Post on 30-Dec-2015
EMERGENCE
Riga, April 4, 2002
eWork in a Global Economy: Some Results from the EMERGENCE Project
Ursula HuwsInstitute for Employment Studies
TELEBALT WORKSHOP
EMERGENCE
A new spatial division of labour in knowledge work
The combination of telecommunications and computing (telematics) is bringing about major changes in who does what work, where, when and how
There are new choices open to both employers and workers in the organisation of work in time and space
EMERGENCE
EMERGENCE
Estimation andMapping ofEmploymentRelocation in aGlobalEconomy in theNewCommunicationsEnvironment
EMERGENCE
The EMERGENCE Project
AIMS Measure the extent of eWork Identify forms and characteristics of eWork Identify favoured locations for each eActivity Find reasons for choice of location or supplier Explore dynamics of relocation Investigate employment implications Identify constraints and facilitators Identify indicators for future modelling and
tracking Inform regional development strategies
EMERGENCE
Individualised forms of eWork
fully home-based eWorkers
multilocational eWorkers
elancerse-enabled self-
employed
EMERGENCE
Employers’ use of telehomeworking, by country
0% 2% 4% 6% 8% 10% 12%
Austria
Belgium
Czech Republic
Denmark
Finland
France
Germany
Greece
Hungary
Ireland
Italy
Luxembourg
Netherlands
Poland
Portugal
Spain
Sweden
UK
All
EMERGENCE
Projected growth oftelehomeworking in Europe to 2010
0
500,000
1,000,000
1,500,000
2,000,000
2,500,000
3,000,000
3,500,000
2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010
Employment expansion onlyOrganisational change onlyOrganisational change and employment expansion
EMERGENCE
Employers’ use of multilocational eWorkers, by country
0% 5% 10% 15% 20% 25% 30% 35%
Austria
Belgium
Czech Republic
Denmark
Finland
France
Germany
Greece
Hungary
Ireland
Italy
Luxembourg
Netherlands
Poland
Portugal
Spain
Sweden
UK
All
EMERGENCE
Projected growth of multilocational eWorkers in Europe to 2010
0
2
4
6
8
10
12
14
16
2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010
mill
ion
s
Employment expansion only
Organisational change only
Organisational change and employment expansion
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Employers’ use of eLancers, by country
0% 5% 10% 15% 20% 25%
Austria
Belgium
Czech Republic
Denmark
Finland
France
Germany
Greece
Hungary
Ireland
Italy
Luxembourg
Netherlands
Poland
Portugal
Spain
Sweden
UK
All
EMERGENCE
Projected growth in eLancing in the EU, to 2010
0.0
0.5
1.0
1.5
2.0
2.5
3.0
3.5
2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010
mill
ions
Employment growth
ICT diffusion
Employment growth and ICT diffusion
EMERGENCE
eEnabled self employment: projected growth to 2010 based on continuation of existing trends
0.00
1.00
2.00
3.00
4.00
5.00
6.00
7.00
2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010
milli
ons
ICT diffusion
EMERGENCE
Estimates of telehomeworkers, eEnabled workers and eEnhanced workers in Europe, 2000
EU 15
1. Home-based employees who use a computer and telecommunications link toconduct their work. (person equivalent)
810,000
2. Multilocational employees who use a computer and telecommunications link toconduct their work. (person equivalent)
3,700,000
3. eLancers providing business and related industries who use a computer andtelecommunications link to conduct their work
1,450,000
Number of person equivalent eWorkers – sum of 1-3 above (EMERGENCEnarrow definition)
5,960,000
4. Number of eEnabled self employed workers who require a computer andtelecommunications link to conduct their work not working in business relatedindustries.
3,080,000
Number of person equivalent eWorkers – sum of 1-4 above (EMERGENCEbroad definition).
9,040,000
Estimated number of eWorkers based on CLFS and UK LFS (includingirregular eWorkers)
9,830,000
(ECATT estimate of ‘regular’ plus ‘supplementary’ teleworkers in Europe in 19991) 9,009,000
1 ECATT Project, Telework Data Report, Bonn, 2000
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Projections of telehomeworkers, multilocational eWorkers and eLancers, 2010
EmploymentGrowth
ICTdiffusion
Employmentgrowth & ICT
diffusion
Telehomeworkingemployees
950,000 2,750,000 3,170,000
Multilocational eWorkers(person equivalent)
4,309,788 12,462,907 14,332,343
eLancers (providing businessrelated services)
1,790,000 2,490,000 3,040,000
eEnabled self-employed 3,080,000 6,580,000 6,580,000
Total estimate ofindividualised eWorking
10,129,788 24,282,907 27,122,343
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Office-based forms of eWork
remote back offices (employees)
eOutsourcingtelecentres or
telecottages
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E-work in Europe (demand side)by type of e-work
(% of establishments with >50 employees)
13.8
16.6
40.5
11.3
42.9
1
6.6
9.8
1.7
11.7
48.4
61.6
0 10 20 30 40 50 60 70
e-linked call centre
any remote call centre
business services companies
'e- lancers'
any e-outsource
third party telecentre
remote back office
multi- location employees
home-based employees
any e-employees
any e-work
any e-work including mobile sales
Source: EMERGENCE employer survey, 2000
EMERGENCE
Use of outsourced business services (% of establishments with >50 employees)
5.4
19.2
34.1
11.1
42.9
6
24.7
44.8
15.2
55.8
0 10 20 30 40 50 60
other country o/ s
other region o/ s
same town/ region o/ s
outsourced call centre
any outsourcing
with e-link any
Source: EMERGENCE employer survey, 2000
EMERGENCE
eWork demand by business function (% of establishments with >50 employees)
9.2
2.8
3.3
29.4
4.4
18.6
9.1
48.4
0 10 20 30 40 50 60
customer service
telesales
financial
software/ IT support
data processing
design/ creative
HR/ training
any eWork
Source: EMERGENCE employer survey, 2000
EMERGENCE
eWork supply in Europe by country (% of establishments with >50 employees)
19 1823
16
2217
28
107
30
12 1014
27
58
1116 17
21
0
10
20
30
40
50
60
70
Source: EMERGENCE employer survey, 2000
EMERGENCE
eWork supply by business function(% of establishments with >50 employees)
10.5
2.9
3.1
5.4
3.7
6.9
4
20.5
0 5 10 15 20 25
customer service
telesales
financial
software/ IT support
data processing
design/ creative
HR/ training
any eWork supplied
Source: EMERGENCE employer survey, 2000
EMERGENCE
Reasons for choice of eOutsourcer (reasons for choice of location, % of all outsourced services)
5.4
2.8
12.4
1.2
12
9.1
2.6
21.8
12
2
0 5 10 15 20 25
near other parts of the company
near customers
good reputation
language/culture
low cost/competitive tender
existing relationship/alliance
personal link
technical expertise
reliability
they targeted us
Source: EMERGENCE employer survey, 2000
EMERGENCE
Typology of eWork Relocation
Company re-organisation Isolated measure Background/ cause:
Primary objective:Concentration(Reduction)
Decentralisation(Expansion)
Complementing(Expansion)
Replacement(Reduction)
Geographicalrelocation
I III V VII
Outsourcing II IV VI VIII
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Relocation of customer services call centres
Motives availability of workers, costs, corporate restructuring
Metropolitan versus rural areas Importance of information and
communication technology
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Relocation of software-development and IT support
Motives and aims of relocationRecruitment problems - labour market
oriented relocationSkill oriented relocationsCost oriented relocationsCentralisation; economies of scale
EMERGENCE
Organisational and technical challenges
Facilitators
Technical Infrastructure and ICT utilisation Contacts in destination location and support
by parent company High degree of division of labour
standardisation and formalisation Involvement of employees Organisational change and transfer of
knowledge
EMERGENCE
Outsourcing over the Internet
(Intermed Case Study)
“I have never heard Kirill‘s voice” “I have never heard Kirill‘s voice”
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Software-Development in Poland
(Betty Case Study)
“Without personal contacts one
wouldn‘t do that”
“Without personal contacts one
wouldn‘t do that”
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Tele-Cooperation
(Brandfree Case Study)
“Once they saw that I didn‘t have two
heads things instantly improved“
“Once they saw that I didn‘t have two
heads things instantly improved“
EMERGENCE
Employment effects
Positive employment effects in ‘expansion’ and ‘complementing’ type relocations
Loss of jobs in ‘concentration’ and ‘replacement’ type relocations
Qualitative employment effectsHigh demands on mobility of employeesHow long is the butterfly going to stay?
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implications for the Baltic region
Opportunities to develop individualised forms of eWork
Major opportunities to supply eServices to the EU and other developed countries
BUT Need to compete with the rest of the world Necessity for
Infrastructure Skills, including language skills Effective marketing Understanding of EU business cultures