working. If they
are remote you only look at the end result and that is
an advantage. tThere is a "central office syndrome"
rwhere one gets tied up and involved with inessential,
peripheral things]. When someone is at hand, you
bother them more than necessary, if they're away one
doesn't trouble; therefore one would deal only with the
more important things.
Again there is corroboration from the study of the high tech
companies in Cambridge already mentioned. Garden reports that
her productive people need initial guidance on objectives and

then want to be "left alone to get on with it." On the whole,

this is the way they actually are managed - at least until their
companies grow bigger or they import people from large corpora-

tions. Then it becomes much more difficult. What seems to get

in the way is the approval system - the system of authorities -

operating in most established companies, where the responsibility


may lie with the professional in the field or working from home,

but the authority resides with central office management; there


are, therefore, elaborate requirements for gaining approval prior
to action.
-21-

The change in this system is the second critical shift in


managerial processes enhan ced by the new pattern of work. It

represents a delegation of authority from management to the


working or productive 1eve 1. Hierarchical business organizations
have long bee n built on the assumption that expertise resides in
the hierarchy , but this is becoming less and less true, par-
ticularly as work becom es more technically sophisticated. And
so, there is a trend to,war d delegation to lower levels. In
production wo rk, we thi nk of this as the participation model.
But with a high level w ork force it makes more sense to talk of
accountabiliti rather t han participation. Here is a work force
that gets pal d for disc ret ion and judgment, and then is subject
to a long cha in of befo re- the-fact approvals. The accountability
model would a llow these employees to make their own decisions and
be personally accountab le for them. it represents a shift fro m
before-the-fa ct approva 1 to after-the-fact review. In OILCO, for
example, the shift make s the representative a manager of a
business area, able to make decisions on pricing and credit -
within bounds, of cours e - without having to wait for specific
authority, and to accep t accountability for these actions.
Information technology obviously plays a critical role in such a
shift. It provides the necessary information on which to base
the local decision. An d it permits management quickly to revi ew

the actions taken, and hence reduces the risks associated with a
bad decision at the working level.
III

-22-

And so, information technology makes possible a break with


traditional managerial procedures which are no longer effective.
Remoteness speeds up thi_2rocess. Its essence seems to be freedo m
from the constraints of time as trad itionally conceived, and from the
forms of control that have character istically accompanied work in an
office. Working from home for part of the normal work week, on
certain kinds of tasks, is likely to b e part of the organizational
picture of the 1990s. But care must b e taken that traditional
assumptions do not limit the usefuln es s of this new pattern of
work. Only if managed properly will it enhance productivity and
satisfaction and benefit the work as W ell as the individuals
involved.

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