digital transformation - effects on the world of work and employees

Digital Transformation Effects on the World of Work & Employees

Dr. Peter Vogel / www.petervogel.org / [email protected] / @pevogel

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Dr. Peter Vogel

Digital Transformation: Effects on the World of WorkJune 16th, 2015

Founder & Chairman of HR Matching AG

Head of Competence Center Technology Ventures Uni St. Gallen

Partner of the Futurework Forum

PhD on Active Labor Market Policies

Author of “Generation Jobless?”

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Outline


Digital transformation insights

How digital technology has changed our lives

Digital natives

How digital technology impacts the workplace

The importance of unplugging & employers’ responsibilities

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Digital Transformation Insights


Global use of digital technologies

Source: wearesocial (01/15)

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Year-on-year growth of the digital world


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Monthly global mobile data usage (in Millions of GB)


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Source: Globalwebindex (2014)

% of internet users who personally own the following

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Outline




Digital natives



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How Digital Technology has Changed our Lives


“We are

changing the

world with

technology”

- Bill Gates -

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It affects the way we teach and learn…

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It affects the way our children spend their leisure time…

Huffington Post: “Our kids are getting less time outside than chickens or prisoners”

Telegraph: ¼ of UK children spend less than 30 minutes outside playing… PER WEEK!!!

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How many times have we pulled out our cell phones while having dinner?

It affects the way families interact at home…

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It affects our relationships…

Insights from a recent Bayer survey:

1/4 of women admit that email & internet are disrupting their sex lives

2/3 of participants admitted their partners do not make enough effort in the bedroom

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It affects our social interactions…

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It changes our brain structure…

“The way adolescents of today learn, play, and interact has changed

more in the past 15 years than in the previous 570 since

Gutenberg’s popularization of the printing press. The Internet,

iPads, cell phones, Google, Twitter, Facebook, and other modern

marvels unleash a virtual gusher of information to the plugged in

teen brain.” (Jay Giedd, 2012)

The brain’s plasticity is particularly pronounced during adolescence

and scientists observe changes in the human brain as a result of

the digital revolution!

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It can lead to “Digital Dementia”…

Overuse of digital technology is resulting in the breakdown of

cognitive abilities that are more commonly seen in people who

have suffered a head injury or psychiatric illness.

In order to reverse it, experts suggest a digital detox via:

Actively using the head for memory training

Reading physical books instead of ebooks

Learning a new language

Playing a new instrument to use & connect both parts of the brain

Physical training to activate the blood circulation

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Information overload

Constant distraction

Social media anxiety

Source: naldzgraphics.net

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Individuals use their smartphone 100-150 times per day – on average!

Detrimental effects on health

“Sitting is the new smoking” (Forbes, 2015)

Text neck syndrome

Gameboy back

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…

Text claw

Sleep texting

Depression

Phanton Phone Vibration

And as secondary effects of reduced physical activity the usual

suspects: Obesity, cardiovascular problems, etc

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Outline




Digital natives



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Digital Natives


…and it’s getting worse!

Everything we just learned is even more pronounced for digital natives!

Digital Natives Baby Boomers

Wireless Internet 62% 35%

Texted in the past day 80% 35%

Median # daily texts 20 5

Have a social network profile

75% 30%

Posted to profile in past 24h

32% 9%

Source: Pew Research Center

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Digital Natives


Technologies that have influenced today‘s youth

(adopted from „Generation Jobless ©)

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Generational Emergence


The GI and Silent Generations (1901-1945)• Life before TV / WW I and WW II• Respect hierarchy

The Baby Boomers (1946-1964)• Work on typewriter / revolutions• Distrust authority

Generation X (1965-1982)• Work on word processor / tough economic times• Don’t trust anyone

Generation Y (1982-1990)• Work on computer / growing up in stability• Environmentally conscious / Dual-income parents

Digital Natives (Gen Z) (1991 – present)• Virtually connected / exposed to a global competition• Worried about future / seek flexibility / reduced loyalty

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Characteristics


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Everyday’s Life of Digital Natives


Cisco survey of college students (18-30y) in 18 countries revealed:

Status updates for breakfast 90% get dressed, brush teeth, & check smartphones as morning ritual

Online all the time 60% find themselves compulsively checking their smartphones for

news Of those surveyed, 87% have a Facebook account 10% have Facebook always up 90% upload photos to internet sites, 62% share videos 20% admit to texting while driving

Technology at the table 46% text, email or check social media during meals with family / friends

Source: Cisco Connected World Technology Report 2012

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Everyday’s Life of Digital Natives


Work and personal time blend and overlap More than 30% use their smartphone in the bathroom 75% use their smartphones in bed 50% would give up sex for one month instead of their smartphone 40% would feel anxious (“part of me is missing”) if without smartphone 67% spend same amount of time with family / friends online & in person

Friends & Identity 81% believe that people have different online / offline identities < 50% said that their online / offline identities are the same


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Outline




Digital natives



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Effects of Digital Technology on the Workplace


It has helped us organize…

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…at least the physical space. But messy people will always be messy

…and then there’s the digital data dilemma (where’s that file again?)

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Home office call centers…

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2015Remote work & remote learning…

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Benefits of using mobile devices to connect employees and work

Source: HBR, 2015

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Executives’ perspectives on which technologies are, or will be…

Source: HBR, 2015

Advantages of technology at work

Technology improves communication using diverse technologies

Skype

Virtual conferences

Share screens

Cloud

Encouraged innovation and creativity

Ideation portals

Central knowledge databases

Brainstorm

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+

Improved Human Resource Management

Improved screening and processing of applicants

Time saving hiring processes

Tracking employee performance & efficiency

Time saving

Automation of tasks productivity increases

Reduction of human error

Information accessibility

Mobility enhancing – access from anywhere

Home office

Remote work

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+

Disadvantages of technology at work

Causes distraction at work

Social networking

…

High maintenance costs

Buying & maintaining new technology is expensive

Makes employees lazy

Employees will not use their brains as much anymore but instead let

computers & software do the work

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-

Affects workplace relationships

Virtual communication eliminates face-to-face communication

Employees become more reserved and self-centered

Riskiness

Data security

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-

Technology preferences

75% believe that websites will become less prominent in our lives

and 21% believe websites will be replaced by apps

>15 % use smartphones to take notes during meetings

40% would allow the carrier to get access to all the data on the

phone in return for unlimited data service

Evaluation of current work life

50% prefer having a flexible (anywhere / anytime) workday instead a

traditional, scheduled 9-5 workday

25% of employees are allowed to work from home

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Digital Natives @ Work



Implementing greater work flexibility

>50% consider themselves available for work 24/7

2/3 of employees believe that companies with flexible work structures

have a competitive advantage of the classical 9-5 office hours

They are unwilling to accept a lower salary for increased flexibility

Glancing into the Future

Most believe smartphones & wearables will be most important work

device by 2020

Physical offices will still be there, but much smaller and flex desks

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Task Performance

60% of professionals believe digital natives are able to perform tasks

faster than older employees, especially when allowed to use mobile

devices and apps instead of laptops or desktop PCs

Human Resource Management

60% of HR professionals are willing to hire a candidate by only

interviewing him or her using video conferencing

Most HR professionals are concerned with digital native’s job skills

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Future Workplace

Shared / flexible office desks

Multiple / connected devices to always access work-related documents

Split between office & home work

Performance rather than presence

Inhouse health consultants

Daycare services to boost work-life-balance

Digital detox advisors

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Outline




Digital natives



Employee’s access to work-related material from home has created a

conundrum for managers:

Do you want your employees to be available 24/7 or do you want them

performing at their peek levels after having taken a digital detox?

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Managerial Strategies in the Digital Era


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4 Ways to get Employees to Unplug


CEO & Top Management must be onboard or else employees will

feel uncomfortable to unplug

Managers must resist after-hour or weekend mails to their employees

Turn off your company email after hours (Example VW)

Use digital detox as part of your employee value proposition and

recruiting efforts

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What Swisscom Can Do for Clients (B2C & B2B)


B2C

Further promote solutions such as the “My Time” application

Collaborate with insurance companies to offer discounts to clients

that purposely disconnect from their phone or at most use it to track

their sports activities

B2B

Offer corporate solutions that help companies manage the digital

detox of their employees

Offer executive trainings for sustainable digital use at work

Dr. Peter Vogel

Peter Vogel Strategy ConsultingSeuzach - Switzerland

Mail [email protected]: @pevogel

Web www.petervogel.org

Thank you for your attention.