a distributed workplace strategy daniel b johnson global director cre workplace l.
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A Distributed Workplace Strategy Daniel B. Johnson Global Director, CRE Workplace. Agenda. Business Context Business and functional units engaged and why Solution Support Resources engaged Interest, acceptance, ie cultural impact Successes Obstacles Next steps.

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  • Business Context
  • Business and functional units engaged and why
  • Solution
  • Support Resources engaged
  • Interest, acceptance, ie cultural impact
  • Successes
  • Obstacles
  • Next steps
modeled headcount growth by workforce
Modeled Headcount Growth by Workforce


Dramatic growth and new businesses














Our Global Real Estate profile has shifted dramatically in the past year….by design and by organizational change

Global Real Estate Commitment profile (occupied space)

The actual profile of space varies significantly by GU – dependent upon workforce profile and response to the blueprint


No Am


context the facilities services blueprint the reasons behind the plan
Context:The Facilities & Services Blueprint:The reasons behind the plan

Our cost structures must shift to allow us to remain competitive.

    • Facilities & Services represents Accenture’s second largest cost basis (after payroll).
    • A major driver of the Blueprint was to maximize the leverage we get from our G&A spend while continuing to aggressively lower G&A spend since the IPO.
  • We need to improve delivery to:
    • Better manage costs
    • Dramatically reduce project lead-times
    • Better leverage facilities
    • Introduce new models for delivering required support services.
  • We need to support aggressive growth in client outsourcing engagements, BPO businesses and Solutions Delivery work, while continuing to manage/optimize our current portfolio
business units engaged
Business units engaged
  • Global CRE TeamDesign Facility response to new business model (create the “blueprint”)
  • Local Facilities & Services LeadershipImplement local in country responses to reflect “blueprint” requirements
  • CIOIdentify impacts of emerging technologies, and deploy scalable systems/soluitons
  • Human ResourcesImplement new Workforces for Accenture
  • Business ArchitectureDefine unique functional needs of businesses
  • Global FinanceIdentify operating cost targets and track impact on G&A costs, link these targets to business margin requirements
Accenture’s evolving workplace strategy responds to these new ways of working and incorporates thoughtful real estate management.

Traditional Workplace Strategy (Pre-1995)

New Workplace Strategy


Flexible Workplace Strategy (Evolving)

Work Characteristics

Process Oriented


Static Individuals

Lack of flexibility

Fixed Workforce

Project Oriented

Group / Interactive

Community Based

Increasing flexibility

Mobile Workforce (emerging)

Solutions Oriented

Dynamic mobile teams with physical and virtual community support

Balancing physical / virtual work

Real Estate Characteristics

Fixed Lease

Single Location

Mixed Branding

Local Application (higher costs)

Consolidated Lease

Office / Client Site

Branded / Functional

Global Standard (higher costs)

Scalable leases

Mobile workforce

Diversified portfolio

Flexible / functional

Local interpretation of standards w/in benchmarks (reduced costs)

Metric Characteristics

~250 RSF/worksetting

118 RSF/Person

~50% Utilization

~200 RSF/Worksetting

100 RSF/Person

67% Utilization

~120-150 RSF per worksetting

65 RSF/Person (target)

85% Utilization (target)

solution accenture s workplace strategy and the blueprint
Research conducted with Accenture people has identified 4 workforce priorities:Solution:Accenture’s workplace strategy and the Blueprint

A successful work experience for all of our workforce is supported by the integration of each of these elements.


Tools & Technology


  • Accessibility
  • Clarity
  • Empowerment
  • Community


Geography& Culture

The Accenture Workplace Strategy

solution workplace blueprint a diversified portfolio

Typically Fixed Costs

Fixed or variable costs

No direct cost

Solution:Workplace blueprint – a diversified portfolio

Our new workplace strategy responds directly to the workforce model, reduces costs and wherever practical will shift from fixed toward variable costs to reduce our long term commitments.


1995 to 2002


remote working

Client Site

Client Site


Large MetroCenters

Delivery Center




Client Image



Long term, fixed cost with limited flexibility

Careful integration of fixed, variable, shared and no cost facilities

solution workplace blueprint six managing principles
Solution:Workplace Blueprint – Six Managing Principles

Differentiated Real Estate Portfolio

  • Facility responses designed to support different business requirements
  • Portfolio and its design/specification provide different price points
  • Acknowledge local needs and unique markets
  • Portfolio is more flexible and scalable

High Performance Workspace

  • Facilitate interaction and knowledge exchange (face to face and virtual)
  • Foster and support collaboration and community
  • Easily reconfigured
  • Provide employee comfort, safety and security
  • Respect local culture
  • Respect work/life balance through remote work opportunity

Right-Sized/Right Priced

  • Increase density, higher occupancy levels (80%+ target)
  • Balance real estate costs with need to expand/contract
  • Leverage procurement strategy
  • Increase standardization and focus on functional design

New Technology and Support Models

  • Focus on self enablement
  • Easy access anywhere, anytime
  • Migration to internet based technology models
  • Shift investments in technology toward client based work


  • Enable nimble adjustments of space to better align with business changes
  • Easily adjust to support different work styles
  • Increase flexibility and creativity in real estate transaction terms, financial engineering and design standards to respond to work style and demographic changes

Best Practice Delivery

  • Agreed standards and consistent design guidelines
  • Reduce project time and costs
  • Clarify roles and responsibilities
  • Define methodology and provide easy access to tools
  • Manage procurement to optimize local/global needs
  • Maintain and update, including “Lessons Learned”
case study atlanta relocation

ClientSiteWork (SBC)

Typically Fixed Costs

Fixed or variable costs

No direct GS cost

ClientSiteWork (SBC)

Remote working


GS & ProjectWork

Georgia Pacific






Case study – Atlanta Relocation



  • Atlanta Facts
  • 1200 personnel using office space
  • 1600 personnel staffed on the SBC engagement
  • 167 Enterprise – 14% (33 EA’s)
  • Current utilization is 62% (378 out of 607 work settings in use)
  • 135 project seats
  • 62% of personnel live north of downtown
  • Average commute time to downtown is 30 min
  • Real estate cost differential between downtown and northern perimeter is 10%
  • +/- 50,000 RSF hub; opportunity to add a satellite if needed
  • Term of lease for project seats coincides with client engagement commitment
  • Enterprise workforce teleworks on average 3 days per week (excluding EA’s)
  • ~ 435 seats (300 hub) (plus 135 project seats)
  • ~150 SF/worksetting
  • $2.1m operating cost
  • Leverage of Centergy
  • Originally 186,000 RSF; reduced to 143,000 RSF
  • Enterprise workforce is primarily resident
  • 605 worksettings
  • 240 SF/worksetting
  • $5.3m operating cost
  • Wrong Space, Wrong Place, Wrong Price (Fixed Cost Portfolio)
  • Limited truly variable cost alternatives in the market place
  • Ability to anticipate the impact of emerging technologies
  • Traditional ways of procuring real estate are out of sync with the changing nature of the global business environment.
  • Cultural Readiness (NIMBY?)
successes f s blueprint has enabled us to deliver material savings and positions us for the future




Gross Operating Costs


Gross Operating Costs as a % of NR


Net Operating Cost/Person*


Square feet Occupied




Utilization of space


EAs per executive


Office services staff per person


SuccessesF&S blueprint has enabled us to deliver material savings and positions us for the future

Facilities and Services is a local provision of services in support of our people. We represent 30% of our G&A expense.

F&S have reduced their operating costs by 16% over the last two years and reduced our GS real estate holdings by 1.7M SF.

The total cash recovery over the life of the leases we have vacated is in the order of $375m

* Headcount less Services

interest acceptance
Interest, acceptance

Global Requirements

Local responses

  • Getting the most out of our Real Estate
  • Leverage of global and regional procurement contracts
  • Requirement for flexibility in real estate and delivery models
  • Leverage of Workplace Design Standards & Guidelines
  • A service delivery model that recognizes and incorporates a shift toward a shared services and e-support.
  • Use of global and regional standard tools and reporting systems.
  • Aggressive worksetting densities and work place planning approaches which best leverage our real estate yet meet country regulations and codes.
  • Creative “deal structures” with landlords, clients and service providers to minimize capital investment and enhance
  • Aggressive, but realistic integration of dedicated, shared and e-support solutions to meet local needs.

One size does not fit all

next steps
Next steps
  • Continue to monitor and manage the portfolio against established targets (Continued pressure)
  • Aggressively pursue variable space options in markets where we are right-sized
  • Enhance tools (collaboration technology, etc.)
  • Programs to evaluate Human Performance impacts
  • Expect Changes and need for more flexibility
developing a distributed workplace strategy daniel b johnson global director cre workplace

Developing a Distributed Workplace StrategyDaniel B. JohnsonGlobal Director, CRE Workplace