Efficiency, productivity and low overhead are the three core pillars of profitability. If an organization wants to lead the pack in today’s globalized marketplace, it must leverage every opportunity to cut costs and increase business outputs.
The most innovative enterprises have already made strategic moves to outperform their competitors. They’ve given their company culture a refresh, invested in key technologies and updated internal processes to increase productivity and efficiency. While each of these are significant upgrades, there are two bigger opportunities for improvement that many organizations overlook.
Ready for a productive and prosperous 2017? Behold the power of space utilization software and telecommuting.
The Power of Space Utilization Software
Did you know that the average firm has between 30 and 50 percent more real estate than it needs? That’s 30 to 50 percent more money spent on heating and cooling, electricity, facility maintenance and cleaning.
Space utilization software collects data about how the workspace is used, when it’s used and who is using it. This data can be monitored over time to reveal trends or patterns that facilities leaders can then use to identify which areas are under-utilized as well as which areas are frequently in high demand. Then, with this information they can adjust the workplace (and budget) accordingly.
For example, if a large percentage of the workspace is under-utilized, facilities leaders can downsize and cut the operational costs. Then, they can re-invest those funds into acquiring new talent or implementing new workplace technologies. Space utilization software also makes an organization more flexible because facility leaders can observe and respond to how employees interact with their workspace in real-time.
Ultimately, space utilization software will help ensure every decision the facilities leader makes regarding the organization’s real estate is based on objective data and the exact needs of its employees and customers, rather than estimations and assumptions. This is especially important when considering an office upgrade or downsize because organizations often don’t realize the truth about their space utilization until they have the actual numbers in front of them.
The Power of Telecommuting
A large part of the U.S. workforce would prefer to telecommute at least part time. If an organization satisfied this desire and eliminated under-utilized space, the cost savings could be astronomical—not to mention the incredible impact a lean operation will have on productivity levels. Additionally, telecommuting can reduce employee turnover by 50 percent. That means less money spent recruiting, hiring and training new employees.
But the larger advantage is that telecommuting can save organizations a fortune in operating costs. In fact, it’s estimated that companies save about $11,000 per year for each telecommuting employee. A telecommuting policy means reducing the in-office workforce, which provides an alternative to moving into larger office space. Furthermore, additional telecommuting employees may also create the opportunity to downsize office real estate as well as spend less on equipment, office supplies and utilities.
Leveraging space utilization software and telecommuting can have a big impact on an enterprise’s productivity and efficiency and, in turn, the bottom line. Consider investing in this powerful combination—the ROI could be well worth the effort.
Interested in learning more about how space management impacts your bottom line? Check out the free eBook, Top 5 Reasons Facility Managers Need Space Management Software.