workingspaces: architecture, strategy & culture architecture, strategy & culture ......

workingSPACES: Architecture, Strategy & Culture

Professor M. Diane Burton

MIT Sloan School of Management

May 2005

working S P A C E SWe believe that as managerial tools,

architecture and workplace design are

powerful, yet poorly understood. • As a

multidisciplinary research and education team

we are simultaneously exploring a set of

exemplar cases and developing teaching

materials for architects and managers. •

We are collaborating with architects, clients, and

professional associations to create an engaging

base of material from which education and

further research may continue towards

integrating business strategy, workspace design

and technology. • We wish to establish a new

platform of communication enabling

architects, designers and managers to see,

use and evaluate design as a management

tool.

strategybusiness

management

architectureworkplace

design

C O N T R I B U T O R S

Professor M. Diane BurtonMIT Sloan School of Management

Professor Frank DuffyMIT Department of Architecture & DEGW

Melissa Edmands Marsh, MArch MIT Department of Architecture

Professor Tom AllenMIT Sloan School of Management

Professor Gunter HennHenn Architekten & Technical University of Dresden

MIT Center for Real EstateDavid Geltner, Executive Director

MIT Entrepreneurship CenterKen Morse, Executive Director

Phil BernsteinAutodesk & Yale University

Peter LawrenceCorporate Design Foundation

Bob LuchettiRobert Luchetti and Associates

Professors Bill Porter & Michael JoroffMIT Department of Architecture

Fritz SteeleAuthor and Consultant

DEGW Fidelity Corporate Real Estate Gantaume MacMillan Henn Architeketen Hixson Architecture Engineering Interiors HKT Genzyme Gillette

key Q U E S T I O N S

• what are the latest ideas in workplace design?

• when is architecture/design a source of strategic competitive advantage?

• how can managers take full advantage of the potential strategic value of design?

O B J E C T I V E S

• remind you of things you already know

– think about how space and design can be a managerial tool

– consider the range of opportunities available from design services

• inspire you with intriguing examples

– share insights from workingSPACES research and course development

– explore where you might benefit from well considered design

• empower you to overcome challenges and barriers through language and frameworks

demonstration

Dilbert

the dream

the reality

history & themes

factory

total design

status symbol

Factory

Total Design

Status

themes

Efficiency

Effectiveness

Expression

Lessons?

C O N S I D E R A T I O N S

• space

• work

• culture

• strategy

strategybusiness

management


design


• space

• work

• culture

• strategy

Distance

Pro

babili

ty o

f In

tera

ction

Familiar

Unfamiliar

33’ 66’ 100’ 130’ 160’

Individual Group

Open Closed

Dedicated Shared

Workspace Variables

Individual Group

Open Closed

Dedicated Shared

space S Y N T A X

view C O N E S


• space

• work

• culture

• strategy

differences by occupation

Share of full-time workers with flexible schedules

university teachers 65%natural scientists 65%mathematicians 58%computer scientists 58%executives, managers 42%household workers 41%technicians 31%salespeople 30%administrators 23%food service workers 22%mechanics 18%construction workers 18%health service workers 18%equipment cleaners 14%machine operators 10%

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

08:00 09:00 10:00 11:00 12:00 13:00 14:00 15:00 16:00 17:00 18:00

Occupancy is relatively low (around 30% or less)

A considerable amount of time is spent out of the building (around 40-50%)

When they are in the building, they are away from their offices half the time

In their offices, about half of this time is spent in meetings

They do very little computing.

temporarily

unoccupied

other activity

computing

meeting

senior executives

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

08:00 09:00 10:00 11:00 12:00 13:00 14:00 15:00 16:00 17:00 18:00

Occupancy is much higher (around 60%)

Only 20% of their time spent away from their desk

The most common activity is computing

More time telephoning than other groups, particularly in the afternoons.

administrative assistants

temporarily

unoccupied

other activity

computing

telephoning

meeting

categorizing work

process

based

teams

process

based

individuals

knowledge

based

individuals

knowledge

based

teams

AUTONOMY

INT

ER

AC

TIO

N

den

hive cell

club

hive

Den

Hive Cell

Club

• low interaction

• low autonomy

• process-based

individuals

back office

call center

den

Den

Hive Cell

Club

• high interaction

• low autonomy

• process-based

teams

support teams

finance teams

cell

Den

Hive Cell

Club

• low interaction

• high autonomy

• knowledge-based

individuals

lawyers

academics

software engineers

club

Den

Hive Cell

Club

• high interaction

• high autonomy

• knowledge-based

teams

creative teams

multidisciplinary

teams

differences by occupation

Share of full-time workers with flexible schedules

university teachers 65%natural scientists 65%mathematicians 58%computer scientists 58%executives, managers 42%household workers 41%technicians 31%salespeople 30%administrators 23%food service workers 22%mechanics 18%construction workers 18%health service workers 18%equipment cleaners 14%machine operators 10%


• space

• work

• culture

• strategy

organizational B L U E P R I N T S

PO

TEN

TIA

L

SKIL

LS

FIT

LOVE

MONEY

WORK

• S T A R

• C O M M I T M E N T

• E N G I N E E R I N G

• B U R E A U C R A C Y

• A U T O C R A C Y

network MAP

NETGRAPHcommunication

among ~600 software

developers

NETGRAPHcommunication

among ~600 software

developers

BY AGE

20

Year

Olds

30

Year

Olds

40

Year

Olds

50

Year

Olds

50

Year

Olds

40

Year

Olds

30

Year

Olds

20

Year

Olds

NETGRAPH

BY DepartmentC3

A1A2

B1

C2C1

C4

C5

C6

C7

C8

C9

D1

D2

A3

A1A2A3B1C1C2C3C4C5C6C7C8C9D1D2

Dept A

Dept

BD

ept

CD

ept

D

NETGRAPH

BY Geography

Fl 2

Fl 1

Fl 4

Fl 2

Fl 3

Fl 1Fl 2Fl 1

Fl 1

Fl 2

Fl 1

Fl 6

Fl 7

Fl 5

Bldg. A1

Bldg. B1

Bldg. C1

Bldg. C3

Bldg. C2

Bldg. A1

Bldg. B1Bldg. C1

Bldg. C3Bldg. C2

Asset Alignment SM

Process Tools

BusinessStrategy

Culture Personnel Technology FacilitiesWorkProcess

Work Process


• space

• work

• culture

• strategy

competitive A D V A N T A G E

• C O S T

• Q U A L I T Y

• S E R V I C E

• I N N O V A T I O N

Škoda


• C O S T

• Q U A L I T Y

• S E R V I C E


BMW FIZ II


• C O S T

• Q U A L I T Y

• S E R V I C E


Audi Ingolstadt

working S P A C E S

Volkswagen

Amazon

Gillette

gillette corporation

a tradition of design

expanding product line

need for change

more than consolidation

identifying an opportunity

from concept to design

preliminary attempt

multiple surfaces

an urban metaphor

modified solution

space in use

project team and location

• Location of Project: Fidelity Investments Northern New England corporate campus. Merrimack, NH

• Architectural Consultant: Hixson, Inc. Cincinnati

• Business Consultant: Price Waterhouse Coopers

“Merrimack offers you the opportunity for a

quiet yet active lifestyle in a setting that is

quintessentially New England.

Dotted with stonewalls, gardens and a

picturesque fishing pond,

Fidelity's Merrimack, New Hampshire

campus, established in 1996, is 560-

acres of wooded wonderland, where

approximately 3,500 Fidelity employees

come to work each day and enjoy the

beautiful natural setting of Merrimack.”.

Fidelity Investments

Before



After

Metrics

Workplace as a business enabler rather than a cost

People 82%

(salary, benefits)Technology

10%Operations

3%

Workplace

5%

Based on Bosti Associates’ estimates 1999

Average cost per employee

10% technology costs

5% space costs

3% other costs

82% people costs (salaries and benefits)

Efficiency or Effectiveness?

EFFICIENCY

making the most

of space

EFFECTIVENESS

making the most of people

Balancing efficiency and effectiveness

• Adding value

• Using space to its full potential

• Enriching the range of settings

• Making the most of people

Increasing effectiveness

EF

FE

CT

IVE

NE

SS

EFFICIENCY

• Reducing cost

• Using space to its full capacity

• Achieving high occupancy levels

• Making the most of space

Increasing efficiency

Adding Expression

EFFICIENCY

making the most

of space

EFFECTIVENESS

making the most of people

EXPRESSION

making the most of branding

A Building Lifecycle Model shows layers of design decisions and length of impact

Site Shell Skin Services Scenery Systems Settings

location and

orientation

• urban/ rural

context

• local amenities

• transportation

• accessibility

• car parking

• goods access

• site security

• aspect/ view

• proximity to

housing,

recreation, etc.

infinite time

impact

shape, size and

type of building

form

• floor depth and

sectional height

• floor ceiling

height

• structural grid

• planning grid

• floor size and

shape

• space efficiency

• atrium provision

• exterior/ interior

maintainability

50 to 70 years

external

membrane

• natural

ventilation

• solar control

• natural

lighting

• views

• energy

efficiency

25 years

building

services

• heating

• ventilation

• air conditioning

• lighting

• environmental

control

• building

management

and controls

15-20 years

internal fit out

• floor & ceiling

• finish materials

• partitions

• internal

landscape

planting

• meeting facilities

• restaurant/

dining

• vending/ break

areas

7-10 years

information and

communicatio

n technology

(ICT)

• network access

• power locations

• data connection

• wireless

infrastructure

3 years

furniture

and

equipment • group size

• furniture

configuration

day to day

Research + Case studies show Office Design affects these Business Performance Areas

Ability to respond

to business or

technological

change

Customer

attraction &

retention

Total cost of occupancy

optimisation

Staff motivation/ retention

Catalysing culture shifts

Staff productivity

Staff motivation/retention

Knowledge/skills of staff

Innovation & creativity

EX

PR

ES

SIO

NE

FF

EC

TIV

EN

ES

SE

FF

ICIE

NC

Y

external

expression

Adaptability

&

flexibility

efficiency in accommodation

internal

expression

health and

comfort

staff performance

4

2

1

supporting work

processes

3

0

1

2

3

4

5

6

7

-2 0 2 4 6 8 10 12

external expression

internal expression

work process support

health and comfort

adaptability and flexibility

efficient accomodation

current k n o w l e d g e

Adaptability

and flexibility

Health and Comfort

Supporting work Process

Internal expression

External expression

Efficient

Accommodation

Site

Shell

Skin

SystemsServices

Scenery Settings

OperationsPortfolio

36

18

5

13

5

A N S W E R S

• space

• work

• culture

• strategy

• frameworks

• examples

• metrics

strategybusiness

management


design

Thank you

workingspaces: architecture, strategy & culture architecture, strategy & culture ......

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