Society of Time Efficiency
"Time is money." This classic truth is now evolving into a new philosophy of ‘time is me’.
In the ‘second society’, it has become important not only to save time but to actively reorganize one's own time.
The phenomenon of COVID-19 was not simply a biological hazard; it marked a turning point in changing the technologies and ideas of modern civilization, and it was a period where cultural changes occurred radically.
Corporate productivity has historically been proportional to workers' time. However, as the population declines and the importance of personal life becomes generalized, the meaning of individuals' lives, or ‘personal time’, is also changing.
‘Trend Korea 2024’ identified the concept of ‘second society’ as the representative trend of 2024. This indicates a society where people live competing for every second to maximize time efficiency. Modern individuals are striving to utilize even the smallest units of time through ‘time juggling’.
The value of time efficiency, or ‘time efficiency ratio’, is becoming important as telecommuting, flexible working, etc. increase the subjective use of time. There is a growing demand for time-saving products/services (such as robot vacuum cleaners, dishwashers, etc.).
In 2024, remote work and hybrid work will become the key to this change. Both companies and individuals must become innovators of time.
The Work Landscape Changed by Time Efficiency
“Is your 2-hour commute worth it?”
A brief broadcast segment in the reboot of SNL Korea Season 6 featured a new entertainment corner themed around the commuting life of residents in Gyeonggi Province. The long commute of 2 hours one way, 4 hours round trip, takes up 1/6 of a day, and it satirized the scene of students taking private lessons or going on blind dates. It reflects the darker side of our country where everyone commutes to Seoul while living in Gyeonggi Province.
However, proactive individuals in a dark society are raising a new life standard of ‘how to avoid commuting?’ and are trying to solve it through employment, career changes, or personalized freelancing and personal business.
By breaking the conventional notion of commuting, people have gained the opportunity to focus on the essence of work. According to a McKinsey survey, 33% of high earners say they are willing to accept a pay cut to spend time on more valuable work instead of commuting.
“Now employees want to ‘invest’ their time instead of ‘consuming’ it.”
In this flow, hybrid work is a ‘win-win game’ for both employees and companies. According to the Qualtrics report, employees at companies offering hybrid work have overwhelmingly high engagement and satisfaction with welfare, and the turnover rate decreases. For companies thirsty for talent retention and acquisition, hybrid work has become essential.
COVID-19 is over.. Now come out! The ‘psychological defense’ of companies refusing remote work
But why do some companies still shout for office returns? Here, human psychology operates more than ‘rationality’.
Humans do not easily let go of greed once tasted. Telecommuting was a justification in the COVID society, but now it is not. It is because of the rising opportunity cost in today's society that surely values personal life.
For companies, remote work still feels like an unfamiliar risk. Traditional managers tend to trust the visible work of employees more.
Trust from physical proximity: It is human instinct to trust people who are closer.
The belief that "work can only be done in the office" is actually closer to a statement for psychological comfort.
Sunk cost fallacy: It is regrettable about the office space already invested in.
The decision to return to the workplace while maintaining the office often represents an unconscious attempt to justify this ‘sunk cost’.
But one thing is clear. In an era where employees ask, "Why do I have to go to the office every day?", companies must come up with more creative and compelling answers to this question.
The Mainstreaming of Digital Nomads: Realities Companies Must Know
Einstein's theory of relativity gives us an interesting message. ‘Time and space are one’, the rising value of personal time implies a value for personal life. For workers, travel was a special act, and that usually meant domestic spaces. However, people are no longer purchasing homes, nor are they dating or marrying. The surplus resources are shifting from savings to quick consumption, and the naturally occurring boom in overseas travel has also influenced this personal work. Individuals want to claim not only time but also space as their own.
The emergence of digital nomads. In the past, digital nomadism was a privilege of select individuals with special skills, but as the service industry expanded and with the popularization of AI and automated businesses, the number of digital nomads has skyrocketed domestically. A ‘boom in geek culture’ has occurred.
In 2024, digital nomads are no longer an experiment for a few. 11% of U.S. workers, about 18.1 million, work as nomads, and this number is rapidly increasing. The freedom to “work anywhere, anytime” is now a key keyword of new work trends.
Digital Nomad Trend Points
Digital Nomad Trend: Geographic arbitrage, slow-mading, individual architecting
Digital nomads create high incomes while living in low-cost regions through geographic arbitrage. Particularly, popular beach areas in Southeast Asia attract these nomads, who work remotely with just a backpack and laptop. Additionally, with the spread of a new way called slow-mading, nomads pursue a balance by staying longer in specific areas to immerse themselves in local cultures and enhance work productivity. A typical lifestyle is focused on work during the day and enjoying festivals, parties, and local culture at night.
Furthermore, nomads achieve individual architecting through becoming adept with AI and digital tools, maximizing work efficiency by moving away from simple production to systems building. For instance, instead of individually creating detailed pages, they establish automated systems to produce large quantities of detailed pages, thereby increasing productivity.
“Is your company ready to accommodate digital nomads?” : Companies Adopting Hybrid Work
*Companies' Attempts at Office Return Policies
Many companies are still pushing for employees to return to the office. Elon Musk of Tesla has also pointed this out. Particularly, in manufacturing, which is not a software company, it is urgent for engineers to handle materials directly, thus necessitating a return to the office.
IBM requires all managers in the U.S. to be in the office at least 3 days a week.
90% of American companies plan to stop remote work by the end of 2024.
They are encouraging employees to return by enhancing office renovations and cafeteria improvements.
They are creating pleasant and creative work environments by introducing the placement of plants and game zones.
*Let's agree. The Spread of the Hybrid Work Model
However, for most, instead of a complete return to the office, the hybrid work model is becoming the new standard. This is becoming one criterion for individuals in choosing a company as a general rule.
SK hynix's U.S. subsidiary offers a mix of 4 days of office work with the option to work from home on Fridays.
Many companies are adopting a mixed work model requiring 2–3 days of office attendance.
**66%** of software engineers prefer 5 days of remote work.
In contrast, in the finance and investment sector, only **36%** prefer 5 days of remote work.
*But in the end… The Sustainability of Remote Work
The trend of remote work is not completely disappearing but continues to persist.
The proportion of job postings for remote work has increased by 10% from a year ago and 31% from six months ago.
Especially at higher positions, the ratio of remote work appears even higher.
Digital Nomads: New Opportunities and Challenges for Companies
The rapid expansion of IT services and digitalization has ushered in an era where companies now collaborate with digital nomads to involve them in service development.
New Dynamics Between Workers and Companies
Workers are no longer unilaterally chosen by companies. Exceptional digital nomads and professional freelancers selectively choose the companies that suit them.
Companies can now achieve high-efficiency product development through reasonable labor costs and tax expenditures.
Digital nomads may be inconvenient from a company’s standpoint, but if used properly, they become powerful assets. If companies cannot accommodate these talents, they will inevitably lose core competencies and fall behind in competition. Therefore, establishing digital nomad policies to reduce legal risks and IT security issues has become a necessary task.
If you are an individual challenging to be a nomad
Start domestic and international gig services.
Utilize various platforms to secure work and quickly enter the market.
Create your own work workflow.
Establish an efficient and systematic work system to enhance competitiveness.
Be prepared to enjoy more freedom.
Greater freedom comes with greater responsibility. To survive in an uncertain market, storytelling, personal branding, and growth as an architect are essential.
Companies must open their hearts. Coexist and prosper with individuals
Digital nomads and hybrid work are not choices but necessities. Companies must respect the value of talent and build more flexible systems.
Respect individual value.
Outstanding talents are always ready to leave. Their capabilities and value must be recognized.
Establish a flexible human resource management system.
Abandon vertical employment relationships, and set up a system that allows flexible utilization of external personnel. Introduce a project-based collaboration model so that the work systems of digital nomads and companies can harmonize.
Actively seize opportunities.
Reduce dependency on full-time employees and optimize costs through a flexible labor cost structure. This becomes an opportunity to invest more resources in product development and innovation.
Digital nomads provide both companies and individuals with more choices and opportunities, but it also requires challenges and preparations. If companies do not prepare to accommodate digital nomads by 2025, they will fall behind in the talent competition. Now is the time to lead the trend of change with flexible thinking and innovative systems.