Crafting Workforce Policy In The Digital Nomad Era

In the landscape of modern work environments, the rise of digital nomads represents a significant evolution in how careers and workplaces are perceived and operated. This shift has led to a new blend of workforce, mixing traditional office-bound employees with those who choose to work remotely from anywhere in the world.

In this episode, host David Rice is joined by Audra Nichols—Chief Operating Officer at MBO Partners—to discuss the future of work for digital nomads and the policies that can support this unique segment of the workforce.

Interview Highlights

  • Audra Nichols: A Journey from PwC to MBO Partners [01:14]
    • Audra has a background in professional services, spending nearly 19 years at PwC before moving to a smaller legal consulting business.
    • At PwC, she utilized independent consultants through MBO Partners and recognized the need for a flexible workforce model.
    • Audra later became the client and executive sponsor at UnitedLex, where she continued to work with MBO Partners.
    • Miles, the CEO of MBO Partners, convinced Audra to join as the Chief Operating Officer due to her extensive experience and perspective as both a user and client.
    • Audra's role involves passionately growing MBO Partners and leveraging her firsthand experiences to have a positive impact on organizations and workers.
  • Understanding the Digital Nomad Phenomenon [03:46]
    • MBO Partners has been studying the rise of digital nomads for about five years.
    • Contrary to common stereotypes, the average age of a digital nomad is 39 years old.
    • In 2023, there were 17.3 million digital nomads, marking a 131% increase since 2019.
    • Historically, digital nomads were primarily independent contractors, but the COVID-19 pandemic saw a significant increase in full-time employees adopting this lifestyle.
    • However, after COVID-19 restrictions eased and organizations began implementing return-to-office policies, the number of full-time employee digital nomads decreased by 4% in 2023.
    • Digital nomads are not just young individuals; 21% of them are Gen Z, and 37% are millennials, indicating a diverse age range among this group.
    • Factors such as children growing up, mortgage payments being completed, and career advancement contribute to older individuals opting for flexible work arrangements.
    • "Tethered nomads" refer to individuals who now have to be in a specific location for work, typically due to return-to-office requirements.
    • Approximately 80% of the U.S. workforce has returned to some form of in-office work, though not necessarily full-time.
    • This shift has affected the choices of digital nomads, leading many to spend more time closer to home to accommodate in-office requirements.
    • The baseline expectations for both workers and organizations have changed, necessitating a shift in leadership skills to effectively manage a diverse workforce with varying work arrangements.
    • Leaders today need to be more intentional in bringing together different worker personas to effectively deliver results to clients, especially as remote and hybrid work become more prevalent.

The concept of nomads, independence, and optimizing your workforce requires a set of leadership skills today that are more intentional than they were in years past, to bring all those pieces together effectively.

Audra Nichols
  • Navigating the Challenges of Digital Nomad Policies [09:03]
    • Employers need to consider tax laws and jurisdictional labor laws when creating digital nomad policies.
    • Safety considerations include tracking employees' whereabouts for accountability and addressing potential issues like illness or emergencies.
    • Policies should empower workers to be productive while establishing boundaries and guidelines for compliance without overburdening them.
    • Trust between leaders and workers is crucial for effective remote work, especially in crisis situations like conflicts or emergencies.
    • Engagement and trust-building require leaders to be compassionate yet direct and to establish clear expectations regarding availability and communication.
    • Maintaining team culture and collaboration is essential, including encouraging the use of video during virtual meetings to build relationships and trust.
    • IT departments need to be proactive in monitoring and updating software to mitigate security risks associated with remote work and digital nomadism.

We aim to avoid micromanaging our workers, as they perform best when empowered to utilize their skills in environments that maximize productivity. However, it's essential to establish clear boundaries and guidelines for engagement with the workforce, ensuring compliance without overwhelming them.

Audra Nichols
  • Building Remote Teams and Cultivating Culture [17:29]
    • Building relationships and creating connections between remote employees and co-located team members is essential for fostering a strong company culture.
    • Encouraging collaboration beyond day-to-day work tasks and understanding team members' personalities and preferences, such as through tools like Myers-Briggs assessments, can facilitate a deeper understanding and appreciation within the team.
    • Personal interactions, such as meeting in person or sharing meals, are crucial for building trust and rapport among team members, even in a remote work environment.
    • Understanding and accommodating individual preferences and needs, such as the desire for in-person office work, can contribute to employee satisfaction and retention.
    • Moments of connection and human interaction help break down barriers between remote team members and foster a sense of camaraderie and unity within the team.
  • Optimizing the Workforce with a Blend of Remote and In-Office Employees [23:03]
    • Assess the client base and industry needs to determine the optimal mix of remote, hybrid, and in-office work environments.
    • Consider the employee experience and career paths for both remote and in-person workers, ensuring equitable opportunities for growth and advancement.
    • Prioritize workforce optimization by balancing profitability, flexibility, and carrying costs, leveraging a combination of employee skills and independent contractors.
    • Embrace skills-based staffing or competency-based staffing to enhance organizational agility and adaptability in serving diverse client needs.
    • Invest in leadership development to equip leaders with the necessary skills, personas, authenticity, and compassion required for leading in the evolving landscape of work.

Meet Our Guest

Audra Nichols is a proven senior leader dedicated to achieving measurable business results for growth and market differentiation in the US and globally. She has 25 years of professional services experience leading large-scale transformational change efforts that drive a competitive operating model, building and leading high performing teams, and running the operations to realize long term impact.

photo of Audra Nichols

You must evaluate your leaders to ensure they are equipped to lead in the future, not just based on past practices. Today's leaders require distinct personas, skill sets, authenticity, and compassion compared to those in previous years.

Audra Nichols

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