Workplace: Better Than Being There
David HowardGet Out of the Building
Web collaboration and videoconferencing keep companies in business.
In another time, the terror of September 11 would probably have thrown Thomson Financial into chaos for weeks. Ten of the firm's 200 World Trade Center employees were missing; another worker died in one of the planes that struck the towers. But while they dealt with the grief and shock, executives also quickly decided that Thomson—a $2 billion financial information-services provider—wouldn't crumble along with the Twin Towers.
Displaced employees scattered to four other offices in Manhattan and Newark. And the company turned in earnest to videoconferencing and Internet collaboration—both of which it had been gradually rolling out before the disaster—to reassure clients in 70 countries that business would proceed.
It worked. Even with airports closed, Thomson employees kept many scheduled meetings on September 12—electronically. "The need to reach our clients didn't go away; in fact, it increased," says senior VP Warren Breakstone. "So we looked at some creative ways to meet our clients' needs."
Even before the disaster, technologies like Internet collaboration, secure instant messaging, and peer-to-peer software had infiltrated traditional business practices and were starting to make telecommuting ever more feasible. These technologies allow employees scattered around the globe to work as efficiently through a browser as they would in the same room. Companies already were using the solutions to cut travel costs and send more employees home or to remote offices without sacrificing productivity.
But for anyone who'd missed it before, the terror attacks drove the point home. "Once the crisis hit," Breakstone says, "our usage of WebEx and other technologies increased dramatically."
PlaceWare, an Internet collaboration service provider, saw a 49 percent increase in inbound sales calls in the two weeks after the disaster, and a 38 percent increase in usage. "This was definitely a growing market before, but the 11th has really been a catalyst," says Janice Kapner, PlaceWare's marketing director. "Somebody who had it on his B-list now has it on his A-list."
Alliance Consulting, which lost seven employees in the attacks, used Groove Networks' secure, peer-to-peer file-sharing system to simultaneously keep in touch with the families of the missing, communicate with its consultants and clients, and coordinate a back-to-business plan with eight different offices. "All of that required the ability to collaborate on the fly with a lot of people around the country," says John Wollman, a senior VP at Alliance. "In that time, Groove went from being a product we liked to use to a product we needed." (For more on peer-to-peer technology, see Napster's Legacy.)
Such technology is a boon for companies like eMarket Capital, which provides online leasing services to equipment manufacturers and their customers. Instead of sending sales reps around the country to show off their software, eMarket execs use PlaceWare to show them online.
Get Out of the Building (continued)
Work Where You Are
All of which is no surprise to people who have long predicted that such advances will further expand the ranks of telecommuters and remote offices. After hesitating to establish 3,000-mile working relationships, many firms have found that sending employees home increases retention, saves money on office space, and eliminates harrying commutes.
But the trend is not without its pitfalls. The scariest issue? Employees heading home or far afield with confidential company information. "Once it's outside of your four walls, how do you control access to it?" says Frank Connolly, a Virginia-based labor and employment attorney. "Suddenly there are multiple points of access for hackers and anyone trying to get proprietary information." Gartner, for example, has warned companies away from free instant messaging programs because of their inadequate security.
The workplace's dissolving boundaries also create ethical and technological conundrums. "You get into how people are spending their time—what they're doing, what they're downloading," says Chuck Wilsker, executive director of the International Telework Association & Council. While staying vigilant—by setting up virtual private networks (VPNs) to keep remote network connections secure, and even installing monitoring software to make sure employees stay on task—companies also must toe a delicate line between keeping an eye on productivity and becoming Big Brother.
But most view the problems as temporary stumbling blocks. The security issue, for one, is already getting lots of attention. Groove and WebEx are safe, company execs claim, because they provide portals that eliminate the need to post anything on the Internet. Bantu, which provides secure instant messaging for businesses, has developed an encrypted system that nestles behind firewalls. Its security is formidable enough to have brought clients like the U.S. Army and the Johns Hopkins University Bloomberg School of Public Health, which conducts sensitive global research. "Everybody has become more security conscious," says Dana Theus of Bantu. "Especially now that there may be a new urgency to decentralizing an office."
By the Numbers: The Changing Workplace Number of mobile workers forecast by 2004 27 million Drop in business travel September 14 to 28, compared to same time last year 49% Projected growth in domestic travel for 2002 none Number of U.S. telecommuters, October 1999 19.6 million Number of U.S. telecommuters, October 2000 23.6 million Annual savings to a company with 1,000 remote workers $2 million Mobile application revenue, 2001 $3.3 billion Projected mobile application revenue, 2005 $44.8 billion Forecast growth rate of VPN technology, 2000 to 2004 529% Sources: IDC, Infonetics Research, Canadian Telework Association, ITAC, Travel Industry Association of America, Business Travel Industry Advisor
Long-Distance Handshake
All the advantages of in-person meetings—without the hassle and expense of travel.
Instant Messaging Instant messaging has become a serious and secure business communications tool. Microsoft and IBM bundle IM functions into Exchange 2000 and Domino that let employees not only chat, but also sign purchase orders and locate expert coworkers. Tools from Bantu and 2Way range from $2 to $30 per seat.
Web Conferencing Often combined with teleconferencing, Net-based collaboration solutions let groups share documents or slideshows from their desktops. MeetingPlace from Latitude Communications is suited for large groups at $1,500 per license or 8 cents per minute, while WebEx, at $120 per seat, is best for small PowerPoint presentations or one-on-one meetings. PlaceWare offers services for groups of all sizes, up to 2,500 people. For $30,000 per company, Click to Meet from First Virtual Communications integrates Web meetings into existing apps like Microsoft Outlook. Groups can collaborate and browse the Web together with WeMeeting software from NetDIVE, starting at $495 for small businesses and $40,000 for enterprises.
Web Streaming Streaming video and audio let employees and clients tune in without leaving their desks. WorldBridge Webcasting services provide everything from production to scriptwriting starting at $15,000. Biznews24's Inteleshow offers searchable streaming video and incorporates PowerPoint graphics. Presentation costs range from $13,000 to $17,000.
Videoconferencing The closest thing to real-life meetings. Since you need videoconferencing cameras and equipment at both ends, this solution is best-suited to companies that meet regularly with satellite offices or regular clients. You'll pay $4,000 to $19,000 for equipment from Polycom and PictureTel.
Satellite Broadcasting It's like leasing your own secure television channel. Broadcast earnings reports, major company announcements, or any other one-to-many message. Dish Network Business Solutions sells airtime starting at $700 per hour; equipment starts at $200. DirecTV Video Timesharing Services charges about $2,500 to $3,000 per hour.
—LANE ANDERSON
Copyright © 2004 Ziff Davis Media Inc. All Rights Reserved. Originally appearing in Ziff Davis Smart Business.