Introduction
Business processes are dynamic as they directly correlate with the current environment. Thus, as the environment changes and evolves, organizations adapt on multiple levels. Digitalization, globalization, social agendas, and cultural shifts all affect for businesses approach their operational strategies. Furthermore, certain events can accelerate the said alterations, such as the high digitalization during the COVID-19 pandemic. Multiple corporations and companies were forced to restructure their workforces. Hence, employees had to adopt a remote working schedule in a relatively short time span. The recent changes allow researchers to examine how remote work impacts businesses and conclude that all industries are moving in the direction of creating more opportunities for workers to operate remotely. This paper will examine the concept, benefits, and limitations of remote employment in correlation with future implications linked to workforce digitalization.
Annotated Bibliography
Al-Habaibeh, Amin, et al. “Challenges and Opportunities of Remotely Working from Home during Covid-19 Pandemic.” Global Transitions, vol. 3, 2021, pp. 99–108.
The research conducted by the authors linked to the Product Innovation Center, Nottingham University, has shared a survey to determine how individuals view remote working based on the COVID-19 limitations of operating in offices. Based on the responses of the 212 respondents, the scope of the study was fulfilled as the researchers highlighted most individuals as fully adapted to the new structure (Al-Habaibeh et al. 99). Moreover, the objective of determining whether remote work is perceived as beneficial was achieved, with most participants mentioning time and cost-effectiveness as benefits while addressing the lack of face-to-face discussions as adverse. The intended audience, namely, individuals looking into the possibilities of working remotely, can find the article informative. Moreover, the article relates to the findings highlighted in the studies that will be mentioned further and are linked to the current topic, as the research goal is to examine remote work as a new wave within the job market.
Beno, Michal. “Analysis of Three Potential Savings in E-Working Expenditure.” Frontiers in Sociology, vol. 6, 2021.
The researcher from the Institute of Technology and Business in Ceske Budejovice has conducted a literature review and content analysis to fulfill the objective of determining the savings opportunities correlating with E-working. It has been highlighted that employees working remotely can save costs on expensive rent and commuting by operating for a company that does not require its employees to be close to the office (Beno). The intended audience, which is remote employees, benefits from the overall scope of the study, namely, identifying cost-effective factors. Moreover, the findings correlate with the conclusions formulated by Al-Habaibeh et al. concerning the benefits of limiting transportation expenses (99). The reliability of the source also derives from the fact that the study was peer-reviewed and published in a reputable scientific journal.
Ingusci, Emanuela, et al. “Development and Validation of the Remote Working Benefits & Disadvantages Scale.” Quality & Quantity, 2022.
The researchers have focused on constructing a scale that measures the advantages and disadvantages correlating with remote working. Furthermore, after the scale was practically applied, the benefits of digitalization include sustainability, the minimization of business trips, cost-effectiveness in material and equipment purchases, and several other positive changes. The objective, which was constructive the scale, was achieved, and the findings correlate with those of Beno’s in relation to cost benefits (Ingusci et al.). The intended audience is the company human resource managers deciding whether a remote schedule benefits the companies they operate in. The authority of the author and the research itself is highlighted in the fact that the study is recent, published in a reputable journal, and reviewed by experts. Moreover, it correlates with the topic by identifying factors linked to remote working that suggest the measure to be more widely applied in the future due to the positive correlations.
Wang, Bin, et al. “Achieving Effective Remote Working during the COVID‐19 Pandemic: A Work Design Perspective.” Applied Psychology, vol. 70, no. 1, 2020, pp. 16–59.
The researchers affiliated with the Australian Research Council have studied the difficulties encountered during the COVID-19 pandemic in relation to work conditions as well as personal limitations. The scope was approached through the conduction of interviews that were later interpreted for the identification of patterns. The authors have fulfilled the objective and illustrated that social support, autonomy, and highly regulated workloads correlate with productivity. In contrast, an imbalanced work-life balance and lack of communication have contrasting results (Wang et al. 16). The findings correlate with those highlighted by Ingusci et al. as both articles highlight both adverse and supportive arguments for remote working. The intended audience, hence, company leaders willing to switch to a remote operational system, can consider the findings due to the study’s validity, peer-reviewed status, and evidence base.
Patanjali, Systla, and N. M. Bhatta. “Work from Home during the Pandemic: The Impact of Organizational Factors on the Productivity of Employees in the IT Industry.” Vision: The Journal of Business Perspective, 2022, p. 097226292210741.
Patanjali and Bhatta have conducted a study with the objective of determining the factors that facilitate productivity for employees working in IT remotely. The analysis of answers from more than 500 employees has helped researchers reach the scope and determine that the workers perceive remote working as more productive due to the lack of need for commuting and increased expectations (Patanjali and Bhatta). The study was published under the affiliation of the Xavier Institute of Management & Entrepreneurship and is reliable due to its theoretical framework, supportive arguments, and peer-reviewed status. Moreover, it can benefit the intended audience, namely, IT employees researching the job market. The article correlates with the aforementioned study conducted by Beno in relation to the argument that commuting hinders time and economic resources. Moreover, it relates to the current topic by highlighting factors linked to current digitalization trends.
Background
The digitalization of business started before the COVID-19 pandemic. Hence, organizations were moving toward the direction of relying on remote workers. However, despite the best efforts, it is inevitable that the government restrictions imposed in most countries were a major catalyst for change (Al-Habaibeh et al.). The changes have been generated by the preventative measures installed that prevented individuals from sharing a common space, especially under circumstances where multiple people were involved. Hence, most businesses were forced to either temporarily close or change their strategies in team management. At the time, the only solution was to allow employees to work remotely. This was a sudden and relatively challenging shift due to the lack of adequate training, access to resources, and understanding of a company structure operating digitally. This, however, allowed researchers to examine the topic in-depth as there was never a similar precedent in which so many employees were able to work from home. As a result, multiple companies have the opportunity to assess the benefits of remote operation, which is why more and more businesses have positions that do not require an in-office schedule.
Framework
The shifts within the job market, while being influenced by multiple factors such as social, economic, political, and technological changes, also correlate with intrinsic human motivations. Hence, certain psychological aspects are to be considered as the basis for the current analysis. Moreover, a proposed framework is to fit the narrative of the relatively new conditions of remote employment, namely, psychological circumstances such as loneliness, lack of motivation, and stagnancy. As a result, the framework selected for the topic that will be discussed is the self-determination theory. The theory highlights that individuals seek the fulfillment of three needs: competence, social connections, and individuality (Al-Habaibeh et al. 99). In regards to work-from-home initiatives, companies are able to fulfill the aforementioned needs while progressing in digitalization, providing workers with flexibility, and creating more favorable conditions for themselves and the workforce.
Job Market Shift
As established prior, the shift toward a remote system was sudden and did not imply extensive training in most companies adapting the strategy. However, most jobs that were able to be transferred to a remote framework were directly or indirectly linked to technology in the first place. As a result, researchers determined that most employees were able to adapt easily without major limitations, and more firms have continued to adhere to the system despite the government restrictions being withdrawn (Gifford 105). There are several reasons why the job market has made such a major shift within a limited time. On the one hand, companies that embrace digitalization to the full extent are more likely to advance. On the other hand, such changes correlate with advantages in regard to low resource spending.
Minimizing Spendings
Job market shifts related to automatization are linked to improved production and a reduction in time and monetary resources. According to researchers, one of the largest cost-saving opportunities derived from a shift toward work-at-home strategies is the maintenance of premise expense, namely, the lack thereof (Licite-Kurbe and Leonovica). Organizations are not bound to a lease or rest contract, which, in case the company is a multinational corporation, involves multiple buildings or even infrastructures around said offices. This is a major expense that organizations face and that is not needed for positions that can be fulfilled outside an office environment. The same study mentions other potential savings, such as electrical and internet bills, equipment purchasing and maintenance, and other services or goods needed for in-office operation.
Productivity
The argument often applied to oppose the shift towards remote positions is often associated with the lack of productivity that is considered lower than for in-office employees. However, according to researchers, productivity does not suffer in case the necessary implementations are considered during task delegation and workload management. Namely, individuals working in IT highlight such a strategy to facilitate productivity (Patanjali and Bhatta). The circumstances reported by the participants of the research that generate higher productivity are the lack of need for commuting, which in turn becomes time employees can spend on projects. Moreover, it has been reported that increased expectations correlating with remote work facilitate motivation and effort allocation by the workforce. Thus, the company is able to operate more productively while allowing the employees to be flexible yet digitally monitored based on their performance. Based on the aforementioned information, the digitalization of the workforce does not negatively impact the ability of workers to meet organizational goals, deadlines, and requirements based on the lack of an office environment.
Sustainability
Digitalization is not only effective in maximizing profit for organizations but also assists in sustainability goals prevalent in most agendas within major corporations. Thus, according to researchers, employees who do not have to commute to work and are not required to take business trips create circumstances in which organizations become more sustainable. According to researchers, the reduction in business trips employees was to take facilitated a reduction in pollution, and a similar argument can be highlighted in relation to the car, bus, and train rides to work and home (Ingusci et al.). While the change may appear to be insignificant, the COVID-19 restrictions have been linked to beneficial environmental changes due to the lack of need for transportation on a daily basis.
Employee Perception
The job market changes associated with companies adopting a remote operational system for workers are often perceived as contradictory by employees. On the one hand, digitalization is considered a generator of flexibility, efficiency, and effectiveness. Employees are able to travel and maintain a relatively adequate work schedule, communicate with leaders, and work on tasks similarly to in an office environment. On the other hand, face-to-face social interactions are minimized, communication may be hindered, and finding a work-life balance can be challenging. However, it is essential to consider employee perception in relation to digitalization to address the limitations and maximize beneficial changes correlating with job satisfaction and low worker turnover.
Positive Perceptions
As mentioned prior, employees do not associate remote work with a lack of efficiency. It has been exemplified in the study examining IT specialists that individuals are more productive due to the time saved from commuting, which can then be applied in project finalization (Patanjali and Bhatta). Moreover, it is essential to mention that as companies spend less on office rent, equipment, and bills, teams can be expanded. Thus, the job market is growing as demand for remote employees creates job opportunities (Gifford 105). Certain work processes also become easier to manage, as illustrated in research on digitalization in the medical field. Namely, doctors and nurses were able to work remotely while monitoring implantable cardiac defibrillators, which, in turn, was found to be an effective solution to the need for frequent follow-ups (Bikou et al. 403). Thus, digitalization has facilitated progress in how employees can attend to their daily tasks while minimizing effort without hindering productivity.
Another favorable implication of the job market becoming more centered around remote positions is autonomy. According to researchers, employees who are able to have more opportunities to self-governing are less likely to feel lonely in their profession despite working from home (Wang et al. 16). The concept implies having more power over delegating tasks, managing personal schedules and autonomy in regard to how the corporate objectives are being met. Thus, despite autonomy being considered challenging due to the fact that employees have more responsibilities and less support, studies illustrate the effectiveness of possessing such options.
Limitations
The digitalization of the workspace, namely, the shift towards remote work, correlates with certain limitations that are to be addressed. The negative connotations are associated with the well-being of the employees. It is essential to point out that most workers resorting to remote work during the COVID-19 pandemic had few or no experiences with operating from home. Thus, the entirely new environment has never been explored before, which implied that workers met obstacles when shifting to a different system. The aforementioned difficulties have both been related to organizational challenges as well as personal and psychological problems that were nuanced during the lockdown. One of the negative aspects, as exemplified in research, is work-life interference (Wang et al. 16). Employees who were not accustomed to remote work found it challenging to find a balance between their personal and professional lives, which, in turn, affected both concepts. This implies the presence of distractions and the inability to differentiate. However, the mediator, as mentioned in the study, was social support. Employees who were facing similar challenges were sharing their experiences, seeking support, and receiving assistance, which allowed them to adjust to a new way of operating professionally.
It is also vital to highlight the professional challenges correlating with remote working. Namely, the challenge mentioned in current literature is impaired communication among colleagues and with leaders (Licite-Kurbe and Leonovica). Thus, it becomes more challenging to coordinate projects in which multiple individuals are involved due to the limitations when it comes to professional interactions. Managers also mention problems with controlling tasks and employees and maintaining strong and prolific teams that strive to cooperate on all stages (Licite-Kurbe and Leonovica). Researchers concluded that due to such issues, only highly digitalized companies could afford to switch to having a fully remote team. Instead, such positions are to be reserved for part-time workers. However, it is essential to consider the context of fast digitalization in all industries. It is certain that digital technology is not yet fully implemented in all organizations, especially those operating locally, not requiring supply chain relationships with external actors and small businesses. Nonetheless, industries are moving towards automatization and maximization of efficiency through technologies. Thus, the context highlights that all companies will be primarily digitalized in the future, which means remote jobs will be more prevalent.
Digitalization of the Workplace
As technological advancements are becoming more prominent within all industries, workplace digitalization is implemented to maintain high production, maximize profit, and minimize spending. Thus, while employees have more opportunities when it comes to operating remotely, the concept is one of the many factors highlighting the dynamic nature of the process of automatization and technological implementation. Other examples include the appliance of artificial intelligence, drones, and automatic equipment. Such shifts may be attributed to industries willing to invest in reliable substitutes for employees to avoid delays, mistakes, and low production. Nonetheless, it is crucial to acknowledge the ever-changing nature of business operations and workplaces and consider the human factor in relation to the aforementioned alterations. According to researchers, employees are rarely considered as profit, production, and cost reduction are at the core of business initiatives related to technology employment (Trenerry et al.). Nonetheless, remote work is one of the few branches of digitalization that does not correlate with major negative shifts from the perspective of the workforce. Namely, a company willing to allow employees to work remotely encounters both benefits in workforce satisfaction and production level maintenance or advancement.
The main advantages for the employer, as previously discussed, include opportunities to minimize certain expenses. However, productivity is not hindered, which implies that the profit remains while spendings decrease. As a result, employers are able to invest in training current employees, providing them with new communication measures, and improving collaboration despite the workforce not physically having in-office meetings. This may address the current limitations linked to the fact that remote operation is a relatively new approach that is nuanced for most workers. Nonetheless, as the job market is dynamic, employees are also changing, adapting, and altering their ways to fit within the new digital requirements. Hence, researchers highlight that studies show individuals to be able to adhere to the new system in a relatively short time despite meeting difficulties at the initial stages (Al-Habaibeh et al. 99). The finding supports the argument that the economic environment is dynamic in relation to all participants. Companies change by implementing technology, the job market shifts based on organizational preferences, and employees manifest a dynamic nature in adhering to the external environment.
Future Implications
It is certain that as technological advancements are becoming more widely implemented in all organizational concepts, including human resource practices, the concept will only become more prominent. The COVID-19 pandemic has, however, accelerated the change toward a more digitalized workplace (Wang et al. 16). This opportunity allowed multiple companies to acknowledge the benefits of employing remote workers. As a result, it is unlikely that the practice will become redundant. Instead, it is expected that businesses will apply the practice further to maximize the positive implications correlating with the framework. From the perspective of digitalization and atomization to the full extent, it may be possible that remote employees will be the only ones operating. Since the only individuals who cannot adhere to such a schedule are workers whose tasks and responsibilities require a hands-on approach, employing automatic measures may significantly reduce the number of jobs of this particular characteristic. Thus, the only employees remaining in the job market are those required to supervise, monitor, manage, and alter such projects, which can be accomplished digitally.
The escalation of the process related to the lockdown correlates with several limitations that created unfavorable circumstances. Nonetheless, it is unlikely that the same challenges will persist in regard to future implications. For example, the argument that productivity has dropped can be associated with the additional stress related to health risks during the pandemic. Moreover, no adequate training, research, and knowledge on the subject was implemented or acknowledged at the time due to the urgency of the implementation. However, it has been shown that considering social support, communication, and training are tools that can be applied to confront such challenges (Al-Habaibeh et al. 99). Thus, under the condition that switching to a remote system is not rushed and properly applied with the necessary resources allocated, such processes can be much less damaging from a productivity perspective. Based on the aforementioned information, companies are currently moving in the direction of employing a work-from-home agenda, and future implications will only show an increase in such strategies. Moreover, the approach will also move across industries and become more widely employed in education, medicine, research, and additional fields.
Conclusion
The digitalization of the workplace is manifested through various concepts, and one of them is switching to a remote working system for human resources. While the alternative to in-office operations is often portrayed as lacking in productivity and efficiency, in this paper, it has been illustrated that productivity remains high or increases. Moreover, both employees and employers benefit from lower spending and higher profit. Hence, remote working will become a primary objective in the future business environment as it correlates with the dynamic approach to customer needs, employer satisfaction, and overall alteration of the market based on present trends.
Works Cited
Al-Habaibeh, Amin, et al. “Challenges and Opportunities of Remotely Working from Home during Covid-19 Pandemic.” Global Transitions, vol. 3, 2021, pp. 99–108.
Beno, Michal. “Analysis of Three Potential Savings in E-Working Expenditure.” Frontiers in Sociology, vol. 6, 2021.
Bikou, Olympia, et al. “Cost Savings and Safety of ICD Remote Control by Telephone: A Prospective, Observational Study.” Journal of Telemedicine and Telecare, vol. 16, no. 7, 2010, pp. 403–408.
Gifford, Jonny. “Remote Working: Unprecedented Increase and a Developing Research Agenda.” Human Resource Development International, vol. 25, no. 2, 2022, pp. 105–113.
Ingusci, Emanuela, et al. “Development and Validation of the Remote Working Benefits & Disadvantages Scale.” Quality & Quantity, 2022.
Licite-Kurbe, Lasma, and Ruta Leonovica. “Economic Benefits of Remote Work from the Employer Perspective.” Economic Science for Rural Development, 2021.
Patanjali, Systla, and N. M. Bhatta. “Work from Home during the Pandemic: The Impact of Organizational Factors on the Productivity of Employees in the IT Industry.” Vision: The Journal of Business Perspective, 2022.
Trenerry, Brigid, et al. “Preparing Workplaces for Digital Transformation: An Integrative Review and Framework of Multi-Level Factors.” Frontiers in Psychology, vol. 12, 2021.
Wang, Bin, et al. “Achieving Effective Remote Working during the COVID‐19 Pandemic: A Work Design Perspective.” Applied Psychology, vol. 70, no. 1, 2020, pp. 16–59.