The Australian Guide to Telework

Andrew Hunter

Revised 2007

© Andrew Hunter - KeyChange

 

 

Work from Home, Telework, Telecommute.  Sound too good to be true?

It does just sound too good to be true. You simply set up a small office in your home, turn on your computer, plug in a modem and you're off....or are you?  Initially, I am going to talk about full time teleworkers ie: people who work exclusively from home and never see a business office. Then telecommuters who work from home at some times and in the office for the rest. 

First let me lay down where I am coming from.  In 1992 I started Australia's first telecentre, a community owned technology centre that offered more than just access and training.  We competed for work, mainly data entry to begin with but anything that could be done on a computer and delivered on disk... the internet was around but not widely known in those days.  We then took that work and performed much of it on site at the telecentre but we also handed out a great deal of it to people to complete in their own homes on their own (or borrowed) computers.  

This would have been ground breaking stuff  if it was in Sydney or Melbourne, but it was even more significant because it was in the small NSW country town of Walcha - population around 1200 and a start-up budget of less than $20,000.  At the time the success was greeted with a degree of acclaim  and the project was held up as model for teleworkers and other telecentres both here and by many overseas.

In 1998 we were all so caught up in the 'success' of the concept we were given substantial Federal Government funds to establish a project that would broker telework to individuals and telecentres throughout Regional Australia and so TeleTask was born.  The concept was to act as a mix of broker distributing smaller contracts to  telecentres and as a labour hire outsource company managing larger projects internally.  With a healthy budget for travel and promotion we started a major effort to raise awareness with potential client employers.  We had always considered this education of the employer as the major hurdle.

Eventually with a combination of luck, passion and hard work we started to win jobs, we thought we were on our way.  Unfortunately we had overlooked a fundamental problem ie: the majority of people are not suited to unsupervised work from home!   

You would think that after many years this would have occurred to us earlier.  However on the small scale at Walcha although we had encountered the problem, at the same we had built a core team of successful 'completers' ie: people who would complete the task on time and at the standard required.   We had simply overlooked the  fact that the majority of people we had used had failed in one or another or all aspects of their job.  With TeleTask starting to win substantial projects and with requirements for teams from 10 to 40 'completers' - this fundamental oversight became a major barrier and ultimately  in 2002 an insurmountable barrier.  Despite our attempts at personality profiling and other testing, after four frustrating years the business was making a small profit but was not successful.

So what has changed? Very little, it is still my experience that the majority of individuals left unsupervised to work exclusively from home, fail. I have have personally been telecommuting since the mid 90's and full time teleworking since 2000.  I have my own consultancy business providing short and long term contract services to clients.

In 2000 TeleTask became involved doing odd jobs for an economist named Dr Nicholas Gruen.  He was also the CEO of a new 'discount' mortgage brokerage called Peach Home Loans.  His initial plan was to use teleworkers and we TeleTask was able to provide him with recruits.  This relationship grew and as TeleTask fell into decline I personally became more hands on.  Initially from the internet management and SEO then eventually as General Manager (under contract) dealing with staff, associates and clients on a day to day basis

In all of that time I have never had a face to face meeting with any member of staff, associates or clients.  In fact my only meeting with CEO Gruen was over coffee in Canberra in 2002.  Peach home loans has gone on to reasonable success and to this day all staff work entirely from home offices around Australia. 

 I recently wrote this as a short promo - 

There is nothing wrong with a Green Peach.

Today everyone talking about being green or turning green. We just realised that we have green credentials going back 7 years now.

  1. all of our staff work from their home offices – not one gram of carbon is created getting to an from work
  2. we use virtual faxes which convert fax to pdf – minimising our need to print hard copies and thus saving paper and energy
  3. when possible we submit all loan applications online again saving paper and energy
  4. we use email and direct PC chat programs for the bulk of our inter-office communications
  5. the majority of our loans are completed in a totally virtual manner ie: by phone, fax and post – so our use of motor vehicles is minimal.
  6. we don’t have any CBD or any other office buildings to heat or light
Apart from the benefit to the planet - we also save lots of money and pass a lot of that savings back to our customers.  Who says being green comes at a cost!

Now this little quote maybe flippant but it is true.  We still have quite high staff turnover, in that most starters soon give up.  However the stayers or completers usually stay for the long term ie: more than 3 years.  Which isn't bad in an industry full of big offers and head-hunters.  What are the secrets?  I could tell you but then I'd have to send you a bill - :)


The Secrets

It mainly boils down to "effective communications" and "effective use of technology".  Technology is a moving feast but communications is a craft and a craft that has to be honed and perfected.   It has been said that the greatest barrier to effective communication is the intrinsic belief that your communications are effective. Unfortunately every poor communicator that I have met falls into this category.

Use technology all you can. Use email, use chat but most important pick up the phone - if you are using VoIP effectively, it's free.  Basic rules should be:

So while lots of jobs are fine for teleworking, not all individuals are cut out for the role. Successful teleworkers have to be disciplined, self motivated individuals who actually prefer to work on their own.

If your candidate is big on being a team player or is very ambitious, they  may struggle as a teleworker.  Team players thrive on live feedback and bouncing ideas they need interaction and usually require on-going confirmation of their importance and contribution to the team effort.  This can be difficult to provide in a telework environment.  Meanwhile the ambitious person needs to be seen and needs to know they are being seen and recognised for their efforts.  Leave them in apparent limbo working at home alone and they will soon move on.

Ask your candidate:

Do you or does your business have:


I Want to Telecommute

The picture is much more positive where you decide to telecommute from home to the employer's office on a few days or one week in two etc.  You get the best of both worlds, flexible work and face to face interaction. If your employer already has a successful teleworking policy in place you simply have to convince your boss that you are the right individual with right type of job. If you are starting from scratch, then you may have a long struggle ahead. Many managers simply can't believe that people can work unsupervised and I am sad to say that they are often correct.  However technology can assist greatly and in fact many US based teleworkers are video linked as much for supervision as for communications.

Other issues to be considered when starting a telecommuting program

Workers' Compensation

Every business should seek clarification of workers compensation policy documents prior to the establishment of a telework program. It is probable that employers will be responsible for preliminary inspection of the home work place or at least a clear set of work place guidelines. Generally as far as the work at home is concerned, if the injury appears to be work related ie: if it occurs in the home office or while working with office- related equipment workers' compensation will cover the medical costs relating to the injury. However, if the injury occurs in a part of the house other than the office or while performing domestic functions or after normal business hours, it will not appear to be work related.

Security

Prior to the implementation of a teleworking program, a company should assess the security aspects. Much will depend on the internal network system and it's external access facilities. There are a number of options including direct dial in access, Internet or Virtual Private Network (VPN) access.  Broadband really allows for fast and secure VPN and it doesn't need to cost the earth.   Good firewall security will be achieved if remote workers have fixed IP addresses. This then allows the firewall to be set to only allow port access to these known numbers. However there is no such thing as perfect security and it is unrealistic to expect it.  After all even in the pre-computer days workers left files in the train or motel room etc.  Laptops get stolen or lost - it happens.

Insurance

There have been some difficult cases where for example a modem caught fire and burnt down the entire house. The employers insurance argued it was under the domestic policy while the teleworkers insurer argued that it was the employer's equipment failure and therefore their fault. There are some specific policies to cover home office operations and these are worth investigation. Also remember that equipment is most at risk of being damaged or stolen while in transport, so it should be the telecommuter's responsibility to make every effort to protect equipment from damage or theft during transportation and at the home office.

Family and Friends

While telework offers individuals a fantastic opportunity to blend work with family time. It is not uncommon for teleworkers to quickly discover that their family and friends get the wrong idea. "Can you just look after the kids while I go shopping dear?" or "I saw your car in the drive and thought you might want to come for a round of golf". It's just a matter of educating everyone to understand that you really are still at work. Another important issue is the impact of your constant presence at home on your domestic spouse ie: home Dad or Mum. I can tell you from personal experience that after twenty years of having the house to herself between 8am and 4pm, my wife did not at all appreciate my intrusion. In the first six months every cent I saved in travelling was spent by my wife in shopping or visiting friends. Similar experiences have been widely documented.

A dedicated home office with a closed door is the best solution. Another vital issue is, don't forget to switch off. All too often the convenient access to their work place causes many teleworkers to become tele-workaholics. This might suit your client/employer but can cause resentment from your family and the ultimate failure of your telework career. Learn to switch off and be flexible. Some nights I work till midnight, but some days I spend a couple of hours kicking the ball around with the kids or maybe take my wife to lunch. Flexibility is what teleworking is all about.


Freelance Teleworkers

The easiest way to succeed as a freelance teleworker is to take your work with you ie: if you are doing a job on salary - ask to go onto contract and telework it.  However, if you are starting from scratch then the issues for you are exactly the same as for any other small business starting up. You have to identify your services and the market, then sell, sell, and sell some more. Don't expect business to come knocking at your door. Here are some ideas that might help you get started.

Training

Another important issue for the freelance teleworker is the importance of maintaining the currency of, and the further development of your skill level. The internet is a fantastic resource for many people. You can research current publications or join forums with other people in your line of work. I personally use chat groups regularly to get ideas or suggestions on problems I encounter.

Try to budget for conferences and trade shows. These not only keep you up to date, but the personal networking can be invaluable. You can also consider submitting abstracts to present papers. This way you get to call yourself and expert, attend for free and you may even get your fares and accommodation paid for.

If you are looking to enhance your non-core skills you should consider an Adult & Community Education style short course. These courses are always very reasonably priced, and short in duration. Don't say, "I'm too busy to do a course. I have met so many people, who waste hours every week due to their poor PC skills but are too busy to put aside 12 hours over a few weeks. A small investment which could improve their productivity enormously.

Legal Issues Professional Indemnity

It is vitally important that you recognise your personal exposure to litigation for failure to provide the agreed service on time, to specification or to an acceptable standard. Failure on your part, to do so can be very costly. Years ago I knew a truck mechanic who repaired an engine for an interstate carrier. The cost of repairs were something like $12,000. A few months later the truck engine blew up and the repairer was sued and lost the case. He not only had to refund the $12,000 but he also had to pay the new repairs plus cost of a leased replacement while the truck was off the road, the carriers loss of business and of course legal fees. The mechanic lost his business, his home and his reputation. What do you get when you cross a lawyer with a demon from hell?....Another lawyer.  Professional Indemnity is really necessary if you are offering any business critical services. This includes all consultancy advisory type services, computer programming, systems analysis, web design, web hosting and even training. All other services still have exposure if you fail to deliver on time or take adequate care of client's property. It's not just big jobs that can go dreadfully wrong. Imagine you win a job to generate a genealogy for an old and distinguished family. While working on the project, your loving spouse spills a full pot of hot coffee on a pile of 200 year old birth certificates.........get the picture?


Issues for Teleworkers and Telecommuters

The Taxman

It is possible that certain expenses incurred in running a home office can be tax deductible for the individual teleworker however, be very careful not to render the family home subject to CGT. There could be implications for FBT for an employer and again professional advice is required. 

Occupational Health & Safety

The home is a dangerous place. Sharp implements, obstacles and countless traps such as skateboards and joggers. Seriously, you have to ensure that you are operating in a safe working environment. The following information is from the National Occupational Health & Safety Commission. Check for:

Equipment, Layout And Design Considerations In The Office /h4>

Computers, which are poorly placed - for example in a position that causes screen glare from reflected lights or not at the correct height for the user - can contribute to OOS (Occupational Overuse Syndrome).

Keyboards which are not adjustable for height or placement and badly designed mouses can add to the strain associated with constant keyboard use. Keyboard work should be alternated with other non-repetitive tasks throughout the working day to relieve strain. Devices to assist keyboard work, such as document holders, wrist rests, angle boards, and footrests should be supplied if required. Training in basic typing skills can reduce the incidence of neck strain caused by continuously looking down at the keyboard. Regular exercise breaks should be taken. Adjustable desks and chairs to suit individual needs should be supplied. Heavily used photocopiers may require isolation and adequate ventilation as they have parts which heat and produce potentially toxic fumes. Disposable gloves should be used for handling toner.

Setting up your office

First and foremost, if you are not comfortable you just won't perform well. You need a work-space that is well aired, well lit and preferably with a window with a nice view. My own office overlooks our back yard and the paddocks around us. Far from being a distraction, my ability to gaze through the window helps clear my thoughts and improves my concentration. 

Ideally you should try to designate a permanent space devoted exclusively to your office/work area. Without this work-space it will be much more difficult to become and stay organised. You have to create a psychological distinction between your home-life and your work-life, not only for yourself but also for your family. They must understand that when you sit down at your desk, you are "working" and not "playing" with your PC. When you have a designated area you can switch into "work mode". If you can shut your home life safely outside the closed door, you'll find yourself more focused and productive.

Not all homes have an extra bedroom. Don't worry, there are other options. At a pinch corners, under the stairs or maybe you only occasionally use your dining room or laundry room. In any room, screens or bookshelves can help define your work space, in addition to muffling outside noise. Once you have claimed your space, make sure that everyone understands and respects your claim.

Equipment

Plan carefully for equipment purchases. Just because your last employer used XYZ brand does not mean that XYZ will be best for you. I recently came across a lady who had used lets call it ABC transcription equipment virtually all of her working life. When she went out on her own she naturally purchased ABC, including a PC based transcription suite. Now ABC is an excellent quality product and it comes at the top end of the price range. Unfortunately, like so many other transcription systems, it is not widely compatible with other systems. So when she was offered regular work based on XYZ files, she was confronted with the need to spend a further $480 on an XYZ system while her ABC equipment simply aged in the cupboard. If possible do some market research. Try to find out what your potential clients are most likely to need.

Your Computer

My computer used to be a major expense but now I buy a new one roughly every 18 months. If you are not particularly au fait with all the current jargon, maybe it's time to do a short course. Talk to colleagues who have similar technical requirements. I don't recommend that you ask your next door neighbour as you have no real idea what their needs or expectations were when they purchased. I also don't advocate buying the latest technology, unless your requirements are very intensive. You will pay twice the price and in six months it's old hat anyway. Buy the power you need today and be prepared to replace or upgrade on an annual basis.  My home office PC used to be a bit like my grandfather's hammer. He had it for forty years and only replaced the handle four times and the head twice.  Now I only use a laptop with external keyboard, mouse, and 160GB backup hard drive (cost $99) and I also have an additional flat screen connected providing me with two simultaneous good quality low powered monitors.

Should I buy a Mac or Wintel, well it's up to you. One way or another, most of the computer world is tied into Microsoft. Being a Mac owner is like being a Hindu in the Vatican, something of a minority. And before you start emailing me all the of the arguments for using Macs over Windows¦..I know, I was a devoted Mac user for years (like 10 years) and I hate, no loath Windows. I know that Macs can do everything (well many things) better. But, the truth is, with the possible exception of the graphic arts sector, trying to telework with a Mac will limit your opportunities. So be warned. 

Finally shop around. Models change so quickly you can easily be caught with an out of date machine. Be prepared to use your PC as another office consumable or else buy from someone you trust and be prepared to pay a premium for good support or after sales service.

Broadband

Shop around and really don't just sign up with Telstra unless you own shares.  There is an excellent web site at http://www.whirlpool.net.au/ that can help you with comparisons and availability.  My suggestion is get the best you can afford.  Avoid plans that lock you in because the technology is moving so fast - keep your options open.  Be very wary of data charges some providers like our friends beginning with T actually charge you for data coming in and going out.  Look for providers who offer the capacity you require as in incoming data only.  For typical business use with no graphics, sound or video files 1GB per month should be sufficient.

What's with the Big Numbers

Bandwidth is just like a pipe coming into your house.  The bigger the pipe the faster you can go. But just as water flows through a garden hose at different rates depending on how much you open the tap, data can be restricted by many influences outside of your control. But bigger is nearly always better.

Imagine that this is a dial-up modem pipe   well this is a 256k ADSL pipe  

and this is a 1500k
while this is an 8000k

Your Telephone Service

Look into VoIP and look closely - set up properly it is fantastic.  My rental and call costs have dropped to 30% of what they were and I have more features than ever.  But beware not all providers offer good (sometime no) service.  You will find lots of good advice on  http://www.whirlpool.net.au/  or I am happy to share my experience with you.


Conclusion

I hope this provides some useful insight and starts the thought process.  If you are a small business or self employed you can basically run with idea and learn as you go and of course I am always available for a small fee.  If you are a large organisation then a great deal more planning is required. In my opinion if you just test it here and there you will get very mixed results.  At best you might find it works well and all went smoothly.  At worst half of your best staff will resign and most of your managers will feel discredited by the process.

Telecommuting can refresh your business by giving your employees flexibility with little or no cost to you or them.  This can give your staff more job satisfaction and help in retaining them.  It doesn't work in all offices, for a wide range of reasons.

Teleworking isn't for everyone, either workers or employers, in fact in terms full time telework, maybe as few as 10% of all people who would like to telework, are actually suitable. The trick is finding them.

Andrew Hunter
Managing Director
KeyChange

 © Andrew Hunter - KeyChange