Answer to Question 1
Telework (also known as telecommuting) is a work arrangement in which an employee works away from the officeat home, at a clients office, in a hotelliterally, anywhere. In telework, an employee uses various forms of electronic communication, including texting, email, audio and videoconferencing, and online chat. Teleworkers access the Internet via smartphones, tablets, laptops, and similar devices to retrieve computer files; log on to software applications; access corporate databases; and communicate with fellow employees, managers, customers, and suppliers.
Answer to Question 2
In the early days of IT in the 1960s, productivity improvements were easy to measure. For example, midsized companies often had a dozen or more accountants focused solely on payroll-related accounting. When businesses implemented automated payroll systems, fewer accounting employees were needed. The productivity gains from such IT investments were obvious.
Today, there is a lag time between the application of innovative IT solutions and the capture of significant productivity gains. IT can enhance productivity in fundamental ways by allowing firms to make radical changes in work processes, but such major changes can take years to complete because firms must make substantial complementary investments in retraining, reorganizing, changing reward systems, and the like.
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