TITRE DE LA PRESENTATIONSmart Work (telework)in rural areas

Alise VitolaRiga Technical University

LatviaHamburg, 2012

TITRE DE LA PRESENTATION

Smart Work -working independently of time and place with the help of ICT

TITRE DE LA PRESENTATION

Why Smart Work?Personal reasons:• Time economy• Flexible work arrangements• Work/life balance• Residing outside cities Economic reasons:

• Increase in productivity• Reduction of costs (transport,

real estate etc.)• Recruitment and retention of

staff• The image / reputation

TITRE DE LA PRESENTATION

• New building in 2008• No assigned desks - work anywhere in the building• Layout of the building - to maximize communication

and collaboration• Encouraged to work more from home & allowed to

work anytime• A weekly 1:1 with their manager - a physical or virtual

meeting

Microsoft Netherlands

An example

TITRE DE LA PRESENTATION

• Increased productivity by 25%• Won “Great Place to Work” award in 2009, 2010 and

2011• Employee satisfaction rose from 5/10 in 2008, to 8/10

in 2011• Sick leave days are down to 1,5% from 2,5%• Increased market reputation• Increased Employees’ mobility• Reduced real estate costs by 30%

Measurable improvements

TITRE DE LA PRESENTATION

• Flexible staffing firm in US – 100% virtual work force• Established in 2005 by Allison O’Kelly, Harward Business

School graduate and a mother of 3 sons• Grown to 17 franchises

• > 50 000 candidates• Industries: accounting, legal, marketing, HR, finance,

management etc.

• Several awards since 2006: Moving into the Future Award (2007), Entrepreneurial Success story in Atlanta (2009) etc.

An example

TITRE DE LA PRESENTATION

Smart work & regional

development

• Notable share of global GDP consists of immaterial (digital) content

• ICT allow to work anytime and anywhere

• The “geographic paradox” - investments in digital economy tend to be located in large urban centres

TITRE DE LA PRESENTATION

• Tacit knowledge & face-to-face communication

• Infrastructure, skills and knowledge

• The rigidness of labor market inrural areas

• The adaptation of behaviour

Main challenges

TITRE DE LA PRESENTATION

Smart Work Centre -special premises for smart workers considerably near the person’s living place

TITRE DE LA PRESENTATION

• Rural area with ~12 000 inhabitants

• Developed by the local municipality, opened in 2010• 31 work places available, ~100 users, >80% occupancy

• High speed internet (co-financed by the local municipality)• Business incubation services

An exampleBerwick Workspace, UK

TITRE DE LA PRESENTATION

• Town with ~1300 inhabitants

• Opened in 2008 following a request from a potential smart worker

• Organised around a public ICT hub managed by an NGO

• 8 individual offices, 100% occupancy• 6 new offices planned in 2013

An examplePortes du Morvan, France

TITRE DE LA PRESENTATION

• Village (70 inhabitants) 40 km from the capital city Tallinn

• Established by 5 local women, now 12 women working

• Women share their knowledge, jobs and childcare duties

• A unit in the labour market

• Communication and social life – events, projects, courses for children etc.

An example

Kõnnu SWC, Estonia

TITRE DE LA PRESENTATION

• A wider use of smart work might increase an in-migration of high-skilled professionals to rural areas

• Smart work centres may act as facilitators of socioeconomic activity, especialy when providing training and business incubation services

• A need for explanatory and encouraging measures (subsidies, coordination of job opportunities etc.)

To conclude

TITRE DE LA PRESENTATION

Awareness campaign Get Online Week in Estonia