New World of Work. Die Arbeitswelt von morgen dreht sich schon heute. Claudia Wentsch & Marc Weder Microsoft Schweiz January 2012

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1 New World of Work Die Arbeitswelt von morgen dreht sich schon heute Claudia Wentsch & Marc Weder Microsoft Schweiz January 2012

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3 External Knowledge Sourcing Technology Productivity Processing power Internet Knowledge Worker Society Social Media Consumerization of IT Complexity of Processes Global Recruiting Made in Switzerland Cost Saving Social Media Diversity Recruitment Blockers Gender Part Time 4 Generations Demography Productivity Family Friendly Shortage of resources Sustainability Regenerative GLOBALIZATION Internet Processing power Values ys on ys connected Slide 3 New World of Work

4 Internal Commuting Atrition Recruiting Productivity Health People Diversity 4 Generations Working Parents Talents Great Place to Work Passion best practise Communication Share Facility & Maintenance Cost Commuting Travel Technology Use Appropriatley CO2 Footprint Hospitality Communication Place Collaboration Eco System Concentrate Access Choice Anytime - Anywhere Slide 4 New World of Work

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6 Microsoft Switzerland Lives the New World of Work with ist Live & Work Initiative Live & Work is the strategic initative from Microsoft Switzerland that increases the productivity of its workforce through: Adopting a modern physical work environment (Place) Appropriate deployment and adoption of its Technology (Technology) Promotion of our Culture by our Communication and Cooperation every day (People) Slide 6 New World of Work

7 Goal Dimensions Commuting - 20% Great Place to Work: #1 in CH Increase Diversity Top Third in MS Employee Survey on Work Health Index Facility & Maintenance Cost -15% CO2 Footprint - 30% Become a «Piazza» for Customers and Partners Individual & Team productivity +10% Slide 7 New World of Work

8 Slide 8 New World of Work

9 It s not an option it s a must! From Control to Trust From Presence to Output Slide 9 New World of Work

10 Our receipe three pillars Place People Technology Slide 10 New World of Work

11 Marc Weder

12 Cloud Produktivitätslösungen sind entscheidend bei der Realisierung der New World of Work Slide 12 New World of Work

13 Cloud Produktivitätslösungen sind entscheidend bei der Realisierung der New World of Work

14 Zusammen mit der passenden Kultur ist Technologie der Enabler der New World of Work Beste Produktivität am PC, auf dem Telefon und im Browser

15 Wie sieht die Cloud aus?

16 Die Public Cloud macht den Business Case für Produktivitätslösungen noch attraktiver Kostenvorteile durch Skaleneffekte in den Microsoft Data Center Zeitgewinn durch schnellere Implementierung und laufende Verfügbarkeit der aktuellsten Version Fokussierung der IT auf Business Innovation durch reduzierten Aufwand für IT-Betrieb

17 Kostenvorteile durch Skaleneffekte in den Microsoft Data Center Query Volume Angebotsseitig Nachfrageseitig Kosten/Server nehmen ab Kapazitätsoptimierung durch Diversifikation 8:00 AM 12:00 PM 4:00 PM 8:00 PM 12:00 AM4:00 AM Time of Day (GMT) Source: Microsoft, The Economics of the cloud

18 Tiefere TCO/Server in Microsoft Data Center senken Kosten für Kunden aller Grössen TCO/Server (at average utilization) $8'000 $6'000 $4'000 $2'000 Public Cloud Cost at Scale $ '000 10' '000 Cloud Size (# of Servers) Source: Microsoft, The Economics of the cloud

19 Schnellere Implementierung und laufende Verfügbarkeit der aktuellsten Version Major release Quarterly Annually Schnellere Implementierung Aktuellste Versionen Cloud: Cloud Services On-premise: Mobile Office 15 Source: Forrester, The Total Economic Impact Of Microsoft Office 365

20 Reduzierter Aufwand für IT-Betrieb erlaubt Fokussierung der IT auf Business Innovation Einsatz der IT-Ressourcen Infrastruktur und Betrieb binden 89% der IT- Ressourcen 11% 36% 53% New App Development Existing App Maintenance Infrastructure The challenge for IT leaders is to get their budget from 80 percent keeping the lights on to 60 percent or less, so they can use that money in new ways to drive growth. - Gartner Current IT Spending Source: Microsoft, The Economics of the cloud

21 Cloud Produktivitätslösungen unterstützen NWoW Szenarien nahmhafter Schweizer Kunden heute Funktionalität heute Schweizer Cloud Produktivitätskunden Novartis

22 Cloud Produktivitätslösungen sind entscheidend bei der Realisierung der New World of Work

23 Our receipe three pillars Place People Technology Slide 24 New World of Work

24 Project Timeline Vision & Goals 2008/2009 Pilot 2010 Implement 2011 Consolidate H Vision Communication People Governance & Policies Technology «Work Anywhere» Introduction & Life Balance Workshops «Virtual Summer» Jul Oct * Fit 4 NWoW Team Workshops Place Refurbishment & Pilot 4th floor Refurbishment Full* Fine Tuning MS Poll Measurement ETH Pilot Surveys & Interviews 02/10 09/10 ETH Summer Diary 07-09/11 Productivity Surveys & Interviews 08/11 05/12 Slide 25 New World of Work

25 Results

26 Measurement System Most Objective Productivity Measurement is the Business results Measurement Overall overall productivity (revenue / employee) as well as score card items However: these are impacted by many other dimensions of doing business and are therefore not considered project specific measurements Productivity effect on productivity measured through Project Specific Subjective Surveys, Observations and Interviews Slide 27 New World of Work

27 Ingredients of a Virtual Summer Champion Slide 28 New World of Work

28 Benefits People An increase in Work Flexibility has a positive effect on attitude towards work and work habits *1 Optimization of Life-Domain Balance Less absenteeism: Microsoft Switzerland is 30% under the Swiss average for sick days taken Higher return rate of new mothers after the birth of a child *2 Until now the Productivity and Performance level of 55% shows there is a high potential level that the New World of Work can uncover *3 * 1: Quelle: Grote, G. Staffelbach, B. (2010) Schweizer HR-Barometer 2010, Arbeitsflexibilität und Familie, Verlag Neue Züricher Zeitung, Zürich. * 2: * 3: Spath, D. Kelter, J. Rief, S. Bauer, W. Haner, U. (2009). Office 21-Studie, Information Work Frauenhofer Verlag. Stuttgart. Slide 29 New World of Work

29 Benefits Place Optimized Facility Costs MS Wallisellen: 40% of space are public, +40% Meeting Space, +30% more social seating Employees who are satisfied with the flexibility of their working hours are less likely to resign from the company and show more loyalty to their employer *1+2 Two-thirds of all surveyed employees would like to work more often from home *1 Mobility *3+4 Potential in Switzerland for a weekly Home-Office Day: people Approximately 4.5 mio. km a week in automobile traffic would be saved Less commuting equals higher satisfaction of employees *5+6 * 1: * 2: * 3: BFS, ARE (2007), Mobilität in der Schweiz, Ergebnisse des Mikrozensus 2005 zum Verkehrsverhalten, Neuchâtel, Bern. * 4: BAFU (2009), Entwicklung der Treibhausgasemissionen in der Schweiz nach ausgewählten Sektoren, Faktenblatt 1, * 5: Binswanger, M. (2006). Die Tretmühlen des Glücks. Herder-Verlag, Freiburg. * 6: Kahneman, D., Krueger, A., Schkade D., Schwarz, N., und A. Stone (2004). Toward National Well-Being Accounts. American Economic Review 94, Slide 30 New World of Work

30 Benefits Technology Modern Technology is the basis of the New World of Work: it enables time- and place-independent ways of working The more modern the Information and Communications technology deployed in an organization, the higher the performance of the employees. *1 80% of managers experience that new Communications media (electronic workspaces, Unified Communications, mobile devices )actually make their work easier *2 Adopting new technologies promotes a company as an attractive employer*3 A study has shown that the proportion of insignificant information circulating in a company is around 40%. This can be reduced by deploying new collaboration media *2 Swiss managers spend significantly more time on Twitter, Facebook, LinkedIn or Xing than their European peers *2 More than 80% of Managers rate their time online as very valuable *2 * 1: Spath, D. Kelter, J. Rief, S. Bauer, W. Haner, U. (2009). Office 21-Studie, Information Work Frauenhofer Verlag. Stuttgart. * 2: * 3: Slide 31 New World of Work

31 Recommendations & Learnings Recommendations People Place- Technology Approach Focus first on culture, workstyle, then on facilities Use facility change as a change accelerator Involve people from all departments Support individuals through coaching around the effects of flexibilization of work Find a key change intervention that makes the change tangible for all and a common experience for all (for us that was working without a building for 3 months) Ensure that the change is anchored within the line organization (HR, IT, Facilities) Team Effectiveness needs to be actively promoted (Rules of Engagement) since team effectiveness can drop at first Be ready to invest enough people that stem the project Learnings Build a winning coalition earlier within full management team and key influencers in organization not only small group When doing a facilities pilot ensure to create a sense of inclusion not of exclusivity for those not participating (biz class vs economy class sentiment at Microsoft at first) Individuals will make use of virtual working once they are allowed prepare managers for this; coach teams in finding their physical optimum (a spiral can happen where people do not come, because they think no one else from the team is there) 4 years was too long (phase between original vision and implementation) - try to do it quicker Slide 32 New World of Work

32 Goal Dimensions Commuting - 20% Facility & Maintenance Cost -15% Great Place to Work: #1 in CH CO2 Footprint - 30% Increase Diversity Top Third in MS Employee Survey on Work Health Index Become a «Piazza» for Customers and Partners Individual & Team productivity +10% Slide 33 New World of Work

33 Role of the Virtual Summer Yes we can! An experiment that proves, that we are practicing what we preach. New Building New Mindset Three month without the traditional office three months to reflect how we can work smarter as individuals and teams. Slide 34 New World of Work