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Analytics @ Density

In my role at Density, I get to work with some of the most innovative companies in the world and share insights that guide their workplace strategies. Many of these companies are leaders in the tech industry, which has been known for being pioneers of workplace design. With new ways of working, are tech companies’ offices still on the cutting edge? That's what we wanted to find out in our new Workplace Benchmark report, The State of Tech Workplaces. Our team at Density had the privilege of partnering with the international design practice Hassell, and I got to team up with my former colleague Daniel Davis. We examined a full year of data across 1.4 million square feet of tech office space. The headline: tech companies are struggling to keep up with new work patterns just like everyone else. Our key findings uncovered some startling realities about today's tech workplace utilization: ➡ Average peak utilization in tech offices doesn't exceed 34%, wasting up to $40 million per year on underused space. ➡ The impact of return to office (RTO) policy isn't as significant as expected. Going from an "employee decides" policy to a mandatory 3-day in-office hybrid policy only increased peak utilization by 17%. ➡ Employees spending twice as much time in meeting rooms when they can choose to come in, which may suggest a preference for in-person collaboration. ➡ An over-optimization for open offices has led to a shortage of spaces supporting virtual meetings and focused work. As thought leaders, the tech industry is poised to solve for this workplace utilization crisis plaguing offices globally. With annual rent costs exceeding $8,000 per employee and buildings accounting for 39% of CO2 emissions, the financial and environmental tolls are staggering. The opportunity? Rebooting workplaces for the realities of hybrid work - giving employees the spaces they need for virtual meetings, collaboration, and focused work. I'm excited to discuss the findings further and hear perspectives from the community. Download our State of Tech Workplaces report for the full findings: https://hubs.la/Q02BC8Zg0

Density x Hassell Report: The State of the Tech Workplace

Density x Hassell Report: The State of the Tech Workplace

insights.density.io

Great data! Two questions: 1. For Conference Room usage are you seeing an increase of single person bookings? (i.e. people trying to find quiet space alone not necessarily for collaboration) 2. Are you seeing demand for RTO compliance tools since it seems policy on its own is not driving utilization? 

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Daniel Davis

Workplace Researcher // Head of Research at Hassell

1mo

So incredible to work with you again! I'm still very jealous of all this data you and your team get to work with!

Phil Kirschner

Employee Experience, Future of Work, Organizational Health, and Workplace Strategy Leader at McKinsey || ex. WeWork, JLL, Credit Suisse) || LinkedIn Top Voice || Top 50 Remote Accelerator

1mo

OMG two of my favorite WeWork people collaborating again! Please let me moderate the webinar! :)

Antony Slumbers

Founder antonyslumbers.com

1mo

On the face of it these companies could dump 50% of their offices easily. But poor utilisation does seem to be , at least partly, a function of bad offices that are unfit for purpose. If they were fit for purpose what would the utilisation be? So it’s difficult to know what to conclude.

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Andy Davies

Workplace Strategy | Change | Culture

1mo

Loving this! Thanks so much for making it. The trends are fascinating. Another dynamic that could have been interesting to pull in would be how many more meetings are people are in these days. There may be lots of people in virtual and hybrid meetings....but how many of these were necessary and not just the default of outdated work practices?

Saman Karimi

Assistant Research Scientist at Johns Hopkins University

1mo

Very interesting. Thanks for sharing the insight.

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Stephanie Gerber

Head Workplace Management Swiss Re | Personal views only

1mo

Good to know!

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