The results were phenomenal. Over the two years, Ctrip increased profits by $2,000 per employee by enabling working from home simply by reducing its need for an office space. But while that in and of itself was the goal going into the project, the most significant return from enabling remote working was, surprisingly, the productivity gains. The research shows that there was a 13% improvement in performance by those employees working from home -- the equivalent of almost one extra day of productivity per week.
Furthermore, employee churn dropped dramatically, with resignation rates falling by 50%. This not only helped Ctrip keep valuable talent inside the organisation, but it also minimised productivity drops at the manager level as less time was required in recruiting new employees.
The trial was so successful that Ctrip deployed the remote working model out to the entire company with incredible results.
By enabling employees to work remotely, organisations also open themselves to the opportunity of accessing offshore talent with specialised capabilities that may have been inaccessible previously.
That same infrastructure also allows organisations to expand more effectively. The relatively small size of the Australian market has made expansion throughout South East Asia, Europe, and America far more appealing. Traditionally, the challenges in maintaining a brand while managing satellite locations has been an inhibitor to regional expansion, but the solutions being developed to reduce the reliance on a central physical location is enabling businesses to look at expansion with more confidence.