Benchmarking of workplace performance

Transcription

1 June 2017 Benchmarking of workplace performance Theo van der Voordt Delft University of Technology Per Anker Jensen Technical University of Denmark Content 1. Definitions: CREM, performance, benchmarking, adding value, 2. Value Adding Management Model 3. Benchmarking of workplace performance 4. Value parameters 5. Input to an integrated business model

2 stakeholders initiation briefing & design Society Organization Team/individuals demand supply Area Stock / portfolio Building / places physical environment use & management construction Corporate Real Estate Management (CREM) the management of the real estate portfolio of a corporation by aligning the portfolio and services to the needs of the core business, in order to obtain maximum added value for the business and to contribute optimally to the overall performance of the organisation (Dewulf et al., 2000).

3 Jensen, Van der Voordt & Coenen, 2012 Added value of FM and CREM The trade-off between the benefits of FM/CREM decisions and interventions and the costs and sacrifices to attain these benefits (Jensen et al., 2012)

4 Benefits = better performance of the organisation (+ individuals and society) Performance of workplaces = a. The extent to which a building, facilities and services fit with the vision, mission, strategy and objectives of the organisation and its stakeholders b. The extent to which a building, facilities and services fit with an internal or external standard Benchmarking = To compare the outcomes of interventions i.e. Key Performance Indicators (KPIs) with similar data from other units within the same organisation (internal benchmarking) and data from other organisations and (international) standards (external benchmarking).

5 Formal definitions of performance ISO Societal security Business continuity management systems Requirements : Performance = measurable result NOTE 1 Performance can relate either to quantitative or qualitative findings. NOTE 2 Performance can relate to the management of activities, processes, products (including services), systems or organizations. The accomplishment of a given task measured against preset known standards of accuracy, completeness, cost, and speed. In a contract, performance is deemed to be the fulfillment of an obligation, in a manner that releases the performer from all liabilities under the contract.

6 How to add Value through FM / CREM - Development of a new Value Adding Management Model (VAM) - Definition of 12 value parameters - Contributions by 23 authors regarding theory and research data about - Management of adding value - Measuring of adding value - Interviews with 12 practitioners Result - State of the art of theory and research on 12 value parameters (satisfaction, image, culture, health &safety, productivity, adaptability, innovation, risk, cost, value of assets, sustainability and CSR). - Cross-chapter analysis: VAM-model, ways to measure and top 5 of KPIs Book

7 PLAN DO CHECK Input Define required interventions Decide on interventions Throughput Management of implementation process Output Changed FM/CREM performance ACT Identify drivers to change Define objectives Define conditions Evaluate added value and circumstances Actualise strategy Outcome Changed organisational performance Added Value of FM/CREM Hoendervanger, Bergsma, Van der Voordt & Jensen, in Jensen & Van der Voordt 2017

8 Expected added value of New Ways of Working Tilburg: Interpolis One of the first non-territorial offices in the Netherlands (1995) Amsterdam Microsoft, Schiphol

9 Possible benefits / Main drivers to change Better communication and collaboration (due to openness) Improved performance by increased productivity Efficient use of space and resources -> lower costs Flexibility in the use of space Support of culture change (by more social interaction) Increased job satisfaction (more autonomy, dynamic) Positive image of being modern and innovative (-> attracting/retaining young talent and more customers) Contribution to a sustainable environment

10 Possible costs and risks Costs of changing the environment Costs of implementation Resistance to change -> lower employee satisfaction -> loss of productivity, increased sick leave Reduced job satisfaction due to the loss of status, privacy, territory or identity Loss of social cohesion and team spirit Lack of privacy Loss of productivity due to distraction by phone calls, too much communication, changing places

11 Benchmarking of costs and m2 Traditional New ways of working Municipalities Institutes Commercial Flex-factor 100% 70-80% 70-80% 50-70% GFA / workplace GFA office area / workplace Investment costs / m2 GFA Accommodation costs / m2 GFA ,000-4,200 3,500-4,500 3,300-4,500 3,700-5, GFA / person Accommodation costs / pp/ year 6,000-7,800 4,400-5,200 4,300-5,200 4,000-4,900 Van t Spijker & Van der Meer 2010

12 All projects Traditional offices, personal desks Combi offices, personal desks Flex offices, activity-based Number of projects 134 projects 43 projects 19 projects 68 projects Number of respondents N = N = N = N = Satisfaction about the organisation, work and the work environment Satisfied Satisfied Satisfied Satisfied Organisation The work itself User influence Accessibility of the building Architecture/appearance Number and variety of places Location of work places Openness and transparency Functionality and comfort Interiour design Privacy Concentration Communication Archive/storage IT facilities Facility Management Indoor climate Light Acoustics Facilties for remote working Benchmarking Employee Satisfaction CfPB WODI-database 2015 Green: 65% satisfied Red: 35% satisfied Support of being productive Own productivity Team productivity

13 All projects Traditional offices, personal desks Combi offices, personal desks Flex offices, activity-based Number of projects 134 projects 43 projects 19 projects 68 projects Number of respondents N = N = N = N = Dissatisfaction about the organisation, work and the Dissatisfied Dissatisfied Dissatisfied Dissatisfied work environment Organisation The work itself User influence Accessibility of the building Architecture/appearance Number and variety of places Location of work places Openness and transparency Functionality and comfort Interiour design Privacy Concentration Communication Archive/storage IT facilities Facility Management Indoor climate Light Acoustics Facilties for remote working Employee dissatisfaction CfPB WODI-database 2015 Red: 35% dissatisfied Green: 15% dissatisfied Support of being productive Own productivity Team productivity

14 Additional indicators of output and outcome benefits and sacrifices to measure the impact of workplace change FM/CREM output indicators impact of (workplace) change to: Benefits Efficient use of space (high occupancy level, low vacancy) Healthy and safe environment Adaptability Choice openness - enclosure Shorter walking distances Personal control (indoor climate) Diversity of workspaces Quality of visual clues Lower consumption of energy and water, C0 2 emissions, material use, and waste, high level of recycling Sacrifices Risk of resistance Investment cost and life cycle cost per m 2, per workstation and per fte (total FM, space and infrastructure, people and organisation, space and work places) Organisational outcome indicators impact of (workplace) change to: Job satisfaction Staff turnover Attraction of talented staff Vitality and health / sick leave Corporate identity, brand and culture Individual and team productivity Community satisfaction Green organisation / CSR Higher market share Increased profitability Increased competitive advantage Lower commitment of shareholders and stakeholders. Decrease in market share Lower profitability Decreased competitive advantage Based on Hoendervanger et al., 2017

15 12 added value parameters Group People Process and Product Economy Societal Parameter Satisfaction Image Culture Health and Safety Productivity Adaptability Innovation and Creativity Risk Cost Value of Assets Sustainability Corporate Social Responsibility Jensen & Van der Voordt, 2017

16 Example: Measuring productivity (before after) Actual output / actual input translated words per employee per day (translation office) phone calls per day (call centre) cars per f.t.e. (automobile plant) Actual input e.g. monitoring computer activity (mouse clicks) Amount of time saved or lost e.g. time saved by a new computer system, or time lost by having to log on frequently Absenteeism due to illness or for other reasons Levels of satisfaction (assumption: a happy worker is a productive worker) Perceived productivity support (interviews, survey) - perceived support of productivity by the work environment (scale 1-5) - estimated percentage of time being productive - perceived productivity gain when all facilities would be excellent Indirect indicators (observations, interviews, survey) - extent to which people are able to concentrate properly - frequency of being actually distracted.. Jensen & Van der Voordt 2017 Chapter 9. All parameters have been elaborated in the same way

17 Towards holistic integrated business cases Include all relevant value parameters including those that go beyond cost metrics Discuss whether to conduct a quick scan versus a wider scope / in depth Select prioritised parameters in 4 steps: 1. Identify the main drivers to change, due to strengths, weaknesses, opportunities and risks of the organisation, its buildings, facilities and services, and the match between demand and supply. 2. Focus on the main issues 3. Start with performance indicators that can be measured easily 4. If problems show up: select areas to be measured in-depth

18 Contact details Theo van der Voordt Per Anker Jensen Faculty of Architecture TU Delft Department of Management in the Built Environment Centre for Facilities Management Technical University of Denmark DTU Management Engineering Center for People and Buildings Delft, Netherlands