1

© DEGW 2005

Creating the High Performance Workplace

Peter AndrewDEGW Asia-Pacific

B Arch (hons)MPD (Facilities)MCRh

November, 2005

© DEGW 2005

‘innovation is meaningless in the contemporary working environment unless design is deliberately - and measurably - related to accelerating organizational change.’

Dr Francis Duffyco-founder, DEGW

© DEGW 2005

2

© DEGW 2005

Workplace Change

Change lies at the intersection of

– Peoplerise of the individual

– Processglobalisation & technology

– Placefrom one to many

Managing workplace change is the key to delivering measurable business value

© DEGW 2005

The Rise of the Individual

i want!– convenience (now, near)– recognise i’m different– control and choice– boundary control– work/life balance– recognise i’m important

the organisation wants me!– attraction and retention– engagement – to bring the “whole

of me to work”

3

© DEGW 2005

The Future?

Technology is– invisible– integrated – wi-fi & trickle power– instinctive

Everything has an IP address– computers– telephones– furniture– buildings and cities– people

… and who is the corporate owner of this network?

© DEGW 2005

Our workplace is where we are!

From one place to many places– office– the “third place”– transit

Technology– mobility– collaboration – multi-channel– where am I?

4

© DEGW 2005

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

8:00

8:30

9:00

9:30

10:00

10:30

11:00

11:30

12:00

12:30

13:00

13:30

14:00

14:30

15:00

15:30

16:00

16:30

17:00

17:30

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

8:00

8:30

9:00

9:30

10:00

10:30

11:00

11:30

12:00

12:30

13:00

13:30

14:00

14:30

15:00

15:30

16:00

16:30

17:00

17:30

How space supports work

In the 1990s we learnt that as much work was happening away from the desk as at it

And the workplace was getting emptier

This shift is accelerating … and the workplace needs to respond

DEGW Time Utilisation Studies (TUS) measure how space is used to support work – this profile is typical for a knowledge worker/manager

empty 20-30%temporarily

unoccupied 40%

occupied 30-40%

Empty

Unoccupied

Not obtainable

Pausing

Paper handling

Empty

Unoccupied

Not obtainable

Pausing

Paper handling

Reading

Writing

Talking

Telephone

Computer

Meeting

Reading

Writing

Talking

Telephone

Computer

Meeting

utilis

atio

n

time

© DEGW 2005

Furniture & Technology

History1. 1900

simple, rectangular, paper2. 1960s

return supported technology3. 1980s

domination by the monitor4. 1990s

rethinking the shape of desks5. 2000s

rethinking what we put on desks

Future– Desks > simpler, smaller

paperpaper

paperpaper

paper

paper

paper

paper

2

5

3

4

1

evolution

revolution

Denotes size and location of technology

2000s

1990s

1980s

1960s

1900s

5

© DEGW 2005

Meetings are Social

• meetings are shifting from rooms into social settings - within and outside buildings

• most are ad hoc – booking systems can reduce utilisation

• why do we build walls around meeting spaces?

– confidentiality

– separate the noise

– display and collaboration

• placement critical – shared by the organisation

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

07:00 08:00 09:00 10:00 11:00 12:00 13:00 14:00 15:00 16:00 17:00 18:00

meeting

empty

target utilisation zoneunderutilised to half capacitytarget utilisation zone

underutilised to half capacity

© DEGW 2005

Collaboration needs Technology

• virtual and physical collaboration invariably needs technology:

– electronic whiteboards– data projectors– network access everywhere

• meeting spaces without these are ineffective

• large meeting rooms get over utilised by people wanting access to technology

6

© DEGW 2005

Collaboration needsDisplay + Screens

• Just because we don’t build so many offices doesn’t mean we don’t need walls

• Privacy required between teams more than individuals

• Vertical surfaces are useful to:– support work processes– support branding– absorb sound

© DEGW 2005

Avoiding Distraction

• Small acoustically isolated spaces, distributed amongst the workplace, technologically enabled

– Making noise

– Being Quiet

– Adhoc Confidentiality

• Placement and protocols are critical – owned by local teams

7

© DEGW 2005

Virtual teaming

• increase in virtual teaming and web communication

– increases noise in the workplace– may reduce face-to-face

interaction and increase time at the desk

– can happen anywhere … but convenience critical

• ubiquitous headsets– always connected

• Additional monitor screen for communications (M/S images??)

© DEGW 2005

Remote working

it’s already happening

driven by business, not by property

FM needs to understand the impact on workplace – support it and realise the benefits

8

© DEGW 2005

Future Use of Office Space

What happens when 40% of your workforce want to work remotely 1-2 days per week?

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

8:00

8:30

9:00

9:30

10:00

10:30

11:00

11:30

12:00

12:30

13:00

13:30

14:00

14:30

15:00

15:30

16:00

16:30

17:00

17:30

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

8:00

8:30

9:00

9:30

10:00

10:30

11:00

11:30

12:00

12:30

13:00

13:30

14:00

14:30

15:00

15:30

16:00

16:30

17:00

17:30

empty 20%temporarily

unoccupied 40%

occupied 40-50%

Graph modified to indicate 40-50% of people working an additional one day per week from home

FUTURE … perhaps

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

8:00

8:30

9:00

9:30

10:00

10:30

11:00

11:30

12:00

12:30

13:00

13:30

14:00

14:30

15:00

15:30

16:00

16:30

17:00

17:30

empty 40%

temporarilyunoccupied 40%

occupied 20-30%

distributed working

NOW

© DEGW 2005

Is this the future of the office?

9

© DEGW 2005

Change

Change lies at the intersection of

– People

– Process

– Place

Managing workplace change is the key to delivering measurable business value

© DEGW 2005

Drivers of Workplace Change

1. Cultural Change– reduced hierarchy– less offices– more collaborative space

2. Distribution of Work– near customer– at home– in transit

3. Sharing of Space4. Interesting synergy:

– people accustomed to working in multiple locations (home, hotel, travel) become more open to mobility within the office and the concept of non-territorial space

Ownership of Space

Dis

trib

utio

n of

Wor

kO

n P

rem

ises

Oth

er p

lace

s

Individual Shared

SECONDARY WORKPOINT

WORKING IN TRANSIT

OWNED, FIXED SPACE

NON-TERRITORIAL

HOME ROAM

CLUBHUB

+11% -23%

-18%

10

© DEGW 2005

Change

to the fearful - it is threatening because it means that things may get worse;

to the hopeful - it is encouraging because things may get better;

to the confident - it is inspiring because the challenge exists to make things better.

© DEGW 2005

Workplace Change Management

It is not exclusively about communication but it hinges on itIt is not about planning an advertising campaign, but we can learn from themThe communication has to be right, diverse and direct:

– Using mixed media with a strong brand– Ensuring a two-way dialogue is

established– Keep messages simple, clear and jargon

free– Use metaphors, stories and analogies to

draw people in– Most importantly, champions need to

walk the talk

comfort/complacency

awareness/denial /indifference

resistance/cynicism

understanding/engagement/curiosity

acceptance/enthusiasm

excitement/commitment

ownership/evolution

11

© DEGW 2005

7 key questions

1. what is the desired outcome?2. what is the present state?3. difference between 1 and 2?4. are there blockages /

resistance? is there positive energy / motivation

5. are the ‘changers’ willing and capable?

6. is the change feasible / realistic? Based on the responses to above, then….

7. design the right change programme of activities, interventions and support(& know when to ask for help)

© DEGW 2005

Workplace Design and Business Performance

Aim for best practice

Aim for business alignment

easier to prove harder to prove

inde

pend

ent

oc

cupa

nt

of o

ccup

ant

dep

ende

nt

Health & Comfort

Efficient Accommodation

Adaptability

Internal Flexibility

Supporting Work Process

Internal Expression

External Expression

Source CABE research 2004

12

© DEGW 2005

Workplace Design and Business Performance

Aim for best practice

Aim for business alignment

easier to prove harder to prove

inde

pend

ent

oc

cupa

nt

of o

ccup

ant

dep

ende

nt

Health & Comfort

Efficient Accommodation

Adaptability

Internal Flexibility

Supporting Work Process

Internal Expression

External Expression

Source CABE research 2004

Benefits for all developers and tenants•Efficient space use•Health, comfort and safety for end-users

Should be universally adopted

Benefits forall developers

and tenants

Developer advantage

Developer advantages• Internal flexibility and adaptability• Capacity to accommodate change

Attractive to all potential tenants

Tenantalignment

Alignment with tenant priorities• Varied settings• Support for concentration and communication • Stimulus to creativity

Depends on user and business involvement

Owneroccupiers?

Owner Occupiers• External messages to clients• Specific processes• Strongly individual business culture

Absolutely require business direction and leadership

© DEGW 2005

EFFICIENCY

CURRENT VALUATION CRITERIA FUTURE VALUATION CRITERIA

$ per sq. ft/m

Maximise lettable areaMaximise efficiency of cores andcirculation

Maximise density of workpoints by efficient zoning of enclosure and efficient planning of open areasMinimising waste: fit factor

Regular, orthogonal structure and planning grids

Reduce construction costs

Reduce costs of planning change/churn by regular, repeatable floor plans

$ per person

Maximise attraction of space :– More interaction– More common areas– Exchange information

Maximise actual density through time-space use intensification

Maximise value of common areasto occupiers

Accommodate complex and changing patterns of use

Wide variety of spaces

Greater planning freedom(more complex patterns of use)

EFFECTIVENESS

13

© DEGW 2005

From To• $ per sq ft/m

• Net to Gross

• Net to Usable

• Density

• Fit Factor

• Churn cost

• Contiguity

• Floor plate regularity

• Services distribution

• Facilities

• Security / Management

/ Networks

• 84-87 %

• 85-90 %

• Head count

• 5%

• Per desk

• Essential

• 100%

• Floors & ceilings

• Limited

• Basic

• $ per person

•reduced importance

• reduced importance

• Use

• 10%

• Per person

• Essential

• 50% orthogonal

• Single zone – floor

•Shared facilities / amenities

• Leading edge

© DEGW 2005

Appraising your portfolio

0% 50% 100%

50%

100%

Efficiencyspace planning/flexibility/use of resources

Effe

ctiv

enes

ste

am c

omm

unic

atio

n/in

tera

ctio

n

optimal

good

marginal

sub-optimal

discard

keep(subject to cost)

improve(increase

effectiveness)

14

© DEGW 2005

What difference can you make to your organisation?

© DEGW 2005

DEGW

Targeted strategic advice:– Master Planning Strategies– Workplace Trends– Strategic Briefs– Design Review & Strategy– Portfolio Review– Managing Workplace Change

Peter Andrew+61 416 239 877 (mobile)+61 3 8610 3444 (melbourne)pandrew@degw.com.auwww.degw.com

QU

ESTI

ON

S

15

Boston - Chicago - Glasgow - London - Madrid - Melbourne - Milan - New York - Paris - Rome - Sydney - The Hague

www.degw.com