Present crisis due to the coronavirus is proving out to be a great time to experiment work from home as an alternative for the future business operations. Many companies around the world have started remote operations to deal with the current pandemic. However, Gartner, the world’s research and advisory company has come out with results of a survey conducted that throws light on how companies will change the way of running businesses in future.
A Gartner, Inc. survey of 317 CFOs and Finance leaders on March 30, 2020 revealed that 74% will move at least 5% of their previously on-site workforce to permanently remote positions post-COVID 19.
“This data is an example of the lasting impact the current coronavirus crisis will have on the way companies do business,” said Alexander Bant, practice vice president, research for the Gartner Finance Practice. “CFOs, already under pressure to tightly manage costs, clearly sense an opportunity to realize the cost benefits of a remote workforce. In fact, nearly a quarter of respondents said they will move at least 20% of their on-site employees to permanent remote positions.”
With 81% of CFOs previously telling Gartner that they planned to exceed their contractual obligations to hourly workers, remote work is one example of creative cost savings senior finance leaders are seeking in order to avoid more severe cuts and minimize the downside impact to operations. CFOs previously reported to Gartner that they were taking additional steps to support employees in this area by adjusting to more flexible work schedules and providing company-issued work from home equipment. These action by finance leaders help minimize disruptions workers might be facing as a result of the crisis.
“Most CFOs recognize that technology and society has evolved to make remote work more viable for a wider variety of positions than ever before,” said Bant. “Within the finance function itself, 90% of CFOs previously reported to us that they expect minimal disruptions to their accounting close process, with almost all activities able to be executed off-site.”
As organizations continue to grapple with the ongoing business disruptions from COVID-19, permanent remote work could complement cost-cutting measures that CFOs have already taken or plan to take. In Gartner’s most recent survey, 20% of respondents indicated they have deferred on-premise technology spend, with an additional 12% planning to do so. An additional 13% of respondents noted they had already made cost reductions in real estate expenses, with another 9% planning to take actions in this area in the coming months.
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