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Here for everyone,

here for business

Flexible

Working

Working Better:

A managers" guide to...

Equality and Human Rights Commission

Guidance

Researched and written by Alison Maitland

With the help of the Equality and Human Rights Commission Working Better team

Photographs by Andy Whitehead

1

Introduction 3

Section 1: Business benefits 5

Case Study: West Bromwich Tool and

Engineering Company 6

Case Study: BT 11

Section 2: Key principles 13

Case Study: Sainsbury"s 15

Section 3: Creating a flexible workplace 19

Case Study: National Grid 22

Section 4: Key management skills 25

Case Study: Clock 26

Section 5: Flexibility for everyone in all types of jobs 28

Case Study: IBM 30

Section 6: Problem-solving Q&A 32

Case Study: Addleshaw Goddard 36

Section 7: The impact on employees 38

Section 8: Useful links 43

Acknowledgements 44

Contents

Working Better Guidance

2

This guide is designed to

help business managers discover and implement innovative working methods which improveproductivity and customer service, save money, and enable employees to balance their work and personal lives.

Your people are critical in ensuring customer

satisfaction and delivering value. They are usually more committed and motivated to achieve what the business needs when they have flexibility in their working arrangements.

Introduction

Giving employees greater control over

how, when or where work is done requires a flexible, open-minded attitude from managers at all levels. It is not a soft option or a matter of 'just being nice".

It is a business challenge. How you, as a

manager, respond to demand for new working patterns, and how you introduce them, will determine how successful they are for your business and your people.

Introducing and managing new ways of

working may seem daunting. But experience shows that it does not have to be that way and the rewards of doing it well can be huge. Taking the first step may be the most difficult part. This guide is here to help you.The guide covers:

The business benefitsthat firms

can achieve

Key principlesfor introducing

flexibility

Advice on creating a flexible

workplace

Key management skillsrequired

Case studiesof innovative working

in large and small firms

A problem-solving Q&Afor

challenging situations 4 Britain"s labour market depends on flexibility for success. British companies, especially small and medium-sized businesses, have a reputation for client-centred service.

Section 1

Business Benefits

Cost pressures, especially in tough

economic conditions, mean that businesses must ensure all their staff are motivated and focused on creating value while at work. Holding onto experienced and skilled staff is also important to maintain quality and contain costs.

Building on this, the best employers

recognise the benefits of two-way flexibility to ensure they can provide quality services when customers need them. New ways of working have spread rapidly over the past decade, driven by the demands of the 24/7 economy and technological advances.

There is also legislation to help people

manage their jobs and caring responsibilities. Parents" top priority for improving work life balance is to have a wide range of flexible jobs. The law gives the 'right to request" flexible working to parents of children up to and including the age of 16, parents of disabled children up to 18, and carers of adult relatives.Employers must consider requests seriously and give objective business reasons if they have to turn them down.

More employers are now voluntarily

taking action to encourage new ways of working, not because of the regulations but because flexibility is widely seen as good business practice that can benefit companies and employees. They are making alternative working arrangements available to alltheir staff when there is a good business case for doing so. This helps to create a fairer working environment for everyone. It also gives managers a powerful tool to respond to both customers" and employees" needs.

6Working Better Guidance

Case Study

West Bromwich Tool and Engineering Company

An adaptable business

model

This Midlands engineering business, with

a turnover of around £6million, is part of the car industry supply chain and has to respond quickly to changing customer demands. 'Our employees have to respond to our needs by being flexible," says owner Stuart

Fell. 'They also need us to give them

flexibility because they have families and relatives and live in the real world."

The firm makes pressed metal

components, such as parts for instrument panels and seats, for large manufacturers like BMW and Nissan that operate 24 hours a day. They employ about 100 people with nearly 50 different working arrangements that change over time, as a result of regular discussions between staff and supervisors.'On paper, it seems very complicated, but it works very well and the company and employees each get what they need," says

Fell. 'Most importantly, this adaptable and

ever changing arrangement has proved to be capable of producing high performance and is not complicated to manage. I could name employees who would not work for us were it not for the flexibility we offer.

I also know there is business we have won

because we have been able to respond quickly to a customer demand."

The two-way dialogue with employees

proved helpful when the firm had to move to a four-day week, putting everyone on

80 per cent pay, for three months during

the 2009 recession. 'It comes down to having a relationship that"s based on trust.

When we told them these were

extraordinary circumstances and things were bad, they really understood that it was serious and necessary and believed that we were telling the truth." 7

Stuart Fell, Owner,

West Bromwich Tool and

Engineering Company

'I also know there is business we have won because we have been able to respond quicklyto a customer demand."

Working Better Guidance

8

The business has four shifts on the shop

floor, where some employees start at 6am and others finish at 10pm. Three team leaders, two men and a woman, are contracted to work 39 hours per week. At least one must be on site until 5pm and has to be available to respond instantly if a customer calls out of hours with a problem - which can be at any time of the day or night. In return, they can vary their start and finish times to fit in with their personal lives.

The firm"s 12 clerical workers have a wide

range of start and finish times, and some work term-time only, to suit their circumstances and the needs of the business. The firm"s three directors also work a variety of hours. Two are full-time and one part-time.

Not every proposed arrangement is

workable, and flexibility has to involve both sides. 'Sometimes people need to come in early or stay late to get something done," says Fell. 'The team leader has to have a constant dialogue with the team and find a way to make it work."

Employees approach their supervisors if

they want to vary their hours, and between them they come to an arrangement. 'It"s something I encourage because it works and people value it. On occasions we have consciously made suggestions to people to work flexibly."The firm offered flexibility to one engineer when he and his wife started a family - even before he realised he might need it. 'We thought: we don"t want to lose him to a competitor. If we offer him flexibility, he"s going to have a job he can"t replicate because, particularly for men, most employers don"t offer flexibility."

Fell says it is crucial for companies to

adapt to the wider changes around them. 'We"re moving from a command-and- control society to one where people will expect to be flexible. It"s a big, long process but one which managers need to be tuned into. The organisations that don"t adapt will end up the dinosaurs. They won"t be able to move fast enough or recruit people to work for them."

Key lessons:

Flexibility is a two-way arrangement

Business and customer needs come first

Support from the top is essential

Clearly define people"s objectives

Delegate rather than control

Start with a trial period to see if it works

There is extensive evidence of the business

benefits of new ways of working in both benign and tough economic times (see 'How business benefits" page 10). Flexible working arrangements can cut costs, boost productivity, motivate people and release more potential. Most employers who have introduced flexible working say it has had a positive impact on the business, according to a British Chambers of

Commerce survey.

Many companies have used flexibility

creatively to respond to recession, enabling them to cut costs while retaining skilled staff. This avoids the expense of hiring and training people again when the economy recovers.

Reduced-hours working in its many

different forms (part-time, job share, term-time working etc) can be used to redistribute work across more posts and avoid redundancies. For example, electronics and audio company Richer

Sounds encourages its staff to move to a

four-day week when business is slower.

Businesses can struggle to keep staff

engaged and loyal when wages and bonuses are frozen. Offering more time off - even at the expense of pay - can be a way to maintain morale.In the 2009 recession, nearly two-thirds of employers were introducing or considering changes to working patterns - and using flexible working in particular - to cut costs and retain staff, according to a

CBI survey. Here are some examples:

Most staff at KPMG, one of the big

accountancy firms, volunteered to work a four-day week or to take a sabbatical on reduced pay if necessary, so the firm could avoid big job cuts.

Fairline, a luxury yacht builder, asked

some employees to work a two-day week temporarily, while offering them

60 per cent of normal pay on non-

production days.

The Financial Timesnewspaper

offered staff an extra week or more of holiday at 30 per cent of pay.

Hondaclosed its Swindon car factory

for four months. When workers returned, they agreed to cuts in pay and hours.

Law firm Norton Roseasked staff to

volunteer to work four-day weeks or take sabbaticals on reduced pay to avoid job losses. Most agreed, and hundreds moved to shorter weeks.

Response to economic

ups and downs

Working Better Guidance

10

How Business Benefits

If managed well, flexibility leads to:

Better performance:

Increased efficiency and productivity

Improved customer service cover

Staff understanding each other"s

roles better

Greater employee satisfaction and

loyalty

Cost savings:

Higher staff retention, lower

recruitment and training costs

Reduced absenteeism, overtime and

workplace stress

More efficient use of office space

Better people management:

Enhanced reputation as an employer

Access to new talent pools

Better succession planning

Environmental benefits:

Less commuting by employees working

from home or satellite offices 11quotesdbs_dbs20.pdfusesText_26