Telework
Using Telecommunications To Substitute for Physical Travel
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TDM
Encyclopedia
Victoria Transport Policy Institute
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Updated
August 27, 2007
This chapter describes use of telecommunications to substitute for physical travel, including telecommuting, teleshopping, distance-learning, electronic government, video conferencing, and Internet-based business-to-business activities.
Telework is a general term for the use of telecommunications (telephone, fax, email, websites, video connections, etc.) to substitute for physical travel. Specific examples are listed below.
· Telecommuting. Employees allowed to work from home or another location (such as a satellite office or neighborhood work center) to reduce commute travel. Telecommuting is often preformed on a part-time basis, with employees working from home one or two days a week. It can also be used on a temporary basis, for example, while an employee is working on a particular project or when they are ill.
· Video-conferencing. The use of live video connections as a substitute for physical meetings.
· Distance Learning. Use of telecommunications by teachers and students as a substitute for physical meetings. Some colleges and universities offer distance-learning classes and degrees. Others use distance learning for special projects.
·
Tele-Shopping (Internet Shopping). Use of
telecommunications to facilitate retail purchases and avoid physical visit to a
store. Similarly, tele-banking refers to use of telecommunications to
perform banking and payment transactions.
· Electronic Government. Telecommunications by government agencies to provide services that would otherwise require visiting a government office.
· Internet Business-to-Business (B2B) refers to Internet interactions between businesses, such as bidding, sales and planning.
Telecommuting is usually implemented in response to employee demand or as part of a Commute Trip Reduction program. Other forms of telework, and other applications of telecommunication are implemented by businesses and government agencies to improve services, reduce costs, reduce vehicle travel or help achieve other objectives.
Employers work with managers, employees and labor organizations to develop suitable Telework policies and practices. Informal Telework is common at many companies, so an official policy may simply formalize and support existing practices. The policy should specify:
· Which job categories are suitable.
· What is required of employees to qualify.
· What equipment, support and benefits employers will provide to telecommuting employees.
· What criteria are to be used to evaluate the performance of employees when they telecommute.
· How telecommuting schedules are determined, and what is required to change schedules.
· Periodic review of the arrangement.
· Model contracts and forms for establishing and tracking telecommuting.
Telework may require changes in management practices that reduce the need to have employees physically together at one time, including more outcome-oriented management practices (evaluating employees based on their performance rather than simply the amount of time they spend at their desk), and increased reliance on electronic communication. If there are unresolved concerns about Telecommuting within an organization it can be helpful to start with a pilot project.
How much employees can Telework, and how much Telework reduces motor vehicle travel depends on several factors (Kwan and Dijst, 2007). According to some estimates up to 50% of all jobs produce information-related goods that are suitable for Telework (Nilles, 1996), but the actual portion of employees who can telecommute appears to be much lower. Many jobs require access to special materials and equipment, or frequent face-to-face meetings, even if their primary output is information that can be transmitted electronically. Not all employees want to Telework or have suitable home conditions.
Teleworking can significantly reduce a participating employee’s commute travel. For example, a twice-a-week teleworker reduces commute trips by 40%. Telework tends to be particularly attractive to longer-distance commuters, so VMT reductions tend to be relatively high. For example, a telework program that reduces 10% of vehicle trips may reduce 15% of vehicle mileage if participants have longer than average commutes. One study found that neighborhood telework centers reduce commute VMT by about 50%, but provide smaller emission reductions since even short automobile trips produce heavy pollution due to cold starts (Henderson and Mokhtarian, 1996).
Although it tends to reduce peak-period trips, Telework does not necessarily reduce total vehicle travel unless it is implemented in conjunction with other travel reduction strategies. Vehicle travel reductions and energy savings may be partly offset in the following ways (Rebound Effects):
· Teleworkers often make additional vehicle trips to run errands that would otherwise have been made during a commute.
· Employees may use teleworking to move further from their worksite, for example, choosing a home or job in a rural area or another city because they know that they only need to commute two or three days a week. This may increase urban sprawl.
· Vehicles not used for commuting may be driven by other household members.
· Telecommuters may use additional energy for home heating and cooling, and to power electronic equipment.
· Improved telecommunications may increase people’s long-distance connections, resulting in more travel. For example, people may make new friends through the Internet, and travel more to visit them.
A survey of 400 U.S. Teleworkers indicates that Telework provides net reductions in vehicle travel averaging 30 miles per telecommute day, and found no evidence of increased sprawl (Nilles, 1996). This study estimates that if 10% of the workforce Telecommutes on any given day, total vehicle travel would decline by 4%. Mokhtarian (1997) concludes that a more realistic estimate is that 1-2% of vehicle travel could be reduced by telework, and long-term impacts may be even smaller if it encourages more urban dispersion.
Mokhtarian (2000) estimates that 6.1% of the California workforce may currently telecommute 1.2 days a week on average, with the result that 1.5% of the workforce may be telecommuting on any given day. The vehicle-miles eliminated by this level of Telecommuting constitute at most 1.1% of total household vehicle travel. Taking into account rebound effects (additional non-commute travel and longer commute distances), it is estimated that the net reduction is 0.6% or less of household travel. Reductions in the future could be smaller as commute distances of Telecommuters fall closer to the average and as the stimulation effect grows.
The travel impacts of other types of Telework are equally difficult to predict. Tele-shopping and Electronic Government transactions may increase the number of commercial and government transactions that occur, without necessarily reducing the number of physical trips to stores and government agencies. B2B transactions may reduce some business trips, but may encourage businesses to use more distant suppliers, resulting in longer travel distances for freight delivery, or when meetings between staff are needed.
Some studies suggest that telecommunications and transportation are complementary, particularly over the long run: telecommunications improvements tend to stimulate travel by reducing costs and increasing opportunities (Plaut, 1997; Choo and Mokhtarian, 2007). For example, many consumers are using the Internet to find lower-cost airfares so they can travel more. It is therefore inappropriate to assume that electronic communications always substitutes for physical travel. Telecommunications can have complex and difficult to predict impacts on overall vehicle travel. For Telework to provide significant vehicle travel reductions it must be implemented in conjunction with other TDM strategies that provide an incentive to reduce driving, such as Commute Financial Incentives, Road Pricing, Parking Pricing, Parking Management, Distance-Based Fees, Pay As You Drive Insurance and Fuel Tax Increases.
Table 1 Travel Impact Summary
|
Objective |
Rating |
Comments |
|
Reduces total traffic. |
2 |
Reduces commute trips, but
may increase other vehicle travel. |
|
Reduces peak period
traffic. |
3 |
Reduces commute trips. |
|
Shifts peak to off-peak
periods. |
1 |
May increase non-commute
trips. |
|
Shifts automobile travel to
alternative modes. |
0 |
|
|
Improves access, reduces
the need for travel. |
0 |
|
|
Increased ridesharing. |
0 |
|
|
Increased public transit. |
0 |
|
|
Increased cycling. |
0 |
|
|
Increased walking. |
0 |
|
|
Increased Telework. |
3 |
|
|
Reduced freight traffic. |
0 |
|
Rating from 3 (very
beneficial) to –3 (very harmful). A 0 indicates no impact or mixed impacts.
Since Telework reduces commute trips it can significantly reduce congestion and parking costs. Telework can provide consumer benefits by increasing Transportation Options, convenience and financial savings. It is highly valued by many employees and can increase their productivity and job satisfaction. Many employers find that it increases staff recruitment and retention, and can help deal with problems, such as employees with disabilities or other special needs. Pratt (1999) describes a variety of benefits from Telework, particularly related to employee satisfaction and productivity.
If Telework results in increased non-commute trips or more dispersed land use, road safety and environmental benefits are reduced or eliminated. Telework may increase community Livability by reducing vehicle traffic and allowing more people to work and shop from home, particularly in physically-isolated communities. It can improve Accessibility for people with mobility constraints. It is relatively Affordable compared with other transportation modes, typically costing individuals a few hundred dollars for a computer, plus Internet service of several dollars per month, although this may be unaffordable to some potential users.
Costs include increased administrative and management responsibilities, and more difficult evaluation of employee productivity. Some employees find Telework difficult and isolating. Telecommuting may reduce staff coverage and interaction, and make meetings difficult to schedule. It may require additional expenses for computers and telecommunications, and additional home heating or cooling expenses. It may increase sprawl.
Table 2 Benefit Summary
|
Objective |
Rating |
Comments |
|
Congestion Reduction |
3 |
Is particularly effective
at reducing commute trips. |
|
Road & Parking Savings |
2 |
Reduces vehicle travel and
trips. |
|
Consumer Savings |
2 |
Reduces vehicle travel. |
|
Transport Choice |
3 |
Increases transport choice
and convenience. |
|
Road Safety |
1 |
Reduces vehicle travel. |
|
Environmental Protection |
1 |
Reduces vehicle travel. |
|
Efficient Land Use |
-2 |
Can encourage more
dispersed land use. |
|
Community Livability |
2 |
Reduces vehicle travel. |
Rating from 3 (very
beneficial) to –3 (very harmful). A 0 indicates no impact or mixed impacts.
Telework is only suitable for some types of work and some employees. Some employees may feel left out, or burdened when colleagues Telecommute. Teleworking can improve employment opportunities for some disadvantaged groups (for example, by allowing people with disabilities that make commuting difficult, and residents of economically disadvantaged, rural communities to have better access to jobs), but labor organizations are concerned that it could lead to employee abuse (such as “electronic sweatshops” for keypunch operators). Lower-income households that cannot afford Internet access may be unable to use telecommunications services, and may be disadvantaged if physical services (such as local banks and printed documents) become less available. Telework can help provide some types of Basic Access (such as some types of education, employment, shopping and government services).
Table 3 Equity Summary
|
Criteria |
Rating |
Comments |
|
Treats everybody equally. |
-1 |
Some employee categories
may be excluded. |
|
Individuals bear the costs
they impose. |
0 |
No significant impact. |
|
Progressive with respect to
income. |
0 |
Mixed. Increases transport
choices, but some concerns exist about labor abuse. |
|
Benefits transportation
disadvantaged. |
3 |
Increases employment
choices for non-drivers. |
|
Improves basic mobility. |
3 |
Can improve access to
education and employment. |
Rating from 3 (very
beneficial) to –3 (very harmful). A 0 indicates no impact or mixed impacts.
Telework is appropriate in any geographic area. In urban and suburban areas it helps reduce congestion. In rural areas it improves access to employment and services. Telework can be encouraged by federal, state and regional governments through TDM Programs, but is implemented by individual businesses.
Table 4 Application Summary
|
Geographic |
Rating |
Organization |
Rating |
|
Large urban region. |
3 |
Federal government. |
1 |
|
High-density, urban. |
3 |
State/provincial
government. |
2 |
|
Medium-density,
urban/suburban. |
3 |
Regional government. |
2 |
|
Town. |
3 |
Municipal/local government. |
2 |
|
Low-density, rural. |
3 |
Business Associations/TMA. |
2 |
|
Commercial center. |
3 |
Individual business. |
3 |
|
Residential neighborhood. |
3 |
Developer. |
0 |
|
Resort/recreation area. |
3 |
Neighborhood association. |
1 |
|
|
|
Campus. |
3 |
Ratings range from 0 (not
appropriate) to 3 (very appropriate).
Increases transport choice.
Telework is often promoted by TDM Programs, Commute Trip Reduction programs and Transportation Management Associations. It is most effective at achieving TDM objectives if matched with disincentives to drive, including and supported by Commute Financial Incentives, Road Pricing, Parking Pricing, Parking Management, Distance-Based Fees, and Fuel Tax Increases.
Telework can involve governments, businesses, employers, employees and labor organizations.
Telework can face institutional and technical barriers. Telework requires changing organizational and management practices. It may increase equipment costs, for example, by requiring portable computers rather than desktop models, or additional telecommunications services. There is sometimes opposition to telework programs from labor organizations concerned about negative impacts on vulnerable employees. Many residential communities forbid working at home, which may make telecommuting technically illegal, although such regulations are generally not enforced.
Organizations such as the International Telework Association, and various
publications provide guidance on developing telecommuting programs. Best
practices include:
· Include Telework as one component
of a comprehensive Commute Trip Reduction program.
· Develop a formal policy and
contract between employees and managers for Telework. This should identify
which job categories are suitable for telework, and what employees must do to
maintain this.
· Develop appropriate
performance measures for employees who telework.
|
Three
engineers were in a car when they came to a light and stopped. The motor
sputtered and choked a bit and then died. The chemical engineer said, “I
think it’s not getting enough gas. Maybe we ought to check the fuel line.” The
electrical engineer said, “No, it sounded to me like it’s not getting enough
juice. Maybe we ought to check the plugs.” The
third, a computer engineer, said, “Why don’t we all get out of the car, and
then get back in again, and see if it won’t start up.” |
The
Puget Sound Telecommuting Demonstration Project was initiated in 1990 by the
Washington State Energy Office (WSEO). It included 25 public agencies and
private firms in the
·
Most participants telecommute an average of one day a week.
·
Benefits by teleworkers included increased job satisfaction, enhanced
performance, and greater flexibility. Some concerns were raised over job
security.
·
Reasons given by participants who discontinued telecommuting included
not liking it, concerns about being less visible in the office, problems in the
office and lack of adequate equipment.
·
Supervisors generally rated telecommuters’ performance the same or
better as days spent in the office. A few cases of declining performance were
noted.
·
An average of 26 fewer annual commute trips were recorded.
Approximately 61% of participants drove to work, 18% carpooled, and 17 rode
transit. The results indicate that each teleworker reduced an average of 1,900
annual kilometers of vehicle travel.
First
Interstate Bank employs approximately 3,500 people in the
Participants
must have worked for the bank at least one year. An employee submits a formal
request to telecommute, which includes an equipment checklist. A signed
agreement is used to ensure that all parties understand the policies,
procedures and expectations. Most telecommuters work from home, but a few work
at telework centers. Some equipment is provided by the bank, and
business-related telephone calls are reimbursed.
Response
to the program has been positive for managers and telecommuters. Benefits noted
by supervisors include increased productivity and less time off. Telecommuters
report fewer distractions and greater flexibility in balancing home and family
responsibilities.
The
Commuter Challenge website has detailed descriptions of more than two-dozen
Telework |
|
Active Voice AirTouch Cellular City of ConneXt DDB Electronic Data Systems Frank Russell Company The Guardian Life Insurance
Company of Hewlett-Packard Company Holland America Line
Westours Inc. KCTS Television Washington State Department
of Transportation |
TRW
uses telecommuting throughout its offices and plants, including more than 1,000
employees in
SAN
FRANCISCO‹A new survey by The New Colonist, a web magazine about city living,
shows that technology provides people more choice of where to live, and many
are choosing to live in cities.
The
survey showed that if respondents were offered the ability to work at home,
more than half (53 percent) would choose to move to a city. Thirty percent said
they would move to the country and just 12 percent would move to the suburbs.
Just over half said technology had already influenced where they live.
Respondents also said the Internet has made it easier to live in both the city
and in rural areas and has made more products and services available to city
dwellers.
“It
seems clear from these results that the internet and new technology has
provided consumers in both urban and rural areas more choice,” said Eric
Miller, editor of The New Colonist. “In rural areas where there aren’t so many
stores, and in cities where those without cars find shopping for price, and
shopping for big-ticket items difficult, the internet has provided more
options.”
The
survey showed the internet also had an impact on life outside of work. An
astonishing 84 percent said life outside of work had been influenced by
technology. More than half said the internet has resulted in more interaction
with people. Sixty-five percent, however said they did not prefer shopping and
working online to shopping in stores and working at the office.
“People
are continuing to recognize the value and benefits technology can bring them,”
Miller said. “But like the suburbs, the online world can be somewhat of an
isolating experience. The desire to live
in urban areas and the desire to work and shop in real places may symbolize a
desire for real-time human interaction. As more and more of the day is spent
online, offline experiences become even more important.”
Respondents
also asked if city residents were more or less likely to shop online. About half said more, and half said less.
When asked if technology had made where they are less or more important, almost
half said no effect, with 28 percent each saying more and less.
·
Senior managers tend to be positive toward telecommuting, due to their
perception of increased work efficiency and productivity.
·
Supervisors were also supportive of telecommuting, due to the
perception that telecommuters have fewer disruptions and are better able to
work during their peak performance times. Improved staff morale among
telecommuters was also noted.
·
Both telecommuters and non-telecommuting state employees indicated
support for the program, due to increased productivity, job satisfaction and
flexibility.
·
A public opinion survey indicated general support toward telecommuting.
Association for Commuter Transportation (www.actweb.org) is a non-profit organization supporting TDM programs.
BC Transit (2000), Travel Options Manual, BC Transit (www.transitbc.com/traveloptions).
Best Workplaces for Commuters (www.bwc.gov) is a program sponsored by the U.S. Environmental Protection Agency and the U.S. Department of Transportation to recognizes employers that provide outstanding commuter benefits. The website has a variety of resources, including Telework Programs (www.bwc.gov/pdf/05_telework_5.pdf).
Sally
Canadian Telework Association (www.ivc.ca).
Sangho Choo and Patricia L. Mokhtarian (2007), “Telecommunications And Travel Demand And Supply: Aggregate Structural Equation Models For The US,” Transportation Research A, Vol. 41, No. 1 (www.elsevier.com/locate/tra), January 2007, pp. 4-18.
DTI (2004), Maximising Potential in the Workplace: Employer Provided Home Computing Initiatives, Cabinate Office, Department of Education and Skills, Home Computing Initiatives (www.dti.gov.uk/hci).
ecommute (www.ecommute.net/program)
is a
European Telework
Online (http://eto.org.uk).
Genevieve Giuliano
(1995), “The Weakening Transportation-Land
Use Connection, ACCESS, Vol. 6,
University of California Transportation Center (www.uctc.net), Spring, 1995, pp. 3-11.
Susan Handy and Patricia Mokhtarian (1995), “Planning for Telecommuting: Measurement and Policy Issues,” Journal of the American Planning Association, Vol. 61 No. 1, Winter 1995, pp. 99-111.
Dennis Henderson and Patricia Mokhtarian (1996),
“Impacts of Center-Based Telecommuting on Travel and Emissions: Analysis of the
Randi Hjorthol (2002), Interaction Between Mobility And Information And Communication Technology: A Review Of Literature, TØI report no. 576/2002 (www.toi.no/Publikasjoner/publication.asp?ID_Publ=1005).
Home Computing Initiatives (www.dti.gov.uk/hci) is a website that describes how employers can implement Home Computing Initiatives.
HOP International (2002), The Impact of Information and Communications Technologies on Travel and Freight Distribution Patterns: Review and Assessment of Literature, Department for Transport, Local Government and the Regions (www.virtual-mobility.com).
International Telework Association (www.telecommute.org).
ICLEI (1995), Commuting in the Greenhouse: Automobile Trip Reduction Programs for Municipal Employees, The International Council for Local Environmental Initiatives (www.iclei.org).
JALA (2004), Do-It-Yourself Home Telework Benefit/Cost Analysis, JALA International (www.jala.com/homecba_input.php).
Mei-Po Kwan and Martin Dijst (2007), “Interaction
Between ICT (Information and Communications Technologies) and Human
Activity-Travel Behavior,” Special Issue,
Transportation Research Record A, Vol. 41, Issue 2 (www.elsevier.com/locate/tra),
February 2007, pp. 121-204.
Patricia Mokhtarian (1991), “Defining Telecommuting,” Transportation Research Record, 1305, TRB (www.trb.org), pp. 273-281.