vwork: measuring the benefits of agility at work
DESCRIPTION
Given at WorkTech New York on May 18, 2011 by Bob Gaudreau, Executive Vice-President Sales & Marketing at Regus. Read the full report: http://slidesha.re/jG2yQM About Regus: http://www.regus.com/?utm_campaign=slideshareTRANSCRIPT
- 1. Measuring the benefits of agility at work Bob Gaudreau and Philip Ross
2. 3. The Berne Summit
- Barclays, BBC, Vodafone, BCG, BSkyB, Cisco, JP Morgan, Dell, Kirkland & Ellis, GlaxoSmithKline, Oracle, Shire, Standard Chartered, Telstra, Thomson Reuters, Yell.com
- 243,000,000 square feet
4. The Unwork.com Survey Size of organization Geography Job function 5. 6. 7. Defining a value for Corporate Agility
- The 3 Vs
- V irtual how are we working?
- ad V antage what are the benefits to business?
- V alue how do we monetise it?
8. 9. 10.
- That long standing symbol of the business world, the Corporate HQ, will soon be no more.
- Anil Gupta, professor of strategy & organisation
- Smith School of Business, University of Maryland
- The concept of a corporate HQ will change from a physical location to a virtual network
11. 12. work
- Noun or Verb?
13. @work
- 63.5% still commute to the office four or five days a week.
- Only 1.6% work from home(large employers)
14. If city populations are set to double in the next 40 years why send people into immobile business districts? 15. 16. Commuting Today going local
- 32.1% spend 41 minutes to an hour
- 27.4% over an hour
- 59.5% are commuting for 41 minutes or more each way every day
- BUT
- Only 12.3% of people want to work from home
17. 18. Free Agent Nation
- 40% of the US workforce will comprise contingent workers by 2020
19. 20. 21. Collaboration and Virtual Presence
- Pathological collaboration and the rise
- of the Jelly bean
22. 23. Where Good Ideas Come From
- Most of the significant inventions of the last two centuries have NOT come from flashes of inspiration but from communal, multilayered endeavour.
- innovation springs out of the adjacent possible the most inventive places are hives of activity where people get together and share ideas.
24.
- From Noun to Verb
- 59% of people now feel that they have the right technology to be able to work from anywhere
- 62.5% have rolled out a new ways of working programme (respondents from large enterprises)
25. 26.
- The business Drivers that will change the way your organisation works
27. Digital Immigrants and Natives
- 70.9% of respondents believe younger workers - the millennials and those still at school will be more accepting of virtual working and reject the traditional office only 8.9% felt they would carry on working in the workplace of today
28. Large Employers
- 58.2% predict a decrease in the need for office space as a result of future workstyles.
- Only 7% predict an increase
- Most believe the office will become a place for occasional use (51.2%)
29. 30. Measuring Agility: Company ABC
- 1,500 employees
- City of London office
- 15-year lease
- 50,000 square feet
- Cost of the building per annum $20m (rent, rates, utilities, operations)
- Total cost per square foot per annum is $133
- Over the 15 years, the lease represents a $300m liability or $200,000 per head.
31. ABCs office today 32.
- 1,150 desks
- Hot desking has already been introduced at sharing ratio 1:2:1
- Leaving 632 desks unused per day.
55% of desks are not being used 45% typical office utilisation 33. The Agility Dividend for Company ABC... is between $6m to $11m per annum
- (based on average cost per desk per annum $17,200).
- Cost of unused space $11m per annum
34. How do we monetise agility?
- The Agility Dividend
-
- p (f+o) + c (t+c) + d (s)
Efficiency dividend property (p) fixed (f) and operational (o) cost savings Happiness dividend commuting (c)time (t) and cost (c) savings Productivity dividend output(d) employee/salary costs (s) 35. Why isnt everyone doing it? 36. Agility in Action
- Yell
- 700 employees
- Closed 18 offices
- Driver was cost
- GB1.5m pa saving / 40%
- Access to 153 Regus centres vs 18 before
- 10-15% productivity increase
- Transitioned in one month
- Watford to London example
- 7-Eleven
- Driver cultural change 1 st ,cost 2 nd
- 1000 employees transitioned
- Retail mgmt and franchise sales
- Closed 36 out of 44 offices
- Left 8 hubs open
- US$8m pa saving
- Access to 450 Regus centres
- Meeting rooms
- Day offices
membership v ownership 37. Buy your own
- Agility is not just about cost reduction through real estate. Monetising agility moves the measure of costs per person from fixed bricks & mortar, to the individual
- Examples of other models -BYOC Buy your own computer
- Citrix In 2009, Citrix gave staff a budget of $2,100 to BYO computer.It has saved 15-20% of costs
- From BYOC to BYO Workplace Dawn of user-chooser
- Can we move to a vision of provisioning work