The New World of Work: What Does the Workplace of the Future Look Like?

Klaus Holse Andersen, Area Vice President, Western Europe, discusses the core dimensions of the New World of Work approach, in light of recent research commissioned by Microsoft into attitudes to flexible working.

Overview

If you have ever needed to be away from the office to look after your child at the last minute, run an important personal errand or even accept a midday delivery at your home – then you will appreciate the benefits that flexible working offers. At Microsoft, we believe that we are moving very quickly from flexible working to a New World of Work, in which redesigned offices and the latest technology facilitate even greater flexibility that makes our working lives easier and more manageable.

There are three core dimensions to this New World of Work, further outlined in the next tab.
  • People – Modern society’s mental approach to technology is shifting as new digital tools become commonplace, enabling us to work and communicate in different ways.
  • Places – We are increasingly working on the move - from airports, other offices, during the commute or from home – meaning that we have become more fluid in terms of our physical presence.
  • Technology – Thanks to advances in technology the idea of the office as the primary work location is being challenged as we evolve the idea of being able to work any time, any place and anywhere.
The New World of Work combines these three elements into an approach that provides both the organization and its people with an environment that lets them do their best work wherever they are. At its centre is trust: empowering staff and giving them the freedom to work whenever and wherever they want, by measuring employee effectiveness and performance in terms of output, rather than being present in the office.

Recently, we commissioned a study in 15 European countries which explored attitudes towards flexible working among 1,500 employees. The survey revealed that despite the huge benefits of flexible work for both organizations and workers, the majority of businesses do not adequately support their employees to work away from the office. Check out the press release and the summary research report for further details on the key findings.

There are multiple benefits to be gained from a new way of working: for businesses both large and small it leads to increased productivity, as well as an improved ability to attract and retain the best talent. Greater flexibility for employees results in higher satisfaction and quality of life and, for the environment, less unnecessary traffic and thus reduced CO2 emissions. Indeed, recent research commissioned by Microsoft and carried out in 15 European countries revealed that 73% of workers in Europe think their lives would improve if they could work more flexibly, but less than a third of businesses provide guidelines on flexible work. Furthermore the research reveals that the larger the organization, the less likely its employees are to work flexibly. At Microsoft we have a different approach to most of these large companies and actively encourage our employees to work from home or outside the office. And we are seeing the benefits for our employees as Microsoft was recently awarded the Best Multinational Workplace in Europe 2011, the fourth year in a row we have taken the top spot, a great testament to how our employees view our workplace culture.

There is not a one-size-fits-all solution however. Each organization must embark on its own journey towards the physical and mental changes that will best define its New World of Work. There is evidence of this within Microsoft itself; the Microsoft Netherlands office was the first to adopt what it describes as the ‘Het Nieuwe Werken’ (the New Way of Working) concept in 2008. One of our most recent offices to undertake the journey, the Microsoft Finland team describes their journey differently, calling it ‘Läsnätyö’, meaning ‘presence work’ in Finnish. And in the UK, Microsoft has brought together experts in the fields of social change, technology and organizational structure in the public and private sectors to look at how people, places and technology fit in to the business of the future. Microsoft UK’s concept of the ‘Hybrid Organisation’ is flexible, nimble and encourages individuals with a variety of backgrounds and approaches to work together to ensure future success in uncertain times.

Our commitment extends further than our own offices - through Home Office Day initiatives in Denmark, Belgium and Switzerland we are encouraging businesses across Europe to find out for themselves the benefits of flexible working. Home Office Days are partnership initiatives between Microsoft, government entities, companies from the private sector and NGOs that aim to spark a national debate about the possibilities of working remotely, educating management and employees on the advantages for people and society that flexible working can offer.

Taking the next step into the New World of Work is all about changing how we embrace the new digital lifestyle and the accompanying physical, cultural and mental changes to empower people to work in the way they find most productive. Take a look at the next tab to see how Microsoft and our customers are putting this into practice on their journeys to the New World of Work.

There is a lot to be gained from a happier, more productive workforce!

Klaus Holse Andersen – Vice President, Microsoft Western Europe
New World of Work

The approach to the New Way of Working is based on the idea that change takes place in three areas: people, place, and technology. Like the Olympic rings, these themes are interrelated, and success depends on understanding and optimizing the overlap among them. Indeed, the impetus for undertaking a journey to a New Way of Working usually lies in one or more of these three key areas:

PEOPLE

Increasingly, there is a blurring of the lines between our professional and personal lives. We are busier than ever as we juggle personal commitments with demanding professional lives. Trusting and empowering workers to take control of schedules and workloads, and enabling them to have a virtual presence by using smart technology, encourages a ‘family-friendly’ workplace and increased staff productivity.

Meanwhile, a new generation of young workers with different ideas and values has entered the workplace. They are the ‘Generation Y’ and are typically comfortable with technology and social media as an integrated part of their lives from a young age. They are less inclined to segment their lives into compartments of work and play and their behaviours are spreading across generations, as people become more and more familiar with the latest technology and ways of communicating through their personal lives.

In the face of this change, the challenge for businesses and organizations lies in adapting to enable people to be as productive with technology at work as they are at home, while attracting and retaining people from all generations and fostering connectivity between the groups. These are also uncertain times for businesses with a slow economy and pressure to increase productivity of knowledge workers.

Microsoft Netherlands has shown how this can be achieved. The office partnered with the Rotterdam School of Management to measure the impact of the New Way of Working with a 40% improvement in work/life balance scores over the past 5 years and measurable improvements in productivity. The paper is available to view here.

Businesses that are perceived as enabling a more transparent ‘work-life balance’ through flexible working are more likely to create the right environment to respond to these challenges; one that inspires passion, creativity and innovation. This requires a change in management approach from control to trust, and from presence to output. More effective leadership is also needed to engage teams in a virtual environment where employees define their place and time to work themselves. This whitepaper from Microsoft Switzerland discusses some of the challenges and solutions for employers and employees to move to flexible working models.

PLACES

Work is no longer an activity that is undertaken in a defined place. These days people can, and do, work anywhere. The telephone, which once anchored us to our desks, is vanishing and modern offices and workplaces are now designed to encourage better physical interaction and activity-based work that better reflects the task at hand.

In the Netherlands and Finland the layout of the Microsoft building is designed to maximize communication and collaboration. There are no assigned desks or private offices for managers. Employees can work anywhere in the office building by using a PC, headset, webcam, or smartphone. Microsoft Finland has distinct areas for different types of working, including areas for relaxed working, brainstorming areas and other spaces for more concentrated, ‘quiet’ work. There is even a kids corner, divided off by curtains, to accommodate those who don’t have childcare options. People who work in the office say that the different areas encourage them to collaborate with colleagues more, and have shorter, more focussed meetings. Take a look at the Video tab to see how they have changed the way they work. Click here to view and download images of the Microsoft Finland offices and here for images of the Microsoft Netherlands office.

People are productive in different places and at different times – restricting employees to a defined workplace and strict working hours can often impact negatively on personal productivity. Businesses that adopt a flexible working policy and trust their employees to do their best work in the environment they choose, whether that is inside or outside of the office, can be rewarded with more satisfied staff, better results and increased productivity across the business.

Case study
Microsoft technologies have helped other organizations build applications to support flexible workers. For example, a web portal launched by the City of Barcelona to help mobile and remote workers in and around the city find suitable ‘third places’ or locations to work was built on the Windows Azure platform. You can read the full case study here.

TECHNOLOGY

Modern technology is constantly evolving, so much so that it is now possible to be connected almost anywhere, at any time. A new sense of ‘presence’ is an integral part of the New World of Work concept. New developments in technology allow us to be virtually ‘present’ through instant messaging services or in meetings through video conferencing capabilities or webcams. We no longer need to be in the same room to participate effectively.

The next generation of business leaders is joining the workforce bringing with them a deep knowledge and understanding of better and faster technologies that can transform the way we work. Many companies and organizations understand that equipping employees with the latest technologies makes good business sense.

Competitive advantage now comes from using technology in an intelligent way. Organizations that best adapt their business models, infrastructure and culture to get the most of their technology and employees will be best placed to overcome future challenges and competition and increase their productivity.

Dutch telecommunications and ICT provider KPN/Getronics is deploying Microsoft Office and Sharepoint solutions to increase communication and collaboration between employees working in different locations. Rabobank Nederlands and Telenor are also fostering a greater entrepreneurial and independent environment for their staff with a new integrated style of working enabled through Microsoft technology.
Images
Meeting room at Microsoft Finland

Flexible working environment at Microsoft Finland

Flexible working environment at Microsoft Finland

Flexible working environment at Microsoft Netherlands

Flexible working environment at Microsoft Netherlands

Flexible working in small and large businesses

Majority of employees want to work more flexibly

Technology plays a key role in enabling flexible working

Flexible working across Europe

Video



How will we create and share content and collaborate with one another in the future? Click here to watch a video about Microsoft’s long-term productivity vision. Each scene showcases real technologies being explored by Microsoft teams and partners and others in the industry. To see current prototypes we are exploring, go to www.officelabs.com.

How can a large organization adapt to the changing technology environment and ensure that its staff is being as productive as possible? Click here to see Microsoft's investment and success in building enterprise productivity software in the past few decades through the perspective of a CIO.