SHRM Survey Findings: 2014 Workplace
Flexibility—Strategic Use of Flexible
Work Arrangements
October 15, 2014
Introduction and definition
Introduction
The 2014 Workplace Flexibility Survey was administered by the Society for Human Resource
Management (SHRM) to identify the prevalence and types of flexible work arrangements
(FWAs) organizations offer. The survey also examined employee use of these programs,
metrics/analytics on FWAs, success factors, the impact of these programs on both employees
and employers, and challenges associated with FWAs.
The following topics are included in the two-part series titled “2014 Workplace Flexibility”:
 Part 1: Overview of Flexible Work Arrangements
 Part 2: Strategic Use of Flexible Work Arrangements
Definition
Flexible work arrangements, also known as workplace flexibility, or Workflex, are a dynamic
partnership between employers and employees that defines how, when and where work gets
done in ways that work for everyone involved (including families, clients and other
stakeholders).
2014 Workplace Flexibility Survey—Strategic Use of Flexible Work Arrangements ©SHRM 2014
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Key findings
Establishing Methods to Measure the Impact of FWAs
• Many organizations have not established any methods to measure the impact
» Recruitment and Retention: Among the responding organizations that
offered at least one type of FWA, two-thirds or more had not
established any methods to measure the effect of FWAs on turnover,
hiring costs and employee intent to stay and had no plans to do so
in the future (66%-76%). One-fifth or less (13%-21%) had established
methods to measure the impact of FWAs on these organizational
outcomes.
» Employee Experience: About three-fifths to two-thirds of
organizations had not established any methods to measure the effect
of FWAs on performance appraisals, employee attitudes, employee
engagement, and employee health and wellness (56%-67%). One-fifth to
one-third (21%-31%) of organizations had established methods to
measure the effect on these outcomes.
Note:
» Organizational Success: Two-thirds to four-fifths of responding
organizations had not established any methods to measure the effect
of FWAs on business continuity, health care costs, overall profits
or revenue, organizational brand identify, employee diversity and
inclusion, and real estate costs (69%-83%). One-quarter (24%) of
Results are based on responding organizations that offered at least one type of FWA.
organizations
established
to Use
measure
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on ©SHRM
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2014 Workplace
Flexibility methods
Survey—Strategic
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continuity and less than one-fifth (11%-18%) established these
3
Key findings (continued)
Methods to Measure the Effect of FWAs on Organizational Outcomes
• The vast majority (92%) of responding organizations that offered at
least one type of FWA had not established a method to measure its return
on investment (ROI).
» More than four-fifths (83%) had not established a method to measure
the effect of FWAs on organizational and employee performance
(other than ROI).
Usefulness of Methods/Processes to Help Organizations Implement a Measurement Plan
• More than one-half (55%-60%) of responding organizations that offered at
least one type of FWA indicated an industry standard on what data to
collect, industry benchmarks to evaluate levels of success and an
industry standard on how to analyze the data would be useful/very useful
in helping the organization implement a process to measure the impact of
FWAs.
» About one-half (46%-48%) indicated HR analytics software designed
to analyze this type of data, and metrics and analytics training
for staff would be useful/very useful; 41% reported HR analytics
software designed to store the data would be useful/very useful.
Importance of Various Factors to the Success of FWAs
• Two-thirds or more (68%-83%) of responding organizations that offered at
least one type of FWA indicated eight out of 16 factors were “very
important”
inoncontributing
to the
success
of one
FWAs.
factors
Note:
Results are based
responding organizations
that offered
at least
type ofThese
FWA.
included support/buy-in
from top
management,
from employees
2014 Workplace Flexibility
Survey—Strategic
Use of commitment
Flexible Work Arrangements
©SHRM 2014
4
to make it work and a supportive organizational culture, among others.
Key findings (continued)
Impact of FWAs
• The majority of organizations indicated that FWAs have had a positive
impact on certain factors.
» Recruitment and Retention: The majority (52%-75%) of responding
organizations that offered at least one type of FWA indicated FWA
options had a positive impact on retaining employees, attracting
employees and turnover; about one-third (36%) indicated the same for
the impact on hiring costs.
» Employee Experience: The majority (52%-84%) indicated FWA options
had a positive impact on the quality of employees’ personal/family
satisfaction/ engagement, employee job autonomy and employee health
one-third indicated the same for the impact on performance
career attainment/progression (32%).
» Organizational Success: The majority (52%-72%) of responding
organizations that offered at least one type of FWA indicated FWA
options had a positive impact on employee commitment to the
organization, overall company culture and the company’s public image
of being an employer of choice; about one-third indicated the same
for the impact on ROI (35%) and supporting corporate social
responsibility practices (30%).
Note: Results are based on responding organizations that offered at least one type of FWA.
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Key findings (continued)
Individuals/Groups Involved in FWAs
• Design: About one-half (52%-54%) of responding organizations that
offered at least one type of FWA indicated top management and those in
an HR function/role (including CHRO) were involved in the design of FWAs
at their organization “to a large extent;” just 13% indicated the same
for line managers/supervisors.
• Implementation: About one-half (52%) indicated those in an HR
function/role (including CHRO) were involved in the implementation of
FWAs at their organization “to a large extent;” about one-third (31%36%) indicated the same for top management and line
managers/supervisors.
• Evaluation/Measurement: More than one-third (38%) indicated those in an
HR function/role (including CHRO) were involved in the
evaluation/measurement of FWAs at their organization “to a large
extent;” about one-quarter (27%) indicated the same for top management
and just 17% for line managers/supervisors.
Note: Results are based on responding organizations that offered at least one type of FWA.
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What do these findings mean for the HR profession?
• Many organizations that offered at least one type of FWA had not established methods to measure
the effect of FWAs. This may be because it is difficult to link measurements to other initiatives, or it
may indicate lack of experience in working with FWA metrics. Experts in both FWAs and HR metrics
often advise organizations to choose a few key metrics of particular interest to their business
leaders and focus on these metrics first; they can then build on these metrics and add additional
measurements over time. See www.shrm.org, www.whenworkworks.org and www.hrcosting.com for
resources for measuring the impact of FWAs.
• Not understanding the impact of FWA initiatives makes it more difficult to maximize their success.
An important first step is to establish the main goal(s) of any FWA initiative. Once goals are
articulated, it is much simpler to identify the metrics that can best demonstrate a program’s
success. Common examples of factors to measure are employee absence, turnover, productivity,
attitudes/morale, and health and wellness.
• As more organizations develop their FWA metrics, similarities in approaches could lead to informal
industry standards. Meanwhile, more formal initiatives such as those spearheaded by SHRM, the
American National Standards Institute (ANSI) and the International Organization of Standardization
(ISO), could lead to the establishment of professional HR standards on FWA metrics.
• Because HR professionals report that many factors play a role in the success of FWA initiatives, the
complexity of implementing these initiatives and ensuring their success cannot be underestimated.
HR professionals and organizational leaders must therefore be thoughtful about their FWA
strategies and consider multiple contributing factors when executing their strategies.
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What do these findings mean for the HR profession?
(continued)
• The HR professionals in this research made a strong case for FWAs because of the positive impact
on recruitment and retention, employee discipline, productivity, morale, the quality of employees’
work and their personal lives, health, and organizational success overall. These reported positive
effects, along with relatively low reported negative effects, suggest that adopting these initiatives
could benefit many organizations.
• Among the responding organizations that indicated they offered at least one type of FWA, top
management and HR were generally involved in the design of FWAs at their organizations, but
more organizations may benefit from getting line managers more closely involved in designing their
FWA strategies.
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Methods to Measure the Effect of FWAs
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Established method(s) to measure the effect of FWAs
on
recruitment and retention
Turnover
21%
14%
Hiring costs
(e.g., for an
employee who resigns 13% 11%
to take a position
at an organization
that offers…
Employee intent to 13% 14%
stay
66%
76%
73%
Yes
No, but we have
a clear plan for
doing so in the
near future
No, and we do
not have a clear
plan for doing
so in the near
future
Note: n = 246-250. Percentages are of those organizations that indicated they offered at least one type of FWA.
Respondents who responded “don't know” were excluded from this analysis. Percentages may not total 100% due to
rounding.
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Established method(s) to measure the effect of FWAs
on
employee discipline
Absenteeism
Administration of
workplace discipline
(e.g., number of
disciplinary
actions)
Compliance with
safety procedures
24%
22%
11%
9%
21% 7%
65%
69%
71%
Yes
No, but we have
a clear plan for
doing so in the
near future
No, and we do
not have a clear
plan for doing
so in the near
future
Note: n = 241-249. Percentages are of those organizations that indicated they offered at least one type of FWA.
Respondents who responded “don't know” were excluded from this analysis. Percentages may not total 100% due to
rounding.
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Established method(s) to measure the effect of FWAs
on
employee excellence
Productivity
27%
12%
61%
Yes
Client/customer
service
27%
10%
63%
No, but we have
a clear plan for
doing so in the
near future
Client/customer
satisfaction
26%
10%
64%
No, and we do
not have a clear
plan for doing
so in the near
future
Employee creativity 12% 8%
80%
Note: n = 233-249. Percentages are of those organizations that indicated they offered at least one type of FWA.
Respondents who responded “don't know” were excluded from this analysis. Percentages may not total 100% due to
rounding.
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Established method(s) to measure the effect of FWAs
on
employee experience
Performance
appraisals
31%
8%
Employee attitudes
(e.g., job
satisfaction,
commitment, morale)
30%
14%
Employee engagement
Employee health and
wellness
27%
21%
15%
12%
60%
Yes
56%
No, but we have
a clear plan for
doing so in the
near future
59%
No, and we do
not have a clear
plan for doing
so in the near
future
67%
Note: n = 233-245. Percentages are of those organizations that indicated they offered at least one type of FWA.
Respondents who responded “don't know” were excluded from this analysis. Percentages may not total 100% due to
rounding.
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Established method(s) to measure the effect of FWAs
on
organizational success
Business continuity
(i.e.,
organization is able to
continue
delivery
of
Health care
costs
products/services)
24%
8%
69%
Yes
18% 8%
74%
Overall profits or
revenue
16% 7%
77%
Organizational brand
identity
14% 8%
78%
Employee diversity
and inclusion
14% 7%
79%
Real estate costs 11%6%
No, but we have
a clear plan for
doing so in the
near future
No, and we do
not have a clear
plan for doing
so in the near
future
83%
Note: n = 210-223. Percentages are of those organizations that indicated they offered at least one type of FWA.
Respondents who responded “don't know” were excluded from this analysis. Percentages may not total 100% due to
rounding.
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Established method(s) to measure the ROI of FWAs and
their effect on organizational and employee performance
Has your organization
established a method to
measure the return on
investment (ROI) of the FWA
program?
2%
Has your organization
established some other method(s)
to measure the effect of FWAs on
organizational and employee
performance?
Yes
6%
9%
8%
No, but we have
a clear plan
for doing so in
the near future
92%
n =
189
No, and we do
not have a
clear plan for
doing so in the
near future
83%
n =
187
Note: Percentages are of those organizations that indicated they offered at least one type of FWA. Respondents
who responded “don't know” were excluded from this analysis.
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How useful would the following items be to help your
organization implement a measurement plan?
Industry standard on what
data to collect
21%
39%
Industry benchmarks to
evaluate levels of success
19%
41%
Industry standard on how to
analyze the data
17%
HR analytics software designed
to analyze the data (e.g., automated
calculations based on industry…
15%
31%
Metrics and analytics
training for staff
14%
34%
HR analytics software designed
to store the data (e.g., databases
with relevant fields and input…
13%
30%
27%
38%
28%
Very useful
10%
28%
28%
31%
31%
14%
16%
26%
21%
28%
Useful
Note: n = 195-200. Percentages are of those organizations that indicated they offered at least one type of FWA.
Percentages may not total 100% due to rounding.
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Impact of FWAs
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How important is each of the following factors to the
success of FWAs at your organization?
Very
importa
nt
Somewhat
importan
t
Somewhat
unimporta
nt/
Not at
all
important
83%
15%
3%
77%
19%
4%
77%
18%
6%
Suitability of the job for flexible work (e.g.,
receptionist)
76%
19%
5%
Supportive organizational culture
75%
22%
4%
Business needs allow for FWAs
72%
22%
6%
Employee understanding of how
policy/practice/program works
69%
25%
6%
68%
27%
5%
Support/buy-in from top management (e.g., executive
level, c-suite)
Commitment from employees to make it work
(e.g., following the rules of policy)
Support/buy-in from employees’ line
managers/supervisors
Success with managing employees with FWA options
(e.g.,
schedules
and work)
Note:
n = 149-155.
Percentages
are of those organizations that indicated
they offered at least one type of FWA.
Percentages may not total 100% due to rounding.
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How important is each of the following factors to the
success of FWAs at your organization? (continued)
Very
importa
nt
Somewhat
importan
t
Somewhat
unimporta
nt/
Not at
all
important
60%
32%
8%
56%
38%
6%
Policy/practice/program is well established
53%
29%
18%
Organizational consensus on policy/practice/program
design
47%
39%
14%
41%
43%
16%
39%
39%
22%
31%
38%
31%
Employee interest in/knowledge of
policy/practice/program
Organizational consistency in
policy/practice/program implementation (e.g., not
left solely to discretion of line
manager/supervisor)
Alignment of other workplace policies to support
FWAs
(e.g., streamlined approval processes for changes)
Encouragement by organization to participate in
FWAs
Employees from all levels (i.e., executive through
individual contributors) use the FWAs program
Note: n = 149-155. Percentages are of those organizations that indicated
Percentages
may not total 100% duewas
to rounding.
Policy/practice/program
gradually
(e.g., piloted 2014
withWorkplace
a small
group)
Flexibility
implemented
they offered at least one type of FWA.
28%
38%
35%
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What type of impact, negative or positive, have FWA
options had on recruitment and retention?
75%
Retaining employees
61%
Attracting employees
36%
Positive/somewhat positive impact
4%
2%
37%
52%
Turnover
Hiring costs (e.g., when an
employee resigns to take a
position at an organization
that offers FWAs/workflex)
22%
42%
59%
6%
5%
Neutral impact
Negative/Somewhat negative impact
Note: n = 149-185. Percentages are of those organizations that indicated they offered at least one type of FWA.
Respondents who responded “don't know” were excluded from this analysis. Percentages may not total 100% due to
rounding.
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What type of impact, negative or positive, have FWA
options had on employee discipline?
Employee absenteeism rates
Administration of workplace
discipline (e.g., number of
disciplinary actions)
Compliance with safety
procedures
56%
30%
18%
Positive/Somewhat positive impact
35%
63%
9%
8%
82%
1%
Neutral impact
Negative/Somewhat negative impact
Note: n = 141-163. Percentages are of those organizations that indicated they offered at least one type of FWA.
Respondents who responded “don't know” were excluded from this analysis. Percentages may not total 100% due to
rounding.
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What type of impact, negative or positive, have FWA
options had on employee excellence?
Employee intent to stay
74%
Employee productivity
67%
The quality of
employees' work
Customer/client service
Employee creativity
Customer/client
satisfaction
29%
59%
50%
4%
39%
46%
46%
52%
43%
Positive/Somewhat positive impact
2%
23%
54%
2%
4%
3%
3%
Neutral impact
Negative/Somewhat negative impact
Note: n = 149-176. Percentages are of those organizations that indicated they offered at least one type of FWA.
Respondents who responded “don't know” were excluded from this analysis. Percentages may not total 100% due to
rounding.
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What type of impact, negative or positive, have FWA
options had on employee experience?
The quality of employees'
personal/family lives
Employee morale/job
satisfaction/engagement
80%
Employee job autonomy
Employee career
attainment/progression
Positive/Somewhat positive impact
15% 5%
56%
Employee health and wellness
Performance appraisals
14% 2%
84%
44%
52%
36%
32%
46%
62%
65%
1%
2%
2%
4%
Neutral impact
Negative/Somewhat negative impact
Note: n = 149-176. Percentages are of those organizations who indicated they offered at least one type of FWA.
Respondents who indicated "Don't know” were excluded from this analysis. Percentages may not total 100% due to
rounding.
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What type of impact, negative or positive, have FWA
options had on organizational success?
Employee commitment to organization
72%
63%
Overall company culture
Public image of being an employer of choice
3%
34%
52%
Return on investment
1%
28%
1%
47%
35%
0%
65%
Supporting corporate social responsibility…
30%
70%
0%
Supporting a 'green' workplace…
29%
71%
0%
Organizational brand identify
28%
70%
1%
Promoting employee diversity
Perception of fairness among employees…
23%
22%
77%
50%
0%
28%
Real estate costs
20%
79%
1%
Health care costs
19%
80%
2%
Overall profits or revenue
19%
81%
1%
Positive/Somewhat positive impact
Neutral impact
Note: n = 117-171. Percentages are of those organizations that indicated they offered at least one type of FWA.
Respondents who responded “don't know” were excluded from this analysis. Percentages may not total 100% due to
rounding.
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Design, Implementation and
Evaluation/Measurement of FWAs
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To what extent are/were the following
individuals/groups involved in the design of FWAs at
your organization?
Top management (e.g.,
executive level,
other c-suite)
52%
HR function/role (including
CHRO)
54%
Line managers/supervisors
13%
Nonmanagement employees 4% 10%
Consultant, HR vendor or
other third
5% 6%
party
To a large extent
29%
18%
31%
19%
28%
56%
85%
89%
To a moderate extent
Note: n = 206-209. Percentages are of those organizations that indicated they offered at least one type of FWA.
Percentages may not total 100% due to rounding.
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To what extent are/were the following
individuals/groups involved in the implementation of FWAs
at your organization?
HR function/role (including
CHRO)
Top management (e.g.,
executive level,
other c-suite)
Line managers/supervisors
Consultant, HR vendor or
3% 5%
other third
party
To a large extent
52%
36%
31%
18%
27%
30%
31%
37%
39%
92%
To a moderate extent
Note: n = 205-209. Percentages are of those organizations that indicated they offered at least one type of FWA.
Percentages may not total 100% due to rounding.
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To what extent are/were the following
individuals/groups involved in the evaluation/measurement
of FWAs at your organization?
HR function/role (including
CHRO)
Top management (e.g.,
executive level,
other c-suite)
Line managers/supervisors
38%
27%
17%
17%
44%
21%
51%
26%
57%
Nonmanagement employees 3% 9%
88%
Consultant, HR vendor or
other third
4% 6%
party
91%
To a large extent
To a moderate extent
Note: n = 198-206. Percentages are of those organizations that indicated they offered at least one type of FWA.
Percentages may not total 100% due to rounding.
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Demographics
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Demographics: Organization industry
Percentage
Manufacturing
22%
Professional, scientific and technical services
18%
Health care and social assistance
13%
Finance and insurance
12%
Government agencies
7%
Educational services
6%
Transportation and warehousing
5%
Utilities
5%
Construction
4%
Accommodation and food services
3%
Administrative and support, and waste management and remediation services
3%
Note: n = 373. Percentages do not total 100% due to multiple response options.
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Demographics: Organization industry (continued)
Percentage
Mining, quarrying, and oil and gas extraction
3%
Retail trade
3%
Agriculture, forestry, fishing and hunting
2%
Arts, entertainment and recreation
2%
Information
2%
Real estate and rental and leasing
2%
Religious, grant-making, civic, professional and similar organizations
2%
Wholesale trade
2%
Repair and maintenance
1%
Personal and laundry services
<1%
Other industry
12%
Note: n = 373. Percentages do not total 100% due to multiple response options.
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Demographics: Organization sector
Publicly owned for-profit
16%
Privately owned for-profit
52%
Nonprofit organization
22%
Government agency
Other
8%
2%
n = 366
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Demographics: Organization staff size
1 to 99 employees
31%
100 to 499 employees
34%
500 to 2,499 employees
20%
2,500 to 24,999 employees
25,000 or more employees
12%
3%
n = 360
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Demographics: Other
Does your organization have U.S.-based
operations (business units) only, or does it
operate multinationally?
U.S.-based operations
only
77%
Multinational
operations
n = 367
23%
What is the HR department/function for
which you responded throughout this
survey?
Corporate
(companywide)
67%
Business unit/division
15%
Facility/location
18%
n = 245
Is your organization a single-unit organization or a
multi-unit organization?
Single-unit organization: An
organization in which the
location and the organization are
one and the same.
35%
Multi-unit organization: An
65%
organization
that has more than
n = 370
one location.
For multi-unit organizations, are HR policies and practices
determined by the multi-unit headquarters, by each work
location or by both?
Multi-unit headquarters determines
HR policies and practices
Each work location determines HR
policies and practices
A combination of both the work
location and the multi-unit
headquarters determines HR
policies and practices
50%
7%
43%
n = 245
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SHRM Survey Findings: 2014 Workplace
Flexibility—Strategic Use of Flexible
Work Arrangements
Survey Methodology
• Response rate = 12%
• 525 HR professionals from a randomly selected sample of SHRM’s
membership participated in this survey
• Margin of error +/- 4%
• Survey fielded April-June 2014
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About SHRM Research
For more survey/poll findings, visit shrm.org/surveys
For more information about SHRM’s Customized Research
Services, visit shrm.org/customizedresearch
Follow us on Twitter @SHRM_Research
Project lead:
Karen Wessels, researcher, SHRM Research
Project contributors:
Evren Esen, director, Survey Programs, SHRM Research
Yan Dong, Survey Research Center, SHRM Research
Copy editor:
Katya Scanlan, SHRM Knowledge Center
2014 Workplace Flexibility Survey—Strategic Use of Flexible Work Arrangements ©SHRM 2014
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About SHRM
Founded in 1948, the Society for Human Resource Management
(SHRM) is the world’s largest HR membership organization
devoted to human resource management. Representing more than
275,000 members in over 160 countries, the Society is the
leading provider of resources to serve the needs of HR
professionals and advance the professional practice of human
resource management. SHRM has more than 575 affiliated chapters
within the United States and subsidiary offices in China, India
and United Arab Emirates. Visit us at shrm.org.
2014 Workplace Flexibility Survey—Strategic Use of Flexible Work Arrangements ©SHRM 2014
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