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Innovative Officing in the Canadian Federal Government


PWGSC Creates Tomorrow's Office Environment Today Public Works and Government Services Canada (PWGSC) provides office accommodation for 160,000 Public Service employees in 2,500 locations across Canada. To meet the challenges of tomorrow's workplace, the department has modernized its approach to the productive working environment. This approach is called Innovative Officing.

Why Innovative Officing? The Canadian federal government has experienced more fundamental changes over the last five years than in the past 20. By the year 2000, the Public Service workforce will have been reduced by some 55,000 employees. To support a modernized vision for government, programs and services have been examined and reworked. Government organizations have been restructured. Many services have been outsourced to the private sector, reflecting the changing role of government. In the wake of this extensive transition through the government-wide initiative, La Relève, the government is striving to revitalize, re-skill and retool its workforce. Finally, many Public Service employees are working differently than they did in the past, doing more work in teams, working outside of the office (perhaps at the client site or at home). Technology, the knowledge worker and organization transformation have redefined the workplace. In response to these major changes, PWGSC has modernized its approach to delivering productive working environments.

What is Innovative Officing? Innovative Officing is a holistic and integrated approach to creating working environments. This approach takes into account the latest trends transforming workplaces around the world - technology innovation to enhance connectivity and mobility of the workforce; organizational reengineering to streamline work processes; new management styles emphazing results; designing offices with the personal and professional development of employees in mind.

Innovative Officing is governed by the federal government's strategic business objectives and office accommodation policy. It focuses on the joint government-wide imperatives to use office space efficiently and effectively, and to revitalize the Public Service. It underscores the importance of rethinking the potential of the physical environment and alternative working arrangements in concert with other organizational factors to achieve the following: to enhance organizational effectiveness, to improve client service, to make the most efficient and effective use of office space based on what people do.

Innovative Officing is informed by the principles of leadership at the senior levels of government organizations, consultation and communication with employees who will work in the space, and choice - offering government departments strategic advice about their accommodation that is within the parameters of the government's accommodation policy, and that aligns their strategic business objectives with strategic workplace objectives.

A Demo Site Garners Kudos Recently, the Ottawa Citizen featured a review of the Innovative Officing demonstration site on the mezzanine floor of Place du Portage Phase IV in Hull, Quebec. Wrote architectural writer Rhys Philips: "The PWGSC team has created a vibrant, functional space (…) the result of more than just physical design. Through a (...) critical process of staff consultations, questionnaires and "town halls" (…) [staff] defined their needs and how best to meet them." The demo site represents creativity and austerity in perfect balance, respecting the rights of taxpayers to expect frugality in the way public funds are spent and demonstrating that the government of Canada values the people who work on behalf of Canadians.

Who benefits? By aligning work environments with the work processes of Public Service employees, and by exploring the potential of innovative approaches to the workplace and alternative working arrangements, office space will be used more efficiently and effectively. Public Service employees serving the Canadian public will benefit from more functional and stimulating working environments.

Hoteling: Rethinking the Office...who's been sitting in my chair? (Fiona Potter)

Some History: The office, as we know it, has evolved over the years. As a result of the industrial revolution, turn-of-the-century factories were transformed into bullpens. Although economic growth and prosperity resulted in increasingly more opulent offices in the late 70's and early 80's, all good things come to an end, and with the looming economic recession, the "corporate cubicle" started spreading like a weed. Over the next 10 years, while the financial picture remained grim, technology enjoyed unprecedented growth, employees started becoming more mobile, and boundaryless organizations were created. The office environment once again responded, and with it came a new vernacular...alternative work environments, virtual officing, telework and hoteling.

Hotelling defined: Hotelling, as the name implies, is the use of non-designated offices by employees who are off-site on a regular basis. Hotel offices are reserved by employees as-required and both are equipped with the appropriate technology to conduct business. Hotelling, or "hot-desking" as it is more affectionately known in England, is the more sophisticated version of office-sharing, which generally has "roommate" issues to deal with.

Private and public sectors see benefits: The hoteling concept has caught on quickly with both industry and government. AT&T in the U.S. launched their virtual workplace as a business strategy to promote independent, flexible work environments through the use of communication-based portable technology.

Consulting firm Ernst & Young (U.S.) decided a hoteling program was a logical solution to reduce high real estate costs. Using a hoteling. ratio of one office for three or four consultants they reduced U.S. office space by 2 million square feet (25%) between 1992 and 1994. Annual occupancy costs went from $145 million in 1992 to $120 million in 1994 (U.S.). In addition, clients appreciated the on-site availability of Ernst & Young employees.
Andersen Consulting (Canada and U.S.) launched their Just-In-Time (JIT) office concept as a result of an abundance of unused office space. After a study in 1990 showed the offices were underutilized and, more notably that managers offices had an occupancy on any given day of under 25 percent, they decided an opportunity existed to reduce costs by better utilizing and/or eliminating unused space. In 1992 it was reported that the JIT office program for managers in the Chicago office alone, avoided leasing another floor of office space, which saved the office more than $1 million per year in expenses. While the costs to fit-up JIT offices were slightly higher than standard offices, there was still a significant saving realized by virtue of the fact that fewer offices needed to be fit up."

Specific Canadian examples: In 1995 Consulting and Audit Canada (CAC) in Ottawa launched a hoteling. strategy. Managed by Fiona Potter and Bill Gregory (members of the Canadian Telework Association), the objectives were simple, reduce overhead expenses while maintaining or enhancing employee productivity and customer satisfaction. Working against a very tight timeframe, the CAC hotel was created, complete with an informal drop-in/brainstorming area, a secured storage area which housed files and personal effects, including portable filing units, access to a hotel office "suite" or smaller "booths" which could be electronically reserved on the LAN and a formal meeting room. Refit, furniture reconfiguration, and new purchases were kept to a minimum to demonstrate immediate cost savings in releasing and consolidating space. In addition, an automated reservation system was implemented to provide hoteling. staff with access to space based on need rather than position. This system also allowed for tracking office usage for internal cost allocation purposes as well as fine-tuning of accommodation ratios over time. Part of the money saved in the first year was reinvested to purchase new computers, telephony, and associated training.

Top ten tips for happy hoteling: For those of you starting out or considering a hoteling. strategy, these tips may come in useful!

  1. Do your homework. Research similar organizations in both the private and public sectors that have successfully implemented a hotel or just-in-time office environment.
  2. Assemble the right players including technology, accommodation, human resources/unions, communications, administration and telephony representatives. Don't forget, the most important members of the team are the users!
  3. Set objectives. Your strategy should rationalize stakeholder needs with financial objectives.
  4. Conduct a work flow analysis to determine office ratios. It is better to keep the initial ratio conservative - no one wants to run out of space during startup when the project is most scrutinized.
  5. Build in spatial flexibility. As people become more comfortable with technology and "working mobile", employee to office ratio's could be increased - make sure your design is flexible enough to withstand tweaking over time.
  6. Don't scrimp on technology. Standardizing will help save costs (you can generally get a better price when you buy in quantity). A single operating environment is also advisable as it makes training more manageable and helps minimize problems associated with supporting multiple platforms/applications.
  7. Rethink your telephone system. a follow-me system is effective for mobile staff, thereby eliminating the need for multiple numbers.
  8. Training and communications are essential. When implementing new technology, training is paramount. One-on-one training is generally most effective as no two users are at the same technical level of proficiency. Frequent and open communications are also critical.
  9. Prepare for problems. As with any other change, especially one involving technology, count on problems. Have extra support people on hand during start up.
  10. Fine-tune over time. Once your hotel or virtual office is launched be sure and continually fine-tune. Meet regularly to discuss issues related to the hotel so that problems could be addressed quickly. You will lose credibility fast if you make the users fend for themselves!

In some cases, projects of this nature can take years; in others, a few months. As momentum is important short deadlines are not always a bad thing. Lest you think that it is all easy sailing, remember there are costs associated with fit up, and breaking leases - be sure and factor these into your business plan.

In closing some hard-learned advice, while the concept makes perfect sense for many organizations with mobile staff, except some resistance. Space (to a large extent) still equals status and as a result, is a hard thing to let go of. Not everyone will love the idea of not having the same office to sit in, or worse still...the same chair! Be sensitive to this sentiment as humans, by nature, are territorial creatures. Good luck and happy hoteling!

 

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