Workforce Transformation from BT

Doug Tonner

A context for thinking about Workforce Transformation - combination of Flexible Working, Mobilising Working Practices and Property Services

Flexible Working

Flexibility in where and when people work,

enabling an organisation to efficiently meet fluctuating

customer demands and staffing requirements.

Mobilising Working Practices

The ability to work and conduct business

processes more effectively through mobile technology

Property Services

Balancing future demand with current estate to deliver value through

regeneration, refurbishment, acquisition, disposal and management.

In today’s business environment work is something you do, not somewhere you go.

The rewards to be gained by changing the way your organisation works – costs, culture, social responsibilities

• Property rationalisation and more efficient management of property

• Increased employee retention through benefit provision

• Absenteeism

• Increased productivity

• Customer focus

• Carbon Footprint Reduction

Managing the change is the single largest barrier for Workforce Transformation projects

• Compliance

• HR and other policies

• Employee buy-in

• Progression

• On-going support

Considerations for implementing Flexible Working

• Culture of “presenteeism”

• The broadband myth

• Cost of implementation

BT’s Business Composition and some background on Workforce Transformation in BT

• Female – 27% of total workforce and 21% of managers

• 2% employees with disability

• 7.9% ethnic backgrounds (7.1% of population)

• Average age 40

• 10% part time

• 70% of staff adopt one of more kinds of Flexible Working and that it’s a

key attraction for our employees.

BT’s Workforce Transformation benefits

30% reduction in Office Running Costs

300,000 less face to faceMeetings (£25m per annum)

£500m per annum savings

11,600 ContractedHomeworkers

70,000 Flexible Workers

20% Productivity Increase

63% reduction in Absenteeism

99% return from maternity(UK average 47%, saving £5m)

Employer of Choice for Graduates

Work/Life Balance, DiversityEmpowerment

Key Recruitment & Retentiontool

Disaster Avoidance

60% reduction on CO2

Transformed Culture and Focus

1.5m return journeys saved

Saved BT people 1,800 yearsCommuting, every year

Desk/Room Booking in over 150 buildings across 22 countries

Workforce Transformation is one of the few initiatives thatcan deliver cost reduction, enable culture change and

help meet social responsibilities

- while simultaneously supporting your staff and your customers

Workforce Transformation within BT has resulted in the following benefits

• Reduced Absenteeism –

– half national average –3.07% in 2002 – National average 7-9%.

• Reduced Staff turnover –

– 5.2% staff turnover – low in national terms.

– 99% of women employed by BT return to work following maternity leave –

national average is 46%

• Performance

– 15-30% productivity increase (20% boost) eg. from reduced commute time

• Space Utilisation / Cost savings

– Employees to desks ratio in BT across all buildings now averages 3:1

– BT Centre – our London headquarters sees 10,000 people using it’s facilities

every day, and yet has only 1,500 workstations

BT benefits continued……

• Positive experience for employees

– Reduced commute costs estimated saving – 124 / 170 miles in rail commute,

90 miles per week in car miles – equating to approx £1,000 per annum per

employee

• Environmental Benefits

– Saving 12million litres of fuel per year and associated CO2 emissions

• Resilience against emergency

– A level of business continuity

• Positive knock on impact in business compliance –

– simplifying and electronically enabling the organisation to work more effectively

• Training

– 70% of BT training can now be delivered on line and can be accommodated

within a normal working day

Areas of focus for HR to ensure best practice

Managing implementation, communication and support:

– Approx. 70% CIPD members surveyed believe operational pressure is a very important constraint on implementing flexible working practices*

– Concerns about line managers’ ability to manage individuals working more flexibly and their attitudes to flexible working also emerge as problem areas*

– 45% of survey respondents say line managers report difficulties implementing flexible working practices*

– Senior-level support and the prevailing organisational culture are also areas which often need to be addressed.

– Compliance has become an issue which needs to be resolved in organisations with people working flexibly, particularly home workers

*CIPD Survey of HR Professionals February 2005

How can BT help Aberdeenshire Council?

• Compliance with relevant legislation for non office-based workers

• Support and guidance for managers of flexible workers

• Design and implementation of comprehensive culture change programmes

• Incorporating flexible working into organisational strategies

• Develop the business case to deliver organisation-wide returns

• Provide and maintain all equipment for home based workers, including desks, chairs, monitors, keyboards and stationery supplies

• Centralise administration through a secure hosted website linked to your intranet

• Identify and provide all the tools and technology your employees need to effectively do the job in and out of the office