One of the major trends in business is a move toward virtual workplaces. This is an arrangement where employees operate remotely from each other and from managers.
Advantages of a virtual workplace
- Reduced real estate expenses
- Increased productivity
- Higher profits
- Improved customer service
- Access to geographically broader markets
- Environmental benefits
- Forces managers to focus on output measurements
Disadvantages of a virtual workplace
- High setup and maintenance costs
- Loss of cost efficiencies
- Loss of learning and organizational knowledge
- Cultural problems and conflicts
- Feelings of isolation
- Lack of trust
- Not suitable for many tasks
See also: Virtual Teams
Reference: Cascio, Wayne F. (2000, August). Managing a Virtual Workplace. Academy of Management Executive. pp. 81-90.
© Copyright 2000 Raymond S. Kulzick. All rights reserved. 000905.
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