On Thursday the 10th of November, KMC Savills hosted CoreNet Global's seminar "Core Fundamentals: An Introduction To Corporate Real Estate"
The talk was presented by Eric Manuel and was attended by a variety of real estate professionals. The topic of the talk was corporate real estate and discussed the challenges, changes and trends in the industry.
Manuel discussed how companies are altering how they plan their work space to better suit a younger generation of employees.
"Millennials require their place of work to be somewhere they want to be, not just somewhere they need to be".
Manuel cited numerous firms who are investing in their office space to make it more employee friendly. Relaxation areas, gyms, yoga studios and even eco-friendly coffee shops are becoming features of some office spaces that are designed to be more employee friendly.
Companies such as Google, who have a base in Manila, were used as examples of firms who have this type of living space. Manuel discussed how in Sydney, firms almost seem to attempt to outdo each other in making their office space as liveable and employee friendly as possible. He mentions how on one visit to an office in Sydney, a huge bike rack dominates the second floor in an attempt to make it as easy as possible to cycle to work.
Employee health and wellbeing is another motivation for these changes to office space.
"Keeping employees healthy, encouraging a healthy diet, exercise and wellbeing all help the bottom line. Employees take less sick days and a happy employee is a productive employee". This viewpoint has been a motivator in making companies adapt their offices to help employees keep in good health and at optimum productivity. Even small factors such as the right amount of light can help employees remain productive and motivated.
The knock on effect of this will impact how corporate real estate brokers work. Companies may make extra demands, space for yoga studios or gyms, ample parking, bike racks, walkable distance to public-transport links or even space for a large coffee shop.
Manuel discussed how in the Filipino job market, especially with young professionals, staff turnover is particularly high. "In general there is relatively little fluctuation in wages between jobs requiring similar skills and experience. Because of this, employees look for other motivators at work. How is my work space? Is the food good? Is there organic coffee? Can I do some yoga in my lunch break? These smaller factors can help with employee retention as a high staff turnover can eat away at budget".
After a short break, attendees were split into groups and were given a scenario based group task around corporate real estate and these new office space considerations.
We thank CoreNet global for this exciting seminar and everyone who attended.