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Research and Analysis for a Proposed Telecommuting Pilot Program

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RESEARCH AND ANALYSIS FOR A PROPOSED TELECOMMUTING PILOT PROGRAM

Prepared for S. Nolan and J. Simon, BADM 1020 Casper College

Prepared by Chuck Siedenburg MCP, CNA

21 November 2011

TABLE OF CONTENTS

EXECUTIVE SUMMARY………………………………...............................................2 INTRODUCTION AND BACKGROUND…………………………...............................3 DISCUSSION OF SERVICES AND ANALYSIS……………….……………….……...4 CONCLUSION………………………………...............................................................8 REFERENCES………………………………...............................................................9 BUSINESS COMMUNICATION CLASS SURVEY ……………….………………….10 INITIAL PROPOSAL…………………………………………………………………..…12 INITIAL WORKPLAN…………………………………………………………………….15

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EXECUTIVE SUMMARY

Nolan – Simon Consulting is a hypothetical firm with specialists in many fields. As consultants, we provide direction and support in every aspect of business. Our expertise includes Accounting, Business Administration, Communications, Computer Science, Computer Software Support, Education & Training, IT Management & Administration and Web Design & Development.

The question at hand, and the basis for this particular report, is whether Telecommuting, or working from a location other than the traditional office, is a viable and feasible option for Nolan – Simon Consulting and their clientele or not. For this firm to remain at the forefront of service, we must leverage both our assets and the available technology to provide near real-time access, assistance, and support to our clients. Offering this capability to our clients, we would be well advised to pilot such a program in-house and on a limited basis to select clientele initially. Research performed thus far, and personal observations performed by myself over the last decade, indicate that this is a direction we must undertake and fine-tune. Employees and associates have indicated an interest in this possibility. Clients have expressed desire in utilizing this technology. Every aspect of our organization can benefit from telecommuting, from our Accounting department, to our Training Services and Information Technology.

In conclusion, based on the aforementioned research, Nolan – Simon Consulting will implement this pilot program and begin the groundwork of developing a method to offer this to our clientele.

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INTRODUCTION AND BACKGROUND
“Telecommuting was introduced in the 1970s as a way to substitute telecommunications technology for the commute to work.” (R. Kunkle: Perspectives on Successful Telework Initiatives, WSDOT 2000). Today, with the advancement of technology, many of the day to day tasks as well as application-specific work can be done remotely.

The question at hand, and the basis for this particular report, is whether Telecommuting, or working from a location other than the traditional office, is a viable and feasible option for Nolan – Simon Consulting and their clientele or not. In preparing this report, I have conducted interviews with current clientele, surveyed coworkers, and researched both private sector and government publications to answer the following questions that were posed: What are the benefits of telecommuting for the company / client?

What are the downsides for the company?

What are the benefits for the employee?

What are the downsides for the employee?

Could telecommuting increase productivity?

What are the costs involved in setting up such a program? As each of these questions can and will affect the bottom line of any organization, I will address each of these concerns individually, and as in-depth as the data collected shows.
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DISCUSSION OF SERVICES AND ANALYSIS

Topics of analysis are as follows: What are the benefits of telecommuting for the company / client? Telecommuting offers the ability for a specialist to address issues in real time as they develop. While many studies cite the cost savings for fuel and travel, as a first line responder, many specialists can access the remote system and either address the issue or walk the client through a resolution to the specific problem. The typical telecommuter as examined in Smeal School of Business’ analysis (Smeal: Research: Telecommuting A Win-Win For Employees And Employers 2007) was a manager or a professional from the information technology or sales and marketing department of a firm. While this example does still hold true, this is no longer the only company benefit. Estimates for providing office space for the typical knowledge worker run as high as $10,000 or more annually.(Wainhouse, Greenberg & Nillsen: Telework and the U.S. Federal Government: At the Tipping Point 2008) To further illustrate the extent to which telecommuting can be utilized, a local Casper branch of Energy Laboratories initiated telecommuting for lab analysts in 2008 to facilitate reporting of failures after-hours. While an analyst still needed to travel to the lab to restart an analytical run, without this in place, a run would remain stalled until the next business morning. Every area of expertise within our firm can benefit from this technology, and with that in mind, every client will benefit as well. What are the downsides for the company? For this pilot program to succeed, two major issues will need to be addressed: 1. Employees will need to maintain focus on the work or projects that need to be completed in a timely manner.

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DISCUSSION OF SERVICES AND ANALYSIS (Continued)

2. Managers and supervisors will need to formulate methods of evaluation that reflect productivity rather than “seat time”. In both of the above examples, a trust relationship needs to be developed. It would also be prudent to examine the social maturity of the individuals that wish to undertake this pilot program. Standard control methods need to be modified to allow for the increased autonomy of the individual employee. As there are many resources available to Human Resources with respect to this type of endeavor, their input would be a helpful to ensure success of the program. What are the benefits for the employee? Here we have many different answers. Telework Research Network cites the following: “In response to high gas prices, almost one in four employers are planning to offer a telecommuting option for their employees within the next six months (8/08) and 42% already have. More frequent telecommuting has been the second highest way employees have dealt with rising fuel prices. It was cited by 33% of workers (46% had increased carpooling, 33% were driving more fuel efficient cars, and 30% are looking for job closer to home). 72% of employees say flexible work arrangements would cause them to choose one job over another. 37% specifically cite telecommuting.” (Telework Research Network: Telecommuting Statistics 2008). In his report for the Washington State Department of Transportation, Rick Kunkle cites changing demographics as one reason: “Changes such as more women in the workforce and dual income families suggest the need for more flexibility in work arrangements to allow employees to manage complex and competing needs in their lives. A more diverse workforce creates needs for effective communication tools, new cultures of management, and methods of education that enhance equity. The aging workforce creates a need for work arrangements that allow employees with life changing illnesses, disabilities, or care needs to continue to work. Clearly telework can provide solutions to many of these needs.” (R. Kunkle: Perspectives on
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DISCUSSION OF SERVICES AND ANALYSIS (Continued)

Successful Telework Initiatives, WSDOT 2000). In summation, one would have to accept the following premise: "Telecommuting has a clear upside: small but favorable effects on perceived autonomy, work-family conflict, job satisfaction, performance, turnover intent and stress.” (Smeal: Research: Telecommuting A Win-Win For Employees And Employers 2007).

What are the downsides for the employee? While telecommuting affords our employees many benefits, some of these same benefits may against them. As previously mentioned, there is the commitment to work ethic and project deadlines. Another issue, cited in Rick Kunkle’s WSDOT report states “Telework can also have negative implications by allowing work to intrude further into personal lives and as a way to segregate and isolate certain classes of workers. Attention must be given to developing the application of telework in a proactive way in order to provide positive solutions to the changing needs of the workforce.” (R. Kunkle: Perspectives on Successful Telework Initiatives, WSDOT 2000). Again, enlisting the assistance of our Human Resources department can help avoid these issues. Could telecommuting increase productivity? One aspect of telecommuting that is seldom considered is business continuity. From this viewpoint ITAC cites the following: “State of Oregon: When the roof caved in at the Oregon Office of Energy in 2000, most of the employees were telework enabled. Half the staff worked from home during the repairs”. (ITAC WorldAtWork: Exploring Telework as a Business Continuity Strategy 2005). This, in and of itself, illustrates the productivity increase when viewed as disaster recovery alone.

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DISCUSSION OF SERVICES AND ANALYSIS (Continued)

In the survey conducted, 100% of those polled indicated that their productivity would increase. The breakdown was 30% indicated a significant increase, while the remaining 70% indicated some increase. None of the individuals polled indicated e flat line or decrease in productivity. What are the costs involved in setting up such a program? Wainhouse Research (Greenberg & Nilssen), in their whitepaper “Addressing the Challenges Facing the Distributed, 21st Century Business Through Telework”, cites the following as required technologies for a successful telecommuting program: 1. Secure network access 2. Business phone 3. Web conferencing 4. Instant messaging 5. Audio conferencing 6. Document repository 7. Video conferencing As we currently employ all of these technologies in-house, the initial cost outlay will come from: 1. Employee training 2. Broadband access for off-site workers 3. End-point equipment in the way of loaner notebooks and webcams 4. Duplicate software for off-site work A May 2002 GSA study shows that, in spite of the misconception that telecommuting would cost over double, costs average between 20% and 34% over baseline annually for software, hardware, technical support and internet connection. The cost

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DISCUSSION OF SERVICES AND ANALYSIS (Continued)

drops more for a full-time telecommuter as the agency no longer has to supply an inhouse computer or location for the employee. (ITAC WorldAtWork: Exploring Telework as a Business Continuity Strategy 2005).

CONCLUSION

Nolan – Simon Consulting has a long track record of being innovative and at the leading edge of all previously available technologies. With the evidence displayed in this report, it is imperative to continue to move forward and implement this new facet of our growing capabilities. Such utilization of our resources will improve our position in the marketplace by empowering our employees and providing a faster and more reliable support structure for our clientele. It is my recommendation that we begin the selection process for both our employees as well as a small sample of our diverse clientele so that we can start this pilot program at our earliest convenience.

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REFERENCES
Perspectives on Successful Telework Initiatives: Washington State University Energy Program / Washington State Dept. of Transportation http://www.wsdot.wa.gov/research/reports/fullreports/485.1.pdf

Smeal College of Business http://news.smeal.psu.edu/news-release-archives/2007/nov07/telecom.html

TeleWork Research Network http://www.teleworkresearchnetwork.com/telecommuting-statistics

Wainhouse Research: Telework and the U.S. Federal Government: At the Tipping Point

Wainhouse Research: Addressing the Challenges Facing the Distributed, 21st Century Business Through Telework

WorldAtWork / AT&T Foundation and Cisco Systems http://www.workingfromanywhere.org/news/ITAC_Explore_Telework.pdf

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Survey Questionnaire with Tally

For the purposes of this exercise, please assume you are an employee of Nolan – Simon Consulting. In lieu of work experience, school experience may be substituted. This survey should take less than 5 minutes to complete. Results of this survey will help develop the possibility of a telecommuting pilot program. Please answer the following questions.

1.) How familiar are you with the concept of telecommuting? a. Never heard of it. 2 b. Heard of it, not sure what it is. 2 c. Heard of it, aware of what it is. 4 d. Familiar with it. 3 e. Very familiar with it.

2.) In past employment, how often have you engaged in work outside of the office using technology? This would include research and report submission. a. I have never done this. 4 b. I have done this rarely. 1 c. I have done this occasionally. 5 d. I have done this regularly. 1 e. Most of my work was done remotely.

3.) If selected for a pilot program, what do you believe your interest level would be? a. Uninterested. b. Somewhat interested. 4 c. Interested. 5 d. Very interested. e. Downright enthusiastic.

Continued Next Page

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Survey Questionnaire with Tally (Continued)

4.) If you were to participate, what percentage of each hour do you believe you would actively engage in work-related activities? a. 80-100% 3 b. 60-80% 3 c. 40-60% 1 d. Less than 40% 3

5.) If you were to participate, do you believe your productivity would: a. Increase significantly. 3 b. Increase somewhat. 7 c. Remain the same. d. Decrease somewhat. e. Decrease significantly.

6.) What is your area of expertise (or, what is your major)?

(3) Accounting (2) Business Communications Computer Science Computer Software Support Education Web Design Web Development (2) No Response ____________________________________________________________

_

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[ Typ e th e s en d er c om p a n y ad d r e s s ]  [ Typ e t h e s en d er p h on e n u mb er ]  [ Typ e th e s en d er e - ma i l ad d re s s ]

ESTECH NETWORK CONSULTANCY

2 November 2011

Mr. Scott Nolan & Mr. Joseph Simon Nolan – Simon Consulting 125 College Dr. Casper WY 82601

Greetings Gentlemen, Profitability is directly proportional to productivity. Our greatest assets are the people we employ. Many of our staff have inquired as to the possibility of telecommuting either with our office or with the clients we serve. As we have never attempted anything like this, I would like to propose a pilot program to evaluate the feasibility of such an undertaking. Background and Purpose Because no one in our organization has yet been allowed to telecommute, this proposal is to suggest a telecommuting pilot program. Naturally, guidelines, rules, and expectations will have to be established. I will volunteer to help to develop them. The research I propose to conduct will cite all the benefits to us, the employer, as well as any discovered downsides. Numerous online articles are available to provide information. A schedule explaining exactly what days that would be worked at home will be included. I will discuss staffing, work space, and what needs to be done to make telecommuting succeed. Proposal and Methodology Before we undertake the pilot program, I propose to gather information. This will include: Interviews. I will interview individuals currently telecommuting. Surveys. I intend on surveying our staff (classmates) to gather input on views and interest in telecommuting. Research. I will look at research already compiled to analyze the feasibility of such a program. My database research is enclosed. From this information, I will analyze the aspects of the proposed pilot program and hope to be able to address the following list of concerns:
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Proposal and Methodology (Continued)

What are the benefits of telecommuting for the company/client? What are the downsides for the company? What are the benefits for the employee? What are the downsides for the employee? Could telecommuting increase productivity? What are the costs involved in setting up such a program? Schedule My proposed timeline (tentative) is as follows: Survey development and implementation Interviews Research Compilation and analysis Submission of my findings and final report Staffing and Resources I will undertake this research project myself. 7 November 2011 11 November 2011 14 November 2011 14 November 2011 21 November 2011

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Budget Survey development and implementation Interviews Research Compilation and analysis Submission of my findings and final report 3 hours 3 hours 15 hours 8 hours 2 hours

Authorization As this does utilize me and the resources I represent for you, I respectfully request your approval for this research and ask that you reply via email no later than 4 November so that I can adhere to the proposed schedule.

As we have been a growing and profitable concern, I feel this is an avenue we need to explore to see if it can increase our profitability. Under your leadership, we have been forward-looking and thinking and I intend on doing my part in moving us in the same direction.

Thank You for your time and attention in this matter, and I look forward to your favorable reply! Best Regards,

Chuck Siedenburg Estech Network Consultancy

BADM 1020 Section 01- Business Communications Profs. Scott Nolan & Joe Simon Mon., Wed., Fri., 0900-1000 Assignment: Work Plan for Analytical Report Submitted by Chuck Siedenburg
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26 October 2011

Statement of Problem Many employees feel they could be more productive working at home than in the office. This is a proposal that would allow employees to telecommute.

Statement of Purpose Because no one in our IT department has yet been allowed to telecommute, this proposal is to suggest a telecommuting pilot program. Naturally, guidelines, rules, and expectations will have to be established. I will volunteer to help to develop them. The research will cite all the benefits to the employer, as well as any discovered downsides. Numerous online articles are available to provide information. A schedule explaining exactly what days that would be worked at home will be included. I will discuss staffing, work space, and what needs to be done to make telecommuting succeed. Research Strategy Information will be gathered in several ways. Numerous online articles are available to provide information. As an independent contractor / small business owner, I will be able to add input as well. Another resource I intend to incorporate is the polling of at least one of my current clients as well as surveying my classmates to see the viewpoint and viability of other members of the workforce. Tentative Outline What are the benefits of telecommuting for the company/client? What are the downsides for the company? What are the benefits for the employee? What are the downsides for the employee? Could telecommuting increase productivity? What are the costs involved in setting up such a program?

BADM 1020 Section 01- Business Communications Profs. Scott Nolan & Joe Simon Mon., Wed., Fri., 0900-1000 Assignment: Work Plan for Analytical Report (Continued) Submitted by Chuck Siedenburg

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Work Schedule

Formal Business Report Project Work Schedule Step Breakdown Submission of selected report topic Submission of Work Plan in M$ Word format Conduct secondary research Submission of proposal to instructor with database search attached Conduct primary research after approval of proposal by instructor Submission of rough draft of report for peer review Submission of final report to instructor Preparation for oral presentation using visual aids (Crash & Burn) Date 25 Oct. 26 Oct. ongoing 31 Oct. 31 Oct. – 11 Nov. 14 Nov. 21 Nov. 21 Nov.

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