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70f'l7 Page 6 oft? Page 4 W27361 THE COMPANY FunctionFox was initially located in Victoria (on Vancouver island) in British Columbia, Canada. The company was

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70f'l7 Page 6 oft? Page 4 W27361 THE COMPANY FunctionFox was initially located in Victoria (on Vancouver island) in British Columbia, Canada. The company was composed of a group of eighteen people, including four founding partners. It had been in operation since 2000, started by Mary-Lynn Bellamy-Willms, who was described on the company's website as follows: \"The original FOX! Mary-Lynn had a dream that was TimcFox and she made it happen. She is smart, stylish, and loves shoes!\" FunctionFox was a private company owned by Bellamy-Willms, employees, family, and friends. FunctionFox was an Internet business service serving the needs of smaller companies (up to 500 employees). It developed industry-specic applications and services and provided them to its customers securely over the Internet. Timesheet tracking and project management had always been problematic for small businesses yet were essential to ongoing productivity and protability. FunctionFox was created to address this problem; it was designed to address these essential activities through systems that were simple to set up and use, effective, and affordable, 111 terms ofthe company's market, according to the president. Ludwig, \"There are thousands of users who log in daily in over l20 countries around the world, and we have a referral rate of over 33 per cent. a high retention rate, and customers that have been with us for twenty+ years.\" The company promised customers a brand with unlimited free support and deep expertise from real people. Since 200], it had been the leading choice for creative professionals, providing online project management, time tracking, and reporting tools. It described itself as \"more than just a software provider,\" stating that \"FunctionFox is committed to being a valuable extension of your business.\" Ludwig said, \"We love making life easier for creative teams," and outlined the company's core values (HEART) as follows: - Helpful: We care about each other. our clients, the world. Caring, helpful, supportive, kind, developing, nurturing talent, mentoring, coaching. Excellent: Our best is always excellent. Excellence, discipline. Amazing/Attitude: We are fun. upbeat and have a positive attitude. Fun Foxes. Resourceful: We make it happen, Driven. creative, agile. Trustworthy: You can count on us. Trustworthy, honesty, integrity, credibility. O... The company's mission was to help creative teams stay creative. FunctionFox believed in keeping its customers happy, declaring, \"We answer questions and solve problems quickly, provide free updates regularly, and always go \"the extra mile' to ensure that our products work well for each of our customers, no matter how big or small." The company was at the forefront of project management and timesheet software development when it began, but other companies/competitors had been growing and innovating. As a small company, FunctionFox prided itself on providing personal service to its clients. Once a new client came onboard, the new customer was given individual onboarding attention, and staff maintained this relationship over time through continuing personal interactions with clients, At its inception, FunctionFox was a product leader and rst mover; over time, however, competitors had devcloped, and now many companies were offering comparable products and services. Some ot'these competitors were far larger than FunctionFox and had access to greater resources; thus, the company operated in a highly competitive environment. Page 7 of 17 Page 5 W27361 B api.iveycases.com Private Page 7 of 17 Page 5 W27361 FunctionFox had a simple organizational structure (see Exhibit 3). FunctionFox Origins FunctionFox's current president, Ludwig. had been with the company for more than twenty-one years. She had returned to Victoria aer working at an international agency in New York City, where she completed a bachelor's degree in advertising design at an art school and then was interviewed for a position at Bellamy- Willms' company At the time. Ludwig felt the interview had not gone very well. as she believed she was not really suited to the position. To her surprise, she received a call back from Bellamy-Willms, who was excited by Lodwig's background and her experience in New York and felt Ludwig would "be good for the team." Ludwig was hired and had been with the company ever since. The original company that became FunctionFox had been looking for effective project management and time tracking software and was unable to nd anything that suited its needs. So, it created its own product and fouttd it worked very well. Atter discussions with other companies, it found that many companies like itselfwere also looking for appropriate project management and time-tracking software, and these companies liked what FunetionFox was offering. This led to more focused product research, which indicated there was a clear need for a product like the one it had developed for itself. Like many successful products and companies, FunctionFox had not set out to create a particular product for the market but had found a way to meet its own needs that also succeeded in the wider market. HUMAN RESOURCES According to the company's website. FunctionFox was made up of"a group ofinteresting, smart, energetic, and curious people who love to work together," and its passion was \"to develop fantastic software for talented Creative professionals.\" At the outset, all employees worked on site in the Victoria ofce, and prior to the pandemic. 25 per cent of its employees were working remotely. At the end ot'202l, Ludwig said, "Now we are 100 per cent remote and have Foxes [employees] in BC [British Columbia], Alberta, and Ontario." Prior to becoming fully remote, FunctionFox owned the building where the Company was located. The Company sold this in 2020 and thereaer maintained a small, two-person ofce for anyone not able to work from home. FunetionFex's employee handbook stated that its official ofce hours were Monday to Friday, 7' em. to 4 pm, Pacific Time. and that working hours were based on an eight-hour day, with up to an hour off for lunch. The workday at FunctionFox was based on a standard thirty-vc-hour work week (live days a week of seven working hours per day), aitd salaries were based on a forty-hour work week with paid lunch. Salespeople were also paid a commission. FunctionFox hired based on need. i.e., for a panicular job or location. For example, most of the group was in Western Canada but the company might need someone in the east of the country. It emphasized a commitment to people and said that it hired \"people rst" and skill sets second and that it promoted from within prior to looking externally. Its aim was to keep a small, strong, and solid team. The group was diverse and included different genders, ages, and education levels. It valued ethnic diversity and had several people who spoke at least two languages, FunctionFox had had a steady workforce with relatively little tumover. The four partners (20 per cent of the workforce) had been there over twenty years. 25 per cent of the group had been there between ten and twenty years. and 36 per cent between ve and ten years. When people did leave, it was usually for diversied career growth, with no new role being offered at F unetionFox, or to pursue larger rms with higher base salaries. Interestingly, over the years, eleven people who left the company had asked to return. Page 8 of 17 Page 6 W27361 i api.iveycases.com Private 5:21 I LTE 89 12 of 17 Page 11 of 17 Page 9 W27361 EXHIBIT 1: CHALLENGES AND BENEFITS OF REMOTE WORK Challenges Different personalities/cultures react differently to working remotely. Some home environments are not conducive to working, and there may be distractions. There is a lack of physical interaction, and it can be lonely. There is little communication context. There is little opportunity for mentoring and informal information sharing. There is no in-person training and no personal "onboarding" welcome for new hires. There is less informal tension relief (e.g., spontaneous humour). Managers have less direct control, and performance evaluation may rely on objective measures that may be difficult to define. The technology is imperfect and developing/changing. There is duplication of equipment and services. Distributed system/equipment breakdowns/disruptions are more difficult to fix. Benefits Remote work is good for the environment. Organizations save money. Organizations have global access to the best talent. A more diverse workforce is possible, leading to more creativity and innovation. Individuals save time and money and have more flexibility. Individuals have access to offices and technology at home. Individuals can do home chores alongside work. Individuals can work at times when they are most productive. Source: Created by the author. Page 12 of 17 api.iveycases.com - Private-, y en, THE UNIVERSITY Richard lvey School of Buslness IVE 'Ii. OF THE WEST INDIES The Unlvcrslly of Western Ontario W27361 FUNCTIONFOX: WAS WORKING REMOTELY THE BEST CHOICE? Betty Jane Punnett wrote this case solely to provide material for class discussion The author does not intend to illustrate either oective or ineffective handling of a managerial situation. The author may have disguised certain names and other idsntiling information to protect condentiaiity. This publication may not be transmitted. photocopied. digitized or otherwise reproduced in any form or by any means Without the permission of the copyright holder. Reproduction at this meteriai is not covered under authorization by any reproduction rights organization, To order copies or request permission to reproduce material's. contact tvey Publishing. tvey Business Schooi. Western University, London, Ontario, Canada. N66 0N1: (t) 519.66?.3208.' to) cases@ivey.ca: www.iveypubtishing.ca. Our goat is to pubtish materiats of the highest quatity: submit any errata to publishessesivsy.ca. Copyright 2022, University of West indies Version: 2022-05-27 Corina Ludwig, president of FunctionFox Systems Inc. (FunctionFox), was sitting in her home ofce, thinking about an upcoming meeting with colleagues and trying to decide what to recommend regarding remote work. It was early 2022, and the COVID-19 pandemic finally seemed to be abating, although no one could really be sure about this. especially with new variants of the virus appearing. FunctionFox had decided in late 2020 to become a fully remote company and sell its ofce building. Now, after almost two years, it was time to consider whether FunctionFox should continue with 100 percent remote work. Ludwig knew the benets of remote work well. Her own situation demonstrated these. She was comfortably dressed, she had just had a home cooked lunch, and her dogs were sitting next to her. From an individual perspective, there was no question: remote work gave you more time for yourself. your family, and your friends; it freed you from the hassles of commuting; and it allowed you more exibility. Ludwig did not think this gave the total picture, however. In many ways, as a leader, she was always pro-office. She felt the corporate Culture at FunctionFox was rated at 9.5 out of 10 when everyone worked together but that this score might now be substantially lower. Remote work provided opportunities for neither ad hoc interactions nor the learning and team spirit that came from these interactions. Ludwig believed a remote working situation was particularly difficult for newly hired employees, as they did not get to really bond with other team members. And she knew some of her team found it difcult to be highly motivated when no one else was around, or if there were too many distractions at home. Ludwig did not think the FunctionFox team could ever go back to IOD per cent in-person workthe team would never agree to thisbut was there some kind of hybrid approach that might work for them? Would such an approach he the best of both worlds, combining the benets of both? Or would it perhaps be the worst ol'both worlds, with no one really satisfiedsome people liking it and some people not liking it? And what about the details? FunctionFox now had staff in Ontario and still had staff in Calgary (Alberta) and in Comox and RichmondiBurnaby (British Columbia), as well as one person occasionally in Mexico; what would happen to them? Would a hybrid model lead to a sort of in-group, out-group situation? There were so many angles to consider. Perhaps Ludwig should just lay out the pros and cons of various alternatives for her colleagues. But she knew she could not do that; they were expecting a recommendation for a decision. They might not be in favour of her recommendation, but she and the management team needed to make one, nonetheless, and it needed to be detailed in terms of making it succeed. Page 4 of 17 Page 2 W27361 B api.iveycases.com Private Page90f17 - 10 Of 17 Page 7 W27361 a few hours. The activities varied from one~oft's, such as \"Covid Baskets,\" to regularly scheduled events such as weekly or monthly meetings, Some FunetionFox members appreciated regular meetings and attended as often as possible, while others attended relatively few ot'these meetings. WHAT PEOPLE AT THE COMPANY SAID Overall, employees seemed very satised with FunctionFox in general and liked working there. The relatively low turnover rate conrmed this. One new employee said, "I love myjob. Remote work is great. [don't have to worry about trafc, and I have more time. But I also really like the structure. 1 think structure helps remote work work.\" Another said she felt she was valued at the company and that her opinions were important, and she hoped to stay there for the rest of her working life. Other employees commented on the need for a dedicated space at home, which everyone might not have, and the importance of a schedule, at least for some people. On the downside, some people missed being with others and found remote working to be lonely. More generally, some employees commented that the company was perhaps too comfortable, lacking a need to grow and be more creative particularly in the face of growing competition. While the response to remote work was essentially positive, there were also negative comments, including the following: If you have had a bad call with a customer, you can't turn to another team member and say 'do you believe what that customer said to me?' . . . Similarly, if you had a great call. you can't celebrate. You don't want to call a team member and interrupt them, whereas in the ofce you can see them, so you know ifyou are interrupting, or ifit's ok. If there is something you don't understand, or are unsure of, you can't quickly ask someone for advice. It's much harder to decide to contact someone remotely to answer a question, or even just chat. It's easier to get distracted. It's nice to put the laundry in during lunch, but tfthe timer rings later, sometimes it's tempting to go fold the laundry, or the dogs need to go out, or FedEx an'ives with a package. A lack of distractions was interestingly also a potential challengein essence, working from home was boring. You get up at home, go to Work at home, nish work at home. All employees interviewed by the case author were in favour of continuing to work remotely but also wanted opportunities to meet in person. Remote work was described in positive terms from an individual perspective, but it also meant that it was more difcult to develop a cohesive corporate culture. One corporate benet that was mentioned was the opportunity to hire people from around the globe, give better service to global customers, and gain from diversity. During a weekly check-in attended by a group of seven employees, an informal Zoom poll was taken regarding remote work. Respondents were about even in terms ofpreferring remote work (four out ofseven) versus a hybrid approach (three out ofseven), with none preferring to return full time to an ofce. Virtually all liked remote work because it gave them more time for themselves, family, and friends. Reasons for liking in-person work were not as clear: two people agreed they were motivated by seeing others working, and two felt it gave them more opportunities to make friends. Being in an office setting was viewed positively because of the social opportunities {according to five out of seven respondents) and fewer distractions (according to two of the seven). Discussions around the poll results led to a general agreement Page 10 of 17 Page 8 W27361 3 api.iveycases.com Private 6 of17 PageSot'lT Page 3 W27361 short-term, they were making it difcult for companies to hire new employees. Some people had found during the pandemic that they had more time to devote to their personal interests and enjoyed what they felt was a better worklife balance They were able to save money during the lockdowns and now found they spent less and therefore could make do with working part-time {e.g., taking neighbours' dogs for walks) or by establishing barter systems (for instance, someone who was good at woodworking could x their dentist's kitchen cupboards in exchange for her cleaning their teeth). It seemed that, ifcompanies were going to attract and retain talented employees, they would need to give more thought to how they could make work attractive. Professor Elizabeth Christopher discussed the reasons for companies' resistance to remote work, despite its demonstrated benetss She quoted the Washington Post as saying that many managers held to the theory that "a fanny in the seat prevents the kind of slacking offthat can happen if no one is watching."" Remote work was difcult for many supervisors and managers accustomed to checking on their subordinates by seeing them physically at their desk or workspace Some companies had resorted to remotelly viewing their employees' activities as a means of maintaining control, a practice that in turn raised privacy concerns. Companies faced challenges in the new world of remote work. This was especially true for smaller companies. Companies wanted to ensure productivity and high performance. They asked questions such as, \"How do we measure productivity/performance remotely?\" "How do we ensure employees are motivated remotely?" \"How do we manage effectively at a distance?" \"How can we ensure a positive corporate culture and team spirit without ill-person interactions?" and \"who pays for and provides home ofce equipment and supplies?" Researchers were trying to answer these and other similar questions, but remote work on a large scale was a new phenomenon, and the answers were still tentative. From a corporate perspective, the objective was to make the most ofthc benefits while managing the challenges (see Exhibit 1}. lunctionFox, a small information technology company, shared in a blog post, The unprecedented global health crisis is changing the way we work at truly astounding speeds. Suddenly. whether by choice or necessity, many ofus nd ourselves negotiating the new reality of remote work. As a technology supplier to the creative community, the FunctionFox team wondered how best to support our current users, and make the transition to remote work easy, affordable, and intuitive for those that haven't worked in this way before. With a recent survey showing that up to 90% of creative companies are working remotely during the crisis. we wondered how we could help these teams to ride out the storm and prepare for recovery.7 Clearly, FunctionFox was facing the reality and challenges of remote work and looking for innovative solutions (see Exhibit 2 for FunctionFox's advice to its customers). 5 Elizabeth Christopher. "Diversity in International Management: A Silver Lining to the Gavin-19 CloudOvercoming Management Resistance to Employee Telework," in Intercultural Management in Practice: Learning to Load Diverse Global Organizations. ed. Meena Chavan and Lucy Tansa (Bingley, UK: Emerald Publishing, 2021), 53768. 5 Laurel Farrer, "Trump versus Telework. Federal Policy Retraction Will Cost Government Millions," Forbes, January 23. 2020, httsztwww.forbes.comlsitesilaureltarrer12020t011231lrumpyersustelework-tederal-poticy-retraction-wilIcost-government millionst?sh=11bf96371 14a. 7 FunctionFox. "Remote Control: Supporting the New Reality of Working from Home," Stay Creative. (biog) FunctionFox. accessed April 5, 2022. https:!i'www.functionlox.comtblogiremoleuoontroi~the~new~realily'of~workingtrom~home.'. Page 6 of 17 Page 4 W27361 api.iveycases.com Private 5:20 C I LTE 90 Page 4 of 17 5 of 17 Page 2 W27361 BACKGROUND: REMOTE WORK Reporting on a survey conducted in May 2021, the Economist Intelligence Unit's "Reshaping Productivity: A Changed Workplace after COVID-19" stated, "What began as one of the greatest experiments in recent times [working remotely] could well become a norm in the future." The survey found that two-thirds of respondents believed working from home/remote work would continue. There were different perceptions regarding productivity, however, with 39 per cent of respondents reporting an increase in productivity and 33 per cent reporting a decline. The survey showed that the size of the company and the nature of its business were important; larger organizations and those in financial services had more positive productivity experiences. There was also a strong positive correlation between the acceptance and use of digital tools (such as programs, websites, and online resources) and increased productivity. Among those who believed productivity had decreased, 38.7 per cent attributed the decrease to employees not having access to tools for information management. Business leaders generally did not believe remote work could completely replace in-person work, particularly in terms of team management and fostering a positive corporate culture, and it was not necessarily the future they wanted. The Economist Intelligence Unit concluded that it might not be the future these leaders wanted but it was likely the future they would get, at least in some form, and that organizations that had adapted during the crisis would successfully transition to whatever model became the reality. The COVID-19 pandemic of 2020 and 2021 had forced many companies to move to remote work. According to one survey, one in four Americans was expected to work remotely in 2021. The 2021 Work Trend Index was based on findings from a study of more than 31,000 people in thirty-one countries and perspectives from experts who had studied collaboration, social capital, and workspace design. Outlining the findings of that study, the 2021 Work Trend Index shared that 73 per cent of employees wanted flexible, remote work options to continue. It concluded, however, that remote work was different from what used to be the normal in-person world of work, and that policies and practices based on long-held assumptions would need to change accordingly in order for organizations to be successful in the new world of work.' A major Canadian study in early 2021 looked at the impact of the pandemic on a number of workplace factors, with a particular focus on employee well-being. The study found that stress levels were high among remote workers, especially those balancing work and family/home demands, raising the possibility of a growth in mental health issues for these employees. Those likely to be most effective and successful working remotely had a home office with a door that closed. This was in contrast to those who worked in their bathrooms, sitting on their beds, or in other uncomfortable spaces, raising the possibility of a "pandemic" of physical problems. Overall, the study found that a quarter of those surveyed wanted to continue working remotely, a quarter wanted to go back to in-person work, and the rest wanted some kind of hybrid model. The authors of the study asked "Who decides?" and "Who chooses the kind of hybrid model?" stressing that relatively little was known about the reality of this new mode of work. Another workplace trend attributed to COVID-19 was a growing number of people leaving the workforce. It was not clear if their decisions to leave the workplace were long-term or permanent, but at least in the 1 Economist Intelligence Unit Limited, Reshaping Productivity: A Changed Workplace after COVID-19, 2021, https://reshapingproductivity.economist.com/wp-content/uploads/2021/07/reshaping_productivity.pdf. 2Economist Intelligence Unit Limited, Reshaping Productivity. Microsoft News Center, "Microsoft Releases Findings and Considerations from One Year of Remote Work in Work Trend Index," News release, Microsoft, March 22, 2021, https:/ews.microsoft.com/2021/03/22/microsoft-releases-findings-and- considerations-from-one-year-of-remote-work-in-work-trend-index/; Remoters, "Remote Work Trends & Stats for 2021: The Present & Future of Remote Work after Covid," Remoters (blog), accessed December 10, 2021, https://remoters.net/remote- work-trends-future-insights/. Anita Grace, Linda Duxbury, and Andre Lanctot, Work, Family, Life during a Pandemic: Wellbeing Report (Ottawa, ON: Carleton University, Sprott School of Business, April 2021, https://sprott.carleton.ca/wp-content/uploads/2021- WorkFamilyLifeDuringPandemic-WellbeingReport.pdf. Page 5 of 17 Page 3 W27361 short-term, they were making it difficult for companies to hire new employees. Some people had found api.iveycases.com - Private11 of 17 Page 10 OH? Page 8 W27361 that employees preferred remote work, with regular opportunities for in-person meetings, and needed compensating mechanisms to overcome the challenges of remote work. Other interesting points that came out of the discussions including the following: A concern about inperson work was that some people came to work when they were not well because they did not feel they could take any time off. In addition, some people at work had a negative attitude, and this was difcult to ignore in an in-person setting. In contrast, some people had a positive attitude, and this could either be helpful or. sometimes, overly positive and possibly annoying. Remote work had both positive and negative impacts on people with disabilities. One disabled employee said remote work was great for her because she did not have to worry about outside barriers that would be a challenge. On the other hand, not having to go to an ofce meant she did not challenge herself as much as she should. Everyone agreed that in-person work led to more opportunities for informal exchanges of information that could be benecial. The ad hoc exchange ofinformation at the \"water cooler" or over a drink after work was lacking, and everyone expressed a desire for more of this informal interaction. These points were among the many things that FunctionFox's president, Ludwig, was considering as she mulled her decision about remote work. The company had already offered advice about transitioning to remote work to its clients (see Exhibit 2). What should Ludwig recommend to the team when they met the next day? Page 11 oft? 3 api.iveycases.com Private 5:21 C I LTE 89 13 of 17 Page 10 W27361 EXHIBIT 2: FUNCTIONFOX'S ADVICE TO CUSTOMERS ON TRANSITIONING TO REMOTE WORK Keep things simple and affordable, with an easy-to-follow set-up procedure. . For teams with remote workers, quick, accurate timesheets are invaluable. Use a Project Blog to gather/update project information centrally, so that revisions, changes, and comments are centralized and available to the whole team. Schedule virtual team meetings, and "office hours" that are consistent and regular, so that everyone stays on track toward common goals and objectives. Control which people have access to what information to ensure confidentiality. Do not allow administrative tasks to overwhelm creativity. Lead with honesty and conviction, convey optimism, and encourage others. Taking quick breaks can do wonders for your creativity, and you even have the luxury of spacing your day as you wish. Applicants are selective about the companies they choose to work for, so allowing them the flexibility to work remotely may help attract and retain employees, regardless of their location. Focusing on employees' work-life balance shows concern for their well-being Giving employees a sense of control and autonomy shows you trust your employees to finish their tasks without too much supervision. Fostering collaboration through mutual understanding and transparency makes remote work successful and possible. Source: Compiled by case author based on content from FunctionFox Systems Inc., "Remote Control-Supporting the New Reality of Working from Home," Stay Creative. (blog) FunctionFox, April 2020, https://www.functionfox.com/blog/remote control-the-new-reality-of-working-from-home/; Rosie Ward, "5 Benefits of Remote Work for Productivity," Stay Creative. (blog) FunctionFox, September 2019, https://www.functionfox.com/blog/remote-work-benefits/. EXHIBIT 3: FUNCTIONFOX SYSTEMS INC. ORGANIZATIONAL CHART BOARD OF DIRECTORS FOUNDER | BOARD CHAIR CTO PRESIDENT VP CUSTOMER SUCCESS TECHNICAL TEAM LEAD ACCOUNTANT SALES MANAGER CUSTOMER SUCCESS TEAM MANAGER SENIOR DEVELOPER SENIOR SALES CONSULTANT CUSTOMER SUCCESS BILLING MANAGER SENIOR FRONT END DEVELOPER SENIOR SALES CONSULTANT SENIOR SUCCESS CONSULTANT COMPLIANCE ANALYST SALES CONSULTANT CUSTOMER SUCCESS CONSULTANT QUALITY ASSURANCE TESTER SENIOR ACCOUNT MANAGER Note: CTO = chief technology officer; VP = vice-president. Source: Company documents Page 13 of 17 Page 11 W27361 EXHIBIT 4: SAMPLE FUNCTIONFOX JOB DESCRIPTION-PRODUCT SERVICE SPECIALIST api.iveycases.com - PrivatePage80f17 - 9 of 17 Page 6 W27361 Ludwig described productivity/performance as follows: \"At the end of the day it's about success. Success in happy customers, success in sales, and success in viable and functional products and services." Overall, employees kept logs of their activities (a log with symbols indicating whether someone was on the phone, sending emails, and so on), and these activities could be viewed remotely so that at any time supervisors could "see" what everyone in their group was doing. Performance metrics depended on an employee's role in the company. For example, for sales, the metrics could include the number of sales made, phone utility, lead conversion ratio, and so on, and for customer service, they could include customer response time, upgrades, solving customers' issues, and so on (see Exhibit 4 for a FunctionFox job description). The FunctionFox Emptoyoe Handbook An employee handbook provided standard policies and procedures for employees and was often a good indication of what the company strove to be. FunctionFox's handbook was titled \"Stay Creative,\" and the rst page began with \"Welcome to FunctionFox" (see Exhibit 5} and went on to say, Please use this handbook as a guide rather than an absolute. We are reasonable people, and logic and common sense are our most important \"policies." We trust the people we hire and believe that \"Foxes" are responsible, mature and act reasonably. When there are questions, we use this handbook as a reference only. We will make exceptions to policies written here ifit seems sensible to do so and invite you to provide additional details for discussion if you feel they are relevant. The Table of Contents included the following: Congratsl, Our Background, Our Mission, Our Core Values, Personality, Hours, Overtime, Pay, Performance & Salary Reviews, Vacation Dayleays Off, PTO [Personal Time Off] Days, Parental Leave, Benets, Short-Term Disability, Long-Tenn Disability, Critical Illness, Time Off for Services, Safety & Security, Workplace Harassment, Equipment, Social Media, Travel, Expenses, Alcohol, Substance Misuse, Non-Disclosure, What's Left Unsaid, You Make the Difference. The handbook ended with the following statement: \"We are proud to have you on our team and welcome you as a part of the FunctionFox family. You are a Foxsmart and cleverso we welcome your ideas, opinions, input, and feedback. Together we can continue to make FunetionFox an amazing place with an excellent team of professionals." Throughout, the handbook was illustrated with sayings like \"Stay Calm and Fox On,\" smiley faces and the like, many sayings, and pictures including foxes. RES PONDING TO COVID19 Speaking about FunctionFox's response to COVID-l9-related restrictions, Ludwig said, \"We have a solid and mature team. We've had to change our in-person methods to online. For example, [having] online summer and Christmas parties rather than celebrating in person. But management overall is very similarust the delivery methods have changed to online." In response to COVlD19 and the move to remote working, FunctionFox introduced several initiatives and had others under consideration (see Exhibit 6). Many ofthese were traditions from before COVID-l9 and were modified for a virtual delivery. Some involved the whole team (such as the Christmas party), while others (such as the weekly check-ins that had representation from all departments at all levels) involved a sampling of about ve to eight team members. Some initiatives involved no time at all, while others lasted ; api.iveyeases.eom n [:o

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