Summary

• Alternative work arrangements are a powerful cost-cutting and human capital preservation tool.

• Each type of work arrangement (job/skill sharing, contracting, furloughs, and special assignments) helps retain good people. An organization should explore all options to decide which ones work best.

• Even though the benefits greatly outweigh the costs in theory, making alternative work arrangements successful requires changes in the way a company selects and manages its people, including how its supervisors manage employees in their departments.

• Before proceeding too far in considering alternative work arrangements, an organization should conduct a pro forma analysis to project the balance of benefits versus costs.