Workplace Flexibility: The Next Imperative for

Business Success and HR Leadership

Nancy ConwayField Services Director

March, 2013

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Business Leaders are Now Flex Fans“Perhaps the most important reason that work flexibility is a business imperative is because it produces better business results… specifically, by engaging and retaining the talented people who produce the high-quality work and competitive advantage.”

“So where can we go from here -- we or any business? In my view, just as far as the flexibility of our thinking can take us.”

Sharon L. Allen2003-2011 Board Chair

Deloitte LLP

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Today’s Agenda

1) What is Workplace Flexibility?

2) Why is it So Critical Today?

3) Why is it a Business Imperative?

4) HR Leadership and Flexibility Strategies

5) Case Studies

6) SHRM/FWI Partnership When Work Works 

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What is Workplace Flexibility ?

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What is Workplace Flexibility? Workplace flexibility is a way to define how,

when and where work gets done and how careers are organized. It is essential that flexibility work for both the employer and the employees to be effective.

Flex-Time• Traditional flextime• Daily flextime• Compressed work week

Flex-Careers• Sabbaticals• Options for moving on and off the “fast track”

Reduced Time• Part-time work• Part-year work

Flex Place• Telecommuting on an occasional or regular basis

Flex-Leaves• Time off during the workday• Time off for personal illness• Paid time off to care for children• Parental Leave/ Elder Care

Phased Retirement• Arrangement for employee nearing retirement age to work reduced hours to transition into full-time retirement

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Effective Workplaces

Workflex = Perk Workflex = Effective Workplace

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Why is it So Critical Today?Work-Life Fit is Complicated

• Time Famine• Increasing eldercare

responsibilities• Dual-earner families• More male work-life conflict• Diverse, multi-generational

workforce

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Why is it So Critical Today?Challenge: Time famine

According to FWI and Princeton University research, employees are increasingly experiencing a feeling of “time famine” or “not enough hours in the day”

75%63%60%

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Why is it So Critical Today?Challenge: Increasing eldercare responsibilities

2011 Metlife Study

20% US adults provide care to a parent

Lost wages, pension, and Social Security benefits

Average losses$324,000 - women $284,000 - men

Care givers aged 50+ “fair” or “poor” health

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Why is it So Critical Today?Challenge: More dual-earner couples

Dual-earner couples• 79% in 2008• 66% in 1977

US Workforce• 50% female• Mothers primary breadwinners: 4 in 10 families 2006• women earned 58% bachelor’s degrees• 60% of all master’s degrees

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Why is it So Critical Today?Challenge: More work-life conflict among fathers

Percentage of fathers and mothers in dual-earnercouples reporting work-life conflict (1977-2008)

Sources: 1977 QES, 2008 NSCW, FWI

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Why is it So Critical Today?Challenge: Diverse, multi-generational workforce

US workforce aging 40+68% in 200839% in 1977

4 generations:TraditionalistsBaby BoomersGeneration XGeneration Y (Millennials)

??? million Baby Boomers reached 65

Workforce entrants lack basic skills

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Why is it a Business Imperative?1) Employees are Happier, Healthier

25% reduction in stress

28% increase in happiness

80% = better work/life balance

76% = put in extra time + more loyal

July 2011, survey by Staples Inc. of telecommuters

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Why is it a Business Imperative?2) Employees are more productive, engaged

SHRM 2009 survey of HR professionals

67% = impacted job satisfaction and engagement

32% = increased employee productivity

42% = absenteeism decreased

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Why is it a Business Imperative?2) Employees are more productive, engaged

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Why is it a Business Imperative?2) Employees are more productive, engaged

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Why is it a Business Imperative?

August, 2010, SHRM-EIU survey:C-suite executives - two biggest challenges in next ten years:

1. Retaining and rewarding the best people2. Attracting the best people

3) It is a key recruitment, retention tool

Best strategy to address this challenge:

60% = “creating flexible workplaces”

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Why is it a Business Imperative?3) It is a key recruitment, retention tool

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Why is it a Business Imperative?

Cost of hiring/training new employees:

1.5 times employee’s salary

Reducing turnover by 200 employees:

$30 million in savings

4) It helps the bottom line

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HR Leadership and StrategiesHR must take the lead on flexibility

"Flexibility is not an accommodation or favor, it's the linchpin. People have two things to give: their talent and their time. Flexibility is the equalizer that allows the talent we develop to deliver superior performance. HR is in a position to provide the advice that will help leaders to win.“

-- Ted Childs, Principal of Ted Childs LLC

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HR Strategies and LeadershipFWI 2012 National Study of Employers:

Organizations increased options for when and where employees may work

Employers reduced options on how much time employees may work

Flex time with changing starting and quitting times rose = 66% in 2005 to 77% in 2012

Employees allowed to return to work gradually after childbirth or adoption decreased = 86% in 2005 to 73% in 2012

Access study at: www.familiesandwork.org

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HR Leadership and StrategiesChallenge: Resistance to flexibility

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HR Leadership and Strategies10 HR Strategies for Success

1. Recruit top management as flex champions

2. Position flexibility as a business strategy

3. Make the business case, focusing on ROI

4. Develop flexibility for all

5. Build management support

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HR Leadership and Strategies10 HR Strategies for Success

6. Listen to what employees say works best

7. Develop clear guidelines

8. Incent managers to support workflex

9. Track metrics

10.Communicate

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Case Study #1 – gDiapers

Direct-to-Consumer Retail Diaper BusinessPortland, OR – 18 employees

www.gdiapers.com Twitter: @gDiapers

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Case Study #2 – TURCK Inc.Manufacturing and Product Development

Twin Cities, MN – 167 employeeswww.turck.com Twitter: @TurckInc

For Hourly Jobs, White-Collar Perks Factories and Other Employers Seek to Offer Workers More Control of Schedules

Wall Street Journal Oct. 3, 2011

T.C. Worley for The Wall Street Journal

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Case Study #3 – Bon Secours

Medical ServicesRichmond, VA -- 12,000 Employees in the U.S.

www.bonsecours.com

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SHRM / FWI Partnershipwww.whenworkworks.org

Program to educate employers locally about business benefits of flex through community partners

Share research and employer best practices

Recognize exemplary employers through the Sloan Award for Excellence in Workplace Effectiveness and Flexibility

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When Work Works Guide to Bold New Ideas

Joint guide with best practices by winners of the Sloan Awards for Excellence in Workplace Effectiveness and Flexibility

Features 262 unique employers (450 worksites) of all sizes and industries

Available through the SHRMStore at http://shrmstore.shrm.org/

Use promo code WFP-12 to get 10% off the price of the Guide

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SHRM Workplace Flexibility ResourcesWorkplace Flexibility Resource Page at www.shrm.org

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Summary and Take-aways1) Workplace flexibility is a way to define how, when and

where work gets done and how careers are organized

2) Flexibility is more critical today because of complicated work/life fit and other new challenges

3) Flexible workplaces are a business imperative because they help the bottom line by promoting happier, healthier, more engaged, and more productive employees

4) Follow ten key HR strategies to develop and implement successful flexibility programs

5) Learn from best practices cases studies

6) Take advantage of SHRM and SHRM/FWI flexible workplace support resources 

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Final Message

“All of us want and need engaged employees – the ones who have an understanding of what must be done to add value to an organization. Workplace psychologists assure us that such engagement doesn’t come from a need to comply. It grows from a freedom to choose.”

“That spells what’s next – a flexible workplace. Together with FWI, we’ll help you get there.”

--Hank Jackson, SHRM President & CEO March, 2011 issue of HR Magazine

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Continue the Conversation

#workflex

#SHRM

@SHRMNancyConway

Continue the Conversation

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Questions?

Nancy Conway, SPHRNorth CentralField Services Director (IA, MN, ND, NE, SD, WI)

nancy.conway@shrm.org

703-535-6455

3900 Old Cheney Rd, #201-313Lincoln, NE 68516

Twitter: @SHRMNancyConway