Workplace Strategy Update and the Changing Nature of...

Workplace Strategy Update and the Changing Nature of Work

Diane Coles, MCR PrincipalWorkplace Management Solutions

Pat Turnbull, IFMA Fellow, LEED AP, MA President & COO Kayhan International

• Where We Were in 2012• 2014: Changing the Conversation

from Cost to Value• CBRE Case Study• Future View & Challenges

Agenda

Internationaler Facility Management Kongressam 20./21. November 2014 an der TU Wien

2012: Where We Were

Internationaler Facility Management Kongressam 20./21. November 2014 an der TU Wien

Internationaler Facility Management Kongressam 20./21. November 2014 an der TU Wien

Starting the Conversation:Using space to drive Strategy and Change in Workplaces

Competition

Culture Conservation

Community

Internationaler Facility Management Kongressam 20./21. November 2014 an der TU Wien

2012 – Research uncovered 5 Key Business Drivers of Workplace Innovation

2014: The Changing Conversation

from Co$t to Value

Internationaler Facility Management Kongressam 20./21. November 2014 an der TU Wien

A few years ago, ‘space’ was considered a business cost without direct impact on business strategy and goals.

Today, space is seen as a strategic tool to drive performance and business results.

‘Show me the money’!

Internationaler Facility Management Kongressam 20./21. November 2014 an der TU Wien

BOSTI

Average Cost of Building

Operation

82%People

3%Operations & Maintenance

10%Technology

5%Facilities

1/2%Design

Internationaler Facility Management Kongressam 20./21. November 2014 an der TU Wien

2014: Changing the Workplace Conversation

1. Attract & Retain Talent2. Employee Engagement3. Enterprise Alignment 4. Workplace Planning5. Enabling & Measuring

Performance 6. Health & Wellness

Key Trends:

Internationaler Facility Management Kongressam 20./21. November 2014 an der TU Wien

Trend 1: The War for Talent

Finding & keeping good people -recognize them early and often, explicitly linking their individual goals to corporate ones, and letting them help solve the company’s biggest problems.

Internationaler Facility Management Kongressam 20./21. November 2014 an der TU Wien

The War for Talent: MobilityRobert Half Survey

1400 CFO’s

• 46% said tele-commuting is second only to salary as the best way to attract top talent

• 33% said tele-commuting was the top draw

“To win in the marketplace you must first win in the workplace.”

Doug Conant, CEO, Campbell Soup

Internationaler Facility Management Kongressam 20./21. November 2014 an der TU Wien

War for Talent: Multi-Gen Workforce

Towers Watson, 2010 study: ‘Strategies for Growth’, surveyed more than 700 Global companies to identify the 4 top C-suite workforce areas of concern as:

1. Loss of talent in key skills areas2. Lack of succession planning/management3. Inability to attract & retain talent4. Low levels of employee engagement

Millennials

Internationaler Facility Management Kongressam 20./21. November 2014 an der TU Wien

The War for Talent: ‘Experience’ Economy

Motorola Mobility - Google

‘Products and goods that evoke emotion through experiences are perceived to have greater value’.

Sodexo 2014

Internationaler Facility Management Kongressam 20./21. November 2014 an der TU Wien

Trend 2: Employee Engagement

Engaged Employees are committed to the organization'sgoals & values, are motivated to contribute to organizational success, and are able to enhance their own sense of well-being.

Gallup, 2013

Internationaler Facility Management Kongressam 20./21. November 2014 an der TU Wien

Employee Engagement:‘Discretionary’ Effort = Productivity Booster

• Employees care about their work and their company.

• They don't work just for a paycheck and the next promotion.

• They work on behalf of the organization's goals and they use ‘discretionary effort’.

s

Employee Engagement: Drives Better Business Outcomes

Internationaler Facility Management Kongressam 20./21. November 2014 an der TU Wien

• Companies with engaged workers have 6% higher net profit margins(Towers Perrin).

• Companies with engaged workers have five times (5X) higher shareholder returns over five years (Kenexa).

Internationaler Facility Management Kongressam 20./21. November 2014 an der TU Wien

Employee Engagement: Building Brand with a Higher Purpose

In order to attract and retain the best, most committed talent, employers had better demonstrate how they use business as a force for good, not just talk about it.

CEO’s are beginning to understand that the next generation of workers is demanding more than a paycheck—they want a purpose.

Internationaler Facility Management Kongressam 20./21. November 2014 an der TU Wien

Trend 3: Enterprise Alignment

The ‘Super Nucleus’The integration of people, place and technology, as the hub of a new business model, requires operational enablement.

Workplace Strategy

FM

Technology Strategy

IT

CRE& FM

OtherFINANCE

ITHREnabled

Employee = Productive Workforce

Corenet, The Leader

& FM

Internationaler Facility Management Kongressam 20./21. November 2014 an der TU Wien

“A Roadmap for Quick Expansion into New Territories”

Workplace Strategy

FM

Technology Strategy

IT

MarketingSales

Workforce Planning

HR

Operations

Business Strategy

“The AWESOME project has fundamentally changed the way that SCAN looks at its business model”

Hank Osowski, SVP, Business Development

Enterprise Alignment: Strategy & Corporate Agility

Challenge 4: Workforce Planning

Internationaler Facility Management Kongressam 20./21. November 2014 an der TU Wien

Enterprise Alignment:Space & Technology to enable a Distributed,

and Mobile Workforce

Internationaler Facility Management Kongressam 20./21. November 2014 an der TU Wien

Trend 4: Workforce Planning:Envisioning the Future

Parsons (2010):‘Workforce planning is about determining the requirements of the future workforce and the resources needed to ensure that considerations are aligned with the strategic plan.’

Internationaler Facility Management Kongressam 20./21. November 2014 an der TU Wien

Workforce Planning: The Art of the Long View

‘Most senior executivespend…about 2.4% of management time building a corporate view of the future’.

Hamel & Prahalad, Competing for the Future

Internationaler Facility Management Kongressam 20./21. November 2014 an der TU Wien22

Workforce Planning: A New Focus

Internationaler Facility Management Kongressam 20./21. November 2014 an der TU Wien

Workforce Planning: Workforce Intelligence

Attraction & RetentionWorkforce planning dataTurnover rateEmployee satisfactionRevision/return rateRemote worker request rateReason for not accepting job offerRideshare data

Employee EngagementEmployee engagement surveysFocus groups

Internationaler Facility Management Kongressam 20./21. November 2014 an der TU Wien

Workforce Planning: Workforce Intelligence

Space Utilization StudiesObservationalSurveysSelf reportedFocus groups

Other SourcesMeeting room dataSecurity system dataFood service data IT log in data

Work on the Move Chapter 5 “Implementing a Mobile Workplace Strategy” Chris Hood & Marcus Bowen

Internationaler Facility Management Kongressam 20./21. November 2014 an der TU Wien

Workforce Planning: Workforce Intelligence

The Internet of Everything(impact on workplace analytics and the digital workplace)

Sources for remote worker data information

• VPN login information• Telecommunications system • Smartphone use• Sensors / GIS / RFIDs• Wireless / VOIP

IT Strategic Plan• Upcoming infrastructure plans• System enhancements• IT Capital project planning

Internationaler Facility Management Kongressam 20./21. November 2014 an der TU Wien

Trend 5: Enabling & Measuring Performance… with an increasingly global, mobile and distributed workforce

Internationaler Facility Management Kongressam 20./21. November 2014 an der TU Wien

CBRE | Delos Living 10

Enabling & Measuring Performance

Internationaler Facility Management Kongressam 20./21. November 2014 an der TU Wien

Enabling & Measuring Performance

To be or not to be...remote!

Internationaler Facility Management Kongressam 20./21. November 2014 an der TU Wien

Enabling & Measuring Performance:3rd Party Tools Measuring Employee Productivity

Internationaler Facility Management Kongressam 20./21. November 2014 an der TU Wien

HEALTHCARE COSTSMore than 40% of owners

report 1%-5% costreduction

OCCUPANT PRODUCTIVITY

More than 25% of ownersreport 3% or more

improvement

EMPLOYEE SATISFACTION & ENGAGEMENT

66% of ownersreport improvement, (with

30% at a high level of improvement)

ABSENTEEISM30% of owners

report costreductions of varying

ranges

Trend 6: Health & Wellness

Benefits reported by Building Owners on the Impact of Design + Construction Decisions on Occupant Health.

Internationaler Facility Management Kongressam 20./21. November 2014 an der TU Wien

Support Relaxation andIncrease Mental Acuity

Improve Digestive Health

Decrease Stress

Enhance Thermal Comfort

Joint Relief and Posture Support

Maximize Overall HealthIncrease Energy throughcircadian lighting

Reduce Eye Strain

Improve Cardiac andRespiratory Health

Strengthen ImmuneSystem Health

Hydrate

Health & Wellness: ‘Wellness Dial’ + Health Impact

Internationaler Facility Management Kongressam 20./21. November 2014 an der TU Wien

Health & Wellness: Ergonomics in the workplace

Internationaler Facility Management Kongressam 20./21. November 2014 an der TU Wien

Health & Wellness: Sit-to-Stand and treadmill desks

Motorola Mobility

Internationaler Facility Management Kongressam 20./21. November 2014 an der TU Wien

Health & Wellness: Walking Meetings

CBRE Case Study

Internationaler Facility Management Kongressam 20./21. November 2014 an der TU Wien

CBRE | Delos Living 36

CASE STUDY: CBRE WORKPLACE VISION

Internationaler Facility Management Kongressam 20./21. November 2014 an der TU Wien

‘Create a workplace that improves

the quality of life for our employees and

drives our business performance’

CBRE | Delos Living   37

12345

UNDERUTILIZED SPACE

NO ROOM FOR GROWTH

DATED TECHNOLOGY

NEEDED COLLABORATION

OPPORTUNITY TO LEAD

CBRE STARTING POINT

Internationaler Facility Management Kongressam 20./21. November 2014 an der TU Wien

EFFECTIVENESS

LEADERSHIP

EXCITEMENT

CBRE | Delos Living 38

• Collaboration• Technology• Productivity

• Lead by example• Bold change• High-risk, high-reward

• Create “wow factor”• Disrupt the industry thinking• Liberate our professionals

CBRE WORKPLACE VISION:(enterprise alignment)

Internationaler Facility Management Kongressam 20./21. November 2014 an der TU Wien

Internationaler Facility Management Kongressam 20./21. November 2014 an der TU Wien

CBRE - 51% AVERAGE , 72% PEAK UTILIZATION

CBRE | Delos Living 39

Internationaler Facility Management Kongressam 20./21. November 2014 an der TU Wien

CBRE – Created Opportunities to Connect

CBRE | Delos Living 7 | 7CBRE|WORKPLACESTRATEGY

CBRE Variety – 16 SPACES TO WORK1. CLIENT CONFERENCE ROOM

2. TEAM HUDDLE ROOM

3. OPEN TEAM AREAS

4. OFADS

5. NEIGHBORHOOD TOUCHDOWN SPACE

6. FOCUS ROOM

7. WORKSTATIONS

8. TEAM TABLE

9. BANQUETTE & CAFE TABLE IN THE HEART

10. BAR SEATING IN THE HEART

11. GARDEN AREA

12. OPEN MEDIA:SCAPE SPACE

13. LOUNGE SEATING IN THEHEART

14. PHONE BOOTHS

15. RISE CAFE

16. TREADMILL WORKSTATION16

CBRE | Delos Living 41

151413

1211109

8765

4321

Internationaler Facility Management Kongressam 20./21. November 2014 an der TU Wien

Internationaler Facility Management Kongressam 20./21. November 2014 an der TU Wien

AIREnhanced Air Filtration

WATERFiltered Water Hydration Stations

NOURISHMENTNutrition Tips NutritionalSnacks

LIGHTCircadian Lighting System™

FITNESSInviting StairsLumbar Supporting Floor Core TreadmillDesksStretch AreaKybun standing pad

COMFORTAcoustic Damping Walls(throughout)Ergonomic Workstations(throughout)Photo catalytic Surfacing EMFShielding

MINDWindow Planters Aromatherapy

CBRE LA Office –Wellness Features

CBRE | Delos Living   42

Internationaler Facility Management Kongressam 20./21. November 2014 an der TU Wien

AIR WATER NOURISHMENT LIGHT FITNESS COMFORT MIND

HOLISTICALLY ADDRESSINGTHE HUMAN-ARCHITECTURE INTERFACE

CBRE - World’s First ‘Well Certified’ Office

CBRE | Delos Living 11

Internationaler Facility Management Kongressam 20./21. November 2014 an der TU Wien

CBRE Los Angeles OFFICE• 100% Free Address• 30% Less Space / $9MM Savings• 97% Rate of Satisfaction• 93% Rate of Performance Improvement• Averaging over 500 visitors per month• 2014 on pace to be best year ever

WELL BEING STANDARD• 1st Commercial Office Space• 75% Feel Healthier• 40 Commercial Projects Underway (>5M RSF)• Representing 5 Countries on 4 Continents• 1,000 professionals attending Well 2014 Conference

CBRE | Delos Living   44

Innovation: INTRODUCING NEW IDEAS, DEVICES,and METHODS for WORKING

Future Views and Challenges

Internationaler Facility Management Kongressam 20./21. November 2014 an der TU Wien

Internationaler Facility Management Kongressam 20./21. November 2014 an der TU Wien

Future View & Challenges:How do we use Big Data in Workplace Strategy?

Place:• Smart Building• Sensors, RFID• CAFM, IWMS, CMMS• BIMPeople:• Workforce Data• Space Utilization• Productivity

Issue: Cooperation / Coordination with multiple vendors

Internationaler Facility Management Kongressam 20./21. November 2014 an der TU Wien

Future View & ChallengesWhat information will help Inform Decision-Making?

The dawn of

Workplace Informatics:

• People• Process• Place• Technology

Internationaler Facility Management Kongressam 20./21. November 2014 an der TU Wien

Future View & ChallengesWho will Manage, Analyze and Interpret the Data?

The dawn of ‘Workplace Intelligence’:

• Workplace Technologist• Data Visualizer• Workforce Strategist• Workforce Intelligence

Officer• Workplace Experience

Officer

Internationaler Facility Management Kongressam 20./21. November 2014 an der TU Wien

Future View & Challenges:Who will LEAD Workplace Strategy?

FM?HR?IT?RE?

Resources:

Internationaler Facility Management Kongressam 20./21. November 2014 an der TU Wien

Internationaler Facility Management Kongressam 20./21. November 2014 an der TU Wien

Resources: Work on the MoveFree e-copy for every attendee

Courtesy of the IFMA Foundation:undationhttp://foundation.ifma.org/thank-you-tu-wien-ifm-kongress-attendees