Microsoft has released its first annual Work Trend Index report, covering the first year spent in hybrid and remote work conditions.
The report, which asks whether today’s companies are ready for hybrid work, explores the various trends that every business leader needs to know as they move forward into a new workplace.
According to Microsoft, business leaders need to avoid falling into the temptation of painting hybrid work as a return to “business as usual”. The move to hybrid work will require careful strategising and consideration. Microsoft believes that companies will need to unlearn long-held assumptions about the workplace to thrive in the age of flexible work.
Preparing for a New Kind of Work
Corporate VP of Microsoft 365, Jared Spataro, notes that the decisions business leaders make during this transitional period from remote to hybrid work, will be essential. These are the choices that will influence organisations for years to come. Jared believes that a growth mindset and a clear vision will be necessary to progress on the correct path.
Microsoft’s new Index reveals valuable information about the changes the workplace has already gone through. Collaboration trends through Outlook and Microsoft Teams suggest small networks in the modern landscape, but Microsoft believes that hybrid work will prompt a revival. Additionally, time spent in meetings has doubled on a global basis, and around 40 billion more emails were sent in February 2021, compared to February 2020.
Interestingly, Microsoft’s report also says that work is becoming more “human”, with 40% of people feeling more comfortable bringing their true selves into the office. 1 in 6 employees have cried with a colleague over the last 12 months.
There’s no doubt that the workplace has fundamentally changed, with over 73% of employees saying they want to continue with flexible work options, and remote work listings increasing by five times during the pandemic. There’s even some evidence that the pandemic has delivered new flexibility for workers, with 40% of global employees saying they’re planning on leaving their employer in 2021, and 46% planning on moving thanks to remote work.
Preserving Talent in the Hybrid Era
Microsoft’s report notes that the way business leaders address flexible working patterns will make a huge impact on the talent they’re able to retain. The Work Trend Index covers findings from over 31,000 people across 31 countries, and analyses trillions of productivity and labour signals across LinkedIn and Microsoft 365.
Within the Trends report, Microsoft highlighted seven specific trends that every company must be aware of before we transition fully into the new landscape. These are:
- Flexible work will continue: Employees want access to both in-office and remote environments. While teams want more remote work, around 42% say they don’t have essential supplies and network access at home. Companies will need to make changes to empower the new workforce
- Leaders need to be in-touch with employees: Business leaders seem to be doing much better than their employees, with 61% saying they’re “thriving”. Workers are feeling this disconnect, highlighting a need for better understanding between leaders and employees
- High productivity exhausts the workforce: Productivity has remained the same or gotten higher for most employees during the last year, but 1 in 5 team members say their employer doesn’t care about work-life balance. 54% say they feel overworked
- Gen Z is struggling: Interestingly, Microsoft notes that Gen Z has struggled more than most generations in the last year. They’re not feeling as engaged, or able to bring new ideas to the table in the modern workforce
- Shrining networks could harm innovation: Remote work seems to be reducing networks, and this means that companies are becoming increasingly siloed. Microsoft analysts suggest that hybrid work might revive the workplace network
- Authenticity is essential for productivity: Authentic human interactions with co-workers create a space where people feel more comfortable being themselves at work
- Talent is everywhere: In a hybrid work world, employers can access talent everywhere. Remote job listings are increasingly, and people are planning to move
Microsoft’s Work Trend Index indicates that business leaders will need to plan to empower people in the age of extreme flexibility and invest in technology that bridges the digital and physical worlds. Further strategies include creating plans to battle exhaustion from the top and prioritizing the rebuilding of business culture, with an increased focus on employee experience.
