Telecommuting Tool Calculates Savings, Productivity Gains


The Telecommuting Calculator, uploaded on the Knowledge Network by IT Business Edge contributor Michael Stevens, provides a quick approximation of your savings opportunity with telecommuting. It is based on a business model where employees who previously worked at your facility now work at home on a full-time basis, with only occasional visits. It's presentation-ready, too, for those who need a visual to take before upper management or a budget committee.


Here is a more in-depth look at this powerful calculator and all of the benefits it can offer.


The overall tool actually has several small calculators, the first one focusing on space savings, as seen below. Data must be enterered into the white boxes by the user in order for the results to be calculated. The yellow and blue boxes are the resulting calculations. Before starting, go to the Results tab (see second screenshot below) and enter some parameters, including the number of employees in the program and the productivity gain that you anticipate.



You can use the space savings calculator in several ways. If your facilities manager can provide a precise dollar value for the leasing costs you will save, enter "0" in the top three cells and enter the dollar value in the "Monthly Lease Pmt" cell. This is the most accurate method. If you know (or can measure) the number of square feet, enter that number in the "Total Ft2" cell, and enter the cost per square foot you're paying below it in the "Cost/Ft2" cell. The "Total/Month" cell will be calculated for you. And, finally, if you can't determine the total number of square feet you'll save, the calculator will estimate it for you. For this approach, enter the square feet used per employee in the "Ft2/ Employee" cell and the cost per square foot below it in the "Total Ft2" cell. Typically, a single employee uses between 150 and 250 square feet. Use 150 for a conservative savings figure, 250 for a more optimistic one.


Other calculators in this tool determine furniture, electrical, hardware, communication, software and setup savings. Download the document here to see these calculators in action.


After entering all of the data, the overall savings data is calculated on the Results tab (pictured below).



This tab compares monthly savings to new monthly costs, which results in a net savings calculation. For the monthly savings information, a bar graph and pie graph show the results, in addition to the numbered data. This tab is designed to show in PowerPoint presentations for an overview of data without all the calculations.


Finally the last tab, titled "ECO," gives a quick look at how you can improve your carbon footprint by telecommuting. Enter your average commute in miles and automobile's miles per gallon figures. Those numbers reveal (in tons and pounds) how much carbon dioxide was not released into the atmosphere. In addition, the calculator reveals how many acres of trees would have to be planted to achieve that reduction in carbon dioxide.