How to run a work-from-home business: 3 critical factors for efficient remote working

The COVID-19 pandemic forced many businesses to shift to remote work quickly. However, once this model was put into practice, teams started facing challenges with collaboration.

But the problem isn’t with remote work itself. It’s that many businesses are approaching it the wrong way. Research by Nicolas Bloom and James Liang shows that remote employees are often happier, less likely to quit, and more productive than their in-office counterparts.

So, what’s the right approach to help teams and employees collaborate more effectively while working remotely? The answer lies in three key factors culture, communication, and processes. Let’s explore the details in this article.

What is remote work?

Remote work is a way of working in which employees can perform their tasks from anywhere with an internet connection rather than having to be in a fixed office location. This means you can work from home, a coffee shop, a library, or anywhere you feel comfortable and productive.

The term “remote work” is the most widely used and general term. However, it also goes by other names, such as “Telework,” which highlights the use of technology to work remotely, or “Work from home” (WFH), commonly used when employees are unable to work from the office due to external circumstances.

Pros & Cons of remote work

Benefits of remote work

For businesses, remote work offers several key advantages that can help boost competitiveness and adapt to the evolving labor market:

• Cost savings: Remote work significantly reduces expenses, such as office rent, utilities, and employee commuting costs.
• Expanded talent pool: It allows businesses to recruit and attract top talent from anywhere without being limited by geographic location.
• Increased productivity: The flexibility and autonomy of remote work often lead to higher employee productivity.
• Improved employee satisfaction: Remote work enhances employee well-being, leading to more robust engagement and reduced turnover rates.

For employees, remote work is more than just a preference; it's a way to improve both their personal and professional lives:

• Better work-life balance: Remote work gives employees more time to balance their personal and professional commitments.
• Freedom to choose the work environment: Employees can select their ideal workspace, which boosts focus and productivity.
• Reduced commuting stress: Less time spent traveling to work lowers stress levels and improves overall health.
• New career opportunities: Remote work opens doors to jobs with companies worldwide, free from geographical restrictions.

Downsides of remote work

While remote work offers many benefits, there are also some potential downsides to consider:

• Isolation and lack of social interaction: Working remotely can lead to feelings of loneliness and disconnect from coworkers, as there are fewer opportunities for casual conversations or team bonding.
• Communication challenges: Without face-to-face interactions, miscommunications can happen, especially if clear communication protocols aren’t in place. Delays in responses during asynchronous communication can also slow down progress.
• Lack of supervision and accountability: Some employees may find it challenging to stay motivated or focused without direct oversight, which could lead to reduced productivity if not managed well.
• Limited career development: If only part of the workforce is remote, employees working from home might feel less visible to management. This can affect their chances for promotions, professional development, and participation in important projects.
• Cultural disconnection: It can be harder to maintain a strong company culture when employees aren’t regularly interacting in person, making it more challenging to foster a shared sense of mission and belonging.

Balancing these challenges with the benefits is essential to making remote work successful for both businesses and employees.

6 principles to run a remote business

To ensure your remote business operates efficiently, there are six critical principles you should follow. These guidelines will serve as the foundation for a smooth and successful remote work environment.

Principle 1: Assume Remote 

This principle states that everyone should operate as if they are working remotely, even if some team members are in the same office. Information sharing and communication should always happen online so that everyone, no matter where they are, stays informed. This ensures that remote employees have the same access to information as those in the office.

Principle 2: Integrity  

We must stay committed to the goals we've set, ensuring we meet deadlines and maintain quality no matter where we work. Responsibility is crucial, especially for individuals or teams that are closely connected with others.

Principle 3: Anti-distraction  

When working remotely, it's essential to eliminate distractions, whether it's noisy neighbors, housemates, household chores, or even the temptation of your bed. Make sure your workspace and tools help you stay focused.

Principle 4: Asynchronous communication  

When working online, communication won't be instant like in an office. Don’t expect immediate responses to every message. Accept that there will be delays, and make a direct call when something urgent comes up. This allows for uninterrupted work time and ensures messages are checked at designated intervals.

Principle 5: Honesty  

Be transparent and accountable. Ensure that your time online is dedicated to work. If any issues arise, communicate them to your supervisor so you can get the necessary support.

Principle 6: Information security  

Keep information secure when working outside the office. Always protect sensitive data like customer information, internal company details, and product-related content.

Tips to maintain productivity for remote working employees

1. Build a strong culture with 3 Rights

Building a strong remote work culture hinges on the 3 Rights formula: Right people, equipped with the Right tools, and guided in the Right direction. These elements are essential to ensure productivity, collaboration, and success in a remote environment.

Right people

When employees are no longer in the office environment, they easily become distracted and lose their usual productivity and collaboration. To combat this, company culture—especially the human element—must take center stage.

People who thrive in remote work environments have a strong sense of self-ownership—they take responsibility, motivate and hold themselves accountable. Only when each employee has the genuine will and determination to work can they fully contribute to the company, no matter the environment or circumstances. 

Of course, having the right people doesn't mean you can sit back and let them figure it out on their own at work. Along with internal motivation, employees need encouragement from the company to keep their "fighting spirit" alive. It's important to create ways to recognize and reward their achievements, making them feel valued, just as they would in an office setting.

One of the most common methods businesses use today is public recognition posts for employees who excel. You can use email or leverage the company’s internal communication platform to be more professional. Create a real-time post acknowledging their achievements and share it with everyone in the company. Others can interact with the post, spreading joy and motivation across the entire team.

Right tools

The second key cultural factor for practical remote work is having the right tools. A common mistake businesses make when transitioning to remote work is assuming employees already have the same equipment and reliable internet access as they do in the office. In reality, this isn’t always the case, and a lack of proper tools and synchronization can severely impact team productivity.

That’s why it’s essential to quickly conduct an internal survey to identify what equipment employees are missing when adopting a remote work model. Smartphones and laptops are generally basic necessities for all positions, but some employees may need specialized equipment, such as printers for legal staff or webcams for recruiters conducting online interviews.

Additionally, internet connectivity is a crucial issue that must not be overlooked. A weak, unsecured home network can lead to costly consequences for both employees and the company.

The most common solution to this problem is a Virtual Private Network (VPN), where each account must authenticate with a username and password. For smaller organizations, you can consider simpler and more affordable alternatives like Citrix Virtual Apps, Blackberry Digital Workplace, or TeamViewer.

Right direction

The final component of building an influential remote work culture is providing employees with clear direction.

Unlike traditional work models, remote teams don’t have as much time to connect with the company’s culture and goals. That’s why it’s essential to consistently align them with the company’s vision, values, and mission, ensuring that all activities are focused on achieving unified results.

When you bring together the three key factors—having the right people, providing them with the right tools, and aligning them with the company’s direction—your remote work culture will be fully established and ready to foster effective collaboration.

2. Be mindful of how you communicate

Remote communication can make your employees happier and less stressed, but if done poorly, it can disrupt the flow of information. And when communication breaks down, collaboration suffers.

So, how can you ensure effective remote communication?

Daily work communication

Free chat software like WhatsApp, Skype, or Viber are often the go-to choices for everyday communication with remote colleagues.

However, keep in mind that these apps were originally designed for asynchronous communication (where team members communicate at different times). Yet, because they can deliver real-time information, people often confuse them with synchronous communication.

This kind of real-time communication can cause employees to constantly check their messages, disrupting their work. The solution is to set clear guidelines for when and how to communicate while working remotely. For example, employees shouldn’t send off-topic messages in group chats, and important updates should only come from specific team members.

Ideally, companies should create a dedicated collaboration space separate from those overly populated group chats that can cause distractions.

Critical communication

Like with daily communication, free chat apps aren’t the best way to deliver important, official information. Messages can easily get lost, forgotten, or buried under other conversations when employees constantly interact in the chat.

Using private Facebook groups was initially seen as an easy and useful solution. However, managers have gradually identified two major issues.

• First is the performance issue. When employees need to keep a Facebook tab open for company updates, they inevitably get distracted by the many other things happening on social media.
• Second, Facebook groups don’t allow you to control who can post, which can lead to the spread of inaccurate or unofficial information.

That’s why, for important content, email is a better option. It’s a one-way communication channel that the company officially controls. An even better solution would be implementing a dedicated internal communication platform for your business.

Online meetings

When it comes to remote work, online meetings are a must, and it’s recommended that they be conducted using video call tools.

Whether it’s a 1-on-1 meeting or a group session, as long as you have a working camera and microphone, video calls make communication more engaging and help maintain focus and effectiveness during meetings.

You could also take inspiration from GitLab, a tech company that live streams meetings on a private YouTube channel for internal use. Your remote employees can comment in real-time, and you (or the meeting host) can respond immediately.

Another exciting method GitLab uses is meeting through Google Docs. This method doesn’t require everyone to attend because simply reading the document allows employees to grasp the context and content of the meeting.

For this, each meeting has a dedicated Google Docs page, where all employees are given editing rights. The page already contains key information like the meeting time, agenda, and participants. As the host raises a topic, participants type their thoughts simultaneously, and responses are indented for clarity. Team members can also comment or add notes on each other's ideas.

One thing to keep in mind is to only hold meetings when absolutely necessary. Otherwise, simplify work communication by using communication platforms.

3. Adapt processes to remote work settings

One of the biggest challenges businesses face when working remotely is the mindset that processes must be standardized and fixed. The belief that once a process is set, everyone must follow it 100% without flexibility is a mistake, especially when a company needs to adapt to an entirely new way of working.

In reality, processes need constant updates and standardization. When market conditions change, like during the COVID-19 pandemic, and the company’s work model shifts, processes must adapt to support employees effectively.

Complex, multi-step processes are hard to manage efficiently in a remote environment with limited physical interaction. To better support your workforce, processes need to be streamlined, made more logical, and focused on delivering results while minimizing risks.

For remote businesses to collaborate and work effectively, they must first focus on three key pillars: culture, communication, and processes. Addressing these areas will not only help your company navigate the current crisis but also transform it into a smooth, efficient operation that’s ready to handle future challenges.

Shifting to a remote workforce  

Shifting to a new work model suddenly is never easy for businesses, especially when external factors force it, as we’ve seen recently. Disruptions in collaboration and productivity are bound to happen, but with the right approach, getting things back on track becomes much simpler.

Hopefully, this article will provide a path forward for everyone working from home and businesses operating remotely.