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Flexible working based on IT

Flexible working based on IT



visit here for other reports, http://www.digieco.co.kr/KTFront/report/report_technical_list.action?board_id=skill&kind=a01

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    Flexible working based on IT Flexible working based on IT Presentation Transcript

    • Flexible Working based on IT
      [Table of Contents]
      1. What is Flexible Working?
      2. Today’s Flexible Working introduction cases
      3. KSF of Flexible Working
      4. Appendices
      April 8, 2010
      Seon Yeo Mi, Kim Hak Kyun
    • Contents
      What is Flexible Working?
      1. Introduction of Flexible Working
      2. Concept and definition
      3. Types of Flexible Working
      KSF of Flexible Working
      1. KSF of Flexible Working
      2. Successful implementation models
      3. Extraction of key factors
      Today’s Flexible Working introduction cases
      1. Foreign introduction case (1) US
      2. Foreign introduction case (2) Japan
      3. Cases in Korea
      4. Obstacles
      5. Related policies in progress
      6. Related systems and incentives
      7. Flexible Working and Green Life Practice Strategy
      1. Development of IT-based Flexible Working
      2. Changes after successful introduction
      3. Flexible Working introduction cases
    • With the environmental changes resulting from developments in IT field and spread of set of values which focus on quality of life, the change to flexible Working-Life Style is highly being promoted, and Flexible Working is standing out as a representative issue
      Ⅰ. What is Flexible Working? 1. Introduction of Flexible Working
      Background of Flexible Working
      • Changes in perception
      of work
      - Increased importance on
      welfare, health and culture
      • Appearance of
      IT-friendly workers
      • Diversification of
      employment form
      • Possible to use
      services anytime and
      "Government plans to introduce and actively promote
      'Flexible Working' system"
      [Press release of the Ministry of Public Administration and Security, Feb 16, 2010]
      • The Ministry(MOPAS) plans to introduce nine types of Flexible
      Working system in five fields (the system will be implemented
      in the whole administration in the second half of the year)
      Changes in
      Changes in
      Changes in
      perception of
      "Metropolitan Rapid Transit Corp. (SMRT) established 'Smart Office'"
      [Economic effect of mobile office establishment from Metropolitan Rapid
      Transit Corporation case analysis, KT Center for Economic and Management Research, Feb, 2010]
      • The operation cost 28.4 billion won was reduced for five
      years and 110 billion won-worth future innovation value
      was created
      Work Style Change
      Flexible Working-Life Style
      Locally dispersed
      Green Life
      in business
      "Korea to be the "global green leader" in Copenhagen Accord"
      - Reducing carbon emission by 30%, establishing a green
      research center, and hosting climate change conference in
      2012 were suggested
      - To achieve green IT
      • To reduce
      carbon emission
      • Movements of
      companies and public
      offices to local area
      - Outsourcing of various tasks
      • Increase of foreign market entries
      and of workloads in foreign country
      * U-Working standard reference model preparation and phased introduction project, National Information Society Agency(NIA)
    • Ⅰ. What is Flexible Working? 2. Concept and definition
      Flexible Working has been defined differently in many countries and organizations, but considering its characteristics, it can be defined as 'flexible working arrangements without restrictions of time and place based on IT'
      Concept of Flexible Working in Korea, US and Japan
      Press release of MOPAS in Feb 16, 2010
      “Flexible Working system allows employees to free
      themselves from stereotyped working arrangements
      and flexibilizestheir commute times, work places, and
      working arrangements”
      Definition of Flexible Working by BT
      To work at home, on the road or other appointed
      places through internet and teleworking equipments
      * refer to BT.com
      Telecommuting, Telework and Remote Work
      is . . .
      at work place which reduces or removes
      commuting burden on a regular basis
      US Public Law
      [the Ministry
      of Internal
      Affairs and
      which removes restrictions in time and place
      through IT
      Intelligence Service]
      outside one's office through telecommunication
      to conduct all one’s job or part of it
      IT Time Place
      flexible working arrangements
      Flexible Working means flexible working arrangements which removes restrictions of time and place through IT
    • Flexible Working can be classified, according to flexibility of time and place, into four types
      which are Flex time, At-home work, Telework center, and Mobile work1)
      Types of Flexible Working
      Different Time
      1. Flex time
      - Staggered Shifts
      - Alternative work schedule
      - Compressed work
      - Discretion work
      - Core time
      - Part-time work
      - etc
      traditional working
      Same Time
      Ⅰ. What is Flexible Working? 3. Types of Flexible Working
      1. Flex time
      • The office is designated, but employees work
      according to their life patterns without restriction
      of time
      4. Mobile work
      - Using mobile devices
      3. At-home work
      2. Telework center
      • Employees work at a communal center with no
      designated personal seat or at public work center
      located near their homes
      - Mobile office of IBM Korea
      3. At-home work
      • Employees work at home using telecommunication
      network, which is a traditional telework form
      - Introduced by KOIS/KOID, Korea IBM and Korean
      Intellectual Property Office(KIPO)
      2. Telework center
      - Satellite office
      - Smart office
      - Spot office
      4. Mobile Work
      • Employees work without restrictions of time and
      place using remote work equipments as needed
      - NTT Communications established web connect
      support center
      1) The MOPAS classifies Flexible Working into five fields and nine types according to place, time, method, dress code and complexion. (Press release, Feb, 2010)
    • Ⅱ. Today’s Flexible Working introduction cases 1. Foreign introduction case (1) US
      The US introduced Flexible Working in public sector first, with federal support. The US also
      implemented supporting policies such as establishing telework centers and education programs to promote Flexible Working in private sector as well
      Public sector's Flexible Working introduction in the US
      Spread of Flexible Working in private sector in the US
      • Establishing teleworkcenter
      • GSA established fifteen teleworkcenters in Washing DC in 2009
      • Charging $40~62 fee per day to private companies
      • The Federal Government introduced Flexible Working through
      co-operative homeworking pilot project for the whole administration
      • In the beginning of the project, the main factors of spread were
      popularization of internet, increase of transportation cost, and
      people wanting better work-life balance
      • The number of workers benefitted from Flexible Working program
      was 94,643 in 2007, which was less than 110,592 in 2006.
      However, the number of Flexible Working program increased
      in federal offices except for the Department of Defense
      • Among Flexible Working workers, 38% of them use the
      program at least once a week in Nov. 2008. The target is to
      increase participation rate to more than 50% of staffs in GSA by
      - GSA and the Ministry of Personnel Management published
      reports about current state of Flexible Working program within
      Federal Government and reported it to the Congress annually since
      < Change of the number of remote workers in the Federal Government of the United States (unit:
      • Support and publicity channel
      • GSA and the Ministry of Personnel
      Management have offered official
      Flexible Working website, database,
      manager and worker education
      programs since 2008
      -The number of workers who participates
      in Flexible Working program in the US
      was 34 million at the end of 2009,
      which increased by 17% compared with
      2006. The number is expected to
      become 63 million(43% of total workers
      in the US) in 2016
      Adult Population in the US
      (unit: million persons)
      Full time(5days/week)
      Temporary(Less than
      1) Green SW technology and market trend_virtualoffice field,
      Korea Venture Business Association Corp., Dec, 2009
    • Japan implemented many incentive policies such as tax cuts and guidelines which were based on public sector's Flexible Working introduction cases to spread Flexible Working system into
      private sector
      Ⅱ. Today’s Flexible Working introduction cases 2. Foreign introduction case (2) Japan
      Public sector's Flexible Working introduction in Japan
      Spread of Flexible Working in private sector in Japan
      • Plans for telework dissemination
      - Establishing telework counseling center and support channel
      • Developing telework security guideline
      • Setting up telework utilization program for pregnant or parenting women,
      the elderly and the disabled
      • Introducing tax breaks for companies to adopt telework system, which
      reduces fixed assets tax on telework equipments to two-third for five
      years (extended from Apr. 2009 to Mar. 2011)2)
      • Promoting the system in private sector through telework centers of the
      Ministry of Lands, Infrastructure and Transportation (MLIT)
      • In 2007 Japan introduced telework system into the whole government body first and spread it to private sector with IT and Telco as the central figures
      - Japan's goal in this project was to solve decreasing working
      population problem caused by low birth rate and aging
      society. Japan established action plans to double their
      telework population in 2007
      Double teleworker ratio by 2010 compared to 2005
      (20% among the working population)
      • Establish telecommunication system
      - thin client system test, tax breaks to teleworking
      •Create system and environment for Flexible Working
      - Private sector: At-home work guideline development
      - Public sector: Shortened work
      - Pilot introduction to the whole administration in 2007
      • Implementing shortened work and telework among the
      • Implementing shortened work system in local governments
      • providing information such as telework practice or policies
      plan in
      • Japanese Ministry of Health, Labor and Welfare suggested
      guideline for applying Labor Standard Laws, Industrial Safety
      and Health Law, and Accident Compensation Insurance Law to
      protect teleworkers' rights and interests
      1) Re-illumination of telework based on IT and policy issues.
      Vol.7 (Aug, 2009), National Information Society Agency (NIA)
      Source: Research on telework population in 2008, Apr, 2009, MLIT
      Note : Teleworkerratio: The number of teleworkers / Workers ages 15 and above
      2) http://japan.cnet.com
    • Ⅱ. Today’s Flexible Working introduction cases 3. Cases in Korea
      Although Korea has world first class IT infrastructure, domestic Flexible Working introduction rate is no more than 0.8%
      Introduction of Flexible Working in Korea
      - In terms of industry, Flexible Working is applied in the order of publishing, media business and information service(4.4%), wholesaling and retailing(3.1%), and electricity and gas industry(2.9%). Most of flexible workers are estimated to be freelancers, professionals and part-timers
      • Introduction of Flexible Working in Korea
      • A few companies tried introducing Flexible Working since late
      1980s, but it has not yet been activated due to expenses, technical
      problems, face-to-face communication culture and lack of
      • Flexible Working in Korea is still in the beginning stage, although
      Korea has world first class IT infrastructure and 77.2% of Korean
      are internet users. Also Korea is holding the second rank in UN e-
      participation index 1)
      • Ministry of Information and Communication(MIC) recognized u-
      Working as a key service in Broadband Convergence Network(BcN)
      and tried to introduce it into public sector and subsequently into
      private sector, but failed to generalize
      • Flexible Working company has increased by 0.2% to 0.8% in Apr.
      1st 2009 from 0.6% of NIA research in Dec. 2008, but still Flexible
      Working has not been diffused in Korea
      media business and
      information service
      Electricity, gas and water
      supply service
      wholesaling and retailing
      ※ 6 major industries among 17 industry fields
      • The number of Flexible Working companies has showed slight rise
      since 2008
      Introduction time of Flexible Working 3)
      (unit: company, %)
      Section Total Before 2006 2006 2007 2008 2009
      Introduction of Flexible Working in Korea 2)
      Total number of
      Flexible Working companies
      1) Homeworking activation plan for the seriously disabled, Research report of Korea
      Employment Agency for the Disabled(KEAD), 2006
      2) Research on teleworking in companies and factors affecting its results, Lee Sung Ki,
      PhD of SoongsilUniv, 2009
      3) Seven companies which implementing at-home work and mobile work simultaneously are
    • Ⅱ. Today’s Flexible Working introduction cases 4. Obstacles
      The obstacles in dissemination of Flexible Working in Korea include initial cost burden, negative perception within organizations and institutional inertia
      initial cost burden
      Technical problems
      Negative perception
      Institutional inertia
      Obstacles in introduction of Flexible Working
      • initial cost burden of F/W introduction
      • BT invested 650 pounds on internet access, mail forwarding
      equipments and office supplies per flexible worker
      • Upgrading equipments, purchasing laptop computers and
      mobile devices costed IBM Korea 10 billion won
      • Concerns for F/W introduction index was suggested in order of cost, technological problems, negative perception, institutional inertia (NIA research)
      • cost 4.11, technological problems 3.73, negative perception 3.38,
      institutional inertia 3.25 (out of 5 points)
      • Threats to business security from external access
      - NTT Data rented separate 'Thin Client PC'
      • Corporate cultures in Korea
      • Samsung Electronics introduced Flex time, but it only
      resulted in heavier work burden due to the perception
      'overtime work = diligence‘
      • Ministry of Environment introduced voluntary
      participation, but no one participated
      • Lack of detailed regulations to promote F/W
      • Art. 58 of the Labor Standard Act includes regulation
      on discretion work, but there are no standards for
      protection of privacy, security, and industrial disaster
      ※ Japanese Ministry of Health, Labor and Welfare provides guideline about Labor Standard Laws, Industrial Safety and Health Law, and Accident Compensation Insurance Law through Labor Standards Bureau.
    • The Government announced a plan for Flexible Working introduction, which provides
      proper environment in public sector and subsequently spreads Flexible Working in private sector
      with a new council
      Ⅱ. Today’s Flexible Working introduction cases 5. Related policies in progress
      Flexible Working introduction in public sector and providing proper environment for the participation of private sector
      President's Council on Informatization
      • President's Council on Informatization Strategies announced Smart Office project for
      establishing IT-based, low-carbon working environment in Jan. 2010
      1. Establishing Smart Office
      • Planning to establish Smart Offices until 2010, 22 until 2013 in the major cities with
      funds raised from traffic impact mitigation fees
      2. Flexible Working spread plan
      • Establishing Government-wide Smart Office policy council and working group
      • MOPAS plans to introduce 9 types of Flexible Working system in public offices in 5 fields
      (Feb. 2010)
      1. Work style changes in the Government
      • Introduction and revitalization of flexible work arrangements according to the characteristics of
      • Classification of Flexible Working into nine types, such as at-home work, telework, part-time
      work, etc.
      2. Flexible Working spread plan
      • Planning to implement Flexible Working system in the whole administration and local
      governments from the second half of 2010
      • NIA suggested social and economic effect in its Green Life Strategy_Telework Based on IT
      • NIA re-illuminated Flexible Working, published research report and also held forums on keynote
      of Green Life Practice during the last two years
      ※ National Intelligence Service(NIS) was opposed to Flexible Working introduction due to security concerns.
      Green IT Project Department
      Green IT Project 2020 Task Force
      1) Smart Office: IT-based office which allows employees work at remote place without going to the main office. Also known as Smart Work Center or Telework Center.
    • According to its plan, the Government is planning to enact detailed regulations and promote
      spread of Flexible Working in private sector, achieving general consensus on the issue
      Ⅱ. Today’s Flexible Working introduction cases 6. Related systems and incentives
      Spread plan of Flexible Working
      Institutional base
      • Green Life Practice Strategy and utilization plans for
      the spread of Flexible Work
      • The Government needs to actively deal with the recent
      expansion of carbon emissions regulation
      • Korea is ranked 10th carbon emission country in the world
      and is being suggested 30% reduction target compared
      to expected emission levels in 2020
      • Incentive plan for Flexible Working companies is in
      progress to reduce carbon emission levels of companies
      and buildings by 10% until 2012
      • Carbon emissions are going to be set as a new standard
      for incentive and penalty in budgetary allocations for
      local governments
      • There are comprehensive legal basis for Flexible Working
      in current laws, but no detailed guidelines
      • Detailed guidelines on different issues including protection
      of privacy, security, and industrial disaster are required
      which can be supplemented by the labor laws
      • For revitalization in public sector, concrete guidelines
      are required in Electronic Government Act and its
      Enforcement Ordinance, and the Public Service Regulations
      • Tax breaks and incentives are required for the promotion of
      Flexible Working
      • Positive national consensus about Flexible Working
      introduction and its relativity with low-carbon society
      development are required
    • The Government announced 'Greenhouse Gas Reduction Master Plan' which is a strong energy saving policy, and is going to reduce greenhouse gases with concrete and practical actions
      Ⅱ. Today’s Flexible Working introduction cases 7. Flexible Working and Green Life Practice Strategy
      Greenhouse gas reduction measure 2010 for achieving carbon emissions reduction target
      • Flexible Work is a core plan to achieve energy saving target, which is the key factor in Green Policy 2010
      Strong energy saving policy Greenhouse gas reduction target
      1. Expanding energy-greenhouse gas target levels
      • Suggesting reduction target and time period by industries
      • New target level for business areas using energy over
      500 thousand TOE from the next year, and business
      areas using energy over 50 thousand TOE from 2011
      2. Financial support and tax breaks for greenhouse gas reduction
      • Intensifying support for carbon emissions reduction of
      3. Institutional support for greenhouse gas reduction
      - Using video conference system
      - Smart Office
      1. Improving energy price system
      • Interlocking electricity price based on
      price fluctuations of raw materials from 2011
      • Interlocking city gas price with price fluctuations
      of raw materials from 2010
      2. Energy management system
      • Pilot test in ten industries including the steel and
      cement industry
      • Implementing building/business area energy target
    • KSF standard need to be established so that variances in Flexible Working introduction
      including individual, work, organization and environmental circumstances can result in
      successful outcomes for the entire society
      Key Success Factor
      Ⅲ. KSF of Flexible Working 1. KSF of Flexible Working
      Results of Flexible Working
      • F/W Creates bigger synergy effect
      differentiated from performances
      of normal companies
      Individual factors
      Environmental factors
      Work/task factors
      Organization factors
      Work & Life balance
      Productivity improvement
      Job creation
      Low-carbon green growth
      -Work attitudes
      -Commuting distance
      -Independent workplace
      -Commuting convenience
      -Family responsibility
      -Specialty of task
      -Importance of task
      -Task concentrativeness
      -Face-to-face contact with
      -Group work
      -Performance evaluation
      -Education and training
      -Institutionalized Flexible Working
      -Frequency of Flexible Working implementation
      -Technical support
      -Flexible Working place
      -Improved autonomy and satisfaction at work
      -Decreased working hours/cost/stress
      -Reduced Office maintenance cost
      -Increased productivity
      -Reduced Employment and training cost
      -Guarantees high quality work force
      -Flexible work force management
      -Offers chance to women,
      the elderly and the disabled
      -Energy saving
      -Reduced environmental pollution
      Voluntary choice of
      Flexible Work arrangements
      Variables in Flexible Work1)
      • Individual/organizational/environmental factors
      can influence implementation of Flexible Work
      as variables
      1) Research on teleworking in companies and factors affecting its results, Lee Sung Ki, PhD of SoongsilUniv, Dec. 2009
    • KSF of Flexible Working is defined, as 1) IT infrastructure, 2) positive organizational/cultural
      perception, 3) work processization, and 4) job restructuring, based on domestic and foreign
      cases such as that of BT and IBM
      Ⅲ. KSF of Flexible Working 2. Successful implementation models
      IT infrastructure: Wired and wireless telecommunication services and security service as the institutional basis
      Organizational/cultural change: Education program to change perceptions and based on incentives performance
      Processized work form: Work management process by task or project based on clear role assignment
      Job restructuring: Improving work efficiency and specialty through task classification by characteristics of the tasks
      Major features of F/W in BT
      • BT established BT Working Style as a successful business model
      on the foundation of technical/experiential know-how
      Home-based telework group
      Performance management
      Personnel management and service
      F/W framework of IBM
      • IBM developed the Smart Flexible Working model which
      connects and combines organization/individual/culture,
      technology infrastructure and work process organically
      Process &
      Technology &
      • Support system which enabled Working
      • Numerical targets assigned to each project
      • Objective performance assessment
      • Authorization for project manager to assess performances
      • Industrial disaster insurance for homeworking
      • Stronger CSR by green management reference
      • Making solution as a business model
    • To make coherent organization and improve work efficiency, the members of the organization
      should be able to communicate and work regardless of time and place
      Ⅲ. KSF of Flexible Working 3-1. Extraction of key factors – IT Infrastructure
      Key factors
      • Seamless wired and wireless network for ensuring real-time working
      - BT provides MobileXpress software
      - IBM offers VPN service at home
      • Enterprise portal which provides UC-connected information
      sharing and collaborative work solutions
      - IBM provides a groupware(Lotus Notes)
      • Samsung group provides intranet "mysingle" which supports
      various web and mobile devices
      - NTT Data has collaborative work solution "Nexti"
      • Seoul Metropolitan Rapid Transit Corp.(SMRT) provides
      smartphone-based "UTIMS"
      ※ UC(Unified Communication) market is expected to grow by
      33.7% from 555.1 billion won in 2006 to 742.2 billion won in
      2010 1)
      • PC and mobile devices which enable fast and immediate work
      • SMRT, Korea Meteorological Administration(KMA), Ulsan
      National Institute of Science and Technology(UNIST), Kolon etc.
      are planning to expand FMC terminal adoption
      1. IT Infrastructure
      • Check Point
      -Well-developed communication network, communication costs,
      and development of collaborative work tools
      1) Recent u-work trend, National IT Industry Promotion Agency, Sep. 2009
    • Key factors
      • Horizontal organization structure to minimize reporting procedure
      • IBM Korea established horizontal organization structure with
      People Manager system
      • Education program regarding Flexible Working and regularized free
      discussion on problems and effects
      • IBM is planning on continuous education to encourage the employers
      and managers to accept Flexible Working system
      • Expanded online channel based on collaborative work solutions
      including e-mail, BBS, video conference, etc.
      • NTT Data converted to online reporting system, through which each day's
      work plan and results are submitted
      • BT reduced 859,784 meetings a year thanks to video conference
      • Flexible selection and operation required according to the organization culture
      of voluntary selection and coerced action
      - NTT Data introduced F/W owing to employees' proposal
      • IBM, NEC and MS Japan designated the minimum days of
      homeworking in a top-down way
      • Clear performance management system with quantified performance
      estimation of each employee.
      • BT set KPI based on individual role and responsibility and has
      offered reasonable incentives
      • IBM makes action plan with quantified individual targets in the
      beginning of each year
      Ⅲ. KSF of Flexible Working3-2. Extraction of key factors – Organizational/Cultural Change
      Education program to change perception, motivation based on clear incentive system and flexible work
      force management are the most essential elements, especially in Korean business environment in which face-to-face communication culture is predominant
      • Check Point
      • Human resources management system, including personnel,
      compensation, welfare, centered around internal workers
      • Face-to-face communication culture and controlling attitudes in organizations
    • Task management, responsibility and authority assignment, employee qualification etc. need to be processized to ensure completion and productivity at work, regardless of time and place
      3. Work
      Ⅲ. KSF of Flexible Working 3-3. Extraction of key factors – Work Process
      Key factors
      • Work processization is required for task completeness
      • IBM Korea specialized designated tasks by position and project
      -BT codified all projects so that they can be more
      connected to individual tasks
      • Qualified personnel search process for suitability and
      continuity for work
      -IBM Korea supports qualified personnel search system
      through "Find Expert" program
      • Clarifying authority and responsibility so that they can
      be transferred flexibly among the personnel using
      "authority-responsibility system"
      -POSCO creates authorities and responsibilities table
      for each project
      • Check Point
      • Unclear authority and responsibility, which hinder task
      • Work by personal experience and customs rather than
      by qualified personnel
    • Differentiated forms of Flexible Working according to characteristics of the work is required to improve commitment and productivity and to provide flexibility in organization structure
      Ⅲ. KSF of Flexible Working 3-4. Extraction of key factors – Job Restructuring
      Key factors
      • Selection of work groups which can achieve the target of
      Flexible Working
      • Kois/Koid have 230 and 400 homeworkers in call center
      services respectively
      • Samsung Anycar reinforced mobile office education for
      sales staffs
      • Ministry of Environment failed to maintain Flexible Working
      due to the compulsory participation regardless of job positions
      • Differentiated Flexible Working type by job characteristics
      • About 400 patent examiners(70%) working for Korean Intellectual
      Property Office(KIPO) work at home two or three times a week
      • BT provides work arrangement options including homeworking,
      partial homeworking, telework center, flexible work time
      • In IBM Korea, sales staffs can choose among telework center,
      mobile office, or flexible work time. Consultants can choose betweenhomeworking or mobile office, and internal workers can choose
      between partial homeworking and flexible work time
      • Plan to make transfer of responsibilities and authorities flexible
      • Woongjin introduced coordinator system for flexible authority
      and responsibility at work
      • Internal job posting for improving job selection and specialty
      - IBM Korea posts 10% of its jobs internally every year
      4. Job
      • Check Point
      • Perception that Flexible Working is just related to IT
      infrastructure establishment and have nothing to do with
      work position
      -Complexity of job management caused by Flexible Working
      • Variables include each employee's ability to use IT and
      control Flexible Working, motivation for Flexible Working,
      home-based telework environment, etc.
    • As the economic structure and working environment change due to the development of IT,
      traditional homeworking system also developed into the mixture of homeworking and telework
      center, which combines homeworking, telework center, and mobile telework
      [Appendix 1] Development of IT-based Flexible Working
      [Change of IT environment and development of Flexible Working development]
      IT popularization
      "Enjoy IT“
      "Live by IT“
      *Digital convergence
      *Broadband network
      *Internet information appliances
      *Smart phone
      IT advancement
      “Do IT"
      *Wireless Internet
      Reconstituted from Discussion on Preconditions for Spread of Telework,
      The Korean Association for Regional Information Society Journal, Vol. 9 No. 2
      Home working
      Telework center
      Mobile telework
      Combined with
      other management patterns
      working pattern
      Working place
      Use of telecommunication1)
      Personnel management
      Traditional homeworking
      alternative work schedule
      Only workplace changed
      alternative work schedule
      Diversified workplace
      1) Teleworkers show higher adoption rate of IT devices such as network, computing technology
      and smartphones than common workers_refer to US Telecommuting Forecast, 2009 to 2016,
      Forrester, Mar. 2009
    • Despite the initial obstacles, Flexible Working has created immediate effects such as
      cost saving, higher productivity, job creation, higher satisfaction of work and life, and
      society-wide green IT effect
      [Appendix 2] Changes after successful introduction
      • The most important value in work is
      work-life balance (Samsung Economic
      Research Institute)
      • France and Sweden has invested about 3%
      of GDP into supporting the compatibility of
      family and work
      • Flexible work arrangements enabled more
      time for self-development and leisure
      • Operating cost reduction
      -BT Working Style: saved 0.95 billion dollars
      annually(1993-2006) as workspace has been
      • IBM Korea Mobile Office: reduced workspace
      by 50% and saved 2.2 billion won annually
      • Higher productivity
      • Companies such as BT and BestBuy exceeded
      their targets by F/W
      Work-life balance
      Cost saving &
      higher productivity
      Job creation
      • Alternative low-carbon working environment
      through commuting traffic reduction
      -Sun Microsystems: reduced 29,000 tons of
      CO₂ emissions
      -BT: reduced 927,369 tons of CO₂
      emissions per year
      •Job opportunities for disadvantaged people
      including parenting women, the elderly and
      the disabled
      • The Japanese Government established
      teleworking system due to low birth rate and
      aging of population
      • United States Patent and Trademark Office
      (USTPO) employed 1,200 new patent
      examiners in 2006 and 2007
    • Draw selective condition of each task for successfulintroduction of Flexible Working through
      cases of government institutions: Success of Korean Patent Office and failure of the Ministry of
      [Appendix 3] Cases of Korean Intellectual Property Office(KIPO) and the Ministry of Environment
      KIPO Ministry of Environment
      (Introduced in 2006 -> Continuing operation as of 2010)
      • To utilize idle manpower and improve concentration
      at work
      • Homeworking department : applied to the entire
      • Scale of operation : 41 homeworkers with one in each
      department in 2008 -> when converted to voluntary
      participation in 2009, no one participated
      • Application requirements : Headquarter officials of 5th
      grade or below regardless of positions, depending on
      job characteristics and circumstances.
      Recommendation from the head of the department
      (2 days per week)
      • No appraisal tools contrary to KIPO
      • Check attendance at the beginning and the
      end of work
      • Utilization of idle manpower including the disabled and
      the housewives
      • Energy saving at the time of high oil price and
      greenhouse gas reduction
      • Compulsory allocation which excluded job restructuring
      • Disregarded introduction of management process
      (Introduced in 2008 -> Failed to maintain as of 2010)
      • To save workspace, attract outstanding workforce and
      improve welfare
      • Homeworking department : limited topatent
      examination staffs
      • Scale of operation : About 90 examiners are working at
      home out of 810 (10% of the whole
      personnel in KIPO)
      • Application requirements : No limits of job positions,
      but considers the distinct characteristics of the public
      service. Two or more years of work experience as an
      examiner is required to be an applicant (The applicant
      can choose to work at home 2-4 days a week)
      • Performance basically appraised by the result of
      patent examination
      • Commuter check at 9 AM and 6 PM
      • Saved some workspace(cost numerically not estimated)
      • Attracted outstanding workforce and improved
      efficiency/concentration of examiners
      • Saved social costs such as commuting costs and
      • Negative perception about homeworking of public
      • Frequent policy changes by superiors
      for introduction
      for introduction
    • Koid/Kois and SMRT are both Flexible Working companies in Korea. The former is operated
      based on the distinctive characteristics of call center service, and the latter recently established Smart Office for maintenance work
      [Appendix 4] Cases of Koid/Kois and SMRT
      Koid/Kois SMRT
      (Introduced in 2006 -> Continuing operation as of 2010)
      (Established Smart Office in Jan. 2010)
      •Initially : to increase job opportunities for the disabled
      Now : for employee welfare
      •Cost saving, higher productivity, more social benefits
      •Mobile work department : entire personnel
      •Scale of operation : entire personnel (6,500
      •Operation : Established mobile office with UTIMS(Urban
      Transit Infrastructure Maintenance System) for
      smartphones and improved work process(real-time
      task management, more accurate information
      processing, and support for multitasking of the entire
      personnel). Free calls within the company, direct
      commute to and from the field
      •Fast decision making by real-time task management
      and analysis of results (to be implemented)
      •Reduced work time by real-time task management
      (1 hour -> 28 mins)
      •Saved total 28.4 billion won of direct operating costs
      for five years
      •Created 110 billion won's worth of future innovation
      •net return on investment : 128.2 billion won (13 times the investment )
      •Cost 10.2 billion won(2.4 billion won a year) for
      installments of mobile devices and data charges
      for introduction
      for introduction
      •Homeworking department : 114 call center(only the
      night shift in Kois and both the day and night shift in
      •Scale of operation : about 230 representatives in Kois
      (17%) and 400 representatives in Koid(22%)
      •Application requirements : considers employee's
      ability to work alone and past performance evaluation.
      Over six months - one year of work experience
      •Support: VPN equipments for system access
      •Assess employees by call processing statistics and
      complaints frequency
      •Assessments of homeworkers and workers in call center
      were separated
      •Job satisfaction survey of homeworkers showed 90 points(out
      of 100)
      •The child-care problem has been improved and family
      satisfaction increased.
      •Inefficiency caused by excess costs for the establishment of
      homeworking environment
      •Communication problems due to delayed information sharing
      in the company
    • Samsung SDS’s introduction of mobile office starting from June 2009, is expected to be
      an opportunity for cost saving for the company and voluntary increase in productivity for
      the employees
      [Appendix 5] Case of Samsung SDS
      • Samsung SDS provided its employees with smartphones with Mobile
      Desk installed (June. 2009)
      • Reasons for introduction of Mobile Desk : higher productivity through using intranet of Samsung group(mySingle) with smartphones
      • Developed for working at all times without restrictions of time and
      place, cost saving and higher productivity
      • After pilot testing in the aspects of stability and usefulness, Mobile Desk was introduced to 2,800 general employees
      • So for, CEOs of the branch, executives of Samsung Electronics,
      team leaders and above Samsung SDS, were trying out the Mobile
      • Support : the employees purchase the smartphones(with partial
      support) and the company pays for the data charge from Mobile Desk
      • Samsung SDS, which developed the program, first began to spread
      the Mobile Desk to general employees
      -Security issue : No need to worry about confidential data leakage, as
      telecommunication services work just as routes and the company
      administrates the server. Password is required to access the intranet
      Samsung SDS
      Concept map
      of mobile office
      Possible functions
      • E-mail transmissions within
      the company
      • E-approval (real-time)
      • Personnel inquiry
      • Office messenger
      • Remote file management
      • Contact with management
      issues in the company
      Company server
    • [Appendix6] Case of BT
      BT made 'BT Workstyle' as a new business model with technical, experiential know-how of
      introducing Flexible Working
      Flexible Working in BT
      Effects of BT Workstyle
      • Higher productivity, cost saving and welfare
      • Flexible Working department : limited to sales
      department and call center service at the initial stage
      • Now the whole personnel can choose to work flexibly
      • Scale of operation : about 85% of 92,000 British
      employees are participating in Workingstyle project
      (11,600 employees among them are homeworking)
      • Operation : five options are provided including task
      sharing, homeworking, partial homeworking, telework
      center and flex time
      • Allocates individual targets and assesses the
      performance objectively
      • Estimates performance by task unit assignments in a project
      • Invested £650for internet access at home, mail
      forwarding equipment(PO Box) and office supplies
      • Converged IP Voice which supports VoIP and BT
      Fusion wired/wireless telecommunication service
      • Established hot-desking system for effective
      workspace utilization and touchdown2 facilities in
      foreign branches
      • Built ADSL, ISDN, PSTN, GPRS, 3G and Wi-Fi access
      through MobileXpress software
      • Making BT as a reference for the Green Management,
      and establishing it as a business
      • Homeworkers returned to the office due to decrease
      in sales
      Introduction of Options 2000 which regularizes homeworking
      Developed into office environment improvement and property
      management consulting business
      • Clients of BT Workstyle include Accenture UK, the Ministry
      of National Defense(MND), NHS24 Contact Center, Suffolk
      County Council, etc
      • BT introduced Flexible Working system called BT Workstyle in 1993
      Reasons for
      Benefits Contents
      • Higher productivity by 20-60% compared to office workers
      • Homeworking call center representatives helped customers better and
      showed 20% more responses
      • Sick leave rate decreased to 63%, 99% of returned to work after
      maternity leave (the industry average is 47%)
      • Absence without leave rate of homeworkers is 20% lower
      • Saved 0.95 billion dollars a year thanks to reduced workspace (1993-2006)
      • Saved 83% of operating costs per person
      • (employees working in London £18,000vs. homeworkers£3,000)
      • Saved 859,784 meetings per year thanks to video conference and reduced
      7.5 million kilograms of CO₂ emissions
      Higher job
      costs saving
    • IBM Korea and NTT Data are both successful Flexible Working companies, from which
      key factors, such as changing perceptions in the organizations and estimation of quantified
      individual performance, can be extracted
      [Appendix 7] Cases of IBM Korea and NTT Data
      IBM Korea NTT Data
      (Introduced in 2008 -> Continuing operation as of 2010)
      (Introducted in 1995 by Global IBM -> Continuing operation as of 2010)
      • To enhance welfare (Work & Life Balance)
      • Flexible Working department : the entire personnel in the
      legal department except for team managers
      • Scale of operation : all employees can choose to
      participate (more than 60% of them are working in
      mobile environment)
      • Operation : employees are classified systematically by
      their positions to work in five types of Flexible Working
      including staggered shifts, at-home work, permissive
      leaves with mobile office and part-time work
      • People Manager functions as a core in the horizontal
      organization structure
      • Support : invested 10 billion won for upgrading
      equipments, laptop computers and mobile devices (about
      5 million won per person)
      • Mutual trust and education in a top-down way
      • Continuous and corporate-wide 'Diversity' education to
      improve the perception of managers (the CEO
      participates in the education as an instructor)
      • Makes individual targets as an action plan through an
      interview at the beginning of the year and extracts criteria
      of quantified performance estimation
      • The head of the department and the managers assess the
      performance with individualized role and responsibility(R&R) by job positions
      • Saves 2.2 billion won per year thanks to reduced
      • Improves productivity and attracts outstanding workforce
      with higher employee satisfaction
      • Achievement of work-life balance
      • Flexible Working department : The entire personnel
      except for sales staffs
      • Scale of operation : now 300 workers are participating
      among the 8,500 employees
      • Operation : pilot introduction in Jul. 2006 & formal introduction
      in Feb. 2008, progressively implementing the system every three months without drastic changes of work style (work at home
      one day per week / maximum eight days per month)
      • Support : Established thin client environment by renting company
      PCs to homeworkers and have them use company SNS software
      called 'Nexti' to maintain internal security
      • Sets prescriptive standards by job classification and
      assesses the final results and the process together
      • Superior's approval is required
      • Maximizes self-discipline (answered by 76.6% of participants)
      • Improves work-life balance (childcare burden↓ family
      * referred from a postmortem research of NTT Data, Institute of
      Systems Science
      • Making its internal solution into an information security solution
      called Secure Collabo for sale
      Reasons for
      Reasons for
    • NTT Group planned to spread Flexible Working system to all affiliates to increase employment
      mobility without restrictions of age and physical disabilities, but now only NTT Data is
      maintaining Flexible Working system
      [Appendix8] Cases of NTT Group
      Flexible Working in NTT Group
      • Rented 'thin client' PC without storage unit to homeworkers and clarified homeworking tasks by job classification
      • NTT Communications has actively introduced teleworking through development of solutions such as Web Connect Meeting Center and Web
      Connect Support Center for the purpose of teleconference, SOHO and homeworkers, e-Learning, remote assistance and telesales, etc.
      - Web connect Meeting Center: for domestic and foreign teleconferences, working with external companies and collaborative homeworking
      - Web Connect Support Center: for remote assistance for clients, call center, telemarketing, etc
      Flexible Working in affiliated companies of NTT Group
      Homeworking with Web Connect Meeting Center
      - Document and application sharing
      • Collaborative work by POP or cooperative product making
      Type Contents
      • Scheduled to introduce Flexible Working to the entire 50,000 employees,
      which is the largest scale in Japan
      • Established security measures through thin client and NGN
      • Introduced Flexible Working since May. 2008 for pregnant/parenting/
      nursing employees
      • Better work-life balance and higher work efficiency are expected to be
      • Launched 'Work-Life Balance WG' for pilot test in Jul. 2006 and institutionalized it in
      Feb. 2008
      • Participants : About 300 employees except for sales staffs (3.5% among the entire
      8,550 employees)
      • Institutional limit : maximum 8 days per month(the developer save limited
      to one day per week)
      • Security regulations : teleworkers should work with rental PC in the thin client
      • Homeworking system : connected extension telephone lines based on VPN or IP to mobile phones
      * IT Media website in Japan
      NTT East Japan
      NTT Software
      NTT Data Center
      External staffs
      Tokyo branch
      West Tokyo branch
      Meeting /
      Questions & answers
      Chiba branch
      External staffs
      Yokohama branch
      * NTT Communications website
    • Japan began to introduce Flexible Working arrangements with telework popularization policy
      of the Government focusing on the global enterprises and conglomerate firms. Recently,
      telework has been spread around Japanese IT companies equipped with security management
      [Appendix 9] Cases of IT Companies in Japan
      Introduction and management of teleworking in Japanese IT companies
      • Since 2000 , when IBM Japan first introduced teleworking, it continued to spread around IT companies and telcos
      Company Contents
      • Introduced homeworking to the entire company in Jul. 2008 and implemented it for 20,000 employees(90% of the
      entire personnel)
      • About 2,000 employees have participated in homeworking from Jul. 2006 to Jun. 2008
      • Excluded new employees, production employees and employees who deal with confidential information such as
      customers’ personal information
      • Employees can work at home one day per week with the approval of their superior
      • A homework has to use VPN or thin client PC, which prevents remote access and leaking/saving information
      • Introduced teleworking system in 2007 and expanded the target range in Aug. 2008
      • The initial homeworking system was for parenting/nursing/disabled employees
      • Employees can work at home two days per week after one year of work experience with no practical limits
      • Implemented homeworking for 30,000 office workers among 76,000 domestic employees
      • After pilot test for 1,000 employees in 2006, formally introduced homeworking in 2007. The number of homeworkers
      exceeded 5,000 as of the end of 2008
      • Introduced homeworking system for the whole 6,000 employees since Nov. 2007
      • The majority of applicants was parenting female employees at the beginning stage, but now male employees are also
      working at home for sports or hobbies
      • Introduced teleworking for pilot test in 2006 by employees' proposal, and formally implemented it since Feb. 2008
      • Employed 32 severely disabled persons as part-time workers and assigned web design tasks to work at home
      • Enabled real-time communication through web camera
      MS Japan
      HP Japan
      NTT Data
      OKI Workwell
    • The Government need to establish strong policies to achieve Green Lifestyle of lower costs and higher efficiency through the introduction of Flexible Working on the basis of the best IT
      infrastructure in the world
      [Appendix 10]Green effects of Flexible Working
      Green effects of Flexible Working
      • Social and economic effects when an office worker works at home one day per week (annually)
      - 1.11 million tons of carbon emission are saved if all 8.6 million office workers in Korea work at home one day per week
      - 1.6 trillion won of traffic expenses(185,760 won per capita) and 69 hours and 36 minutes are saved
      Carbon reduction effect
      Reduction in
      cost of
      of cases1)
      Saved commute time
      amount (ton)
      Pine tree
      1,030 133 48,000 665 66,500 185,760
      Objects of study
      The entire
      office workers
      in Korea
      20% of
      office workers
      in Korea
      8.637 million5) 1.11 million 0.4 billion 5.55 million 0.555 billion 1.6 trillion
      1 day: 1 hour 27 minutes
      1 month: 5 hours 48 minutes
      1 year:69 hours 36 minutes
      1.726 million 0.22 million 80 million 1.1 million 0.11 billion 0.32 trillion
      Note 1) The number of cases of cost and time saving : 1000 persons
      Note 2) One pine tree can reduce 2.77kg of carbon per year (Korea Forest Research Institute)
      Note 3) by a midsize car
      Note 4) Gasoline 100ℓ = 0.2 tons of carbon (Presidential Committee on Green Growth)
      Note 5) Estimated by the sum total of managers, experts, related workers and office workers among the employed in Sep. 2009 (referred
      from Economically Active Population Research of Statistics Korea, classified by KSCO-6(2007))
      * A Study on IT-based Teleworking and National Demand for Teleworking in Green Life Practice Strategy, NIA, Dec. 2009