If your company decides to densify its office space by putting more employees into fewer square feet, make sure you’re in an industry suited to open office plans. The latest research from Newmark Grubb Knight Frank shows that savings achieved as a result of densification may easily be wiped out by a decline in employee productivity. While reducing the square footage occupied per worker appears to be an easy way to cut costs, it’s critical for companies to be aware of this potential negative impact. NGKF notes that just a 2% decline in productivity can wipe out any costs savings—and in six out of the 10 major metropolitan areas, including Atlanta, Chicago, and Los Angeles, all it takes is a 1
As the supply chain increasingly turns to automation, there will no doubt be an impact on the workforce. In fact, recent McKinsey & Company research suggests as many as 45% of activities individuals are paid to perform can be automated by adapting currently demonstrated technologies, representing about $2 trillion in annual wages. It’s not only impacting lower-skill or lower-wage roles, but even higher-paid occupations such as financial managers, physicians, and senior executives. The report noted that organizational and leadership implications are enormous, and c-suite leaders will need to redefine jobs and processes so that organizations can take advantage of the automation potential avail
