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The Savills Blog

Hub and spoke offices – what are the logistics and is it right for you?

Over the last few months we have heard a lot about ‘hub and spoke’ in the office sector, with the idea essentially being that a firm will have a ‘central’ hub and a number of smaller ‘spoke’ offices in regional locations. The benefits being that this offers staff more choice in terms of workplace options whilst still retaining a main HQ. However, what hasn’t been discussed in much detail is the actual logistics of implementing this model and what factors might need to be considered.

With the UK likely to be moving in and out of national and local movement restrictions for some time, the home and office working hybrid will continue to be a feature of work life. For that reason, firms are assessing options that may help staff work closer to home and avoid unnecessary long commutes.

However, before changing anything about their existing office set up, businesses need to consider what it is they are trying to achieve? Are they wanting to create alternative work space options for staff or are they seeking to create opportunities for collaboration outside the home and the main office? Will ‘spoke’ options just be for staff or clients too? And, most importantly, what experience do you want your staff (and clients) to have?

Maintaining productivity and staff well-being / happiness as well as retaining and attracting talent are often the main drivers behind any office model changes. There are also practical elements to consider such as operational and cost factors, as well as accessibility. Ensuring that any ‘spoke’ offices are reachable for as many staff as possible is vital and implementing tools such as staff surveys, postcode mapping and time travel analysis can help to identify potential cluster locations as well as the impact a change in location may have on staff commute times.

It is assumed that the ‘hub’ office will be the HQ, offering branded space with a collaboration-rich environment, ample social spaces for serendipitous conversations, creative thinking and human interactions, with the spokes then logically providing more focussed locations where staff can get the work done. However, this is an opportunity to challenge the norm and we should use this time to question every decision.

For instance, does the hub need to be a permanent location? People do and don’t like change: they like the security of routine but enjoy the buzz of disruption. Do you need your space to be able to expand and contract within your permanent building? Does your fit-out need to be able to be remodelled easily to challenge our routines within the safety of familiar surroundings? What is clear is there is no one size fits all, so doing some good ground work is advisable before making any decisions about “what space where”.

It is easy to get wrapped up in trends and buzz words but ultimately every business is different and designing an operating model that works best for your business is fundamental. Real estate decisions should form an integral part of a firm’s over-arching strategy, supporting and facilitating operations but not dictating them. Establishing how a business will function first will allow clarity to see how real estate can help deliver these goals either through a short term fix or a long-term plan.

 

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