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Monday, March 16, 2020

Strategic CSR - Microsoft

The article in the url below reports on an interesting finding from a particularly progressive experiment conducted by Microsoft Japan:
 
"Microsoft tested out a four-day work week in its Japan offices and found as a result employees were not only happier – but significantly more productive."
 
Specifically:
 
"For the month of August, Microsoft Japan experimented with a new project called Work-Life Choice Challenge Summer 2019, giving its entire 2,300 person workforce five Fridays off in a row without decreasing pay. The shortened weeks led to more efficient meetings, happier workers, and boosted productivity by a staggering 40%, the company concluded at the end of the trial. As part of the program, the company had also planned to subsidize family vacations for employees up to ¥100,000 or $920."
 
And, the benefits did not stop there:
 
"In addition to the increased productivity, employees took 25% less time off during the trial and electricity use was down 23% in the office with the additional day off per week. Employees printed 59% fewer pages of paper during the trial."
 
The article lists different related experiments with the four-day work week and productivity going on around the world. One German entrepreneur has even instituted a five-hour workday at his firm. Perhaps not surprisingly:
 
"The vast majority of employees – 92% – said they liked the shorter week."
 
The key here, of course, is whether this effect is due to the change itself (because the experiment was new and exciting, and therefore momentarily motivating) or whether there is something fundamental to the structure of a four day work week (and a three day weekend) that enables greater productivity. It seems difficult to believe, for instance, that a group could be 40% more productive in 20% less time. I would think that being able to sustain the same productivity in 20% less time would be a more realistic goal over the medium to long term. Either way, there is growing evidence that the number of hours at work is only loosely related to productivity (see also, Strategic CSR – Productivity). Companies that are willing to innovate in this area are likely to have employees that perform at a higher level, are more loyal, and most likely happier.

Take care
David
 
David Chandler
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Microsoft Japan tested a four-day work week. Productivity jumped by 40%
By Kari Paul
November 4, 2019
The Guardian