CBRE Workplace Strategy CEOs have a new strategy in the unending war for talent. They are creating more open and collaborative cultures – encouraging employees to connect, learn from each other and thrive in a world of rapid change. IBM Global CEO Insights Report 2012 CBRE | Workplace Strategy CBRE | Workplace Strategy 2 CEOs have a new strategy in the unending war for talent. They are creating more open and collaborative cultures – 40% of knowledge encouraging employees to connect, will have learn from each otherworkers and thrive in a world of rapid change abandoned their desk phones by the end of IBM Global CEO this year. Insights Report 2012 Gartner Research CBRE | Workplace Strategy CBRE | Workplace Strategy 3 CEOs have a new strategy in the unending war for talent. They are creating more open and collaborative cultures – 40% of knowledge encouraging employees to connect, 40-50% of the will have learn from each otherworkers and thriveUS in a workforce world of rapid change abandoned is predicted or removed their desk phone by the to be independent IBM Global CEO of 2012 2013. contractors byend 2020. Insights Report Gartner US Bureau ofResearch Labor Statistics CBRE | Workplace Strategy CBRE | Workplace Strategy 4 CEOs have a new strategy in the unending war for talent. They are 45% young employees creating more openof and would accept collaborative cultures – a lower-paying of knowledge if it hadtomore flexibility on encouragingjob employees connect, 50% of the US workers will media have learn from each otherchoice, and thrive in device social is predicted to aworkforce world of rapid change access, and mobility a abandoned than or removed be independent higher-paying job with less by the their desk phone IBM Global CEO flexibility. contractorsUSbyBureau 2020. of Labor 40% end of 2013. Insights Report 2012 Statistics Study by Cisco Gartner Research CBRE | Workplace Strategy CBRE | Workplace Strategy 5 SIZE CBRE | Workplace Strategy WHAT OUR CLIENTS ARE ASKING… What organizations are asking 1. How do I attract and retain talent? 2. How do I optimize for innovation and productivity? 3. How do I do more with less? 2013 CBRE | CONFIDENTIAL & PROPRIETARY | Page 7 CBRE | Workplace © Strategy SIZE WE BELIEVE CORPORATE OCCUPIERS WILL GREATLY REDUCE THEIR CORE ASSETS CBRE | Workplace Strategy SIZE AND INVESTMENT WILL FOLLOW IN THE RAPID EXPANSION OF WORKPLACE ON DEMAND CBRE | Workplace Strategy 1980 1981 1982 1983 1984 1985 1986 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 Office Stock ('000-square feet occupied) 4,000,000 25,000 3,500,000 20,000 3,000,000 2,500,000 15,000 2,000,000 1,500,000 10,000 1,000,000 5,000 500,000 - - Office Stock CBRE | Workplace Strategy Office Employee Employed Headcount ('000-people) SUPPLY FOLLOWS DEMAND OCCUPANY TRENDS SHOW A NET INCREASE Occupied Square Feet per Office Employee Comparison of total square feet as divided by total occupancy from 1980 through 2010 – source CBRE Econometrics 230 220 210 200 190 180 170 Square Foot Per Worker CBRE | Workplace Strategy Long-Term Average Linear (Square Foot Per Worker) CBRE | Workplace Strategy CBRE | Workplace Strategy 1B Square Feet CBRE | Workplace Strategy SO WHAT? Workplace Trends Financial Services Example Examples TECHNOLOGY FIRM DIGITAL MEDIA FIRM FINANCIAL SERVICES RISK MANAGEMENT SERVICES Area Metrics: Averages Scaling Business Models from B2C to B2B 20 Co-working and Corporate Real Estate • Game Changer or Hot Trend? key questions Why are Corporate RE teams considering coworking ? Coworking helps address core themes in the corporate workplace. How does coworking fit within the corporate portfolio? Coworking is one option in a complete workplace portfolio. How will Corporate RE teams use coworking spaces? In a controlled way for specific groups and purposes. What’s next? Bring the coworking experience into the corporate setting. macro drivers The key drivers for workplace change WORK WORKFORCE TECHNOLOGY core workplace themes Coworking can be one component in addressing these themes. alignment with business objectives, culture and brand resource vs. entitlement; standards based on “we” vs. “me” effectiveness efficiency in space and asset utilization enabling/improving individual and team performance functional match to users’ work practices and business unit’s direction agility adaptable to change physical flexibility; organizational understanding of linkages between work and place standardization strategy for “me” and “we” spaces; planning/construction mgmt approach coworking within the corporate portfolio Coworking is one option in a complete workplace portfolio © Jan Johnson + Keith Keppler 2012 How will coworking be used? In controlled ways for specific groups and purposes. To create unique client experiences To foster innovation To connect with specific communities, groups and individuals what’s next? Bringing the coworking experience into the corporate setting The same space types, just on a different scale and for specific groups Julie Seitz Director, Workplace 2020 The Coca-Cola Company 35 Workplace 2020 Design Principles 1. Increase transparency 2. Create flexibility 3. Tell our story 4. Be authentic 5. Bring the outside inside 6. Drive collaboration 7. Foster a sustainable culture Creating a Unique, Coca-Cola Workplace Employee Engagement Guest Experience Transportation Technology Brand Experience Workplace 2020 will deliver a connected, productive workplace that inspires collaboration, creativity, innovation, optimism and action A more sustainable future