The IRS Modernization, Information Technology, and Security Services (MITSS) conducted a Flexiplace and Hoteling Pilot from June to October 2000. Three important drivers led to implementation of the pilot:
- Need to identify successful recruitment and retention strategies for skilled personnel
- Need to maximize utilization of space
- Need to enhance employee satisfaction
Pilot objectives were to resolve issues that affect participation in flexible work arrangements for MITSS’s 8,000 employees, to promote flexiplace and hoteling as viable work options, and to provide a model that could be replicated throughout the organization.
Twenty participants in New Carrollton, MD, telecommute one to three days every week. Participants who met certain criteria were assigned a temporary workstation when in the main office, an alternative known as hoteling. Based on this criterion, a total of 13 participants took part in both the flexiplace and hoteling arrangements.
A “concierge” assigns the workstations randomly through a space reservation system developed for the pilot by an IRS computer specialist using Microsoft Access. Business files and personal possessions were transferred to nearby lockable storage cabinets. A docking station, monitor and mouse were installed in the stations so participants could connect their laptop to the IRS network. IRS and the Department of the Treasury collaborated to implement a traveling or “follow-me” phone system that allowed participants to transfer their permanent phone number to either their assigned hoteling station or cell phone.
Hoteling arrangements offer a valuable opportunity to significantly reduce real estate costs by optimizing the use of corporate space. Workstations are reserved only as needed instead of on a full-time basis. Research has shown that even with workstations occupied on a full-time basis, vacancy rates are high due to leave, training, and travel. Regular telecommuters typically make good candidates since they spend a significant amount of time away from the main office every week.
Space utilization data revealed that expansion of flexiplace and hoteling to other parts of MITSS would allow the organization to reallocate a minimum of 23 percent of workstations for other purposes, such as accommodating additional employees or contractors. Housing the same number of individuals in a smaller amount of space results in significant real estate savings and can avoid the need to lease costly space in other buildings. The cost benefit analysis showed the potential cost avoidance to be $414,000 annually, based on a participation rate of 100 employees.
For more information, contact Ms. Adriane Thormahlen at (202) 283-4081 or via e-mail at adriane.thormahlen@irs.gov

