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BCO predicts how Brexit might impact on demand for office space to 2022

BCO predicts how Brexit might impact on demand for office space to 2022

by • Facilities management, Legal news, News, Property, Workplace

Commercial property occupiers remain cautious about the future, and hard data indicates that demand has, so far, been largely unaffected by Brexit, claims a new report from the British Council for Offices (BCO) . ‘Brexit and its Potential Impact on Office Demand’, examines how Brexit might impact on demand for office space on a national and regional basis through to 2022. According to the report, almost one year on from the Brexit vote the situation is one of uncertainty, feeding through to slower growth, with ‘an almost palpable sense that choppy waters lie ahead, particularly with regard to trade and movement of labour’. However, businesses continue to make long-term investments in the national economy and even in the City, some large investment banks have committed to large new office buildings. There is much variation in the relative performance of the UK’s major office centres, though, with some expanding and others apparently in decline.

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Twenty-first century construction is increasingly environmentally friendly

Twenty-first century construction is increasingly environmentally friendly 0

by • Environment, Facilities management

One thing is clear — within the next 20 years, we will reach our peak capacity in terms of oil consumption as a planet. Although, as demand for oil appears to increase year upon year, the global production of oil appears to decrease. As a result of this growing problem, the construction industry still derives most of its energy sources from oil-based fuels. Throughout the Western world, it is evident that the construction sector is heavily reliant upon crude oils. The reason for this is that without them, the construction process would not be able to function in its current form. This is however, having a detrimental impact on greenhouse gas emissions. Within the UK, 50 percent of carbon emissions are accounted for by the construction industry and machinery within the production process.

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UK government unveils £1 billion ultrafast broadband fund to aid remote working

UK government unveils £1 billion ultrafast broadband fund to aid remote working 0

by • Flexible working, News, Technology

The UK’s faltering move towards ultrafast broadband has been given a much-needed boost with the launch of a new fund, which will support the rollout of cutting-edge connections across the country. The government’s £400 million Digital Infrastructure Investment Fund (DIIF) will unlock over £1 billion for full fibre broadband, and kick-start better broadband connections across the country. Its aim is to revolutionise Britain’s digital infrastructure, making internet access more reliable for homes and businesses, and enabling more people to enjoy remote working without disruption. According to the Treasury, the flexibility to work remotely is pivotal for driving the economy forward; reducing overheads and helping businesses to start and grow.

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Business Centre sector continuing to thrive amidst increased competition and Brexit uncertainty

Business Centre sector continuing to thrive amidst increased competition and Brexit uncertainty 0

by • Flexible working, News, Property

New research published by the Business Centre Association (BCA) in collaboration with CBRE claims that the business centre sector enjoyed a 13 percent increase in turnover and was home to around 11 percent more workers in 2015 and 2016, despite initial fears about the impact of Brexit on the sector, and increasing competition from new entrants into the market. The sector is worth around £3.3bn in terms of turnover, up from £2bn in 2013. The findings come from The UK Business Centre Market report which surveyed 580 business centres, representing 23 percent of the sector across the country, to assess the current state of the market. Overall, the report found the UK wide business sector is now home to 93,000 individual small businesses which employ over 480,000 people, supporting around £18bn of GDP.

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UK workers are wasting their allocated holiday allowance

UK workers are wasting their allocated holiday allowance 0

by • Flexible working, News, Workplace

A new survey claims that UK workers waste on average five days of annual leave each year with one in six having more than a full working week of holiday leftover in 2016. The new study, commissioned by Airtours, has found that 40 percent of workers did not use up their full holiday allowances, and those who did spent less than half of their time off relaxing. Of the reasons given for not taking their allocated leave, 25 percent of people asked said they didn’t need to take it or even want to, 36 percent had too much on at work to take time off, and 26 percent weren’t allowed to take holiday as it meant being off at the same time as colleagues. When people did take a break last year, the research suggests that most of the time people weren’t using their holiday how they should have been by recharging their batteries. On average people spent seven holiday days at home and 56 percent admitted to doing boring chores instead of getting out and enjoying themselves. A further 32 percent used their holiday to go to medical appointments and 17 percent used it to deal with those unexpected family emergencies, like illness or injury or taking the dog to the vet. (more…)

Artificial intelligence could add £232 billion to UK GDP by 2030, claims PwC research

Artificial intelligence could add £232 billion to UK GDP by 2030, claims PwC research 0

by • AI, News, Technology

UK GDP could be around 10 percent higher in 2030 as a result of artificial intelligence (AI) – the equivalent of an additional £232 billion, according to new research by PwC. This makes AI the biggest commercial opportunity in today’s fast-changing economy, according to the report’s authors. The research shows that the majority of the UK’s economic gains over the period to 2030 will come from increasing consumer demand resulting from AI driving a greater choice of products, increased personalisation of those products and making them more affordable over time. Labour productivity improvements will also drive GDP gains, but to a lesser extent. PwC’s research notes that the benefits from labour productivity growth will be felt first, with the increased consumption-led benefits from AI-enhanced products coming through later as more of them come onto the market. As this happens, competition within the AI goods market will increase dramatically, leading to future increases in the value of goods to consumers and therefore the amount people spend on them.

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Firms still paying lip service to digital transformation, but change may be coming

Firms still paying lip service to digital transformation, but change may be coming 0

by • News, Technology, Workplace

Britain’s biggest businesses risk being disrupted by the pace of technological change because their senior leaders are paying lip service to the need for digital transformation, according to a study from tech startup AVADO. The study of senior managers responsible for the learning and development (L&D) of staff at Britain’s biggest firms with turnovers of over £100m found that the need for digital transformation is accepted, almost universally, among respondents. 86 percent say they have assessed the business risk of not taking action and 88 percent have taken steps to address this. Yet, despite 93 percent of L&D professionals saying a digital transformation strategy is in place, the report suggests critical top down buy-in is missing. Yet, a second report from recruiters Robert Half suggests that a growing number of firms in the key finance sector are now actively recruiting to improve their digital transformation strategy.

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Technology that creates a virtual office is biggest catalyst of change in the workplace

Technology that creates a virtual office is biggest catalyst of change in the workplace 0

by • Facilities management, Flexible working, News, Technology, Workplace, Workplace design

Companies are increasingly using sophisticated technology offerings as a way to attract and retain talent, as faced with a competitive hiring environment, and rising occupancy costs they must create a user experience that makes employees more efficient and effective and the office the preferred place to work. This is according to CBRE Research’s latest Global Prime Office Occupancy Costs report (registration needed) which found – not uniquely – that technology is the biggest catalyst of change in the workplace today, as mobile devices, virtual networks, videoconferencing and cloud storage create a seamless transition from the physical workplace of the 20th century to the virtual workplace of the 21st century. This technology is also being used by occupiers to understand and manage their occupancy patterns in sophisticated ways and create an environment that maximises employee efficiency.

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Workplace wellbeing is now embedded in the very bricks and mortar of the building

Workplace wellbeing is now embedded in the very bricks and mortar of the building 0

by • Comment, Wellbeing, Workplace design

For some time now, the debate about how the workplace adds to the bottom line of an organisation has focused increasingly on the subject of wellbeing. There are plenty of good reasons for this, with the issue subject to both the push of employers as well as the pull of employees. Everybody thinks it’s a good idea and it’s easy to see why. Wellbeing is about business ethics, recruitment and retention, productivity, physical and mental health, work-life balance, absenteeism and the management of a flexible workforce, and all the other things that underpin the success and health of an organisation and each individual. It suggests a more positive approach to the workplace than either health & safety or occupational health, both of which remain disciplines more focused on reducing risk and harm than promoting positive outcomes, as is the case with wellbeing. Neither is it about something as raw and nebulous as productivity, which remains difficult and even impossible to measure for knowledge and creative workers and only offers a single dimension on a key workplace issue anyway.

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Nearly half of occupants say their building’s toilet facilities need some improvement 0

by • Facilities management, News, Wellbeing, Workplace design

Most FMs would tell you that the state of the workplace toilets is often one of the main determinants by occupants on how well the facilities department is doing its job. So it’s disturbing to learn that according to a new survey a significant number of employees have cause to complain about the state of their workplace toilet facilities. The research, carried out by the Association of Plumbing & Heating Contractors claims that 16.5 percent of people are unhappy at work due to the condition of their employer’s toilets which is having a negative impact on their levels of engagement. Their research found 43.8 percent of the people surveyed felt their workplace toilets needed to be better maintained. And when asked if their workplace toilets require updating or refurbishing, 44.4 percent said they did. London seemingly has the worst workplace toilets with 50.9 percent of workers surveyed believing they need to be better maintained and require refurbishing.

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Three quarters of HR professionals expect Brexit to escalate the war for talent

Three quarters of HR professionals expect Brexit to escalate the war for talent 0

by • News, Workplace

New research claims that, as a result of the UK’s decision to leave the EU, nearly three-quarters of HR professionals (72 percent) expect the war for talent to intensify, and nearly two-thirds (61 percent) predict further difficulty recruiting senior and skilled employees over the next three years. The latest CIPD/Hays Resourcing and Talent Planning Survey of more than 1,000 HR professionals found that recruitment difficulties are already being reported by three quarters of HR professionals (75 percent), and nearly two-thirds (65 percent) agree that the skills needed for jobs in their organisation are changing. Professionals with leadership (58 percent), digital (54 percent) and commercial awareness skills (51 percent) are most likely to increase in demand over the next 12 months.

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Settings and serendipity define workplace design at Clerkenwell Design Week

Settings and serendipity define workplace design at Clerkenwell Design Week 0

by • Comment, Workplace design

Because a vast show like Clerkenwell Design Week is about as easy to digest as a whale omelette, visitors often find themselves discussing with other people what is worth seeing and, perhaps more importantly, what they think its themes are. At this year’s show, the fine weather meant it was possible for people to occupy the pavements with a drink and share a general feeling that in terms of workplace design, there were few, if any, standout products and that most of the themes were now pretty well understood.

There was a great deal of talk about the need for privacy, the creation of a choice of settings in which to work, the influence of the coworking movement, wellbeing, agile working, Millennials, the intersection of design idioms from the domestic and commercial worlds and planned serendipity. These are now familiar subjects and, with the exception of a largely false narrative about Millennials, all in tune with the main concerns of occupiers and employees. They may be familiar but we should celebrate the fact that this in itself signifies not only growing sophistication in the demands of buyers but also the way we address workplace issues as a sector. Most tellingly, there is one common factor at the heart of each of the concerns addressed in the designs on show; people.

This marks a profound shift from the old hierarchical constraints that used to define office design. The idea that a building should be carved up and shared out semi-permanently between individuals based on their job and status for set periods of time now looks more and more archaic as each day passes. The modern workplace can be pretty much anything it wants to be and we should not take that for granted just because it’s been said before.

Boss Design

Boss Design

Encapsulating these ideas was a brand new range from Boss Design called Atom designed by Simon Pengelly. The business model of Boss has always meant it found itself at the intersection of various forms of design with a portfolio of products that could be used in a variety of settings, but Atom offers a fully resolved menu of elements that make the idea explicit.

Where once modularity in furniture design meant that parts fixed and tessellated, it now refers to a more freeform interpretation. This isn’t Lego modularity but something more organic, ingredients rather than parts.

The designs are very much focussed on people. These are the sorts of products that invite people to work in the ways that suit them best. Designers and office buyers are given the elements needed to offer employees choices but without any sense that solutions are prescriptive. As Simon Pengelly explained, it’s all very well having collaborative space but it only works if you’ve then got a space to do something with the ideas you’ve just shared. This was the best resolved system of products at the show and one very finely attuned to 21st Century office life.

Boss Design

 

Steelcase

The world’s largest office furniture manufacturer was pursuing similar themes while also sharing the stage with Microsoft, a firm with which it has just announced a global partnership agreement, focussed in large part on the forthcoming Surface Hub, previews of which were available at the event. The main focus of the firms’ approach was how work settings can be integrated with technology to produce working environments that foster creativity. In the accompanying presentation, we were told not only that this will be the main focus of office design in the coming years as machines take on most of our process driven work, but also that if office furniture firms want to survive the century, they’ll need to be talking about far more than office furniture which is perfectly true and equally applies to the whole workplace sector. This is not a time for one trick ponies.

Appropriately Steelcase offered up a number of settings to give people the chance to work creatively including a Respite Room. Offices may exist to bring people together but we always need time away from them.

Steelcase (and top)

 

Connection

Connection was one firm that made the link between wellbeing and domestic and commercial design explicit with a soft seating system called Hygge. This is a reference to the modish Scandinavian practice of hygge, which cleverly taps into our ongoing fixation with all things Nordic and our belief that they have a unique insight into how to achieve a work life balance and look after themselves. The firm was also on point with its new co.table which again expresses the overlap between domestic and commercial design as well as the increasing adoption of agile working models. Connection was also addressing the issue of acoustics and privacy with its elegant system of rooms, now a well-established requirement for shared spaces.

Connection

 

Spacestor

Another firm characterising the intersection of domestic and commercial design as well as the creation of room settings, Spacestor launched their new Palisades room divider system. Not screens but the sort of dividers used to break up space, as well as store and display objects. Spacestor were also showing their work pods, including options defined as railway carriage and phone booth.

Spacestor

 

Sit/stand workstations

Now almost as ubiquitous as the bench desk, sit/stand workstations have become mainstream in the UK as they have been for quite some time in parts of Scandinavia. In part this is down to the medicalisation of sitting down as a result of some well thought out but – in my view – slightly off the point PR. But it is also a signifier that firms are interested in the wellbeing of their staff, an issue about which it is impossible to be cynical.

So Staverton, Humanscale and others had nice products on show, but it is evident that as is true with bench desks (and toilets, come to that), the product itself exists in pretty much its purest form as it is. It is a worksurface with an actuator to make it rise and fall. It’s a good product, but one which you can hardly expect to see evolve.

Staverton

 

Task seating

Conversely, the design of task chairs has actually returned to a simpler form. Over the past 20 or more years, there had been a race to see who could offer users the most adjustments. So, where once the chair merely went up and down and rocked, every part of it had to be adjustable in at least one dimension and preferably three. An arms race, if you will. The result was a proliferation of controls around and underneath the seat.

Over the past few years, we have seen a reversal of this in favour of something more intuitive. Typical of this new generation of chairs are the se:joy from Sedus, Trinetic from Boss Design, various designs from Humanscale (who, it could be said, catalysed the development of chairs that work with the body rather than an instruction manual) and, new this year, the EVA chair from Orangebox which claims that by ‘refining the chair to just a few controls has allowed us to focus on maximising the range of adjustment it offers’. Counter-intuitive maybe but they’re right.

Orangebox

 

Flooring

Innovation in carpet design tends to come about as a result of the interrelationship of new materials and manufacturing technology and the designs each manufacturer can derive from them. There are some great products on the market, and each one has a separate narrative woven around it, if you’ll forgive the pun. These can range from the use of colour and trends forecasting, to environmental concerns, the crafts movement, biophilia and printing techniques.

In typical fashion, the major flooring showrooms at Clerkenwell Design Week had lively events programmes that highlighted trends in the market and are perhaps somewhat less product focussed than furniture showrooms. So, Interface focussed on the positive effects that design can have on people, Milliken hosted a series of events including a Design in Education debate with Jay Osgerby and Annie Warburton and Shaw Contract hosted several CPD accredited talks including one rejoicing in the title “Using virtual reality as a participatory approach for evolving spaces in our cities”.

Porcelanosa

 

Socialising

And, of course an event like Clerkenwell Design Week would be nothing without the chance to have a drink and a chat with friends and colleagues. The event this year was blessed with blue skies and temperatures in the high twenties, which is a mixed blessing if you’re hosting parties at one of the showrooms. Despite concerns that the warm weather would mean people swapping bars for studios, all the events seemed incredibly well attended, including those at Vitra and KI.

This is, of course one of the main aims of such exhibitions, to bring an industry together as one and with one voice, at least this year with regard to the aims and concerns of workplace occupiers and the people who work for them. In all senses, an event about people.

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Paul Goodchild is the Design Director of Fresh Workspace.

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