Lessons from the collapse of Silicon Valley Bank: Managing remote work in a post-pandemic world
Silicon Valley Bank (SVB) has been in the news after current and former employees suggested that its commitment to remote work may have contributed to its collapse. It is uncertain whether remote work directly caused the bank’s failure or if it was a symptom of larger issues. Nonetheless, this serves as a reminder of the importance of managing remote work properly.
The bank was known for its flexible culture and remote work commitment, which was seen as a risk due to IT issues and productivity concerns. However, economists say the bank’s collapse was caused by a lack of consideration for the risks of a high-interest rate environment and a concentrated tech-heavy clientele.
Many industries have debated the return to the office. Best Buy abandoned its hybrid work policy due to poor management, while Yahoo called its employees back to the office in a bid to improve the company’s fortunes.
Effective management is essential for remote work to succeed, according to Kevin Delaney, CEO of Charter. Well-managed companies can operate remotely, but success depends on proper management.