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  • The office...

  • ... where showing your face every day used to be the name of the game.

  • But the game has changed.

  • To think about the office as purely a container for your people and your equipment is very outdated.

  • For large multinational firms, the pandemic and hybrid working have changed the very idea and purpose of the office.

  • The office of today in a post-pandemic world is a social destination.

  • Offices are being radically redesigned.

  • This is where we build the offices of the future.

  • The changing office is changing the way bosses manage employees.

  • A hybrid model requires a very high degree of trust.

  • And this new world of hybrid working could shape what cities look like.

  • Remote working will affect the way we plan our cities.

  • (How is the office changing?)

  • Here in the bustling capital of India, this design consultancy is mapping out the offices of the future.

  • What we do here is not only test products, but we also test design.

  • We test human behavior; we test wellness.

  • How all of these come together to make good design.

  • In the past, office design was functional at best.

  • It was simply the place where employees went because they had to.

  • But, in management speak, there’s been a paradigm shift.

  • Since the pandemic, the offices of multinational companies have had dramatic facelifts.

  • So, our office in Delhi is a prime example of what kind of office designs organizations are looking for in the post-pandemic world.

  • Out have gone rows of desks and cubicles.

  • In have come collaboration spaces and relaxation zones, and even restaurants and bars.

  • From Ericsson and Standard Chartered to Boston Consulting Group and Beam Suntory, some of the world’s biggest companies have redesigned their offices.

  • The main driver of this redesign boom is hybrid working.

  • In the post-pandemic world, working partly at home and partly in the office is now seen as the new normal by many employees of multinational firms.

  • This has redefined the purpose of company offices and the reasons why employees go there.

  • The office of today in a post-pandemic world is about a social destination.

  • It is a place where employees come in to have informal learning and build their social capital in the organization.

  • In Singapore, Fae Wong is a senior manager for a multinational firm.

  • For her, home is now where she does her day-to-day desk work, and the office is where she goes for actual face-time.

  • I see the office as a base for me to go back to so that I can meet my colleagues, have lunch with them.

  • So it’s really a place where I reconnect, where I socialize with people rather than get work done.

  • Demand for flexible working has risen for employees of multinationals across the world.

  • A study found that at least some remote working is wanted by 76% of workers in Europe, 86% in America, and 78% in Asia.

  • Ben Hamley is the lead on the future of work in the Asia-Pacific Region for real-estate company JLL.

  • The office is certainly still the center of the work ecosystem for most of the world’s most progressive companies today.

  • But it’s much more expansive.

  • It includes much more flexible use of space and time to be able to deliver the needs of a future workforce.

  • In the post-pandemic era, many companies will need to change the layout of their offices and accept that employees have second offices in their homes or elsewhere.

  • This new concept of the office will change how employees need and expect to be managed.

  • If I was looking for a new job, I think having that flexibility to continue to do remote working will be my top priority, even more important than salary itself.

  • So, in management speak, bosses will need to think outside the box, and outside of the traditional office.

  • Being judged on how often you show your face in the company office will no longer cut it.

  • Even in parts of the world where there has traditionally been a strong culture of presenteeism.

  • Thinking that we are being assessed or appraised by attendance rather than performance, that’s a very Asian culture.

  • But I... I see things changing.

  • Making hybrid offices a success will require managers to give employees more autonomy.

  • So, a hybrid model requires a very high degree of trust between employers and employees.

  • Now, we find that to be a real challenge for managers, and that’s true not just in the Asia-Pacific but all over the world.

  • Better management of employees who are not always in the same physical office will be crucial to companiesability to retain and recruit the best talent.

  • 'Cause what happens then is, managers start to move toward a way of evaluating employees that’s based on their results, not on the hours that they're putting in.

  • Employees are more engaged in their work, work quality increases.

  • It’s fantastic.

  • However, there could also be losers from the hybrid-office revolution.

  • Things may get worse for groups, such as working mothers who are likely to spend less time in company offices.

  • Although this will be a global problem, it could be more pronounced in Asia,

  • where discriminatory attitudes towards working mothers tend to be worse than in western Europe and North America.

  • We already have a great deal of gender inequality.

  • Hybrid work could carry a risk that the inequality would become even greater.

  • Hybrid work may not only change office management cultures and office designs,

  • it could also lead to multinational companies building more offices, namely, smaller and more local ones.

  • In the commercial-property trade, this is known as the hub and spoke model.

  • So, as companies have become more comfortable with hybrid work, the concept of having multiple locations that all form part of that office ecosystem has become much more popular.

  • One of the driving forces here is reduced appetite for commuting into city centers.

  • In Singapore, only 30% of workers have returned to their offices in the central business district since the pandemic.

  • And this pattern has repeated in cities across the world.

  • In the City of London, office vacancies have nearly doubled since the last quarter of 2019.

  • In Hong Kong, office vacancies have doubled.

  • In Bangkok, they have also doubled.

  • And in Paris Lafense, office vacancies have nearly tripled.

  • This trend could mean more offices and co-working spaces popping up in residential areas.

  • Not least in Asia, where large multigenerational households are common and space to work at home can be at a premium.

  • Employees will increasingly want office options closer to home.

  • Those locations not only attract more competitive businesses but they also attract more competitive talent.

  • Changes to the concept, design, and location of offices could have wider repercussions for the look of cities.

  • In countries across the globe, urban planners are returning to design models which incorporate concepts used after the Industrial Revolution.

  • Back then, businesses and industries were often found close to or in residential areas, before the arrival of the car changed this.

  • In the last 100, 150 years, the cities has [sic] evolved from one that is very mixed in function into cities that are becoming more and more segregated.

  • But we are beginning to see a reverse in this trend.

  • You live, work, play, learn, etc., in close, close proximity.

  • Now, urban planners in Singapore are pushing design concepts like the 15-minute city, 5-minute city, and even 1-minute city, where all daily necessities are within easy reach.

  • Although Singapore has often been ahead of the curve in urban planning, this trend could become more global.

  • There’s really no reason why offices cannot be mixed with residential

  • And I think it will be a win-winit’s not just the individual, but it’s individual, community, and business.

  • Hello, I’m Tom Standage, deputy editor at "The Economist".

  • If you’d like to learn more about this topic, click on the link opposite.

  • Thanks for watching, and don’t forget to subscribe.

The office...

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