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McKinsey's latest research on the pandemic's side effects on business.
March 15, 2021
By: TOM BRANNA
Editor
Some of us are just never happy. In the not-too-distant past, a lot of business executives complained about there being too much business travel. Well, one year since my last business trip and McKinsey has issued results of a study on the impact of too much videoconferencing! According to a Financial Times article, chronic videoconferencing has us more stressed due to “nonverbal overload,” “excessive amounts of close-up eye gaze,” and “increased self-evaluation from staring at video of oneself,” according to a new study. And women are more affected than men by seeing themselves on video all day. Now, I don't know about you, but having the luxury of interacting with a coworker from a distance far outweighs any problems caused by “close-up eye gaze.” Still, in an effort to “restore the spark and serendipity of face-to-face interactions,” some videoconferencing companies are introducing new features such as spatial dynamics. Others are taking cues from massively multiplayer online role-playing games (MMORPGs), allowing users to interact directly with their surroundings, according to The New York Times. Although more people are getting vaccinated against COVID-19 every day, McKinsey predicts working virtually is likely to persist after the COVID-19 pandemic ends. It analyzed remote work that can be done without a loss of productivity and found that about 20–25% of the workforces in advanced economies could work from home between three and five days a week. That’s about four to five times more remote work than before the pandemic. As a result, these changes could prompt a large shift in the geography of work as individuals and companies shift out of large cities into suburbs and small cities. Expected knock-on effects include a dent in business travel, decreased consumer spending in metro areas, and a decline in the use of public transportation. Leading marketers and suppliers like Procter & Gamble and Brenntag North America already admit that remote working has worked wonderfully (click here) and they expect, after an initial post-COVID surge, business travel will decline in the future. For the hospitality and trade show businesses that's something to whine about!
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