In today’s rapidly evolving work environment, the debate over the most effective work models has become increasingly heated. I had the opportunity to sit down with Ken Englund, Partner at Ernst & Young LLP (EY), to delve into the complexities of remote and hybrid work models, particularly focusing on the risks associated with a rigid return-to-office (RTO) mandate. Ken, who oversees EY’s Technology, Media, and Telecommunications business in the Americas, provided deep insights based on extensive experience working with high-tech and hypergrowth companies.
The Contradiction in Tech Companies
Ken highlighted an interesting paradox within the tech industry. On one hand, an overwhelming majority of senior tech leaders (around 80%) believe that remote work positively impacts their ability to innovate. This belief is grounded in the ability to access a broader talent pool beyond traditional tech hubs like Silicon Valley, New York, and Austin. Tech companies have long been adept at asynchronous virtual collaboration, a practice that predates the pandemic and has only become more refined over time.
However, despite recognizing the benefits of remote work, many tech giants—including Zoom, Salesforce, Amazon, and Google—are increasingly pushing for employees to return to the office. This dichotomy raises questions about the underlying motivations and potential consequences of such policies.
The Risks of Command and Control
Ken expressed concerns about the risks involved with the command and control approach to RTO. Recent surveys indicate that employees still hold significant leverage in the job market, a dynamic that employers must navigate carefully. A notable finding from the EY Work Reimagined survey revealed a mismatch in expectations: while employers envision a return to office involving at least three days a week, employees are generally more inclined toward one day a week.
This disconnect highlights the potential for tension and dissatisfaction. Forcing a rigid RTO policy could lead to significant turnover, with about a third of employees considering job changes in the next year. This scenario poses a considerable risk, especially as organizations strive to maintain stability and productivity.
Innovation vs. Command and Control
One of the most compelling points Ken made is the potential sacrifice of innovation for the sake of command and control. While in-person collaboration can indeed foster innovation, the perceived decrease in efficiency from remote work is minimal. Tech employees have proven they can be highly productive in virtual environments. Moreover, companies insisting on in-office work may inadvertently limit their talent pool and stifle diversity of thought, a key driver of innovation.
Amazon’s recent policy of consolidating employees into nine office hubs, for example, has led to an exodus of talent unwilling to relocate. This move underscores the tension between maintaining control and fostering an innovative, flexible work environment.
The Value of Flexibility
Flexibility is highly valued by employees, often ranking just behind salary in importance. EY’s surveys found that 80% of employers recognize the strategic value of flexibility, compared to 60% of employees. This discrepancy suggests that while flexibility is crucial, it is not the sole factor influencing employee satisfaction.
Companies that embrace flexibility can reduce hiring costs and attract a wider talent pool. Offering full-time remote work can be particularly advantageous, as it allows organizations to tap into diverse skill sets and perspectives from various geographical locations. Ken emphasized that hybrid work models, which combine remote and in-office work, offer the best of both worlds. They enable face-to-face collaboration for activities that benefit most from in-person interaction while allowing individual tasks to be completed remotely.
Best Practices for Hybrid Work
Ken shared valuable insights into best practices for hybrid work environments. Clear communication and well-defined expectations are paramount. Successful hybrid models are characterized by structured approaches to meetings, project management, and collaboration. Companies must leverage robust technology tools to facilitate seamless interaction between remote and in-office team members.
The real challenge lies in the cultural transition. Organizations must consciously adapt their cultures to support hybrid work, ensuring that the core values and essence of the company are maintained. This involves fostering a sense of belonging and engagement among all employees, regardless of their work location.
The Future of Work
Looking ahead, Ken envisions a future where hybrid work becomes the norm, driven by advancements in technology and a deeper understanding of effective remote collaboration. Generative AI and other emerging technologies will play a crucial role in making hybrid work more seamless and productive. These tools can enhance both productivity and flexibility, benefiting both employers and employees.
However, there is a significant learning curve. Despite the anticipated benefits of AI, less than 20% of companies have targeted education programs for their employees on generative AI. Addressing this gap will be essential to fully realizing the potential of these technologies.
Conclusion
Ken’s insights underscore the dangers of a command and control approach to RTO. While in-person work has its advantages, the risks of alienating employees and stifling innovation are significant. Embracing flexibility and hybrid work models can offer a balanced solution that supports both productivity and employee satisfaction. As companies navigate the future of work, clear communication, robust technology, and a commitment to cultural adaptation will be key to success. The long game, as Ken aptly put it, involves creating a compelling, seamless hybrid experience that meets the needs of both the organization and its employees, a point that aligns well with the key advice I give to my clients in helping them navigate the frustrations of hybrid work.
About the Author
Dr. Gleb Tsipursky was named “Office Whisperer” by The New York Times for helping leaders overcome frustrations with hybrid work and Generative AI. He serves as the CEO of the future-of-work consultancy Disaster Avoidance Experts. Dr. Gleb wrote seven best-selling books, and his two most recent ones are Returning to the Office and Leading Hybrid and Remote Teams and ChatGPT for Thought Leaders and Content Creators: Unlocking the Potential of Generative AI for Innovative and Effective Content Creation. His cutting-edge thought leadership was featured in over 650 articles and 550 interviews in Harvard Business Review, Inc. Magazine, USA Today, CBS News, Fox News, Time, Business Insider, Fortune, The New York Times, and elsewhere. His writing was translated into Chinese, Spanish, Russian, Polish, Korean, French, Vietnamese, German, and other languages. His expertise comes from over 20 years of consulting, coaching, and speaking and training for Fortune 500 companies from Aflac to Xerox. It also comes from over 15 years in academia as a behavioral scientist, with 8 years as a lecturer at UNC-Chapel Hill and 7 years as a professor at Ohio State. A proud Ukrainian American, Dr. Gleb lives in Columbus, Ohio.
