Hybrid working, a combination of work from home and the office, is increasingly popular. Ms Hoang Nguyet Minh,Director of Commercial Leasing, “many office workers have adapted hybrid working amid the pandemic, to accommodate this trend we need to consider workplace culture and office design.”
Savills conducted a global survey to examine the pace of transition to hybrid working. Most workers participating in the survey want to be in the office at least some of the time. Most firms want a degree of attendance to ensure mentorship for newer and young employees, to boost communication, collaboration and productivity. However, some roles such as banking, will continue to need traditional offices for oversight and scrutiny, which can only take place in an office environment.
Asian cities see a slower shift to hybrid working
Savills Hybrid Working Index shows that Los Angeles, Marid and London have the fastest transition to hybrid working, while Shanghai and Ho Chi Minh City were the slowest. The key factors considered included the size of homes, population composition, ease of commuting, broadband connectivity and length of lockdown.
Larger homes make it easier to provide dedicated space for homeworking. Locations such as Dubai and Los Angeles score highly on this indicator. Younger populations, such as Gen-Z, or those with smaller household sizes are more likely to seek interaction and mentorship from the office environment. A location like Mumbai, with 50% of its working population under 35, may see a slower shift to hybrid working. In cities like Los Angeles, New York and Mumbai, where commute times are long, hybrid working may be advantageous. However, in cities such as Lyon, Berlin and Amsterdam, where commutes are shorter, might find the office remains the most effective place to work.
Long lockdowns in countries such as the UK, US and France mean extended periods of homeworking, requiring employees to work from home for longer, and therefore form remote working habits. This situation leads to a faster transition to hybrid working.
However, not all lockdowns were equal. For example, most German offices remained open during their lockdowns. Asian cities had much shorter lockdowns and some – such as Shanghai, Ho Chi Minh City or Hanoi – returned straight to full-time office working. Work cultures pre-pandemic have played an important role in the shift to hybrid working. Less flexible working cultures in Shanghai, Hong Kong, Tokyo and Ho Chi Minh City indicates that any transition to hybrid working will be slower. The need for office place will remain a priority of many firms in these countries.
New requirements for firms
In Paris, London or Berlin, factors like high office costs, low office densities, short leasing time and already flexible working practices, can further motivate businesses to shift to hybrid working.
Companies are shifting their focus to a more flexible and people-centric office design, to promote interaction and collaboration. Ms Minh emphasized, “Flexible office design already existed in Hanoi. As Gen Z accounts for the majority of the workforce, office spaces need to allow for mentorship and interaction through common areas. Tenants need to adjust old frameworks to better suit their actual needs.”
However, corporates need to be aware of the risks of hybrid working on corporate culture. Work culture can be eroded if people do not have the opportunity to come together. Therefore people-centric office design is essential in the process of building a work culture.
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Read further: International Shifts to Hybrid Working