GROUP 10:
Cameron Weaver
Elizabeth Gratale
Katie Bennett
Casey Dunlevie
Virtual Office
How much do flexible work
arrangements improve
employee productivity?
Or do they?
SKIT
Virtual Office Workers
Traditional Office Workers
Casey
Dunlevie
Elizabeth
Gratale
Katie
Bennett
Cameron
Weaver
Agenda:
What is a virtual office?
Advantages
Disadvantage
Conclusion
Virtual Office
Advantages
Disadvantages
Conclusion
What is a Virtual Office?
Definition: “mobile or work environment
equipped with telecommunication links
and basic office furniture, but without a
fixed office space”-Business Dictionary
Virtual Office
Advantages
Disadvantages
Conclusion
Increase in Teleworkers in U.S.
What is a Virtual Office?
Forms
Hoteling/shared offices
Satellite offices
Home office
Telecommuting
Virtual Office
Advantages
Disadvantages
Conclusion
Hoteling:
Maximize office space
Reserve space or set up permanent hours
Can be customized
 Ernst & Young: employees were out of the office 3 or 4
times a week.
Virtual Office
Advantages
Disadvantages
Conclusion
Satellite Offices:
Network of smaller offices
Suburban locations
 Deloitte & Touche: SmartSpace Program
Virtual Office
Advantages
Disadvantages
Conclusion
Home Office:
Designated space
New construction of homes
Equipped with right technology
Organized
Home office:
Not this…
This…
Telecommuting:
Working from anywhere
Always connected with technology
Virtual Office
Advantages
Disadvantages
Conclusion
Technology:
 Laptop
 Instant messaging
 Docking station
 Web conferencing
 Cell phone with e-mail  TelePresence
 Scanner
 Video camera
 High speed Internet
 Software
Regus
Officescape
Google Docs
2007 Survey of 200 users of Web
Conferencing Technology
For Students
How many use Blackboard?
How many have taken an online class?
How many have taken a class with a live
feed of a professor in another location?
Advantages:
Business
Employee
Environment
Virtual Office
Advantages
Disadvantages
Conclusion
Business Advantages:
Increased productivity
Reduced absenteeism by 50%
Cost-efficiency
Employee Retention
Broadens labor market
Virtual Office
Advantages
Disadvantages
Conclusion
Cost Efficiency of AT&T’s First Shared
Offices in Morristown, NJ:
Before
After
Square Feet
45,000
27,000
Annual Rent
$1.2 M
$0.7M
Persons
196
225
Annual Rent per
Person
Annual Savings
$6,100
$3,100
N/A
$463,500
Virtual Office
Advantages
Disadvantages
Conclusion
Employee Advantages:
Improves quality of life
Flexible hours
Balanced lifestyle
Healthier
Reduces stress
Virtual Office
Advantages
Disadvantages
Conclusion
Case Study
IBM Teleworkers:
“I enjoy coaching my daughter’s soccer team at
3:30 in the afternoon.”
“I can finally eat breakfast with my family for the
first time in 15 years at IBM.”
Virtual Office
Advantages
Disadvantages
Conclusion
Employee Advantages:
Saves money
Opportunities for mothers and people with
disabilities
Virtual Office
Advantages
Disadvantages
Conclusion
Environmental Advantages:
Reduced need for transportation
Pollution
Reduced by >4,500 pounds of CO2/year in Arizona
Fuel consumption
Reduced by 250 gallons/employee/year in Arizona
Virtual Office
Advantages
Disadvantages
Conclusion
What are some disadvantages
of Virtual Office?
Disadvantages
What are some disadvantages to the
virtual office?
Lack of face-to-face interactions
Blurry line between work life and home life
Temptation of slacking, becoming unprofessional
Lack of cohesion and unity with the company
Virtual Office
Advantages
Disadvantages
Conclusion
Lack of face-to-face interaction:
 Better to take care of business immediately and
in person
 Avoid e-mail chains and phone tag
 Stifles creativity and idea creation
 Prevents interoffice camaraderie
If you didn’t work in an office, you’d be missing
out on this…
Its Getting Hot in Here: Scranton Style
Virtual Office
Advantages
Disadvantages
Conclusion
Case Study
Advertising Agency. Employees were
concerned…
How do people know how hard I’m
working?
Virtual Office
Advantages
Disadvantages
Conclusion
Case Study
Advertising Agency. Employees were
concerned…
•“How do people know how hard I’m
working?”
•“How do I overhear the
important things, since no
one bothers to tell me
anything?”
Virtual Office
Advantages
Disadvantages
Conclusion
Case Study
Advertising Agency. Employees were
concerned…
•“How do people know how hard I’m
working?”
•“How do I overhear the important things,
since no one bothers to tell me anything?”
•“I’m afraid of being out of
touch.”
Virtual Office
Advantages
Disadvantages
Conclusion
Blurry line between work and home:
Not a sense of “I leave my work when I
leave at 5pm.”
Feel “on duty” even around family
members
Company's exploitation
of workers' free time
Virtual Office
Advantages
Disadvantages
Conclusion
Case Study
IBM Teleworkers:
“Even vacation time blends into work time unless I go
somewhere.”
“I am always at work… between 5 a.m. and midnight,
seven days a week.”
Unintentionally long hours, fewer external cues to stop
Virtual Office
Advantages
Disadvantages
Conclusion
Temptation of Slacking
Slovenliness
Set your own schedule-“This can wait until later.”
Less monitoring of employees
Virtual Office
Advantages
Disadvantages
Conclusion
Lack of cohesion and unity:
Lack of shared office space and
experiences
No dress code
Other office artifacts: logos, notepads, etc
Wiesenfield: “Virtual employees are the
least likely to be exposed to
organizational factors that have
traditionally strengthened member
identification.”
Virtual Office
Advantages
Disadvantages
Conclusion
Eat Your Candy and Watch This:
Good Office Worker vs. Bad Office Worker
When calculated,
the statistics for
the benefits versus
drawbacks come
out roughly the
same….
Conclusion: Our Opinion
Each company and personality differ in
what works
Generation discrepancy as generation X
and Y enters the workforce
Personal responsibility and work habits
determine which method is better
Virtual Office
Advantages
Disadvantages
Conclusion
Katie Bennett
Elizabeth Gratale
Virtual Office
(Remember we gave you candy..)
Cameron Weaver
Casey Dunlevie