Mobility Strategy, Carbon Footprint and the Bottom Line
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Transcript of Mobility Strategy, Carbon Footprint and the Bottom Line
Mobility can dramatically lower your carbon Footprint
By adjusting our RE policy to support the mobile work style we can:
–Dramatically reducethe carbon footprint of office work
–Enhance organizationalcapability
–Fund the Greening of our office buildings
–Still come out ahead on the balance sheet
In the beginning “Home” was next to “Work”
Efficiency drove Work to separate from Home.
Cities pulled people in to Work…
For the first time in human history more people live in cities.
The office emergesarranged like a factory
It becomes part of popular culture…and always well used
The age of abundance came and went
Globalization
Competitive cost pressures
Global Warming
Continuity of operations
Business partnerships
Group work
Mobile technology
Worker mobility
Energy costs
% Heads-down work
Real estate / FTE
Domestic talent pool
2008
This is a wake up call!
Average office space is dramatically under utilized.
0%
10%
20%
30%
40%
50%
60%
70%
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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
An Average of 55% Under Utilization!
Something has happened…
Mobility happened
A majority of organizations & people today are surprised by the high levels of mobility they are experiencing.
Now organizations are wondering where everyone is…
We still love the idea of our own desk.
Sometimes individuals are necessarily tied to a particular location.
...but more often than not the needs are very simple!
Sometimes dedicated space can become a burden.
...and it is often empty.
Utilization is the key!
- Drives technology improvements- Drives policy improvements- Drives increased awareness- Reduces Commutes- Reduces Energy Consumption- Reduces Office Space per Employee- Reduces Carbon per Employee
Bracknell’s Transformation
> Underutilized dedicated space
> No certainty that the supposed virtue of face-to-face collaboration actually occurs
> Legacy filing (often hard copy)
> Offices without a pulse
Before
> Busy, high-energy, highly utilized space with free-address work spaces
> Employees are enabled to work anywhere
> Better planned, and more flexible interaction
After
> Smaller footprint
> More discipline in filing/ sharing information
> A wider range of task settings
After
Employee Reaction
Case Study - Sun Mobility
Sun Employee Satisfaction
Sun Flexible Employees
Sun Flexible Employees
Case Study - HP Employees
HP Employee Engagement
More frequent use of collaborative technologies correlates with higher levels of engagement
– but use of “sophisticated” collaborative technologies is very limited
HP Survey Results
Employees who spend more time mobile are just as engaged as dedicated desk workers
HP Survey Results
Hewlett Packard employees, on average, are highly engaged
(Score of 3.82 out of 5)
HP Survey Results
‘Future of Work’ SurveyJune 2007
The level of densification of the workplace has little impact on engagement
HP Survey Results
Productivity Impacts
62% found home the most productive workplace
48% claim to work harder now that they are mobile
24% felt that their main office was the most productive work location
The Voice of Mobile WorkersPractices, Relationships and Components of Effective WorkplacesKnoll Workforce ResearchGlobal Business Division 2007
Mobility drives organizational improvement
The Voice of Mobile WorkersPractices, Relationships and Components of Effective WorkplacesKnoll Workforce ResearchGlobal Business Division 2007
> Switch easily between work settings
> Collaborate with many. Collaboration focused and valued when in office
Mobility drives organizational improvement
> Inspire dedicated-space users to rethink how they best work
> Challenge the evolving purpose and value of the office
The Voice of Mobile WorkersPractices, Relationships and Components of Effective WorkplacesKnoll Workforce ResearchGlobal Business Division 2007
“The price and performance of IT are no longer compromised by being green, but are now enhanced by it.”
- Mark Hurd, CEO of HP
HP uses green initiatives to cut costs and gain market share
Spa
ce
2005 2006 2007 2008
Base space reduction
Net space after data center additions, new business acquisitions etc. $50
$20
Approximate stock price over same period
Case Study - Bracknell
Bracknell Area Savings
Previous Thames ValleyTotal Net Usable Area - 451,304 sft
$8,900 per person
Total headcount = 2,845*
Consolidated BracknellTotal Net Usable Area - 165,673 sf
$5,400 per person
Total headcount = 2,686*
* NOTE : 50% of ETW headcount
63% Area Reduction
Bracknell Energy Savings
49% Energy Savings
Environmental Impact
The numbers are too big to ignore!
73,000,000 sf2007 New Office Construction
National Legislation
State Legislation
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1990 1994 1998 2002 2006 2010 2014 2018
Mil
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Historical
Projected Business as Usual
To Meet AB 32 Goal
+1.2%/yr
-0.9%/yr
Executive Order S-3-05
Our Assumptions
•Modeled on a 100,000sf building
•Starts with 30% of staff going Mobile
•An initial reduction of 25,000sf
•Energy declining proportional to Bracknell
•Commutes declining proportional to Sun
•Mobility increasing 5% a year
Our DataOur Calculation Method
Mobility Cuts Carbon Emissions
Mobility Cuts Land Consumption
Mobility Reduces Cost
What is the impact?
this or this?
What does your workspace look like?
We are just getting started…
35% of US companies have a mobility program
26% are developing one
15% have a mobility budget
Nemertes Research 2007
New metric for Corporate real estate should be “CO2 per person”
Calculations show 66% reduction in RE CO2 per person (over 10 years)
If Companies Go Mobile…
If new construction in 07 were leveraged by mobility;
This would equate to 523m metric tons of carbon over ten years’
All US coal powered plants scheduled to be built over next ten years would not be necessary
If Companies Go Mobile…
If only 40% of companies* did this over 10 years we could save
–1.2 billion metric tons of CO2
–21 Manhattan’s worth of carbon emission per year
–800 acres of green land per year
If Companies Go Mobile…
* Based on 4.7 billion square of existing office space in the US (Colliers 2007)
Human Resources Respondents want to learn more about employee mobility and change management practices
Workplace Respondents want to learn more about distributed work activity settings, measurement practices and social engagement technologies
What can you do tomorrow?
Assess readinessIs the Status Quo acceptable?
Can rethinking RE strategy contribute to future business success?
How might this link to other competitive initiatives?
What can you do tomorrow?
Talk to people
Inside your company
In other companies
To practiced consultants
What can you do tomorrow?
Tell the storyUse this presentation
Do a Utilization StudyCalculate the benefits of better utilized space
Thank You!