Part 2 of 6 of the WorkFuture.com.au blog series “Applying the Kipling Method to Workplace Transformation”.
This blog details my top 10 benefits of doing a workplace transformation - in essence, the “why” in “Why do a workplace transformation?” This is particularly useful for those about to write a business case seeking approval to carry out a workplace transformation project. If you want to read more about the “what” of workplace transformation, check out my earlier blog post “What is Workplace Transformation?”.
Why do we need to transform the workplace?
As stated in the above blog - the definition of a workplace transformation is simply "The creation of an improved workplace for those who use it." The new / improved environment supports employees to operate as productively, collaboratively, and effectively as possible while catering to a wide variety of personalities and their individual and collective needs.
In today’s ever-changing world of work, workplace transformation is a strategic imperative that enables organisations to adapt to evolving work trends and employee expectations.
Key Takeaways – Why do a Workplace Transformation (Top 10 benefits):
Improvement on the current outdated workplace
Talent retention and attraction
Supports new ways of working
Potential cost savings
Sustainability
Upgrade aging technology
Catalyst for change
Future-proofing your organisation
Better alignment to organisational goals
Enhanced employee productivity
Top 10 Benefits
1. Improvement on the Current Outdated Workplace
Some lucky workplaces are continuously maintained, evolving to meet employee and organisational needs. Heads of Workplace often act as curators, fine-tuning spaces to ensure functionality and appeal.
However, many workplaces aren’t so fortunate. Stagnant for years; 5, 7, 10 or more - before leadership eventually decides it’s time to act.
Why bother? If it isn’t broken, why fix it? Well, in many cases, it is broken. Compliance has slipped, legislation has changed, and businesses face two options:
Update and transform the current workspace.
Relocate to a new workplace, which often allows for a fresh fit-out aligned with company needs.
Additional outcomes of an improved workplace:
Enhanced communication and collaboration: Thoughtful design and upgraded technology create better communication opportunities, whether in-person or Hybrid/Remote.
Breaking down silos: Relocating teams strategically during a transformation can help address organisational silos. Co-locating certain teams and designing spaces for cross-functional work fosters collaboration and creative problem-solving.
Improving user experience: From ergonomic furniture to updated technology, workplace transformation addresses the needs of employees, customers, visitors, and contractors alike. Improvements might include:
Fixing physical space issues.
Upgrading furniture.
Enhancing technology.
Ensuring compliance with legislation (e.g., accessibility, fire safety, toilet provision).
Adding wellness features (e.g., gyms, bike racks, showers).
Implementing biophilic design.
Incorporating DEIB (Diversity, Equity, Inclusion, and Belonging) and neurodiverse friendly spaces.
2. Talent Retention & Attraction
Talent Retention
A workplace transformation is a fantastic opportunity to engage your current employees. Co-create throughout the process with them: involve them in discussions, debates, and designs. By genuinely listening and incorporating their feedback, employees feel valued and heard. Clearly explaining decisions - both what is feasible and what isn’t, can turn initial sceptics into strong supporters. This engagement drives a sense of belonging and improves retention.
Additionally, employees thrive in environments that reflect their values. Features like wellness-focused designs, seamless collaboration tools, and refreshed workplace policies that support a healthier work-life balance, are more likely to foster loyalty and reduce turnover rates.
Talent Attraction
Post-transformation, you’re in an enviable position to showcase your new workplace to potential recruits. First impressions matter, and a transformed workplace speaks volumes during interviews or introductory meetings. Promoting your upgraded space on social media further enhances your reputation as an employer of choice.
3. Supports New Ways of Working
Boosting Buy-in for Change
A workplace transformation is the best way to gain buy-in for introducing new ways of working, such as Activity-Based Working (ABW). For employees accustomed to fixed desks, moving to a new space - whether redesigned or relocated, helps ease the behavioural shift required for adoption.
Partial changes (e.g., adding a few collaboration pods, whilst introducing a desk-sharing policy) risk being dismissed as “hot-desking” disguised as ABW. A well-executed transformation instead, drives the meaningful behavioural shifts that are needed to embed the change.
Increased Work Settings
Transforming the workplace provides the opportunity to create an increased variety of work settings - beyond the usual traditional desks, private offices, and meeting rooms. By understanding current workstyles and future aspirations - the new design can accommodate a range of activities (focus, collaboration, and more) and a range of personality types. This supports models like Hybrid Working and Hub & Spoke.
4. Potential Cost Savings
Financial Benefits
Some transformations yield a strong financial business case, often through exiting leases or reducing space requirements. Landlords will likely also offer incentives to support the new fit-out or offset costs against longer lease durations.
Optimising Space
Transitioning to models like Hybrid Working or ABW can reduce desk requirements, but this doesn’t always mean less real estate. Repurposing space for new settings, enhances the workplace experience. In many cases, the goal shouldn't be to reduce space, but to use the space more effectively, avoiding future expansion costs - especially if headcount increases.
Strategic Planning
Employing both a Property Strategy (ideally via an independent Tenant Representative to conduct a “stay vs. go” analysis of the local office market) and a Workplace Strategy ensures clarity on organisational needs, avoiding wasted expenditure and misaligned spaces.
5. Sustainability
Real-World Benefits
Sustainability should achieve two main outcomes:
Real world environmental and social improvements.
Contribution to Corporate Social Responsibility (CSR) goals.
ESG (Environmental, Social, and Governance)
Workplace transformations are increasingly needing to align with ESG strategies. There are a number of ways to consider the environmental impact of the workplace transformation; material sourcing, fit out waste management, incorporating circular economy principles during design and construction etc.
Social Responsibility
Involving the local community is a good way to “walk the talk” of social responsibility. Dedicating spaces for community engagement go a long way, for example (if space permits) including interactive areas for local school groups, indigenous groups, or community events. Frameworks like Greenstar, NABERS, WELL Building Standard, and GRESB provide guidelines for embedding sustainability into design while supporting CSR objectives.
6. Upgrade Aging Technology
Technology, alongside Space and People, is one of the core functions of a workplace transformation. Having a technology specialist, such as an experienced Solution Architect, on your team is recommended. They can share your current tech stack and future digital roadmap to ensure alignment with the goals of both the organisation and workplace transformation.
Key ITC considerations include:
End-user computing: Selecting the most appropriate devices for employees e.g. laptops and smartphones. What hardware will be at the desk – ideally this should be standardised where possible to support new ways of working e.g. desk sharing.
Infrastructure: Data centres, cloud computing, secure networks, cybersecurity, specialist requirements such as SCADA networks or call centres.
Building management: Integrating IWMS, security access, and workplace tech like sensors and booking systems (desks, lockers, car parking).
Hardware & software: Video conferencing tools, collaboration platforms like Teams or Slack, BYOD policies, and device management.
Artificial Intelligence (AI): While AI's role in the workplace is still evolving, its impact could be significant. Keep it on the radar for future discussions with leadership.
By addressing these areas and upgrading aging technology as part of or in parallel with a workplace transformation, the benefits will support collaboration, foster innovation, and increase productivity.
7. Catalyst for Change
A well-executed workplace transformation generates momentum that can be utilised to propel other important internal initiatives. It is likely the most exciting project in the company and that will provide it with a high profile. It can therefore become a vehicle for other initiatives, especially those struggling to execute - to “hitch their wagon to”, such as new ITC system adoptions, culture changes, and Employee Value Proposition (EVP) action plans.
It's important to note, this is not recommending taking on the full responsibility for delivery and implementation of these projects, as your workplace project will keep you busy enough. It's more the acknowledgment that through your workplace transformation project, you will likely be in a position to support other projects. This could then foster useful alliances to be built with the senior leadership involved in these projects, which in turn could lead to support in generating greater buy in for your workplace transformation project later on.
8. Futureproofing Your Organisation
Workplace transformation opens discussions about the future - what will the business focus on from a strategy and pipeline perspective, what challenges does it foresee, and what resources are needed (more or less)? Flexibility is key in designing a workplace that can adapt to future changes.
The benefit of having a flexible design is that it can adapt if the business needs evolve during the two years plus it takes to complete a workplace transformation. Detailed planning, strategic foresight, and an experienced team gives the best chance of the new workplace maintaining its relevance post go live. Without this there is a risk the workplace becomes immediately outdated, leading to requests for more or less space and additional cost to the business.
9. Better Alignment to Organisational Goals
A workplace transformation is strongly recommended to reflect the company’s vision, culture, and values. A tailored design fosters authenticity and strengthens the connection between the workspace and the business’s broader goals. A generic fit-out misses the opportunity to create a space that embodies the company’s identity and mission.
10. Enhanced Employee Productivity
While it’s challenging to quantify productivity gains from a workplace transformation, a well-designed workspace provides the foundation for it. The true driver of productivity is organisational culture; engaged employees who feel pride, a sense of belonging, and experience inspirational leadership.
The benefit of a workplace transformation is that it provides a space that aligns with the business’s needs, fosters collaboration, and boosts employee engagement all of which support greater productivity.
Conclusion
Workplace transformations are complex and require careful consideration and expertise. However, when executed well the benefits are substantial - creating a lasting impact and legacy for stakeholders. Be cautious of mismanagement, especially at the start of the project, as this can lead to significant issues as the project progresses.
The top 10 benefits outlined above showcase why it's worth doing a workplace transformation. To achieve these benefits, they should be integrated into a well-managed plan, supported by robust project and change management, strong sponsorship, and sufficient funding to ensure the best chance of success.
The next instalment - part 3 of 6 of the WorkFuture.com.au blog series “Applying the Kipling method to Workplace Transformation” titled “When to do a Workplace Transformation” will be available soon.
This blog was written by Work Future Workplace Transformation Consultancy. We specialise in leading and delivering your workplace transformation projects in Perth, WA. If you would like to discuss your workplace transformation with the team here at Work Future contact hello@workfuture.com.au / +61 0435 824 305
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