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A magazine of forecasts, trends, and ideas about the future
March-April 2004 Vol. 38, No. 2

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Economics

Fear and Loathing in the Virtual Workforce
By Cindy Wagner

Loss of identity and distinction could be one reason workers fear virtuality.

A.jpg (1258 bytes) future of teleworking virtual teams--all sharing ideas, developing products, and coordinating projects without ever meeting their teammates in person--has yet to arrive, much like the vaunted paperless office.

Even in the world's most technologically interconnected societies, telecommuting is not as widespread among twenty-first-century infotech workers as pundits have been predicting for some three decades. A recent study reports that only 4% of Finnish workers said they were performing telework (defined as work done at home under an employment contract); another 4% had tried telework. But more than 90% said they had never even experimented with it.

The need for a live, physical connection with collaborators may be why working "virtually" is so unpopular, suggest researchers conducting the study at the University of Tampere Department of Sociology and Social Psychology. They also fault old-fashioned management attitudes that prevent organizations from instituting changes that could save on office overhead and workers' commuting time.

But workers may have another fear: loss of identity and distinction. One price of working in a team is the need to surrender your unique ideas into a group's intellectual identity, according to a study by scholars at Stanford Graduate School of Business and elsewhere. In a virtual team, your contributions may be deposited into a database, becoming the property of the organization. If your hard-earned experience, knowledge, and wisdom can no longer be traced directly to you, what future do you have in the Knowledge Economy?

"It's a real fear," says Margaret Neale, one of the study's authors. "Technology has the potential to destabilize the relationship between organizations and employees."

Similarly, because virtual workers and teleworkers are isolated from their colleagues, they lose opportunities to benefit from other people's ideas and experience and hence to replenish their own intellectual reservoirs, says Neale. Thus, while technology enables them to disseminate information to each other and the organization quickly, virtual teams are less able to transfer implicit knowledge.

The researchers recommend several strategies for improving the effectiveness of virtual teams, such as using advanced video conferencing and groupware, setting up mentoring programs, and encouraging members to attend conferences.

Sources: University of Tampere, Tampere, Finland 33014. Web site www.uta.fi.
Stanford Graduate School of Business, 518 Memorial Way, Stanford University, Stanford, California 94305. Web site www.gsb.stanford.edu

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