David Morken practically sparkles with energy, even over the phone. Morken is Co-founder and CEO of Bandwidth,
a 15-year-old company that focuses on IP-based communication technology
– and is proud of the fact that they’re “challenging the standards of
old telecom” in everything they do. Their stated mission is to unlock remarkable value for our customers
– and, as I discovered when I spoke to him, Morken is convinced that a
big part of doing that involves ‘unlocking remarkable value’ for their
employees: making Bandwidth a place that supports employees’ body, mind
and spirit.
One Bandwidth policy supports all three: the company has (and
enforces) a total embargo on email to and from the company during
vacation. That is, when you’re on vacation, you may not communicate with the company and they may not communicate with you.
And to make sure the policy is followed to the T: when someone goes on
vacation, all the folks he or she would ordinarily communicate with
(employees, partners, boss, etc.) get an email, saying “so-and-so is on
vacation. If he or she contacts you for any reason, please let us
know.”
While it may sound a little draconian, it means that folks generally
only break the rule once: getting a phone call from the CEO reconfirming
that you’re on vacation and shouldn’t be emailing anybody seems to
convince everyone that the policy is real. And, according to Morken,
while lots of people have told him it’s difficult at first, no one has
ever told him they think it’s a bad idea.
But what about the fast-charging, micromanaging execs who just say,
“OK, then, I’ll stop taking vacation so I can stay on top of
everything?” No dice: another Bandwidth policy is that you have to take all your vacation days, and you have to take them in the year you get them (no rolling over to never-never year).
The results? Employees experience vacations as vacations:
rejuvenation, reconnection and relaxation. And managers put more
attention toward developing their folks - because their folks can’t
call them when there’s an emergency during their absence; they have to
be willing and able to handle it themselves. Finally, Morken says, it
makes managers more thoughtful about preparing for vacation: if you
really can’t give added instructions or sort things out while you’re
gone, it’s essential to get as much clarity as possible beforehand about
what’s supposed to happen when you’re not there. He’s convinced that
this has impact outside of vacation time, as well: that the increased
clarity and trust ‘leak’ out into employees’ interactions every day.
Then there are the 90-minute lunches.
This part is voluntary vs mandatory, but it’s still an important
aspect of the culture. Any employee can take a (paid)
one-and-a-half-hour lunch to pursue fitness. Not only will Bandwidth
pay you for the time, they’ll pay your gym membership, shuttle you to
the gym, provide access to a personal trainer, and offer you a
comprehensive “know and go” assessment of your physical condition that
gives you a foundation of information for getting in better shape.
It’s a big investment for a relatively small (400 employee) company –
so what’s the payoff? Morken believes that because everyone has
limited time outside of work to be a significant other, a parent, a
friend, or to pursue other non-work passions, making time for fitness
during work hours makes it more likely that employees will both get and
stay fit, and have time to focus on the non-work parts of their lives –
improving both morale and productivity.
These unusual policies seem to be paying off in terms of business
results: Bandwidth is set to make $150M this year – up about 20% from
last year – and they anticipate $200M in profitable revenues next year.
I love hearing about companies and executive teams that are willing
to do more than just talk about creating a culture focused on supporting
people to be their best: who are willing to put dollars into it and
create policies that support it.
And I’d love to hear what you think. Is this kind of thing a good
idea, a bad idea, or…it depends? Please share your insights and
experiences…
By Erika Andersen
