What IESE Alumni value over fruit baskets and frequent flyer programs is the one thing that many employers are loathe to grant them: a healthy equilibrium between the working day and life outside the office.

A number of blue-chip companies enjoyed positive PR when Fortune magazine included them in its first annual ranking, “100 Best Companies to Work For,” in 1998. Yet, over the past six years, employees have reassessed which perks they value most.

One financial institution boasted amenities such as on-site hairdressers, a dry cleaning service and company gyms. After all, it does make commercial sense for an investment bank to ensure that its salespeople are well turned-out. If they can get a haircut in the office, there is no need for them to wander off at lunchtime. In short, if a company provides everything its employees need, the busy worker will never have to leave the building.

However, a survey of the MBA Class of 2003 shows that what MBA graduates value over fruit baskets and frequent flyer programs is the one thing that many employers are loathe to grant them: a healthy equilibrium between the working day and life outside the office. When asked what they valued most in a future employer, over 70 percent of the new alumni said a positive work/life balance was their number one priority, along with an intellectual challenge.

On one hand, companies want employees who are available 24/7, who are willing to burn the midnight oil to meet project deadlines and to rise at 4 a.m. for a breakfast meeting in Munich at 8 a.m. On the other hand, while professionals are more than willing to do their best for the firm, they would rather read their child a bedtime story in person than via teleconference from a hotel room.

When an employee’s working day repeatedly spills over into the evening, the worker becomes irritable and resents the firm’s abuse of his or her work ethic. In a family scenario, the spouse resents the time his or her partner spends in the office. The spouse’s kickback reaction is often withdrawal, rather than support. For the company, a possible outcome is that the employee will provide less than optimal service in client relationships, which are crucial in the knowledge industry.

Steven Poelmans, Assistant Professor of IESE’s Department of Managing People in Organizations, believes that business leaders who fail to confront this conflict are storing up problems. “This is not a good match and where there is not a good match you have friction,” he said. Professor Poelmans stressed that a commitment to a work/life balance is not just a way for business leaders to feel warm and fuzzy about themselves. “Companies that recognize this paradox and confront it can gain a competitive advantage in the marketplace. They can make a superior offer to attract and retain the most talented employees,” he said.

Nuria Chinchilla, Professor of Managing People in Organizations at IESE, adds that companies that fail to recognize and respond to the needs of working women eventually lose out. “Women have a lot to bring and to teach to the male-dominated labor market,” she said.
Professor Chinchilla noted that some companies have acknowledged this by offering flexible or shorter working hours. “They’d rather have them there for six hours than none,” she said.

Professors Poelmans and Chinchilla suggest that business leaders tap into their managerial skills to resolve work/life conflicts by using time management, negotiation skills and teamwork principles at home. Philip Joris Alberdingk Thijm (MBA ’89), CEO of the Dutch media firm Het Financieele Dagblad & BNR Nieuwsradio said, “What is crucial is planning with your spouse. You have to plan as a team with a clear understanding of how your week will progress.” Thijm values good time management as a coping device. “If I have to take work home at the weekend, I block off some hours on Sunday afternoon and spend the rest of the time with my family.”

Another simple but key piece of advice is that employees should choose a work environment that is attentive to their needs. Lorraine Merghart Ballard (MBA ’84), vice-president of loan sales at TD Securities in New York, asked her firm if she could “job share” with another woman following six years of juggling a full time job with raising two small children. She felt fortunate when the company said that it was willing to see if her proposal would work. Merghart Ballard and the other finance professional have gone to great lengths over the past seven years to make the weekly transition or handover as seamless as possible. The arrangement has been well received by both clients and the firm. However, Merghart Ballard notes that the two women had some leverage: over 12 years’ experience with the company.

Professors Poelmans and Chinchilla believe that the most important factor in achieving balance in the work/life equation is to make a conscious decision and then stick to it. “People get into trouble when they don’t make a choice. You should develop a mission statement for your family and then commit to it,” Poelmans said. Tom Jones (MBA ’96), marketing manager at Pfizer Pharmaceuticals agrees, “The first [key to achieving a balance] is obviously to determine for oneself the relative importance of career and family. Then comes setting some boundaries and communicating them to both family and work.”

Companies are reacting to the groundswell in opinion by rolling out work/life programs. But change could take decades since the initiatives often challenge long-held beliefs about the relationship between “face time” in the office and promotion. When Procter & Gamble launched a flexible work program in 1999, some managers embraced the move, while others simply did not accept it. Some managers felt that asking for time off meant a lack of commitment. The program was more warmly received in predominantly female departments than in predominantly male business units.

Four Types of People

Poelmans has identified four types among people facing work/life conflicts. Professors Poelmans and Chinchilla suggest that each individual identify and adopt the most useful survival techniques.

The first type is the “superwoman” or “superman” who refuses to compromise. This group strives to be world-class business leaders and excellent parents. Chinchilla notes that women, especially, aspire to succeed in all aspects of their lives, in the boardroom, at home and on a social level. “It can be achieved through efficient time management, by dedicating sufficient quality time to your family,” she said. The downside, of course, is that “superwomen” and “supermen” have precious little time left over for themselves.

A second behavior pattern is the “segmenter,” who would “rather hide in the closet than bring his work home,” said Professor Poelmans. While “segmenters” may believe that they are protecting their family from negative aspects of the working day, the positive points aren’t mentioned at the dinner table either. Refusing to share your frustrations in the workplace with a spouse can leave you feeling discouraged and isolated.

The explosion of new communication media such as e-mail, mobile telephony, laptop and hand-held computers have created the e-leash that tethers the “available” personality type to their desks, long after they have left the building. As Tom Jones said, “Distractions [such as e-mail and laptops] are much more common these days than they were when I started work in 1988.” Merghart Ballard pointed out that the e-leash means you are rarely off the company’s radar. “While technically I am only in the office three days a week, I am always in contact via cell phone, voice mail and BlackBerry.”

Poelmans warns the “availables” against falling into the “mañana syndrome” of persistently putting off efforts to change their behavior, especially before it becomes too late. “Research indicates that this group suffers the highest levels of stress and health problems,” he said.

The final type is termed “hic et nunc,´ the Latin term for “here and now.” This type of person flicks an internal switch depending on the role he or she is playing at the time. The male “hic et nunc” can be a table-thumping business leader in the boardroom but metamorphoses into a gentle, doting father at home. Often “hic et nunc” behavior is innate to the person and few are aware of their conduct. “Each personality type can learn from the other, but the ‘hic et nuncs’ are the absolute champions,” Poelmans said.

But for all the tricks and shortcuts, the bottom line is that time can only be stretched so far. “There is some illusion that one plus one makes three, not two,” said the IESE professor. Merghart Ballard also recognized this challenge: “The key to achieving the balance I was looking for was a reduction in my work load and schedule.” And just as one plus one marks two, not three, Merghart Ballard points out that sharing a job means reducing your salary too. Professor Poelmans stressed that we all have a choice, if we are conscious of it. For Thijm, the choice is clear: “If you want a good work/life balance, you should get a nine-to-five in a bank.”

Yet, contradictions still exist. Although over 70 percent of the IESE MBA Class of 2003 said they valued equilibrium between work and life over all other criteria, research by Universum Communications presents an interesting anomaly. According to the media and research group, most MBA students indicate that they would like to find jobs at certain companies which are known for long work days and high pressure. Here lies the discrepancy.

Marcella Moohan