Creating Resilience

Three Ways Financial & Professional Services Organizations Are Evolving for the Future

By: Chris Perri

June 4, 2024 3 Minute Read

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Whether looking at internal office policies that create a secure, collaborative and compliant workplace or measuring the external impacts of Scope 1, 2, and 3 emissions, Financial & Professional Services organizations are readying themselves for resiliency and success.

Optimizing Space Utilization

A key theme in optimizing corporate real estate for the future is understanding how organizations manage hybrid work. CBRE Occupancy Management studies show companies with large portfolios prioritize training employees and managers on effective hybrid practices, while also implementing broad change management and communication initiatives. But interestingly, 89% of organizations with successful hybrid programs have portfolios of less than 6 million sq. ft./ 557K sq. m. This suggests that small organizations have an advantage in enforcing leadership expectations compared to larger organizations.

Overall, organizations are experiencing low occupancy rates (around 50%) despite allowing for personal workspace, specified team areas (e.g., for HR and legal) and individual seating arrangements; conference rooms remain underused. In response, companies are striving to create workplace experiences and adopt a hospitality mindset to cater to in-office employees and visitors. This includes best-in-class concierge amenities and white glove services to energize the space, increase collaboration and change how people engage in their work. Conference rooms are managed through digital booking systems and designated phone booths.

Enhancing Facilities Management and the Workplace Experience

Financial & Professional Services organizations are increasingly using technology to enhance the workplace experience while adapting to a hybrid work environment. Streamlining processes involves a mix of custom systems and common apps (Slack, Edify, SmartQ) to help manage work orders, track employee behaviors and ease digital friction in everyday business operations. It’s important to note that there is not one tech solution for all organizations. Customization and tailoring can help pinpoint the optimal tech stack for a business, with some even building their own suite of apps and platforms.

To combat some facility planning and management challenges, CBRE’s SmartFM can utilize sensors to direct cleaning and other nightly maintenance in seldom-used rooms. Construction decision points are also focused on space utilization and management: for instance, using moveable walls as opposed to built-to-deck walls to encourage a more flexible space.

By embracing digital or physical customization, Financial & Professional Services companies can optimize space utilization and management to thrive in the new era of work.

Meeting Sustainability’s Challenges and Opportunities

Companies with sustainability commitments to reduce their carbon footprint are generally focusing on the more tangible Scope 1 (client-owned & controlled resources) and Scope 2 (purchased electricity, steam, heating & cooling for own use) emissions, while planning for Scope 3 (all other emissions that occur throughout an organization's value chain). As environmental regulations tighten, understanding the requirements around accurate emission reporting becomes crucial.

New AI technologies can improve data collection and ensure accurate emission measurements. Collaboration with suppliers is crucial, especially for Scope 3, as only a small percentage actively engage in climate data exchange within the growing Scope 3 boundaries.

Additionally, some small- to medium-size organizations lack the human capital to dedicate to such a complex subject. Skillsets are limited, but partnerships with service providers can enhance resources through headcount and training.

Renewable energy also offers a path forward in carbon reduction. On-site renewable energy generation offers several advantages, such as stronger control over energy production, long-term cost savings and increased energy security compared to off-site forms like wind power. While on-site generation provides greater control and cost savings, off-site options are quicker to implement with immediate benefits and offer scalability based on an organization’s needs. Therefore, a customized decarbonization plan considering all these factors is key to success.

Content in this article was presented during the CBRE Institute Global Forum in March 2024.

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