Organisational relocation - the employee experience

The relocation of a knowledge intensive organisation, even within city limits, can have a significant impact on the relocating company and its employees. Not only will the employees face a change in location, they will also counter new premises, changes in their workspace, and perhaps also new ways of working. In worst case, an organization can suffer from high employee turnover as a consequence of a relocation gone wrong. The best case, on the other hand, is a positive effect on employee satisfaction and productivity. Furthermore, it is important to understand that the employees are not only affected by which decisions are made and what the final location and work environment solution is. They are also affected by how the process is carried out; how needs and preferences of the employees are taken in to consideration, whether they are involved in the process or not, and how it is all communicated to them. Despite its importance, the employee experience and perception of relocation, and the risks related to it, have not been widely addressed in previous research. This paper aims to increase the understanding of employee experience and perception of relocation. This research was done as a multiple-case study with 5 organisations that have relocated during the past 18 months. In order to create an understanding of why and how the relocation was carried out, 15 thematic interviews were made with company representatives, who were actively involved in making decisions and executing the relocation of their organisation. In order to identify the employeesí experience and perception of why and how their organisation relocated, 17 employees who did not have an active role in the process were interviewed. The findings of the interviews were then compared, in order to identify gaps between what happened and how the employees understood and experienced it. The findings reveal that the decision makers and the employeesí perceptions of the organisationís relocation can be quite different from each other. Issues which often included misunderstanding were why the organisation decided to relocate, based on what criteria the new location was chosen, and who influenced and made the final decision. The research provides insight on employeesí experience and perception of relocation. Based on the findings it is suggested that, in order to achieve satisfied employees, more emphasis should be put on communication to the workforce during different phases of relocation. This way many misunderstandings concerning the organisationís motives and decision making can be avoided. This study is limited to 5 case organisations. Even though this gives a first insight on how employees experience and perceive relocation, there is still a need for more in-depth research within this area. This would give an opportunity for organisations to minimise the employee related risks in relocation, and perhaps even more actively start using relocation as a strategic tool for change.