In recent years, disruptive forces have transformed how we think about entire industries. Spotify with music. Uber and Lyft with transportation. Netflix with TV and movies. Technology has changed the way that we think about things that we used to take for granted. Slowly, but surely, the way in which we think about offices, how we work, and productivity has been changing too. We are now approaching a tipping point – and the results of this will transform the working experience for millions of people. For smart businesses, this is a revolution that will create competitive advantage, cut costs and help attract and retain talent. What got us to this point? There are three key drivers:
1. Technology is accelerating rapidly: It has changed what’s possible. Within two years, 80 per cent of the world’s population will own a smartphone. The cloud has grown exponentially. Put simply, it’s now increasingly easy for a person to plug in and work from anywhere.
2. Employees want flexibility: In particular, those digital native Millennials who have grown up with technology and whose expectations are less shackled by what was possible before. They know they can work from anywhere and that they will be expected to work hard throughout their careers. But, it’s more than Millennials, most employees appreciate flexibility and 64% believe that flexible work hours improve productivity. Why should employees commute for two or more hours each day? They want to work for companies that give them the freedom to do their jobs and enable them to experience the benefits of a collaborative community, without wasting hours of their day.
3. Businesses realize that flexible work strategies can help them secure the best talent: But, what businesses also increasingly understand are the financial and strategic advantages flexible workspaces provide. This type of approach cuts real estate costs and allows businesses to concentrate on their core business, rather than being forced into also becoming a real estate business. It also allows large businesses to be nimble. A business can move people into a new market quickly and take them out again when required. They can locate their people close to their suppliers. And, they can do all of this without committing to long leases and expensive relocation costs.
With the right partner, flexible workspaces bring benefits to businesses of all sizes from start-ups to large, international businesses.
For start-ups, the benefits are immediate. Entrepreneurs want to focus on growing their business, not spending time and money on real estate leases. But, they can’t compromise on those things that are expected of every professional business – best-in-class IT, security and telecommunications capabilities. Even as a fledgling business, they want to have a base where they can bring potential customers and partners for meetings without letting down their brand. And, of course, a start-up with a handful of employees can only benefit from establishing their own professional community – a network with whom they can talk, brainstorm new ideas and forge new relationships.
The benefits to larger businesses are also increasingly recognized and many of the world’s most innovative business success stories have a dedicated flexible workspace strategy. Of course, large corporations have a requirement for a headquarters, but, by complementing this with a flexible workspace option they can drive benefits to their business. Employee wellbeing and personal satisfaction will increase, and in today’s battle for top talent that means a lot. Fewer hours spent commuting, greater independence and flexibility equals more productive workers. In fact, employees are likely to become more creative – driving more innovations for your business. Why? Because one of the enemies of corporate innovation is group-think. Having all of your people under one roof, having the same conversations with the same people day after day might be stifling the potential of them generating original ideas. Putting them into a collaborative space with like-minded businesses and people can help free up their thinking.
Flexible working is effective at every level of a business. The right partner can deliver workspace solutions that allow creatives to work in a collaborative workspace, while also providing high-end, quieter offices and spaces for events and meetings.
A “one-size fits all” approach wouldn’t work for any aspect of a successful large business. For too long, however, this is the approach most businesses have taken for their offices. This has happened because most people didn’t see any alternative. Just as a decade ago there was no alternative to CDs. Then Spotify came along.
The workspace revolution is coming. Smart businesses will start planning for it now.
Michael Berretta is vice president of North America development at IWG, Atlanta, GA.
