The Value of Implementing an Occupancy Planning Tool at BMO | A Case Study
- 1. THE VALUE OF IMPLEMENTING AN OCCUPANCY PLANNING TOOL AT BMO A CASE STUDY
- 2. PRESENTED BY: Nada Farah Sr. Manager, Workplace Strategy BMO BMO Financial Group serves more than 12 million personal, commercial, corporate and institutional customers in North America and internationally
- 3. Ian Morley Cofounder & Chief Evangelist Serraview Serraview a leading provider of workplace management & optimization software in North America and Australia, delivering tools that drive better strategic CRE decisions and huge bottom line savings PRESENTED BY:
- 4. Occupancy Planning Challenges at BMO 41 Buildings 292 Floors 6 million Square feet 47,000 Employees SPACE AND PEOPLE:
- 5. Occupancy Planning Challenges at BMO BUs claimed 2% vacancy but reality was closer to 10% vacancy VACANCY:
- 6. Occupancy Planning Challenges at BMO Observation studies show 40% of space not utilized on a daily basis due to vacation, sick leave, or working outside the office UTILIZATION:
- 7. Why Focus on Occupancy? Real estate is the 2nd or 3rd highest cost for most companies
- 8. Why Focus on Occupancy? Real estate is the 2nd or 3rd highest cost for most companies Efficient use of space can lead to significant cost reductions
- 9. Why Focus on Occupancy? Real estate is the 2nd or 3rd highest cost for most companies Efficient use of space can lead to significant cost reductions Optimizing space requires accurate understanding of occupancy & utilization
- 10. Why Focus on Occupancy? Real estate is the 2nd or 3rd highest cost for most companies Efficient use of space can lead to significant cost reductions Optimizing space requires accurate understanding of occupancy & utilization Accurate data is needed to support space decisions
- 11. Real estate is the 2nd or 3rd highest cost for most companies Efficient use of space can lead to significant cost reductions Optimizing space requires accurate understanding of occupancy & utilization Accurate data is needed to support space decisions LOBs also benefit from knowing where people are Why Focus on Occupancy?
- 12. BMO’s Difficulties Managing & Planning Space NO BUY-IN ABOUT OCCUPANCY PLANNING
- 13. BMO’s Difficulties Managing & Planning Space NO BUY-IN ABOUT OCCUPANCY PLANNING LACK OF TRANSPARENCY ABOUT VACANCY
- 14. BMO’s Difficulties Managing & Planning Space NO BUY-IN ABOUT OCCUPANCY PLANNING LACK OF TRANSPARENCY ABOUT VACANCY MANUAL COLLECTION OF OCCUPANCY DATA
- 15. Problems With Manual Data Collection TIME CONSUMING
- 16. Problems With Manual Data Collection RESOURCE INTENSIVETIME CONSUMING
- 17. Problems With Manual Data Collection RESOURCE INTENSIVETIME CONSUMING POINT-IN-TIME COLLECTION MEANS INFORMATION IS QUICKLY OUTDATED
- 18. Problems With Manual Data Collection RESOURCE INTENSIVETIME CONSUMING POINT-IN-TIME COLLECTION MEANS INFORMATION IS QUICKLY OUTDATED NO ONE TRUSTS THE DATA
- 19. THE RESULT?
- 20. The Result? • Inefficient use of real estate footprint
- 21. The Result? • Inefficient use of real estate footprint • Difficulty making strategic decisions
- 22. The Result? • Inefficient use of real estate footprint • Difficulty making strategic decisions • Unrealized savings (potentially 40% of space at $10,000 a desk per year)
- 23. to help us take control of our space management BMO Needed an Occupancy Planning Tool Confused about evaluating space management software? Get your free copy of this helpful guide: 5 Critical Comparison Points for Workplace Management Software
- 24. This is Not Good Enough This used to be all we knew about our space: floor plans and teams
- 25. Why It’s Not Good Enough • Occupancy cost was based only on existing rent & historical business demand for space • Who pays for space often doesn’t accurately depict who’s actually using it • High level view of space usage provided limited visibility to TRUE occupancy
- 26. We Can Do So Much More With This Occupied Desk Vacant Desk Retail Banking Team Names Detailed view of teams using each space….
- 27. We Can Do So Much More With This Occupied Desk Vacant Desk Retail Banking Team Names Showing which desks are occupied…
- 28. We Can Do So Much More With This Occupied Desk Vacant Desk Retail Banking Team Names … and layers of information about teams
- 29. And With Visibility to Individual Seating No more duplication or “hiding“ space
- 30. And With Visibility to Individual Seating No more duplication or “hiding“ space Enables decision making
- 31. And With Visibility to Individual Seating No more duplication or “hiding“ space Enables decision making Everyone can easily locate people & teams
- 32. CLARITY ABOUT OCCUPANCY IS HELPING US: • Provide better support to our teams Occupancy Planning is a Key Enabler
- 33. CLARITY ABOUT OCCUPANCY IS HELPING US: • Provide better support to our teams • More efficientlymanage our space Occupancy Planning is a Key Enabler
- 34. CLARITY ABOUT OCCUPANCY IS HELPING US: • Provide better support to our teams • More efficientlymanage our space • Highlight & minimize “hogging” behaviour Occupancy Planning is a Key Enabler
- 35. CLARITY ABOUT OCCUPANCY IS HELPING US: • Provide better support to our teams • More efficientlymanage our space • Highlight & minimize “hogging” behaviour • Avoid long-term rent increases (and eventually decrease rent) Occupancy Planning is a Key Enabler
- 36. CLARITY ABOUT OCCUPANCY IS HELPING US: • Provide better support to our teams • More efficientlymanage our space • Highlight & minimize “hogging” behaviour • Avoid long-term rent increases (and eventually decrease rent) • Make better long-term planning decisions Occupancy Planning is a Key Enabler
- 37. The Right Occupancy Planning Tool gives you clarity about what you have and the ability to make better decisions Consolidate space? Move to new space? HOW CAN WE REDUCE CRE COSTS? Renew leases? Agile work environment?
- 38. BMO’s Choice was Serraview Click to download the full report.
- 39. • Focus on occupancy management and planning • LOB ownership and accountability • Transparency for both Real Estate and LOBs • Intuitive, easy to use • Quick deployment period • Superb customer service • Modular (so we could implement in stages) Why BMO’s Workplace Team Chose Serraview
- 40. Shared Benefits for Other Departments Business units can easily find people and other teams Everyone gains an accurate book of record for occupancy
- 41. Serraview’s Story: • 10 years ago, Serraview founders were asked by NAB (National Australia Bank) to build a tool to automate management of new space, help make better decisions & support cultural change • All major banks in Australia & most government agencies have been using Serraview for a decade • Expanded into North America 2 years ago • Now supporting BOM, top 2 US banks & top global technology firms • Recently named FM Software Company of the Year by Frost & Sullivan Australia
- 42. Want to See Serraview’s Occupancy Planning Tool in Action? Watch the quick video on the next slide to see how BMO uses Serraview's tool to manage space:
- 43. HERE’S WHERE THE MAGIC HAPPENS
- 44. Serraview’s “What If?” Scenario Planning Watch the quick video on the next slide to see how Serraview's tool makes scenario planning easy:
- 45. BMO IS ONE YEAR IN…
- 46. Groups Can No Longer Hide Space Increased Clarity for LOBs We now have Dynamic Data Enhanced Metrics … And Already Seeing Results
- 47. A YEAR AGO: • We knew we had vacancy but could not prove it to LOBs • Were forced to keep adding space & cost to meet demand Serraview Helped Change Discussions with LOBs
- 48. TODAY: • Valid occupancy data means everyone can see what space is available and where • We can restack a floor to consolidate available space for another team • We can avoid adding footprint & cost unnecessarily Serraview Helped Change Discussions with LOBs
- 49. • BMO’s executive team recently requested extra seats. • Instead of leasing new space, the property team were able to show they already had enough vacancy within their own footprint. • A simple restack of the floor allowed us to free up 20 contagious seats, preventing the need to find extra space or lease another floor (yielding an estimated $200,000 to $900,000 per year in savings). One Success Story
- 50. Lessons Learned A focused approach was the right choice for BMO We achieved faster results by focusing on occupancyplanning,rather than trying to take on too many issues at once.
- 51. Lessons Learned Cleaning up our own data ImplementingSerraview helped us create a reliable source of data, not just for occupancy,but even org chart and enterprise directoryinformation.
- 52. Lessons Learned Training stakeholders Identifying & trainingLOB stakeholders put the onus on the users to own their data & process. TIP: Encouraging teams to include occupancy data updates in their onboarding and offboarding processes keeps data current.
- 53. Lessons Learned Catalyst for change ImplementingSerraview showed us where we needed to revise processes that weren't working and implement new processes.
- 55. BMO’s Plans for 2016 and Beyond Further enhancing the data and our processes Relocation management (link to website) Utilization analysis: sensor technology and wayfinding (link to blog) US expansion & retail sites in US Do a reverse feed into the HR system to capture names to seats Learn more about collecting utilization data with this free guide to Measuring Workplace Utilization
- 56. Find Out What Serraview Can Do For Your Occupancy Planning: SIGN UP FOR A SERRAVIEW DEMO READ SERRAVIEW’S BLOG
- 57. This content was originally presented at the WORKTECH 15 Conference, December 8, 2015 in Toronto. WATCH THE FULL VIDEO Nada Farah Sr. Manager, Workplace Strategy BMO, Toronto Connect on LinkedIn About This Presentation Ian Morley Cofounder & Chief Evangelist Serraview, New York Connect on LinkedIn