Is remote work a long-term fit for financial services?

By Pamela J. Gallagher

Almost three years after a nearly overnight switch to remote work at the start of the pandemic, is it time to go back to the office? This question continues to polarize managers and employees alike. Some even feel strongly enough about their answer to this question that they are quitting their jobs over it.  Companies seem to still be determining what respective value remote versus in-person work offer to their organization.  Where any given organization lands on this issue depends on a number of factors, and though strong opinions abound, it isn’t an easy question to navigate.

From my vantage point as a financial executive in the healthcare industry, I believe virtual financial services offer tremendous value to organizations—to a point.

Hybrid options

Too often, businesses look at remote work as “all or nothing.” We are either all in the office every work day, or everyone works from home without exception. While I understand the need for a sense of fairness among employees or simplicity in managing the work environment, an all-or-nothing attitude blinds executives to creative solutions that might add value to their organization.

As much as I recognize the benefits of offsite work options, a fully remote virtual workforce will not be a good fit for every company. However, I believe a hybrid option could benefit almost any organization. Perhaps employees could work remotely on Mondays and Fridays, or maybe certain administrative tasks could be done virtually by employees working remotely. An openness to hybrid options also gives companies an opportunity to evaluate whether interim or part-time solutions could be a good fit. Additionally, remote work can be a great way to make progress on important but not urgent projects, which are often overlooked in a busy office. Remote workers with the right expertise could be hired to tackle these projects with complete focus while other projects or tasks that require higher levels of interaction can be taken care of in-person in the office.

Trust but verify (and educate)

Reports consistently indicate that the primary benefit that people who prefer working from home value is flexibility. But I have seen that taken too far on some virtual teams I have led. I once had a remote employee who wouldn’t take calls during the workday because she “didn’t take work calls at home.”

Education and clear expectations are key to making this arrangement work. Because remote work has become such a buzzword, people assume they know what an organization means by it when they offer it as a work option. Companies must clearly define what working from home means to them and what their expectations of their employees are. Document processes and desired outcomes. Neither the company nor the employee should make assumptions about what is or is not expected or appropriate. Organizations need to take the first step in starting a clear line of communication.

Remember that technology is a tool, not a magic solution. Organizations must hire talent that is self-driven and trustworthy if virtual employment is going to work. Managers should establish from the start clear and open methods that will allow them to verify the results of their employees’ work while still maintaining high levels of trust.

Access to top talent

Offering remote positions gives organizations access to a much wider and deeper pool of talent. Rather than limiting their options to professionals who live within driving distance from their office or are willing to relocate, companies that embrace virtual employment can benefit from the expertise of people anywhere in the world.

An openness to remote work can also allow companies to retain top talent who understand the DNA of the company and identify with its mission and values.  When an excellent employee is looking for more flexibility for any variety of reasons, remote work offers a way to hold onto that expertise while making the employee feel happy and valued. 

Cost

Going remote allows organizations to pay only for what they need and reduce costs. Of course, companies can still recognize savings while using a shared space. Depending on the preferences of the majority of their employees, they might experience higher employee satisfaction by having a common work space. But rethinking their work arrangements can help companies minimize travel expenses and costs related to it, and practically eliminate real estate and office supplies expenses.

There are businesses (beyond the obvious client-touching organizations) that simply work better with an onsite workforce, such as organizations where interconnectivity and consistent and constant communication are critical. Familiarity between team members can create an environment where people share opinions and ideas more openly. Remote work is not the best fit for every business. However, organizations who are willing to consider how remote work or hybrid options could benefit them have increased opportunities to access top talent, keep employees happy, build a culture of trust, and reduce costs.                

Resources

Advantages and Disadvantages of a Virtual Workforce, The Hartford

8 Virtual Team Advantages and 6 Disadvantages, Time Doctor

Americans are embracing flexible work—and they want more of it, McKinsey & Company

The Negative Effects of Working From Home on Company Culture, Coworking Resources