Dell Technologies has recently shared an exciting update to its work-from-home policies, signalling a renewed focus on in-office collaboration. From September 30, the global sales team will shift to a full-time in-office model, moving away from the previous hybrid approach that allowed for three days of remote work each week.
This change highlights how much Dell values teamwork, communication, and collaboration. Many tech companies are known for their flexible work arrangements, given the diverse nature of their tasks, from product management to inside sales.
A survey conducted by Dell found that 93% of respondents felt that work flexibility contributed to their success, with 25% of eligible employees participating in remote work to some degree. Dell has also implemented a “Connected Workplace” programme, enabling employees to work remotely or flexibly.
Since the pandemic, tech giants like Microsoft, Salesforce, Adobe, and Shopify have led the way by allowing their employees to work remotely or in a hybrid setup, enjoying various benefits such as cost-effectiveness, improved productivity, creativity, and greater flexibility.
Despite the advantages of remote or hybrid work, Dell’s decision to transition back to an in-office model reflects a broader strategy to adapt to changing market conditions. Earlier this year, Dell faced a challenging environment that included a restructuring affecting over 12,000 employees. As the company responds to shifts in demand, especially in its core personal computer market, leadership believes that returning to the office will create an environment conducive to innovation and productivity.
Research from Rose Garden Consulting shows that office-based sales teams consistently outperform their remote counterparts across various divisions and skill levels. This suggests that face-to-face interactions significantly enhance team performance. For instance, new sales hires typically achieve full productivity in about 3.2 months in an office setting, compared to around 6 months for remote workers.
On the flip side, a survey by OpenView revealed that 66% of sales managers believe remote teams face challenges in building relationships and collaborating, which can hinder performance. The report also noted that organisations with onsite teams generally experience lower turnover rates, as employees benefit from direct supervision and mentorship.
Dell’s management emphasises that in-person interactions can greatly enhance teamwork, skill development, and decision-making. Face-to-face meetings allow for richer communication and quicker resolutions, leading to improved performance and greater customer satisfaction. This shift reflects Dell’s commitment to creating a dynamic and agile workforce that is well-positioned to seize emerging opportunities.
Data from ZoomInfo indicates that in-person requests are 34 times more successful than email requests, with a close rate of 40% for in-person meetings compared to lower rates for remote interactions. Executives estimate that they would lose 28% of their current business without the benefit of in-person meetings, reinforcing their importance in maintaining strong client relationships.
HubSpot reports that 65% of consumers prefer engaging with salespeople in person rather than through remote methods. This preference highlights the significance of face-to-face interactions in establishing trust and rapport. An Accenture study found that 83% of U.S. consumers favour human interaction over digital channels for resolving customer service issues.
While this study is based in the U.S., it suggests a broader trend relevant to similar markets, including New Zealand. Approximately 45% of consumers are willing to pay more for goods and services if it guarantees better customer service, which often involves personal interaction. Kiwi business leaders can enhance customer relationships by prioritising in-person interactions and training their teams to provide exceptional service.
Remote work also has its downsides; one of these is increasing loneliness, which can lower employee camaraderie and lead to feelings of being out of place. According to a Ringover survey, remote workers are twice as likely to experience feelings of loneliness at work compared to those in an office environment.
This underscores the heightened risk of social isolation among remote employees. Over half of the respondents indicated that the conditions of remote work made them feel less connected to their colleagues. These negative feelings can cause any member of a department to feel disconnected and demotivated in meeting targets or increasing productivity levels.
Dell’s decision aligns with a growing trend among technology companies reassessing their flexible work policies. Similar changes have been observed at firms like Amazon, reflecting a recognition of the unique benefits that in-person collaboration can bring, particularly in sales. While some employees may find this transition challenging, it highlights the importance of adaptability in today’s business environment.
A study from Cognism emphasises that being onsite fosters a competitive atmosphere that enhances motivation and performance, especially for sales teams.
New Zealand-based tech organisations such as Datacom, Xero, Spark New Zealand, and Trade Me have implemented in-office days for their sales teams to enhance team dynamics and encourage spontaneous brainstorming sessions that can lead to innovative sales strategies. These firms recognise the value of face-to-face interactions in building trust with clients and improving overall sales effectiveness.
Currently, there is discussion in Wellington about remote workers returning to onsite roles, particularly in sectors such as retail and hospitality, where foot traffic has been low and these industries require more face-to-face interaction with customers. The InternetNZ 2023 Report reveals that 52% of Kiwis with the option to work from home would like to do so more often. It also found that 61% of Kiwis hold jobs that can be done remotely, although many prefer to work onsite due to employer policies.
For tech companies like Dell, which need to meet sales targets and have undergone significant restructuring, transitioning to a full-time in-office model may represent an opportunity for a fresh start. However, in New Zealand, where, according to the CBRE New Zealand Office Occupier report, 91% of Kiwis have adopted a hybrid work model, balancing the benefits of office collaboration with the flexibility of working from home may take time for tech firms to fully implement.
The 2023 CBRE New Zealand Office Occupier Sentiment Survey indicates that tech companies average 2.8 days per week in the office, which is lower than other sectors but still reflects a commitment to onsite presence. About 65% of the organisations surveyed in New Zealand have embraced hybrid working models, indicating a significant trend towards combining remote and onsite work.
For Kiwi business leaders or sales managers, Dell’s approach offers a thoughtful perspective on the return to in-office work. While many organisations are embracing various remote or hybrid models, Dell’s focus on in-person collaboration highlights an opportunity for other sectors to consider how such interactions can drive growth and innovation.
As New Zealand businesses evaluate their own work models, they can find inspiration in Dell’s emphasis on balancing flexibility with the benefits of direct collaboration. It’s a great idea for technology providers in New Zealand to assess whether their current work models—whether remote or hybrid—are effectively meeting their needs. Evaluating sales targets, productivity levels, and employee engagement through surveys or discussions with staff can help decision-makers understand their situation.
Just because tech firms like Dell or Amazon are shifting back to the office doesn’t mean all should follow suit. Some companies are thriving with their current models while remaining flexible in adapting to future changes in the digital environment. Before deciding on making the shift from remote work to having your sales team back onsite, it’s important to consider factors like commuting stress, maintaining a good work-life balance, and taking note on the preferences of those who enjoy working from home are all essential to keep in mind are one of the drawbacks of transitioning from remote work to in-person work model.
Remember, as a leader everyone will need a little time to adapt to a new work arrangement, and that’s absolutely okay. To ease this transition for your sales team, effective communication is key.
Take a leaf out of Dell’s book, which kept its global sales team informed through clear memos about the changes ahead. Start by outlining the expectations and new policies so that everyone knows what to expect. Encourage team members to share their feedback and concerns; listening is crucial during this period. It’s also important to reassure your team that support will be available throughout this process.
Consider offering travel allowances or company transportations to help with commuting costs or providing training materials to ensure everyone feels equipped for the change. Resources like wellness programmes or mental health support can make a significant difference as well. Flexibility with timings and redesigning office spaces to create a more inviting atmosphere can also help ease the transition.
In embracing these changes together as a manager or business leader, you can create a supportive environment that not only meets your business goals but also respects the needs of your team. With open dialogue and thoughtful adjustments, this transition can be a positive step forward for everyone involved.
A recent survey shows that 91% of employees around the world prefer either fully remote or hybrid work, highlighting how much people enjoy that flexibility. But remember, every organisation is unique, and what works for Dell may not suit everyone else. Some industries, like tech, marketing, and education, thrive with remote or hybrid models, while others such as healthcare, hospitality, retail, agriculture, and sales can really benefit from in-person interactions.
Finding the right balance for your team can lead to positive results, so take the time to explore what works best for your organisation. According to Robin Powered, 62% of employees mentioned that they miss the office setting and the collaborative atmosphere it provides. While a research by Hcareers indicates that attending the office regularly has positive effects on mental health and overall well-being.
Business leaders should consider other departments and the size of the company when it comes to changing work models, since some departments can work more flexibly while others couldn’t due to the nature of their work.
They should also consider what if the majority of the workforce doesn’t want to transition back to working onsite five days a week or less since they prefer remote working; decision makers should come up with a plan and incentive in doing so, also factoring in economic crisis, employees’ struggles, and more.
Dell’s recent decision to adopt a full-time in-office model highlights the importance of having a strategic commitment to enhancing collaboration and team dynamics, providing a powerful case study for Kiwi business leaders. As organisations navigate the evolving landscape of work, Dell’s emphasis on the value of face-to-face interactions highlights the critical role of personal engagement in fostering trust, enhancing performance, and driving innovation.
While many companies in New Zealand have embraced hybrid models, Dell’s approach serves as a timely reminder of the unique advantages that in-person collaboration can offer.
For Kiwi leaders, now is the moment to reflect on their own work models and consider the benefits of reintegrating in-office work. By prioritising personal interactions and investing in robust training and support for their teams, businesses can create an environment that not only meets performance goals but also nurtures employee well-being.
Embracing this balance between flexibility and direct collaboration will empower organisations to thrive, adapt, and seize emerging opportunities. As we look to the future, let us champion a workplace culture that values both innovation and the human connections that drive it.
