Workplace Change Management Guide Part 1 Shifting Paradigm of Hybrid Workplace Move towards hybrid working model with clarity and confidence Introduction In the years to come, workplace experience will become the major component of employee value proposition. Therefor, organization’s ability to get the hybrid working model right will become a major factor contributing to business success over long term. Companies which fail to adopt thoughtful and strategic approach to hybrid early on, are at high risk to be left behind, outmatched by competitors and unable to cover workforce gap at increasingly competitive talent market. In this 3-part Workplace change management guide will cover some most impactful success factors on this transformation journey, as well as potential challenges and risks. Then, we will suggest some approaches to change management process which relies on collaborative effort and insights sourced from organization’s integrated data. Finally, we will boil down the transition process to a few critical steps, look at implementation scenarios, approaches and tactics. CONTENT OF PART 1 01. 02. 03. Diversity of hybrid work models Cross-functional approach to designing new policies Evolving concept of hybrid work Diversity of Hybrid Work Models There is no one-size-fits-all when it comes to hybrid. Every organization will need to create their own custom model based on specific workflows, business processes and unique organizational culture. 01. Unthoughtful moves around making decisions and communicating plans on return to office can undermine employees’ trust and damage employer’s brand. Strategies that have already proved to be unviable or start showing worrying signs can be split into three major categories. 1 Top-down decision This approach has been the major trigger of what is commonly referred to as “the great resignation”. Leaders who chose to make the decision on their own and deliver it as an after the fact announcement, faced massive backlash and in many cases were forced to revisit their decisions. 2 Relying on employees With the offices being reopened, employees’ opportunities became no longer equal. The reason for that lays in personal circumstances and ability to easily regroup one’s life again. Simply allowing employees to make their own choice as to whether they want to come to office or not, can quickly escalate such inequality and entrench a two-tier culture. 3 Delaying the decision Large number of companies remain to this day in “wait-and-see” mode, hoping thereby on others to blaze the trail, which they could follow then with low level of risk. Yet, more often than not, delaying decisions only increases the risk of culture deterioration and productivity stagnation. Cross-Functional Approach to Designing New Policies Getting the hybrid equation right on all fronts requires collaborative effort of all internal stakeholders, and the stage for a multi-faceted conversation needs to be set up early on. 02. Get key stakeholders at the strategy table need to establish continuous data feedback loop. It should be an automated process, and the insights need to be universally available for everyone inside the organization. Corporate roles which historically have been considered as service functions, now need to take a leading role at the strategic table. If this is not done at the conceptualizing phase, multiple issues will come up during the implementation cycle. Clarify expected data inputs and accountability This could be done in form of working groups which meet periodically to align on next strategic moves. It would help to communicate decisions easily and effectively along the functional verticals, helping thereby make things transparent and have a more unanimous buy-in across the organization. Workplace strategy is no longer the prerogative of corporate real estate department. In fact, facility managers and real estate teams should be stepping into towards the end of workplace decisions chain, as they need to act in accordance with the company’s entire workforce strategy. Deliver role-specific insights based on integrated data sets In order to keep things on track and be able to detect any issues early on, companies How should existing offices be repurposed, where satellite spaces and collaboration hubs should be located, which equipment, amenities and facilities should be accessible on-site – to answer all of those questions, FM would require detailed guidelines from other departments. Workplace Decision Cadence People • Employees’ needs and expectations around workplace • People’s choice of places to live – city vs suburb • Compensation preferences: higher salary vs flex workplace and commute allowances, etc. • Sentiments around corporate values and employer brand • Talent supply and demand across different geographies Processes • Which tasks can be done remotely and which ones require co-location? • Compensation packages structure and replacements costs • Long term business and workforce strategy Places • Amount of space required for diverse tasks, done by different teams with shifting co-location schedules • Amenities, services and equipment required • Free cash requirements • Geographical distribution of existing workforce • Corporate culture and ESG goals, Employer brand strategy • CRE market supply in target geographies • External economic factors: taxes, labor legislation, insurance costs Decision around corporate real estate portfolio have to rely on an entire chain of considerations, communicated by other department leaders to the RE&FM teams. Bad companies are destroyed by crisis, Good companies survive them, Great companies are improved by them. - Andy Grove Former CEO of Intel Corporation, “Father of OKR” Evolving Concept of Hybrid Work 03. Hybrid is here to stay. But it’s got to move on. We need to be clear about the difference between WFH as an emergency response and hybrid working as thoughtfully designed long term strategy. The concept of hybrid is still at its infancy stage To this day, business leaders, managers and employees alike have not been able to take full advantage of hybrid work as-itshould-be. In many cases, hybrid model is perceived as a trade off between employees’ flexibility appetites and managers strive to regained full visibility and control over workflows. The true virtue of hybrid, however, lays in internal radical flexibility, extended access to diverse talent pool, ability to innovate at high speed and swiftly adopt to ever changing economic landscape. Home / Office Polarity needs to be overcome Part of the problem is overwhelming fixation on a bipolar picture of hybrid, limiting options of locations to office and home, while turning our focus away from a wide range of equally credible, or perhaps even superior alternatives. It is not a journey from point A to point B Hybrid workplace design will have to be continuously adopted to ever changing landscape. We are learning a lot on every step of the way and already revisiting many of our initial moves. It is crucial to build that capacity to iterate on the fly, adjust our work models and policies, as secondary and tertiary effects of this grand shift will start revealing themselves. Sustainability is the most challenging part While there has been a genuine surprise with a surge in productivity right after lockdowns started, soon the unsustainable nature of the reasons behind it was revealed. As the crisis mode keeps fading away, forward-looking thinking with focus on sustainability has to be adopted. Future-of-work discussion Is taking new shapes WFH as a Global Contingency Plan Hybrid Working as Trade Off between Office and Home Lockdowns and stay-at-home orders Partial reopening and social distancing People are stressed from overnight shift and uncertain future People are stressed from having to go through shift again ready to change job in order to retain flexibility All employees share same constrains and use same methods of communication Employees are no longer in equitable workplace situation Instead of anticipated collapse – surprising surge in productivity Reasons behind initial productivity rise prove to be unsustainable and dangerous Tech tools prime goals: communication & activity tracking Labor legislation and taxation rules are changing; Tech solutions become integrated and focus more on data intelligence around productivity and engagement Wave of flex office solutions Hybrid Working as Enabler of New Opportunities Digital and physical data layers merge and create a holistic digital capabilities 5G connectivity enables seamless communication and faster navigation across urban environment Commercial real estate is unbundled and functions as an open platform. Designation of spaces is reinvented Businesses leverage remote talent pools to innovate at high speed Face to face interactions are free of constrains Got feedback? We’d love to hear it! contact@workmobile.today ©2022 Work Mobile Inc