How Will Remote Work Evolve And What Does it Mean For Organizations?
Jun 10, 2021
iCrowdMarketing powered by iCrowdNewswire
The way work is organized and conducted has remained relatively unchanged from time immemorial until the start of the new millennium when computers and computing systems became integrated with the way we work. Of course, remote work or WFH (Work From Home) models were nonexistent in the early 2000s, which was commensurate with the unavailability of high-speed internet and more importantly smart devices and mobile on-the-go data. When the 2010s came around, large opportunities appeared on the horizon promising new paradigm shifts in the business world. As soon as we had regular, stable high-speed mobile internet (3G) and smart devices, the option of remote work would naturally open up in first-world economies. When the unprecedented situation surrounding the Covid19 pandemic hit the world economy more than a year ago, the way the economy functioned and the business models facilitating it would all start to completely change for the first time in history.
Industry Statistics Concerning Remote Work
Statistics do support these significant changes to the way we live, namely a survey by statistics giant Statista showed that 56% of the participants of the survey confirmed that they were working remotely for less than a year. Very small numbers indicate that they were working remotely for longer periods than that, which confirms how much the pandemic has changed the economy and pushed many employees around the world into remote work since last year’s big transition. Hybrid work models have also now blended well after the restrictions, as the massively sped-up digital transformation since last year has pushed businesses and organizations to quickly react to the urgent need for employees to work either from home or locations other than the office. Therefore, work models changed completely due to the pandemic and over 50% of global businesses now offer solutions for remote work, many of which did not even consider this possibility before. Remote work is not just a thing that appeared with the pandemic, though, as the last decade saw a sharp increase in this trend. Between 2005 and 2018, remote work numbers in the U.S. alone saw a rise of over 170%. That rise between 2020 and right now is much steeper and is looking to stay that way until every organization that has remote working capability has taken the step.
In the next sections, we will look at the advantages and disadvantages of remote work supported by statistics and facts, as well as why cybersecurity is the number one concern with a world transitioning to remote, off-site, WFA (Work From Anywhere) and WFH (Work From Home) models.
The Positives of Remote Work For Organizations
Off-site remote work or any WFH/WFA model has shown several benefits now that we have data on the subject. Over 70% of the remote workforce respondents have indicated to industry surveys that they are more productive at work this way and that they save thousands of dollars each year from not having to physically commute to work. Not only that, but remote workers are also earning more, around $4-5k a year on average. As far as their preference is concerned, what is very evident is that almost everyone that is working remotely or has opted to do so (over 90% of people) wishes to continue to work remotely in the future, and would recommend remote work to others. From the side of the organizations, they also save over $10,000 on each employee that opts for remote work every year. With over 4.5 million people working remotely since the pandemic, these figures mean big benefits to employees, savings for the industry as well as increased efficiency across the board. Over 80% of remote workers indicated that they are experiencing less stress compared to classical work models -due to fewer distractions, lack of commute, and the ability to customize their time personally. The ability to flexibly schedule one’s day and allow for family time and/or breaks also is one of the top benefits for remote workers. Allowing for remote work has also shown an increase in positive reputation for organizations that do that, research shows.
The Caveats of Remote Work For Organizations
Of course, with all of the positives we’ve talked about above, there will undoubtedly be some negative side-effects concerning any form of remote work that reflects on employees as well as the organization itself. For one, statistics show that employees are having difficulties with adapting and working in teams when remote working. Another problem arising from the employee side of things is loneliness. Almost 20% of remote workers are experiencing psychological stress due to being physically removed from a team environment. If we segway away from the employee mindset, there are much larger things to tackle such as cybersecurity, or the digital security of remote work models. With remote work, being off-site means a complete change in the way data is stored and transmitted which means less control over an organization’s cybersecurity infrastructure. Remote work vulnerabilities can lead to cybercrime, data leaks, and a vast array of security issues. Unsecured endpoints such as personal employee devices and the off-site cloud where sensitive organizational data is stored may cause serious trouble if left unchecked. Widely used video-conferencing apps like Zoom are at risk of cybercrime and espionage. Fully online companies are also experiencing DDoS attacks (Distributed Denial of Service), ransomware exploits, and email-based phishing attacks. Finally, a high level of dependence on off-site storage (the cloud) means an increased chance of misconfigurations, leaks, and potential disruptions. Once a cybercriminal obtains credentials or access to an organization, they can move laterally within the system and network, which is why endpoints must be secured.
Remote Work Trends When Looking Towards The Future
Over 70% of teams are expected to have remote workers by 2028, as over 40% of remote workers who have the option to work remotely will continue to do so in the next five years. More than 65% of Millennial and Gen Z managers are expected to allow team members to work remotely in the future, as well. By the end of 2021, statistics show that at least 25% of the global workforce will be working remotely and that for most of the workforce the option of remote work will be a deciding factor in whether they choose to apply for the job or not. For the finance industry, more than half of the global employee pool can work from home. For some other industries, on the other hand, a digital transformation that includes the ability to work remotely either full-time or even part-time is still not an option. Such industries include transport and utilities, where remote work does not come into the picture due to it being impractical, as well as not being able to allow for such flexibility. Statistics show that industry leaders such as Google, Twitter, and Facebook are planning to allow permanent remote work options, even with financial incentives to set up home offices. Microsoft is going to apply the same rules as well, except for essential roles which may require one to be on-site.
With all of this in mind and with all that the pandemic has initiated, we can conclude that the economy will transition into a hybrid business model. Hundreds of millions will exclusively work remotely full-time, others will combine remote and on-site working, while a smaller portion of people will have to spend most of their time physically present at their work position due to the nature of their respective industries. Even in industries that cannot offer a remote work practice as of now, as managers and executives gain more confidence and trust in remote work models, a digital transformation will take place sooner or later as artificial intelligence and automation require less of a physical presence.