implementing global flexibility danielle hartmann bc center for work & family cindy martinangelo...
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Implementing Global Flexibility
Danielle HartmannBC Center for Work & Family
Cindy Martinangelo Merck & Co.
Ann Andreosatos Procter & Gamble
Boston College Center for Work & Family is committed to enhancing the success of organizations and the quality of life of today's workforce by providing leadership for the integration of work and life, an essential for individual, organizational & community success
Key differentiators: Bridge research & practice Employ a global perspective Recognize changes in work-life needs
through the career continuum
CWF Mission
Membership
• Cadbury • Dell Computers• FM Global• IBM• Johnson & Johnson• Novartis Pharmaceuticals• PricewaterhouseCoopers• State Street Corporation
BP plc. Chevron Deere & Co. Dow Chemical
Company GlaxoSmithKline Kraft Foods Merck & Co Proctor & Gamble Prudential Financial
What we have learned
Many core concepts of leadership & managing the workforce translate well across cultures
However, we need better understanding of differences Legal and Cultural Environment: France Fair Work Act 2009: Australia Emerging Markets: Brazil Talent and Flexibility: China
Coordination of strategies across corporation is critical
Universal Work-life Issues
We have found that there are 4 universal work-life issues around the globe. Resolving those issues takes creativity and sensitivity to local culture.
Dependent Care Demand for Flexibility Work-load/Stress Health & Well-Being
Legal and Cultural Environment: France
Employers have less legitimacy than the State in the work-life arena
Employees seek to protect their personal life; hold a more distrustful view of employers and their vested interests
Structure and focus of unions sometimes conflict with work-life ideals.
Work-life is seen as a social issue, not an economic one that requires a “business case”
HR managers must comply with complex legal requirements
Ollier-Malaterre, Ariane(2009) 'Organizational work-life initiatives: context matters', Community, Work & Family,12:2,159 — 178.
Fair Work Act 2009: Australia 1. maximum weekly hours of work
2. the right to request flexible working arrangements
3. parental leave and related entitlements
4. annual leave
5. personal/carer's leave and compassionate leave
6. community service leave
7. long service leave
8. public holidays
9. notice of termination and redundancy pay
10. provision of a Fair Work Information Statement
What should employers do to ensure compliance with r2r?
Prudent employers would educate their managers about the factors to be taken into account when determining such a request.
A checklist of factors would include:• whether a work/family policy exists within the organisation• whether a similar request has been granted elsewhere in the business• the nature of the role and key performance indicators• options for change (eg including modifications to the request)• the impact of the change on the team/business unit• the cost of the change vs the cost of not making the requested change (eg turnover).
Aequus Partners: http://www.workplaceflexibility.com.au/r2r_NES_survey_report_1_Sept_2009_executive_summary.pdf
Emerging Markets: Brazil
Work-Life Trends in Brazil
Still many Brazilians work in the informal employment sector Continued inequity between genders Access to education is competitive Challenges in approving flexible work arrangements Demand for daycare exceeds availability
Sharon Lobel, Work-Life in Brazil Executive Briefing: http://www.bc.edu/centers/cwf/research/publications/meta-elements/pdf/BCCWF_EBS-Brazil.pdf
Talent and Flexibility: China
Cultural norms and workforce expectations make flexibility difficult to implement, yet demand for flexibility is increasing.
Demand for top talent and global work environment make flexibility a business necessity
Prevalent and successful programs include: Informal flexibility Core hours, flexible starting and ending times Working from home and telework No meeting Fridays
Russell, Graeme, Work and Life in China, BC CWF Report, January 2008http://www.bc.edu/centers/cwf/research/publications/meta-elements/pdf/China_Policy_Paper_Final.pdf
Global Flexible Work Arrangements
Working Mother MediaOctober 29, 2009
Cindy Martinangelo Director, Global Work Environment
Agenda
Global Constituency Group Model Business Case for Flexibility Results of Employee Survey Guiding Principles Project Timeline Global Implementation Challenges to be considered Key Learnings
10 Global Constituency Groups (GCG) representing all Merck
Women’s GCG initially made recommendation to Executive Committee to develop a global flexible work policy in Dec. 2007
AsianBlack
Differently Able
Generational
LGBT
Inter-Faith
Latino/Hispanic
Native/Indigenous
Women
Men
Global Constituency Groups
Business Case for Flexibility & Results of Merck FWA Survey
Employee input BenchmarkingResearch on Benefits
• Focus Groups and interviews worldwide: a common concern a-mong Merck employees • Flexibility Survey: a common diagnostic of benefits among employees and supervisors
• Productivity and Innovation (Center for Work and Family)• Talent Attraction (Alliance for Work-Life Progress)• Commitment and Health (Halpern)
• Reduced turnover•Better productivity in part-time Sales Division• Increased commitment• Improved productivity
Overview of Survey (conducted March 2008)•Global participation (stratified random sample, 61% response rate, more than 7000 employees globally)•Designed to access satisfaction with and interest in flexible work options. Addressed perceived barriers and impact to productivity & careers.
Overview of Survey (conducted March 2008)•Global participation (stratified random sample, 61% response rate, more than 7000 employees globally)•Designed to access satisfaction with and interest in flexible work options. Addressed perceived barriers and impact to productivity & careers.
Key Outcomes Business Case Confirmed
Use/availability of FWA varies by location/division/local manager
Employee engagement is 29% higher when employees have FWA
Many employees are unaware/dissatisfied with access to FWA
Expected turnover rate for employees who do not have FWA they need is more than twice that for those who do
Formal FWA used more by women & is viewed as an entitlement or individual accommodation for personal reasons
Even access to occasional flexibility had a positive impact on employee satisfaction
Occasional flexibility is used successfully in some part of the business by both men and women.
Access to flexibility is a “very important” retention tool to 49% of employees.
Merck’s Global Guiding Principles
Our competitive environment requires
that business objectives be met
Flexibility is good for our business and good for our
people.
Our competitive environment requires
that business objectives be met
Flexibility is good for our business and good for our
people.
Results are what count, not
"face time."
Results are what count, not
"face time."
The reason for a flexible work arrangement
request is not part of the process.
The reason for a flexible work arrangement
request is not part of the process.
Flexibility does not limit career opportunities or
advancement.
Flexibility does not limit career opportunities or
advancement.
Equitable consideration is
central to the Merck Flexible
Work Arrangements
approach.
Equitable consideration is
central to the Merck Flexible
Work Arrangements
approach.
Flexible work arrangements
are not an entitlement.
Flexible work arrangements
are not an entitlement.
Flexibility helps the company be a better place to
work and become
Employer of Choice.
Flexibility helps the company be a better place to
work and become
Employer of Choice.
Flexibility is a two-way streetFlexibility is a
two-way street
These principles provided guidance for the formation of our global policy.
Dec
07
March
April
08
June/July
08
Aug/Sept
08
Oct
08
Nov
08
Dec
08
Global FWA policy approved
Global Survey Conducted & analyzed
FWA Policy & Approval
Engage Country HR and Line Leaders. Website & Tool Development
Executive Briefing
HR Communications to announce HR Webinars
Deliver 3 WebExs to the HR community
On line FWA Introduction for Managers and Q&A telecons
Global communications of FWA policy, website & tools, translated as appropriate.
Measure success and evolve model as required
Flexible Work Arrangement Timeline
17
Support tools are available via the My/MerckFlex webpage
18
Challenging Issues and Solutions Workload of current environment doesn’t allow for FWA
✦Research clearly indicates that FWA enhances engagement, productivity, and creativity and reduces turnover
✦Our expectation is that the majority of employees are looking for occasional flexibility, flex time or telework, not reduced hours.
Entitlement/ Accommodation mentality ✦ Decisions are based on business need. Arrangements can be changed/terminated as the business needs change
Employees need to be available to others ✦ Decisions are based on business needs. Technology has made staying connected much more practical in a remote environment.
Nature of the job is not conducive to a FWA ✦ Not all jobs may support FWA. Decisions are based on business needs.
Managing in a flexible work environment is difficult ✦ Managers’ skills and comfort level will vary. Requires training, coaching and support.
What we are seeing now:
Requests by FLEX TYPE
Job Sharing 7%
Flextime 10%
Compressed Work Week 8%
Hybrid Choices 13%Other 2%
Telework 39%
Part-Time 8%
Remote Work 13%
Requests by GENDER
Female83%
Male17%
Key Learnings Work –life integration is defined by the individual. Not one –size
fits all Communication – Messages should be customized (at the
country level and at the functional level) (Field, plant, office). Culture is set at the country level, not at the region. Don’t underestimate the value of reason - neutral Ensure that employees understand website records/requests
are confidential. Accessible only by administrators and direct managers
Highlight employees who are dedicated to their career and demonstrate effective use of FWA
Use FWA as a way to be clear-headed and productive in the workplace, not to burn out.
Provide people managers with guidance on how to manage by objectives (not about being seen, but results that are being delivered)
Link FWA to employee engagement in a highly stressed environment – Provide a manager toolkit for engagement.
Expanding Flexibility on a Regional Approach
Demands
Flexibility Drivers of Work-Life Effectiveness
WellBeing
Performance
Energy
Survey Question
Across the globe……
We ask employees if they have enough flexibility to manage their work and personal lives
The strategy is regional . . . the action is local.
The challenge is complexity and scope
. . . the solution is clear, energetic central project ownership and management
CEEMEA REGION– Strategy for Re-launch of Flexibility
Resolve the significant issues through smart choices and a good strategic framework
Availability Establish a “minimum floor” of policies that
all countries should have in place
Awareness Communication strategies were owned by
each local entity starting with engaging senior managers
Resolve the significant issues through smart choices and a good strategic framework
Utilization objectives and strategies for
tracking and understanding utilization
Supportive Culture Expect availability,
awareness, utilization and behaviors around flexibility to be fully integrated
Power Lies in Measurement
• Favorable survey responses increased by 12 points versus from 2008 results
• 2,500+ employees (57% of survey respondents) report using some form of FWA. – Flexible Hours (flexible start and start time) – Work from Home (occasional use or set
schedule)– Personal Leave of Absence – Less Than Full Time
Build a solid infrastructure and make it easy to accelerate flexibility
The journey will continue:
• Partner with organization leaders to broadly deploy
• Set expectations with line leaders and managers
• Build greater education for employees
• Internalize and role model behaviors that address needs, inspire and instill these new attitudes
Policies may be adapted to meet labor and union
requirements, and will be found in the country’s policy book… or FlexPaths. Where differences exist between
regional guidelines and local policies, local policies are to
be followed.”….
Latin America
Latin America
Thank you—We’d be happy to answer any questions
Danielle Hartmann, BC Center for Work & Family
Cindy Martinangelo, Merck & Co.
Ann Andreosatos, Procter & Gamble