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One Company A/B Tested Hybrid Work. Here's What They Found

Since the pandemic, executives have had to rethink their work-from-home policies to better support their companies’ bottom line. Recent research conducted in a real company showed that employees who worked from home three days a week experienced higher satisfaction and lower attrition rates compared with their colleagues who worked from the office. This reduction in turnover saved millions of dollars in recruiting and training costs, thereby increasing profits for the company. Business leaders can learn valuable lessons from this study to implement a successful hybrid work model: establishing rigorous performance management systems, coordinating team or company-level hybrid schedules, and securing support from firm leadership. Additionally, executives should A/B test their own management practices to find what works best for them.

This reduction in turnover saved millions of dollars in recruiting and training costs, thereby increasing profits for the company. Amazon’s recent call for employees to return to the office (RTO) five days a week is the latest example of high-profile companies pulling back from their remote-work policies. Ruobing Han is an assistant professor at the Chinese University of Hong Kong, Shenzhen and a recent graduate of Stanford’s Ph.D. program in Economics, specializingin Quantitative Marketing.

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