Management Research Project and Presentation in APA Style - Assignment Example

Management Research Running Head: Management Research Management Research Project and Presentation in APA Style of Student Name of University Management Research 2 Nowadays the problem of not being able to find qualified employees locally whilst soaring unemployment rates exist in other areas leads companies to search elsewhere for workers. Companies also face the issues of costs, and not just monetary, of supervision, the upkeep and maintenance of larger facilities for employees, utilities, insurance, etc. On the other hand, employees face problems such as childcare costs and quality, transportation costs (gasoline, maintenance, traffic, etc.) and other issues due to commuting back and forth to their places of employment. The business case for this project involves CCL Corporation which employs 200 people. The managers of CCL cannot retain quality employees. The company has spent a tremendous amount of money on recruiting, hiring, and training. However, its turnover right is high. It does not provide retail products but creates and manages websites for its clients. The company rents a very large building with plenty of parking space in order to accommodate its staff members. Additional costs such as insurance, overhead, utilities, office equipment and supplies, security, etc. the costs of training, management, and many more too numerous to list kept their budget extremely high. Originally, the owners planed to serve only clients within the nation. However, customers are from around the world. But as business grew, the clientele came from various countries and the typical "9 to 5" office hours staff can no longer meet the needs of a global market as time zones varies, language and cultural barriers exist, and business procedures differ. Natural disasters (earthquakes, weather conditions, hurricanes) and manmade disasters (crimes, fires, etc.) around the world can also affect the operation of a business that has gone global. World Trends & Forecasts (1996, 2002) states "survey gave a strong boost to telecommuting when it found that e-mail traffic during the blizzard remained within fairly normal bounds," and quotes Sears, S. (1996), "The unchanged Management Research 3 volume of e-mail indicates that there was no loss in productivity, despite workers' inability to travel to their work sites." A solution to the problems of CCL Corporation is telecommuting. Telecommuting is defined by WordReference.com (2006) as, "employment at home while communicating with the workplace by phone or fax or modem." Telecommuting is bringing the work environment to the worker's home which will help alleviate some of the problems that worker's face such as the cost of car maintenance, gas prices, and the rush to make it to work in time during heavy traffic. It also solves problems for companies such as high unemployment rate in distant locations and finding quality employees. Crandall and Longge (2005) quote Tietze (2002), "For many employees work can be conducted almost anywhere: at home, in the hotel, at the local coffee bar, and even from an automobile. The space-time dimension, which requires that work be performed at the office at a certain time, no longer applies to many jobs". The TMA Group (n.d.) states, "Telecommunications technology moves information via electromagnetic waves and pulses of light, whereas transportation moves people and goods in vehicles." Harpaz (2002) is quoted by Crandall and Longge (2005), "Many telecommuters feel they have less pressure and are more productive when they work at home. They also see substantial benefits, such as the ability to balance work and family life, increased quality of social life, more flexible working hours, and improved time management. The satisfaction of the work benefits telecommuters as well as the organization. Telecommuting may allow individuals to work in their desired profession, and the possibility of working for a number of employers simultaneously may for some offer additional promotion opportunities." Management Research 4 Management and staff at CCL Corporation have mixed feelings about telecommuting. Some believe that it is a great idea as they focus on the advantages. Others believe state that it allows staff to go unsupervised and is not considered "real work". A few of the managers believe that micromanaging is the best way to go as staff needs to be supervised constantly or they will slack off. They also state that measuring employees' productivity cannot be possible and that without set hours some employees cannot be trusted to commit to working and yet others may become workaholics. They are also concerned about security and confidentiality issues. Those who support the addition of telecommuting say that the staff can be trusted as many of them have been with the company for quite some time which will allow for increased productivity, reduced absenteeism, reduce costs (office space, parking, utilities). Managers who uphold this belief also say that trusting and empowering employees by allowing them to make the best use of technology, the most convenient workplaces, and the areas/cultures in which they specialize will be a win/win situation. Goluboff, N. (1998) supports the thought that telecommuting should be viewed as real employment, "(telecommuting) is a way of working, whether you work full-time or part-time". They also argue that there is no need for people in the office as creating websites is performed online and that hiring qualified people in other areas, particularly an international staff, will provide the skills needed, lower unemployment where the rate is high, and meet the needs of their global business. Some other advantages of telecommuting include: reduced absenteeism, flexibility, being able to hire and retain quality staff regardless of location (increased recruitment and human resources), Management Research 5 reduction of workplace threats and anxiety (terrorists attacks, harassments, etc.), and the ability for a company to decentralize. When implementing a telecommuting program and policy, a company can start with what it currently has especially when it already has the technological equipment (as in the case of CCL). The most important thing is not the budget as Donaldson, S. (2002) quotes Dziak (2002), "The most important thing is to start with the job, not the employeeYou have to think: department, jobs, then people within those jobs. If you start with people, there are going to be many obstaclesSet up a task force. Choose a group of people from various departments to establish a program. "We help each member of the task force [become] subject matter experts in telework, then we help them design the program. Consider the job. Look specifically at the position to see if it has portable tasks. Nearly every employee has work that can easily be done from home...Look at the individual. The employee has to meet certain criteria. If an employee has marginal performance at work, it isn't going to get better at home. In fact, it's going to get worseLook at the environment. The employee should have the proper home conditionsThey don't have to have an ergonomically correct office, but it should be a comfortable and safe environment" Some things that a company should consider before implementing or incorporating telecommuting include whether to purchase or outsource the necessary equipment (if they do not already have it), if there is enough staff and expertise to handle the responsibilities, and in the case of problems, the procedure and time frame that will allow for the handling of issues in Management Research 6 a timely manner. Perhaps choosing to handle things internally without outsourcing is best. Many companies prefer not to give an outside source to an external service. This is what a company has to decide. Computer usage has increased tremendously but qualified technicians have not grown at the same rate. Outsourcing is not profitable for CCL Corporation because its employees are dispersed throughout the globe and some live in smaller cities. This requires the company's service provider's points of presence, or POP, to accommodate its pattern of usage. Some statistics based on case studies are listed below as they list the profits and/or savings that companies have gained after implementing telecommuting: Merrill Lynch estimates that its telecommuters make over 95,000 fewer trips per year. Merrill Lynch estimates that each telecommuter can save the company $10,000 through lower absenteeism and fewer job-retention costs. (Telecommute Connecticut!, n.d.) Sun Microsystems saved $69 million in 2005 as a result of its work-at-home program saved last year. This comprised savings in the way of real estate and information-technology costs. Among the company's local work force of about 4,700, more than 530 work from home at least two to three days a week. (InnoVisions, Canada, 1997-2006.) Boeing evaluated its pilot program, gathering information from telecommuters, their managers, customers and fellow workersThis gave a more global picture Management Research 7 of the impact telecommuting was having. The results showed that productivity increased between 15% and 30%. (Telecommute Connecticut!, n.d.) Being able measure and evaluate the performance of telecommuters and whether telecommuting is advantageous is very important. Objectives and goals should be set and then evaluations and measurements should be performed in order to determine if the company goals have been met. Tools of measurement should be used. Some of these include: computing equipment and communications software, work tasks (identifiable tasks), piecework can be used to evaluate the level and quality of work, reviewing the completion and quality of agreed-upon projects, identifiable tasks, and performance appraisals. Telecommuting Telemanagers Handbook (1997) states, "the greatest disadvantage cited to telecommuting was that the main office was better equipped.4 So, at a minimum, essential technologies which a worker has relied upon daily at the central office should be present (phone, computer, software). Next to be evaluated for placement in the home office would be additional, enhanced technologies which would facilitate faster, smarter work (ISDN, remote access server, modems, videoconferencing, digital PBX, Internet access) within the context of an established need." Vendor products are not usually recommended as they cannot be updated as and become obsolete so it is wise to choose standard-based products. The telecommuter's home office might comprise of a computer, fax machine, printer (preferably laser), pager, voicemail, e-mail, back-up power, Integrate Services Digital Network (ISDN) line, and video teleconferencing are the basic equipment for a home office. ISDN Management Research 8 supports simultaneous voice, data and video connections over the same circuit and offers speed and flexibility to the telecommuter. The cost of installation, service, and repair and who will be paying for these costs (the employer or the employee) must also be considered. Technical difficulties and Help Desk issues must be addressed as problems will occur and need to be resolved in a timely manner. Telecommuters need integrated voice, data and video capabilities in order to do their jobs. Integrated Services Digital Network (2005) explains, "Integrated Services Digital Network (ISDN) is comprised of digital telephony and data-transport services offered by regional telephone carriers. ISDN involves the digitization of the telephone network, which permits voice, data, text, graphics, music, video, and other source material to be transmitted over existing telephone wires. The emergence of ISDN represents an effort to standardize subscriber services, user/network interfaces, and network and internetwork capabilities. ISDN applications include high-speed image applications (such as Group IV facsimile), additional telephone lines in homes to serve the telecommuting industry, high-speed file transfer, and videoconferencing. Voice service is also an application for ISDN." Although trust is required of managers to perform their jobs from various places (the home, a hotel room, a satellite office, etc.), taking measures to insure that security is of top priority. A telemanager must be flexible and loyal to his or her employees but must also take into consideration the matter of security. One of the biggest concerns of telecommuting is the topic of security issues. The three areas of security risk are in regards to remote (distant) operations. These areas of risk are operational, technological, and financial risks. Operational Management Research 9 risks are those that would interfere with the day-to-day business functioning and duties. Loss of data or inability to provide services would fall under this category. A program or policy for downtime (when equipment does not properly work) and proper equipment maintenance and checkups are necessary to keep things running smoothly. This will involve qualified technicians. Insuring that access to telecommunication equipment is limited will help reduce operational risks. Passwords, backup systems and schedules, and software to protect against viruses and attacks are also necessary. Since telecommuting employees are "on their own", it is crucial that employees know, understand, and sign the company's policy of privacy. This pertains to all electronic (e-mail, Internet, etc.) privacy concerns. Workman's Compensation and the employer's right to check the work area for safety is generally stated by law that this is legal. The telecommuting employee should sign the official document which addresses this particular topic and the employer should abide by the laws and policies covering this topic. (Telecommuting Telemanagers Handbook, 1997.) A Telecommuting Policy, which protects the employer and employees, is an essential part of this new addition to the corporation. The is the framework that all staff members shall go by as it should cover all aspects of the topic: job qualifications and guidelines; if an employee is actually an employee or a contractor; how situations should be handled as they arise at various work places; step-by-step instructions and how-to in order to reduce the decision-making processes and to simplify matters; how to respond and handle specific situations; and a frequently asked questions (FAQ) section. Telecommuting tips, guides and reports can be found at the TMA Group website http://www.tmagroup.org/telecomm.htm. Management Research 10 Other issues that should be determined and covered include tax issues, wages (salaries, hourly rates, overtime, etc.). Managers and staff must be able to communicate openly and effectively and be trusting and flexible. Good communication skills help to prevent and minimize upcoming problems. Both positive and negative feedback should be exchanged between managers and employees as there will be less face-to-face interaction. Telemanaging is not the same as regular management but will act more as a coach. Some managers will have a difficult time with this new role yet others will view it as an extension of their current roles and have little difficulty. Telecommuters must also communicate with their coworkers. Some employees may not understand why certain staff members get to work from the home or remote areas. Jealousy may come into play. Employees may feel that they have to work harder than the ones who are telecommuting. Managers should prevent anything that may give the idea that there is an imbalance and should imbalance exist, be able to handle this. All staff members, whether or not they telecommute, should be trained on the procedures so they will have a better understanding. Regular meetings for all staff will keep the lines of communication open. Some topics that all managers and employees should be aware of regarding telecommuting include: summarizing the key items in proposing the implementation of telecommuting, explain why the company is interested in telecommuting (explain what it is), give its history, give the statistics and evaluation of your competition (as listed earlier many companies are benefiting from telecommuting and profits have been seen), list the benefits, list the goals and objectives and adjustments that will be necessary, the time frame in which Management Research 11 telecommuting will be implemented, the guideline which will be used to determine who will be telecommuting, training procedures, etc. In attempting to calculate the costs of all materials, equipment, labour and training and development of staff, and other resources required for implementing telecommuting, many factors should be considered. There are many programs, companies, and methods that provide assistance in determining the costs. One such cost-benefit analysis is provided by JALA International, Inc. (2006) and asks the user to answer such questions as: What is your annual salary How many days per year do you work Number of average days per month for telecommuting If working in a traditional office, what is the area of workspace What is the monthly equivalent rental/lease cost of that workspace per unit area What is the cost of training you and your supervisor for effective teleworking What is the cost of planning the project, per telecommuter What is the cost of employer-paid installation for the necessary telecommunications connections and equipment in the home What is the cost to you of any necessary work-related telecommunications connections and equipment in the home What is the monthly cost of employer-paid telecommunications services, including any necessary Internet access from home Management Research 12 There are many more questions on this form which will help assess the costs and benefits of home-based teleworking/telecommuting from an employee's point of view and the point of view of an employer. JALA International, Inc. (2006) gives a simple sample cost-benefit analysis for home-based telecommuters as seen from the employer's point of view. SAMPLE COST-BENEFIT ANALYSIS FOR HOME-BASED TELECOMMUTING (At end of first year of telecommuting) Copyright 1993-2005 by JALA International, Inc. All rights reserved. Use or reproduction of this file is free for non-commercial purposes. Assumptions: Average annual salary: $40,000 Telecommuting days/week: 1.5 COSTS TO EMPLOYER per TELECOMMUTER DIRECT COSTS ONE-TIME RECURRING (Annual) NOTES Selection and Training $175 Both telecommuters & supervisors trained Telecommunications New Installations $460 Phone line and modem Services $960 Will vary, depending on need for telecommunications, local tariff structure Computers $500 $75 Cost of docking station, extra monitor, laptop instead of desktop computer Moving Costs Computer Equipment $0 Usually zero if employee handles this Renovation/Installation $0 Some employee-specific materials, lock boxes, etc. Facilities Leasing $0 Assumes employee reports to principal office on non-telecommute days Furniture Purchase/Lease $900 $0 Insurance $70 Annual equipment liability Equipment Purchase/Rental Costs $300 $0 Inkjet printer Performance Evaluation $700 Will vary, depending on level of detail required TOTAL DIRECT COSTS $3,035 $1,105 BENEFITS TO EMPLOYER per TELECOMMUTER DIRECT BENEFITS Increased Employee Effectiveness $6,000 Average 15% relative to non-telecommuters @ 1.5 days/week Decreased Sick Leave $348 2 days per year reduction; 230 work days per year Increased Organizational Effectiveness $800 Average about 2% Decreased Turnover Rate $2,000 Equivalent to 5% of salary in search and training costs avoided Reduced Parking Req'mts $360 30% reduction in $100/month space requirements for non-carpooler Office Space Savings $3,240 150 square feet @ $6/month per square foot proportionally reclaimed TOTAL DIRECT BENEFITS $0 $12,748 INDIRECT BENEFITS Decreased Air Pollution Put your own number here for compliance with Air Quality regulations Increased Competitiveness Put your own number here for the effect of your new productivity TOTAL INDIRECT BENEFITS ANNUAL NET BENEFITS $11,643 Per telecommuter with these characteristics FIRST YEAR NET BENEFITS $2,786 The example shows the main factors that should be considered if you are a manager analyzing the potential of telecommuting/teleworking for your business-or if a teleworker is Management Research 15 hoping to convince management to allow him or her to telecommute from home. CCL Corporation can use this or another method in determining its own costs. Since CCL Corporation is an Internet-based corporation that implements technology in providing services and since its employees work via online and computers, the implementation of telecommuting should not be costly and timely. The company already has the necessary equipment and staff has already been using computer mediated communication (e-mail and conferencing), the adjustments should not be too difficult. The hardest adjustment seems to be helping managers and employees to understand the benefits and advantages of telecommuting and to overcome the fears that they (the ones who are opposed to the idea) have by providing the necessary information, policies, training, management, problem solving, and the necessary resources in order to deal with change. However, the nature of the business is technology and the Internet in a global corporation so managers and employees are quite open-minded and up-to-date on telecommuting and why it is necessary and beneficial. It is proposed that CCL Corporation take three months to implement telecommuting and incorporate it as a way of doing business on a regular basis. It should only take two weeks to make the equipment and software changes as the company already has most of what is needed. The first month will consist of presenting the proposal, policies, guidelines, expectations, necessary forms, and to determine who will be telecommuting. Training will begin immediately and all managers and employees (or a representative of each department) will be involved in every aspect of the changes as the company believes that keeping all staff members Management Research 16 involved in every process of the company's dealings (when reasonable and applicable) is crucial to a team working environment. This will insure one of trust and empowerment. As stated, all the necessary steps from the introduction of telecommuting to why it is advantageous and helpful to the global company all the way to feedback and evaluation should take three months to transfer into the company. Having stated this, the listed procedures shall be ongoing as consistent communication, follow-up, feedback, maintenance, policy and procedure improvements and changes, manager and staff's performances, etc. constantly require for these steps to continue. Constant monitoring is crucial in a successful business especially in one that involves people working in remote places around the world. The marketing strategy for implementation of telecommuting involves all the steps previously mentioned. From incorporating all members of each department in the decision making, the development of a policy handbook and procedures (this will be assisted by purchasing a software program in order to make this step easier, formal, and according to laws), and down to all the details previously mentioned (telling the history of telecommuting, its advantages, problem solving procedures, communication between all, regular meetings, constant monitory, emergency procedures, methods of measurement, feedback, etc.). By involving all members of the corporation in every aspect of the implementation process and giving them knowledge (except when confidentiality and security issues apply), trust, and by empowering managers and employees, this is the best marketing strategy as CCL Corporation introduces a new way of doing business that is right on target with the way global markets are being run. Management Research 17 References Crandall, W. and Longge, G. (2005). An Update on Telecommuting: Review and Prospects for Emerging Issues. SAM Advanced Management Journal. Volume: 70. Issue: 3. Publication Year: 2005. Page Number: 30+. COPYRIGHT 2005 Society for the Advancement of Management; COPYRIGHT 2005 Gale Group Donaldson, S. (2002). Who Should Work from Home Here's How to Create a Telework Policy That Benefits Your Business. Black Enterprise. Volume: 33. Issue: 1. Publication Date: August 2002. Page Number: 42. COPYRIGHT 2002 Earl G. Graves Publishing Co., Inc.; COPYRIGHT 2002 Gale Group Goluboff, N.B. (1998). Debunking Myths about Telecommuting for Lawyers. Available from: . [June 6, 2006 ]. InnoVisions Canada (1997-2006). Available from: < http://www.ivc.ca/casestudies.html>. [June 12, 2006 ]. Integrated Services Digital Network (2005). Integrated Services Digital Network. Available from: < http://www.cisco.com/univercd/cc/td/doc/cisintwk/ito_doc/isdn.htm>. [June 13, 2006 ]. Management Research 18 JALA International, Inc. (2006). Available from: < http://www.jala.com/homecba_input.php>. [June 13, 2006 ]. The TMA Group (n.d.). TMA Group Smart Travel Information. Available from: < http://www.tmagroup.org/telecomm.htm>. [June 13, 2006 ]. Telecommute Connecticut! (n.d.). . Available from: . . [June 6, 2006 ]. Telecommuting Telemanagers Handbook (1997). The Transportation Management Association Group. Available from: . [June 12, 2006 ]. WordReference.com (2006). WordNet 2.0. Princeton University: 2006. Available from: . [June 9, 2006 ]. World Trends & Forecasts (1996). The Futurist. Volume: 30. Issue: 5. Publication Date: September 1996. Page Number: 47. COPYRIGHT 1996 World Future Society; COPYRIGHT 2002 Gale Group. Sears, S. (1996) Read More