Hybrid Work
Space optimization

From data to dollars: harnessing occupancy analytics for more effective hybrid office management


October 10, 2023


November 16, 2023

The modern workplace has undergone a seismic shift catalyzed by the global pandemic. Companies have been compelled to reassess their approach to office space, with the traditional 9-to-5, five-day-a-week model making way for flexible and hybrid work arrangements. As a result, the demand for cost-efficient strategies that prioritize employees' interests and needs while optimizing office space has surged. 

In this article, we will explore the evolving landscape of office space optimization, highlighting the importance of leveraging occupancy analytics so your company can achieve efficiency and substantial cost savings.

hybrid office space with employees

The changing dynamics of office spaces

Before the pandemic, the office was the epicentre of work for most employees. However, the sudden shift to remote work brought about by COVID-19 forced companies to reevaluate their real estate footprint

It became evident that maintaining extensive office spaces, often under-utilized, was no longer sustainable. Companies found themselves a unique opportunity to reduce costs while enhancing employee well-being

Embracing the hybrid work model

A 2022 Consultancy Advanced Workplace Associates survey revealed a significant decline in office usage.

On average, employees spent only 1.5 days a week in the office for work. This stark decline in office occupancy underscores the potential waste of company resources on unused office space.

The hybrid work model emerged as a practical solution to this conundrum. It strikes a delicate balance between allowing employees the flexibility to work remotely while still inviting them back to the office periodically. This approach acknowledges work's changing dynamics and optimizes office space, saving on occupancy fees and other associated costs.

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Strategies for office space optimization

In the wake of the COVID-19 pandemic and the advent of the hybrid work model, office space optimization has become a top priority for companies seeking to strike the right balance between resource efficiency and employee satisfaction. Here are some strategies that are shaping the modern office landscape:

1. Desk Booking System

The desk booking system has become a linchpin of office space optimization in the hybrid work era. This strategy empowers employees to reserve desks or workstations for specific days they plan to be in the office. 

Desk booking ensures efficient space allocation by matching demand to available resources. It can allow your employees to choose their workspace based on their daily needs, be it a quiet corner for focused work or a collaborative area for team meetings. 

Moreover, desk booking data is a valuable resource for your informed decision-making. It enables you to optimize office space, reduce waste, and save on occupancy fees and other associated costs.

(deskbird desk booking feature)

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2. Hot desking

Hot desking takes the concept of desk booking to the next level by eliminating permanently assigned desks altogether. In a hot-desking setup, employees can choose any available desk or workspace when they come to the office. This approach offers several compelling benefits. It ensures maximum space utilization, eliminating the problem of underutilized workstations. 

Hot desking allows you to foster spontaneous interactions and collaboration by encouraging employees to move around the office. Additionally, it can lead to significant cost savings, as your company may require smaller office spaces when adopting hot desking, reducing rent and maintenance expenses.

3. Activity-based working

Activity-based working represents a dynamic and adaptable approach to office space optimization. It involves creating various workspaces within the office, each tailored to specific tasks or activities. 

These spaces can include quiet zones for focused individual work, collaborative areas equipped with tools for team meetings and brainstorming, and relaxation spaces for breaks and informal gatherings. Activity-based working ensures that every square foot of office space serves a clear purpose, optimizing resource usage and promoting employee well-being.

woman hands holding a small plant

4. Reducing footprint

Downsizing office space is a practical strategy, particularly if a significant portion of your workforce continues to work remotely. Reducing the office footprint brings several advantages. It results in cost efficiency by lowering rent, utilities, and maintenance expenses. 

Additionally, smaller office spaces consume less heating, cooling, and lighting energy, contributing to sustainability goals. The resources saved through your downsizing can be reallocated to other business areas, enhancing employee experiences and promoting innovation.

5. Implementing flexible furniture

Flexible furniture and modular furniture systems are essential in your office space optimization.

You can instantly reconfigure these versatile to accommodate various work styles, from individual tasks to group meetings. The adaptability of flexible furniture reduces the need for frequent replacements, resulting in cost savings.

Furthermore, it enhances employee satisfaction by allowing individuals to personalize their work environment, promoting comfort and productivity. Flexible furniture assists you in fostering an agile office layout that can quickly adapt to changing circumstances. This ensures that the office space aligns with evolving employee needs and business objectives.

Leveraging Occupancy Analytics for Efficiency

Occupancy analytics refers to collecting and analyzing data on office space use. This data-driven approach provides valuable insights that help companies optimize their office spaces for efficiency and cost savings. Here's why it's significant:

1. Real-time Insights

Occupancy analytics tools, often integrated with sensors and smart building technology, provide real-time data on office space usage. This information enables you to make immediate adjustments, such as optimizing heating and cooling systems based on the number of occupants.

(Image from INFSoft

2. Employee Well-being

Understanding how your employees use office spaces can help you design environments that enhance well-being. For example, if data shows that employees frequently use breakout areas for informal meetings, you can invest in comfortable seating and adequate meeting spaces.

3. Cost Reduction

One of the most significant advantages of occupancy analytics is cost reduction. With accurate data on space utilization, you can make informed decisions about downsizing your office space or subletting underutilized areas. This not only saves on rent but also reduces energy and maintenance costs.

4. Sustainability

Optimizing office space using occupancy analytics aligns with your sustainability goals. Reduced energy consumption, less paper usage, and a smaller carbon footprint are some of the environmentally friendly outcomes of this approach. 

Companies like JP Morgan Chase have demonstrated the holistic benefits of leveraging occupancy sensors to track office space utility and optimize building energy usage. This dual-purpose application reduces operational costs and contributes to a more eco-conscious workplace.

5. Employee productivity

Knowing how employees use office space allows you to design layouts that boost productivity. For instance, if your team requires quiet, focused work, you can allocate a zone separate from areas meant for collaborative tasks.

6. Adaptability

Occupancy analytics enables companies to adapt to changing circumstances quickly. As work patterns evolve or new teams form, you can adjust your office layout based on data-driven insights.

Modern tools for occupancy analytics

Several applications and tools have been designed specifically to provide data-driven insights on office space optimization. These tools integrate seamlessly with existing infrastructure and offer a user-friendly interface for monitoring and decision-making. Some of the features they typically provide include:

1. Occupancy sensors

Occupancy sensors are the backbone of occupancy analytics systems. These sensors are strategically placed throughout the office space and are equipped to detect the presence and movement of individuals. They provide real-time data on office space usage, including the number of employees present, the duration of occupancy, and movement patterns. This data forms the foundation of informed decision-making.

2. Predictive analytics

Some occupancy analytics tools incorporate predictive analytics to forecast future space requirements. Through historical data and trends analyses, these systems can offer valuable insights into how office space needs may evolve. This foresight allows companies to proactively adapt their office layouts, ensuring they remain optimized for changing circumstances.

You do not need to be a whiz to understand the data insights they produce, although having a data analytics degree online would not hurt. You only have to be good at interpreting data points and trends to use the insights in your decision-making processes.

3. Employee surveys integration

To complement sensor data, many occupancy analytics tools integrate employee surveys. These surveys allow employees to provide feedback on their workspace preferences and needs. By combining survey responses with sensor data, companies can fine-tune office layouts to align with employee expectations, enhancing overall satisfaction.

4. Space management software

Space management software helps organizations strategically plan, design, and optimize their office spaces. It allows for efficient space allocation, room reservations, desk booking, and overall space utilization management. Additionally, such software often integrates with other systems, such as facility management and resource scheduling, for seamless operations.

5. Integration with building systems

Many occupancy analytics tools can integrate with building systems, including HVAC (heating, ventilation, and air conditioning) and lighting. This integration allows for dynamic adjustments based on real-time occupancy data. 

For example, when an area is unoccupied, the system can automatically reduce energy consumption by adjusting temperature settings or turning off lights, contributing to energy efficiency and cost savings.

These modern tools and technologies collectively form a robust ecosystem for occupancy analytics. They empower organizations to gather, analyze, and act upon data-driven insights, resulting in more efficient office space utilization, cost savings, enhanced employee experiences, and sustainability efforts. 

The demand for hybrid work setups has ushered in a new era of office space optimization. Companies are reevaluating their real estate footprint to save on costs, enhance employee well-being, and contribute to sustainability efforts. Among the various strategies for optimizing office space is leveraging occupancy analytics.

Occupancy analytics provides real-time insights into office space utilization, allowing you to make informed decisions that lead to substantial cost savings, improved employee satisfaction, and increased energy efficiency. Modern tools and applications designed for this purpose make the process seamless and user-friendly.

As we continue to navigate the evolving landscape of work, the smart use of occupancy analytics will play an instrumental role in shaping the future of office spaces, where efficiency, sustainability, and employee well-being are at the forefront of corporate priorities.

By optimizing office space through data-driven insights, you can save energy, resources, and time while also creating work environments that foster productivity and innovation.