DTI_Ash_Case_Print_CI0011.qxd
14/1/04
5:58 pm
Page 1
Situation
Implementation
In an increasingly competitive market, many
organisations are streamlining their operations,
including their benefits packages. So companies
are looking for new, cost-effective ways of
rewarding their employees.
Ashridge publicised the scheme to its employees,
getting an initial feel for interest in the project.
With a good idea of the numbers involved it was
then a question of convincing the board. “They
had plenty of questions, but it was simply a case
of reinforcing the overall benefits to the business
and explaining how the scheme was self-financing.
Once they were clear on both counts, they were
as enthusiastic as we were,” says Plumbly.
Home Computing Initiatives help organisations
of all sizes to achieve these aims. They enable
them to loan computer equipment to employees
for home use as a tax-free benefit. When
implemented in conjunction with a salary
sacrifice scheme they have the potential to be
self-financing, making them extremely attractive
to any organisation that wants to widen its
benefits portfolio.
One of the latest organisations to adopt the
scheme is Ashridge. A medium-sized, not-forprofit organisation which employs about 400
full-time people, it is involved in a range of
activities, including executive education,
consulting and research.
Ashridge quickly realised that the initiative
would enable it to offer employees a resource
that would not only benefit them and their families,
but also increase IT skills and help them to meet
their full potential within the workplace. Andy
Plumbly, Finance Director, Ashridge, says: “We
have an enormous range of staff in addition to
our lecturers because we offer accommodation
to our students. Our employees range from
housekeeping and catering, to teachers and
consultants. Many don’t have access to a
computer on a daily basis.”
Jane Short, IS&T Director, Ashridge, says:
“We thought that it would be a good thing to
get involved with, both as a facility for staff and
to spread better IT skills around the organisation.
When we looked at the background material, we
realised that it should be easy to implement and
a good opportunity to do something nice for staff,
particularly at a time when many organisations
are having to take benefits away.”
Ashridge shows
how medium-sized
organisations can easily
implement Home
Computing Initiatives
Setting up the scheme was straightforward.
Ashridge informed the remaining employees
via a combination of emails, posters, open days
and technology demonstrations. Plumbly says:
“There was no pressure; we simply let staff know
that this was a good deal and a way of acquiring
top-of-the-range computing equipment for their
own and their families’ use.”
Ashridge is leasing its computer equipment
for the scheme. These packages range in value
from £1,200 to £1,500, starting with a simple
desktop, to the top end of the scale – an advanced
home computer with a flat screen monitor,
speakers and multimedia capability. A laptop
is also available, along with optional extras such
as a printer. Each computer is delivered with
full technical support from Ashridge’s technology
provider as part of the overall benefits package.
Ashridge’s salary sacrifice arrangement runs over
three years to offset the cost. In return for loan
of the computers, employees accept a reduction
in their gross salary and are entitled to tax relief.
The employer also gets tax relief on its National
Insurance Contributions, so the scheme is
effectively cost-neutral to Ashridge.
In May 2003, the first batch of computers was
delivered to employees. Take-up was encouraging,
with about 30 people acquiring PCs in the first
round of the scheme. Six months later, Ashridge
offered the scheme again and it has been equally
successful. “Almost 15% of our total workforce
is now making the most of the initiative,” says
Plumbly. Ashridge plans to continue offering
the scheme every six months.
EMPLOYER PROVIDED HOME
COMPUTING INITIATIVES
Published by Office of the e-Envoy, January 2004
© Crown copyright 2004
The text in this document may be reproduced free of charge in any
format or media without requiring specific permission. This is subject to the
material not being used in a derogatory manner or in a misleading context.
The source of the material must be acknowledged as Crown copyright and
the title of the document must be included when being reproduced as part
of another publication or service.
The material used in this publication is constituted from 75% post
consumer waste and 25% virgin fibre.
Ref: 258846/0104/D400
URN: 04/530
for further information visit
www.dti.gov.uk/hci
Ashridge Case Study
IN ASSOCIATION WITH
DTI_Ash_Case_Print_CI0011.qxd
14/1/04
5:58 pm
Page 2
Case study
Benefits
Ashridge
“As an IT
department, we’ve
had no burden
placed on us at all.”
JANE SHORT, IS&T
DIRECTOR, ASHRIDGE
PROFILE
Based in Hertfordshire, Ashridge Business School
delivers executive education and development
to individuals and organisations. It employs
approximately 400 employees.
Business situation
Ashridge wanted to reward its staff with a scheme
that would deliver personal benefits as well as
help develop IT skills.
Solution
Home Computing Initiatives enable companies
to loan computers to their employees as a taxfree benefit. In many cases, companies implement
salary sacrifice arrangements where employees
accept a reduction in gross salary in return for
this benefit.
Employee enthusiasm
Employees who have signed up to the initiative
are delighted with the overall range of benefits
on offer to home computer users. They can
develop their own personal skills while making
the most of new services and channels that
technology offers. Employees and their families
can take advantage of the internet and email,
and use the applications that come bundled with
the packages on offer to organise their home
administration. Many also use their computers
for multimedia functionality such as music, games
and other forms of entertainment. Jane Short
says: “As well as telling us about all the different
ways that they are using their computers, general
comments have focused on what a great benefit
this is, especially at a time when people are
concerned about other benefits such as pensions.”
Affordable aims
As well as first time home computer users, the
scheme is a convenient way to upgrade to higherspecification machines with minimum hassle.
Andy Plumbly says: “My PC was five years old and
almost obsolete. I was looking for an easy option
to acquire one as I’m not technically minded and
I trusted Ashridge to recommend a sensible option.”
Selecting from well-chosen packages of computing
equipment reassures users that they are making
an informed decision without the added confusion
of too much choice. Says Jane Short: “They know
the equipment they are getting was put together
with our support.”
“It’s to our advantage that staff members develop
IT skills. We know that they use their computers
for a variety of tasks, from games to writing
books; all these activities contribute to a better
quality of life and boost confidence at home
and in the workplace,” says Andy Plumbly.
“Any scheme that increases the standard of IT
throughout the organisation is to be applauded.”
The IT department has also noticed that users
are becoming more confident in dealing with
day-to-day issues on their own. Says Jane Short:
“In the long run we expect there to be fewer
helpdesk calls as staff get the hang of doing
more complicated things with their computers.”
Easy to implement
Ashridge has been surprised at how quickly and
easily the initiative was implemented. “It only
took two months from when we first investigated
the scheme to roll-out,” says Short. “The scheme
is particularly easy to implement in a mediumsized organisation. There are no communications
problems and it is simple to deal with enquiries
on an informal basis.”
Few resources were needed to handle roll-out.
“We gave publicity materials to staff, and offered
a room for the demonstrations. Other than
a little paperwork, there were really no other
requirements,” says Andy Plumbly.
Benefits
• Cost-effective reward for employees
• Greater IT skills across organisation
• More productive workforce
• Tax savings for employees and company
• Raises profile of organisation
Summary
Ashridge was keen to provide its employees with
better IT access, to improve skills and encourage
personal development. The tax exemption available
for Home Computing Initiatives helps Ashridge
deliver a cost-efficient solution.
Enhanced IT skills
Access to state-of-the-art technology at home
has inspired staff members to learn more about
computers and increase their overall IT skills. For
those who have little or no access to computers
at work, this scheme offers an effective way to
acquire the core knowledge required to operate
a computer.
“ANY SCHEME THAT
INCREASES THE STANDARD
OF IT THROUGHOUT THE
ORGANISATION IS TO BE
APPLAUDED.”
ANDY PLUMBLY, FINANCE
DIRECTOR, ASHRIDGE
Value through partnership
The involvement of the project’s technology
partner has been invaluable to Ashridge.
“They have taken full responsibility for guiding
the implementation, clarifying issues such as
VAT, and advising on the frequency of ordering,”
says Jane Short. “As an IT department, we’ve
had no burden placed on us at all. It has been
a proper partnership and the technology provider
has been as interested in getting the whole thing
right as we are.”
Employer advantages
With employees developing their computing
skills at home, Ashridge expects they will become
less reliant on IT support, enabling IT staff to
engage in more productive work. Ashridge also
expects to see an increase in work efficiency
across the organisation. “Staff can extend any
social interaction into the home environment,
taking the pressure off work machines and work
time,” says Short.
National Insurance savings to Ashridge can be
passed back into the organisation, enabling it
to invest in staff in alternative ways, an important
advantage for a not-for-profit organisation.
The initiative also boosts Ashridge’s image as
a popular organisation to work for. Short says:
“I think it’s an attractive benefit for new recruits.”
According to Andy Plumbly, Ashridge was already
considering running a similar scheme for its
pension programme. “Once we had set up a
payment type within our own payroll, it was very
simple. This is a good way of showing employees
that salary sacrifice schemes are sensible.”
Take the initiative
Ashridge advises that there is no reason why
a company of any size can’t offer its employees
the initiative. “Anyone who operates a single,
relatively modern payroll can operate a salary
sacrifice scheme,” says Plumbly.
“To an organisation not yet involved, I would
recommend they implement their own scheme.
The tax exemption is being offered by the
Government, so why not take advantage of it?”
“THE SCHEME IS
PARTICULARLY EASY TO
IMPLEMENT IN A MEDIUMSIZED ORGANISATION. THERE
ARE NO COMMUNICATIONS
PROBLEMS AND IT IS EASY
TO DEAL WITH ENQUIRIES
ON AN INFORMAL BASIS.”
JANE SHORT, IS&T DIRECTOR,
ASHRIDGE
DTI_Ash_Case_Print_CI0011.qxd
14/1/04
5:58 pm
Page 1
Situation
Implementation
In an increasingly competitive market, many
organisations are streamlining their operations,
including their benefits packages. So companies
are looking for new, cost-effective ways of
rewarding their employees.
Ashridge publicised the scheme to its employees,
getting an initial feel for interest in the project.
With a good idea of the numbers involved it was
then a question of convincing the board. “They
had plenty of questions, but it was simply a case
of reinforcing the overall benefits to the business
and explaining how the scheme was self-financing.
Once they were clear on both counts, they were
as enthusiastic as we were,” says Plumbly.
Home Computing Initiatives help organisations
of all sizes to achieve these aims. They enable
them to loan computer equipment to employees
for home use as a tax-free benefit. When
implemented in conjunction with a salary
sacrifice scheme they have the potential to be
self-financing, making them extremely attractive
to any organisation that wants to widen its
benefits portfolio.
One of the latest organisations to adopt the
scheme is Ashridge. A medium-sized, not-forprofit organisation which employs about 400
full-time people, it is involved in a range of
activities, including executive education,
consulting and research.
Ashridge quickly realised that the initiative
would enable it to offer employees a resource
that would not only benefit them and their families,
but also increase IT skills and help them to meet
their full potential within the workplace. Andy
Plumbly, Finance Director, Ashridge, says: “We
have an enormous range of staff in addition to
our lecturers because we offer accommodation
to our students. Our employees range from
housekeeping and catering, to teachers and
consultants. Many don’t have access to a
computer on a daily basis.”
Jane Short, IS&T Director, Ashridge, says:
“We thought that it would be a good thing to
get involved with, both as a facility for staff and
to spread better IT skills around the organisation.
When we looked at the background material, we
realised that it should be easy to implement and
a good opportunity to do something nice for staff,
particularly at a time when many organisations
are having to take benefits away.”
Ashridge shows
how medium-sized
organisations can easily
implement Home
Computing Initiatives
Setting up the scheme was straightforward.
Ashridge informed the remaining employees
via a combination of emails, posters, open days
and technology demonstrations. Plumbly says:
“There was no pressure; we simply let staff know
that this was a good deal and a way of acquiring
top-of-the-range computing equipment for their
own and their families’ use.”
Ashridge is leasing its computer equipment
for the scheme. These packages range in value
from £1,200 to £1,500, starting with a simple
desktop, to the top end of the scale – an advanced
home computer with a flat screen monitor,
speakers and multimedia capability. A laptop
is also available, along with optional extras such
as a printer. Each computer is delivered with
full technical support from Ashridge’s technology
provider as part of the overall benefits package.
Ashridge’s salary sacrifice arrangement runs over
three years to offset the cost. In return for loan
of the computers, employees accept a reduction
in their gross salary and are entitled to tax relief.
The employer also gets tax relief on its National
Insurance Contributions, so the scheme is
effectively cost-neutral to Ashridge.
In May 2003, the first batch of computers was
delivered to employees. Take-up was encouraging,
with about 30 people acquiring PCs in the first
round of the scheme. Six months later, Ashridge
offered the scheme again and it has been equally
successful. “Almost 15% of our total workforce
is now making the most of the initiative,” says
Plumbly. Ashridge plans to continue offering
the scheme every six months.
EMPLOYER PROVIDED HOME
COMPUTING INITIATIVES
Published by Office of the e-Envoy, January 2004
© Crown copyright 2004
The text in this document may be reproduced free of charge in any
format or media without requiring specific permission. This is subject to the
material not being used in a derogatory manner or in a misleading context.
The source of the material must be acknowledged as Crown copyright and
the title of the document must be included when being reproduced as part
of another publication or service.
The material used in this publication is constituted from 75% post
consumer waste and 25% virgin fibre.
Ref: 258846/0104/D400
URN: 04/530
for further information visit
www.dti.gov.uk/hci
Ashridge Case Study
IN ASSOCIATION WITH
DTI_Ash_Case_Print_CI0011.qxd
14/1/04
5:58 pm
Page 2
Case study
Benefits
Ashridge
“As an IT
department, we’ve
had no burden
placed on us at all.”
JANE SHORT, IS&T
DIRECTOR, ASHRIDGE
PROFILE
Based in Hertfordshire, Ashridge Business School
delivers executive education and development
to individuals and organisations. It employs
approximately 400 employees.
Business situation
Ashridge wanted to reward its staff with a scheme
that would deliver personal benefits as well as
help develop IT skills.
Solution
Home Computing Initiatives enable companies
to loan computers to their employees as a taxfree benefit. In many cases, companies implement
salary sacrifice arrangements where employees
accept a reduction in gross salary in return for
this benefit.
Employee enthusiasm
Employees who have signed up to the initiative
are delighted with the overall range of benefits
on offer to home computer users. They can
develop their own personal skills while making
the most of new services and channels that
technology offers. Employees and their families
can take advantage of the internet and email,
and use the applications that come bundled with
the packages on offer to organise their home
administration. Many also use their computers
for multimedia functionality such as music, games
and other forms of entertainment. Jane Short
says: “As well as telling us about all the different
ways that they are using their computers, general
comments have focused on what a great benefit
this is, especially at a time when people are
concerned about other benefits such as pensions.”
Affordable aims
As well as first time home computer users, the
scheme is a convenient way to upgrade to higherspecification machines with minimum hassle.
Andy Plumbly says: “My PC was five years old and
almost obsolete. I was looking for an easy option
to acquire one as I’m not technically minded and
I trusted Ashridge to recommend a sensible option.”
Selecting from well-chosen packages of computing
equipment reassures users that they are making
an informed decision without the added confusion
of too much choice. Says Jane Short: “They know
the equipment they are getting was put together
with our support.”
“It’s to our advantage that staff members develop
IT skills. We know that they use their computers
for a variety of tasks, from games to writing
books; all these activities contribute to a better
quality of life and boost confidence at home
and in the workplace,” says Andy Plumbly.
“Any scheme that increases the standard of IT
throughout the organisation is to be applauded.”
The IT department has also noticed that users
are becoming more confident in dealing with
day-to-day issues on their own. Says Jane Short:
“In the long run we expect there to be fewer
helpdesk calls as staff get the hang of doing
more complicated things with their computers.”
Easy to implement
Ashridge has been surprised at how quickly and
easily the initiative was implemented. “It only
took two months from when we first investigated
the scheme to roll-out,” says Short. “The scheme
is particularly easy to implement in a mediumsized organisation. There are no communications
problems and it is simple to deal with enquiries
on an informal basis.”
Few resources were needed to handle roll-out.
“We gave publicity materials to staff, and offered
a room for the demonstrations. Other than
a little paperwork, there were really no other
requirements,” says Andy Plumbly.
Benefits
• Cost-effective reward for employees
• Greater IT skills across organisation
• More productive workforce
• Tax savings for employees and company
• Raises profile of organisation
Summary
Ashridge was keen to provide its employees with
better IT access, to improve skills and encourage
personal development. The tax exemption available
for Home Computing Initiatives helps Ashridge
deliver a cost-efficient solution.
Enhanced IT skills
Access to state-of-the-art technology at home
has inspired staff members to learn more about
computers and increase their overall IT skills. For
those who have little or no access to computers
at work, this scheme offers an effective way to
acquire the core knowledge required to operate
a computer.
“ANY SCHEME THAT
INCREASES THE STANDARD
OF IT THROUGHOUT THE
ORGANISATION IS TO BE
APPLAUDED.”
ANDY PLUMBLY, FINANCE
DIRECTOR, ASHRIDGE
Value through partnership
The involvement of the project’s technology
partner has been invaluable to Ashridge.
“They have taken full responsibility for guiding
the implementation, clarifying issues such as
VAT, and advising on the frequency of ordering,”
says Jane Short. “As an IT department, we’ve
had no burden placed on us at all. It has been
a proper partnership and the technology provider
has been as interested in getting the whole thing
right as we are.”
Employer advantages
With employees developing their computing
skills at home, Ashridge expects they will become
less reliant on IT support, enabling IT staff to
engage in more productive work. Ashridge also
expects to see an increase in work efficiency
across the organisation. “Staff can extend any
social interaction into the home environment,
taking the pressure off work machines and work
time,” says Short.
National Insurance savings to Ashridge can be
passed back into the organisation, enabling it
to invest in staff in alternative ways, an important
advantage for a not-for-profit organisation.
The initiative also boosts Ashridge’s image as
a popular organisation to work for. Short says:
“I think it’s an attractive benefit for new recruits.”
According to Andy Plumbly, Ashridge was already
considering running a similar scheme for its
pension programme. “Once we had set up a
payment type within our own payroll, it was very
simple. This is a good way of showing employees
that salary sacrifice schemes are sensible.”
Take the initiative
Ashridge advises that there is no reason why
a company of any size can’t offer its employees
the initiative. “Anyone who operates a single,
relatively modern payroll can operate a salary
sacrifice scheme,” says Plumbly.
“To an organisation not yet involved, I would
recommend they implement their own scheme.
The tax exemption is being offered by the
Government, so why not take advantage of it?”
“THE SCHEME IS
PARTICULARLY EASY TO
IMPLEMENT IN A MEDIUMSIZED ORGANISATION. THERE
ARE NO COMMUNICATIONS
PROBLEMS AND IT IS EASY
TO DEAL WITH ENQUIRIES
ON AN INFORMAL BASIS.”
JANE SHORT, IS&T DIRECTOR,
ASHRIDGE
DTI_Ash_Case_Print_CI0011.qxd
14/1/04
5:58 pm
Page 2
Case study
Benefits
Ashridge
“As an IT
department, we’ve
had no burden
placed on us at all.”
JANE SHORT, IS&T
DIRECTOR, ASHRIDGE
PROFILE
Based in Hertfordshire, Ashridge Business School
delivers executive education and development
to individuals and organisations. It employs
approximately 400 employees.
Business situation
Ashridge wanted to reward its staff with a scheme
that would deliver personal benefits as well as
help develop IT skills.
Solution
Home Computing Initiatives enable companies
to loan computers to their employees as a taxfree benefit. In many cases, companies implement
salary sacrifice arrangements where employees
accept a reduction in gross salary in return for
this benefit.
Employee enthusiasm
Employees who have signed up to the initiative
are delighted with the overall range of benefits
on offer to home computer users. They can
develop their own personal skills while making
the most of new services and channels that
technology offers. Employees and their families
can take advantage of the internet and email,
and use the applications that come bundled with
the packages on offer to organise their home
administration. Many also use their computers
for multimedia functionality such as music, games
and other forms of entertainment. Jane Short
says: “As well as telling us about all the different
ways that they are using their computers, general
comments have focused on what a great benefit
this is, especially at a time when people are
concerned about other benefits such as pensions.”
Affordable aims
As well as first time home computer users, the
scheme is a convenient way to upgrade to higherspecification machines with minimum hassle.
Andy Plumbly says: “My PC was five years old and
almost obsolete. I was looking for an easy option
to acquire one as I’m not technically minded and
I trusted Ashridge to recommend a sensible option.”
Selecting from well-chosen packages of computing
equipment reassures users that they are making
an informed decision without the added confusion
of too much choice. Says Jane Short: “They know
the equipment they are getting was put together
with our support.”
“It’s to our advantage that staff members develop
IT skills. We know that they use their computers
for a variety of tasks, from games to writing
books; all these activities contribute to a better
quality of life and boost confidence at home
and in the workplace,” says Andy Plumbly.
“Any scheme that increases the standard of IT
throughout the organisation is to be applauded.”
The IT department has also noticed that users
are becoming more confident in dealing with
day-to-day issues on their own. Says Jane Short:
“In the long run we expect there to be fewer
helpdesk calls as staff get the hang of doing
more complicated things with their computers.”
Easy to implement
Ashridge has been surprised at how quickly and
easily the initiative was implemented. “It only
took two months from when we first investigated
the scheme to roll-out,” says Short. “The scheme
is particularly easy to implement in a mediumsized organisation. There are no communications
problems and it is simple to deal with enquiries
on an informal basis.”
Few resources were needed to handle roll-out.
“We gave publicity materials to staff, and offered
a room for the demonstrations. Other than
a little paperwork, there were really no other
requirements,” says Andy Plumbly.
Benefits
• Cost-effective reward for employees
• Greater IT skills across organisation
• More productive workforce
• Tax savings for employees and company
• Raises profile of organisation
Summary
Ashridge was keen to provide its employees with
better IT access, to improve skills and encourage
personal development. The tax exemption available
for Home Computing Initiatives helps Ashridge
deliver a cost-efficient solution.
Enhanced IT skills
Access to state-of-the-art technology at home
has inspired staff members to learn more about
computers and increase their overall IT skills. For
those who have little or no access to computers
at work, this scheme offers an effective way to
acquire the core knowledge required to operate
a computer.
“ANY SCHEME THAT
INCREASES THE STANDARD
OF IT THROUGHOUT THE
ORGANISATION IS TO BE
APPLAUDED.”
ANDY PLUMBLY, FINANCE
DIRECTOR, ASHRIDGE
Value through partnership
The involvement of the project’s technology
partner has been invaluable to Ashridge.
“They have taken full responsibility for guiding
the implementation, clarifying issues such as
VAT, and advising on the frequency of ordering,”
says Jane Short. “As an IT department, we’ve
had no burden placed on us at all. It has been
a proper partnership and the technology provider
has been as interested in getting the whole thing
right as we are.”
Employer advantages
With employees developing their computing
skills at home, Ashridge expects they will become
less reliant on IT support, enabling IT staff to
engage in more productive work. Ashridge also
expects to see an increase in work efficiency
across the organisation. “Staff can extend any
social interaction into the home environment,
taking the pressure off work machines and work
time,” says Short.
National Insurance savings to Ashridge can be
passed back into the organisation, enabling it
to invest in staff in alternative ways, an important
advantage for a not-for-profit organisation.
The initiative also boosts Ashridge’s image as
a popular organisation to work for. Short says:
“I think it’s an attractive benefit for new recruits.”
According to Andy Plumbly, Ashridge was already
considering running a similar scheme for its
pension programme. “Once we had set up a
payment type within our own payroll, it was very
simple. This is a good way of showing employees
that salary sacrifice schemes are sensible.”
Take the initiative
Ashridge advises that there is no reason why
a company of any size can’t offer its employees
the initiative. “Anyone who operates a single,
relatively modern payroll can operate a salary
sacrifice scheme,” says Plumbly.
“To an organisation not yet involved, I would
recommend they implement their own scheme.
The tax exemption is being offered by the
Government, so why not take advantage of it?”
“THE SCHEME IS
PARTICULARLY EASY TO
IMPLEMENT IN A MEDIUMSIZED ORGANISATION. THERE
ARE NO COMMUNICATIONS
PROBLEMS AND IT IS EASY
TO DEAL WITH ENQUIRIES
ON AN INFORMAL BASIS.”
JANE SHORT, IS&T DIRECTOR,
ASHRIDGE
DTI_Ash_Case_Print_CI0011.qxd
14/1/04
5:58 pm
Page 1
Situation
Implementation
In an increasingly competitive market, many
organisations are streamlining their operations,
including their benefits packages. So companies
are looking for new, cost-effective ways of
rewarding their employees.
Ashridge publicised the scheme to its employees,
getting an initial feel for interest in the project.
With a good idea of the numbers involved it was
then a question of convincing the board. “They
had plenty of questions, but it was simply a case
of reinforcing the overall benefits to the business
and explaining how the scheme was self-financing.
Once they were clear on both counts, they were
as enthusiastic as we were,” says Plumbly.
Home Computing Initiatives help organisations
of all sizes to achieve these aims. They enable
them to loan computer equipment to employees
for home use as a tax-free benefit. When
implemented in conjunction with a salary
sacrifice scheme they have the potential to be
self-financing, making them extremely attractive
to any organisation that wants to widen its
benefits portfolio.
One of the latest organisations to adopt the
scheme is Ashridge. A medium-sized, not-forprofit organisation which employs about 400
full-time people, it is involved in a range of
activities, including executive education,
consulting and research.
Ashridge quickly realised that the initiative
would enable it to offer employees a resource
that would not only benefit them and their families,
but also increase IT skills and help them to meet
their full potential within the workplace. Andy
Plumbly, Finance Director, Ashridge, says: “We
have an enormous range of staff in addition to
our lecturers because we offer accommodation
to our students. Our employees range from
housekeeping and catering, to teachers and
consultants. Many don’t have access to a
computer on a daily basis.”
Jane Short, IS&T Director, Ashridge, says:
“We thought that it would be a good thing to
get involved with, both as a facility for staff and
to spread better IT skills around the organisation.
When we looked at the background material, we
realised that it should be easy to implement and
a good opportunity to do something nice for staff,
particularly at a time when many organisations
are having to take benefits away.”
Ashridge shows
how medium-sized
organisations can easily
implement Home
Computing Initiatives
Setting up the scheme was straightforward.
Ashridge informed the remaining employees
via a combination of emails, posters, open days
and technology demonstrations. Plumbly says:
“There was no pressure; we simply let staff know
that this was a good deal and a way of acquiring
top-of-the-range computing equipment for their
own and their families’ use.”
Ashridge is leasing its computer equipment
for the scheme. These packages range in value
from £1,200 to £1,500, starting with a simple
desktop, to the top end of the scale – an advanced
home computer with a flat screen monitor,
speakers and multimedia capability. A laptop
is also available, along with optional extras such
as a printer. Each computer is delivered with
full technical support from Ashridge’s technology
provider as part of the overall benefits package.
Ashridge’s salary sacrifice arrangement runs over
three years to offset the cost. In return for loan
of the computers, employees accept a reduction
in their gross salary and are entitled to tax relief.
The employer also gets tax relief on its National
Insurance Contributions, so the scheme is
effectively cost-neutral to Ashridge.
In May 2003, the first batch of computers was
delivered to employees. Take-up was encouraging,
with about 30 people acquiring PCs in the first
round of the scheme. Six months later, Ashridge
offered the scheme again and it has been equally
successful. “Almost 15% of our total workforce
is now making the most of the initiative,” says
Plumbly. Ashridge plans to continue offering
the scheme every six months.
EMPLOYER PROVIDED HOME
COMPUTING INITIATIVES
Published by Office of the e-Envoy, January 2004
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Ashridge Case Study
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