Why Are Enterprises Adopting the Co-Working Model

Co-working spaces have rapidly grown from their humble origins – mostly catering to freelance professionals & startup businesses – to attracting the biggest of enterprises today. The most interesting aspect of this transformation is that it is mostly the enterprises which have had to adapt to the co-working revolution & not the other way around, as is usually the case with business giants.

Nowadays, enterprises like Amazon, Dell & more have several teams operating from shared workspaces, infusing fresh energy & direction to their culture. Not only that, WorkingKulture’s co-working spaces are often the more sensible option financially as well, and provide an unmatched environment to maximise employee satisfaction & productivity.

Here we take a look at 6 reasons why enterprises are increasingly adopting the co-working model:

1. Minimise CAPEX & OPEX costs to maximise business growth

Capital Expenditure (CAPEX) costs are those associated with fixed assets, often factored as long term & inflexible – such as the purchase of office spaces. Of course a bare bones building is insufficient to house an enterprise, and hence the additional costs of turning it into an ideal environment for employees need to be factored in. Furnishing, HVAC, plumbing, etc need to be accounted for, and can take away a big chunk from the capital available for growing the business itself.

Meanwhile Operational Expenditure (OPEX) costs refer to those involved in maintaining assets & catering to daily needs. In addition to actual material costs, this includes salaries paid to maintenance staff, utility bills & more.

Membership at WorkingKulture can be taken on a monthly or annual contract basis, which not only represents on average 50% savings but also peace of mind. These savings can compound themselves when factoring in tax benefits & the opportunity to invest in the right areas for growth.

2. Cater to a new generation of employees & work styles

It’s no secret that the needs of the millennial workforce have drastically shifted away from those of previous generations. The social factor has gained more importance, and organisations that are unable to keep up risk losing their most talented employees to those who do. This is especially applicable to a corporate setup that is often prevalent in enterprises, which can often feel a little bland for the modern taste.

Additionally, with internet connectivity almost being a necessity of life, today professionals work around the clock, coordinating with others around the globe.

Collaborative workspaces provide an environment that is designed with a wide variety of individuals in mind, especially those with a modern approach to work. WorkingKulture is accessible 24×7 with security on site, making the clock an obsolete challenge for enterprises.

3. A perfect mix of privacy & networking

At WorkingKulture, we regularly check in with our members on their experience & adapt ourselves to better it based on feedback. One concern that prospective members have is regarding open spaces, with respect to noise levels and privacy.

While it is true that open spaces tend to be more active & buzzing, they are a great source of growing one’s network as well. Members can always choose to book their space in a private cabin which ensures their privacy but at the same time make the most of the opportunities outside.

This is especially applicable to enterprises which have important trade secrets to safeguard but at the same time need to stay abreast of innovation that’s happening outside their doors. In an era where a startup with a better product can easily disrupt the largest of businesses, those that fail to keep their ears to the ground risk falling behind.

Shared workspaces are the perfect platform for large organisations to keep in touch with the pulse of the market.

4. Attract & retain top talent

For businesses that have employees numbering in the thousands, churn & attrition are a fact of life. However, the best remain at the top of their game by ensuring that the cream of the crop stays with them for as long as possible.

Traditionally, this has been tied to material incentives, titles etc – which are all methods of one-shot appeasement as opposed to providing an environment which makes employees feel motivated & valued on a daily basis.

On the contrary, co-working spaces are designed with the intention to break this monotony and deviate from the routine. To keep their members engaged & fresh every day. In fact, here’s an interesting read on 6 ways in which co-working at WorkingKulture can completely transform your team’s experience at work.

5. Explore new markets & further innovation

Enterprise businesses are constantly exploring new avenues of growth – whether it be in a new geographic market, department or simply furthering innovation on existing products. This requires that teams engaged on such projects deviate from standard thinking to find out-of-the-box ideas & methods that fit local markets.
In such cases, it can be a risk to make heavy investments into large assets – whether it’s local office space or long term commitments that tie the organisation down. This is where several enterprises have chosen the co-working route, providing affordability without any compromise on the quality of experience they would like for their employees or clientele.

In fact, teams working out of shared spaces are more likely to participate in the exchange of ideas outside their organisation, perhaps inspiring the next breakthrough for the enterprise.

6. Flexible memberships provide… flexibility

One of the biggest advantages for, yet simultaneously challenge faced by a large enterprise is its own size – meaning decisions have to be deliberate & slow, lest they cause unforeseen outcomes. This can be especially challenging when it comes to decisions on large assets such as real estate – where a purchase can imply lockdown for many decades into the future. With markets changing at the pace with which they do today, a single such decision can potentially make or break the business, at least locally.

On the contrary, co-working spaces provide maximum flexibility. At WorkingKulture, you have the freedom to upscale, downscale, move in, move out, move back in and more, all as per your requirement. A security deposit corresponding to only one month’s membership fee adds to this flexibility, allowing decisions to be made quicker and changed just as quickly without much to lose out on at all.

7. Completely Customized workspace solutions

If an office that matches your personality is your thing, we’ve got you covered. Our team will help you customize the workspace according to your choice, such that your team finds them at home when you move in with us. You get to choose between branding, privacy, security, layouts & more. It’s really a workspace just for you!

Our spaces are designed with everybody in mind – from the freelancer to the enterprise team manager. It is entirely what you make of it that defines your experience with us. Get in touch with us today to explore the potential of co-working to give your business a boost!

Upcoming Trends in Coworking spaces

The number of coworking spaces has considerably increased during 2017 and is expected to rise, but what distinguishes is obviously the value that you get from one space over the other.

While a lot of real estate companies, just change the label of a previously furnished leased office space whose tenant may have just vacated the premises, and push the same furniture with fewer tweaks as low cost co-working space, one should really gauge whether an old office setting would foster the same level of creativity & peer networking that is worth paying for.

What kind of professionals occupy these work spaces? What kind of synergies take place? In the text that follows let us look at some of the prevailing tendencies which applies to coworking spaces in 2018.

The Top 3 trends for coworking spaces

All Size, instead of SMEs: Professionals from the IT, design, consulting sectors, etc. remain the most frequent users of coworking spaces. Apart from SMEs & freelancers which were a prevalent occupiers of cowering space b’cos of the cost effectiveness & no hassles, there may be new types of companies interested in occupying these spaces, that is, the large cap companies, but for somewhat different rational – Creativity, Open-ness & Sense of Community triumphs it all. Eager for innovation, large MNCs more often spuns out a division to tap into the insights in the market, away from the traditional company culture into a more open environment.

Adaptability: There may be small or large changes taking place in these types of spaces, but what is important to remember is that, in the end, it is those coworking spaces that prove themselves capable of adapting to the ever changing needs of new work environments which will survive. Just a desk and mere mundane walls won’t be enough.

New services: In addition to developing work spaces, there will an effort to attract other types of service such as auditing, consulting, and business competency services.

How Co-working Spaces Promote Work-Life Balance

  • Many Asian countries have people working beyond the standard hours of work. In Japan, death by overworking is so common, they have a term for it.
  • Working hard can lead to getting overworked, but does not often lead to productivity. Based on a study, workers, on average, spend just 2.8 hours on productive tasks.
  • While technology greatly helps in making jobs easier and faster, it can also encourage people to lose focus and waste time.
  • Coworking spaces create work-life balance through their open and relaxing interiors, collaborative features, work community, and tailored events. Here, you don’t just find work-life balance, you experience it.

When was the last time you had an eight-hour sleep? Or the last time you strictly had a no-work weekend? If your answer is eons ago, then it’s certainly a good thing you’re reading this now as this may probably save your life (or make you live a little). Read on.

In the UK, a Chartered Institute of Personnel and Development (CIPD) survey reveals that just over one in five people say they often or always feel exhausted in their jobs, while more than a quarter believe that their profession negatively affects their personal life. A more troubling study by Staples Business Advantage alongside workplace expert Jacob Morgan shows that 91% of employees say they work more than 40 hours a week, not to get ahead, but to catch up on work. 

A global study by the Organisation for Economic Co-operation and Development (OECD) shows that many Asian countries have workers rendering overtime and struggling to keep with work-life balance. In Japan, death by overworking is so common, they have a word for it –karoshi

Hard work is almost always seen as the path to success, and hard workers are regarded as ideal employees. Nevertheless, getting stuck at an office desk putting in more hours to work doesn’t guarantee productivity. It’s not the amount of hours and effort put in that make an effective worker. As Henry David Thoreau says, “It’s not enough to be busy… The question is, what are we busy about?”

After analyzing 185 million hours of working time, RescueTime finds that, on average, workers spend just 2 hours and 48 minutes a day on productive tasks (–that’s 2.8 hours!). The rest of the day is spent on neutral and distracting activities. On average, 21% of the workday is spent on entertainment, news, and social media.

Technology is supposed to help us do more with less. However, while it does help in making jobs easier and faster, it seems that it also provides a way for workers to lose focus.

Moreover, becoming more mobile doesn’t only mean we can work anytime, anywhere. It also allows work to follow us everywhere. This blurs the line between professional and personal life. And this is not just a problem for freelance and remote workers, as RescueTime finds that 71% of regular employees’ jobs happen before or after work, while 29% happen on weekends.

Coworking space is not about finding work-life balance. It’s about creating one!

We can say that work-life balance is in the very DNA of coworking spaces. When you look at the design, amenities, and benefits of coworking, you’ll see that while it gives value and support to your work, it brings health and positivity to life as well.

Features & Benefits of CoworkingEffects on WorkEffects on Well-being
Open, aesthetic interior, and comfortable fixtures• Sherry Burton Ways, an interior designer and color therapist, shares that “marketing research has shown that approximately 80% of what we perceive or experience is based upon the visual sense of our environment.” For her, an uninspired office design creates uninspired and stressed employees.• It provides a less stressful and stimulating atmosphere that inspires creativity and productivity.• It helps you relax as you do your best work.• It gives leaders a better picture of how the team is performing right away.• Researchers find that inhabitants of more scenic environments report better health.• Design Insider published a study that shows employee well-being is 15% higher in workspaces that have natural elements like greeneries and sunlight.• A positive work experience makes you feel good about yourself and lets you bring that good feeling home.
The opportunity for networking and socializing• It allows you to grow your professional network.• It can provide valuable referrals to leverage your business.• It can grow your circle of friends as well.• It makes room for more meaningful connections.• Research shows that people with an active social life have greater chances of enjoying long lives, and better physical and mental health.
A supportive and dynamic community• A global research by Deskmag and Deskwanted shows that 74% of people in a coworking community are more productive and two thirds feel more creative since joining one.• When you’re with people from other teams or line of work, you have the opportunity to gain perspective, and share ideas and expertise for business growth.• Working around people who inspire you and give support helps raise your confidence.• A healthy work community makes you feel valued. Because of this, you also want to care for those people around you.
Tailored events and activities• These can broaden your knowledge and lead you to key people that can help with your work or business.• It’s a good way to bond or connect with your team and align with their strengths and interests for a more fruitful work relationship.• Ending the workday or workweek on a positive note with a good after-work activity can help you look forward to another workday or workweek with less anxiety or stress. Goodbye, almost-Monday feels!• Having direct access to various events and activities outside work is a great reminder and call-to-action to pursue your other interests or hobbies, meet people, and follow a healthier, more balanced lifestyle.• These activities also create a stronger community or bond among coworking space members, and at the same time help build corporate or individual identities.
A good cup of coffee (taken in moderation)• Research from Massachusetts Institute of Technology (MIT) and others suggest that coffee can help people be more creative individually and as a group.• A study at John Hopkins University reveals that 200 mg of caffeine can increase attention span.• Another study shows that caffeine significantly reduces instances of errors made by night shift workers.• Coffee breaks can be a great way to interact and connect with your team.• Coffee stimulates the release of dopamine. Dopamine creates feelings of euphoria that people often associate with a morning cup of coffee.

7 Benefits of Coworking for Business in terms of People and Productivity

  • Coworking is a business solution that can help enterprises in terms of recruitment, productivity and profit, networking, and so much more.
  • Larger companies are realizing the significant benefits of flexibility provided by coworking spaces.
  • Common Ground can provide all these benefits and seeks to partner with more companies to give its members additional privileges and more opportunities for growth.

Whether you’re starting, growing, or maintaining your business, you have to constantly deal with people, money matters, upgrades, technical issues, and, in some days, lack of good coffee.

Perhaps getting a coworking space is the last thing on your mind when it comes to dealing with these business challenges. Many people think that coworking is only made for freelancers and solo entrepreneurs.

But coworking is not just shared space. It can actually be a real business solution that can lead to better talent acquisition, a powerful professional network, improved productivity and profit, and business flexibility that works for growing and larger companies as well. Here are 7 benefits of coworking for business leaders who want to make a smart choice.

1. The ability to start NOW.

Building or looking for a place to start or expanding a business normally comes with incredible costs in construction or property rental, in setting up equipment and other furnishings, not to mention the hassle of processing paperwork and logistics. What if you could skip all that and run your business now?

With coworking, you can. Coworking spaces are fully furnished and fully equipped. The use of Internet, printers, phones, a variety of workstations, meeting rooms, lounge areas, and pantries are some of the common amenities provided by most coworking spaces.

You can also opt for private offices to fit your team. There are even coworking operators that would let businesses customize a space to suit their needs. Some even have their own team of top architects and designers ready to modify a space based on your preferred layout, brand identity, and other operational requirements. With ready-to-use features and services, all you need to do is to go there with your team and you’re all set to work.

2. Find top talents literally where you are.

An office’s location is a great factor that affects one’s decision to take or keep a job. A Nielson survey shows that 62% of millennials would want to live in urban centers. Most coworking spaces, especially those in the Philippines, are situated in central business districts (CBDs). And work in these business addresses are more attractive to young professionals who have residences within or nearby CBDs.

Better yet, find talents inside the coworking space itself. Coworking spaces are teeming with human resources in different lines of work. You could meet them just by roaming around the area or in events organized by the coworking provider. Changes in business landscape and advancement in technology caused the rise of freelancers and remote workers who are common users of coworking spaces.

Another way coworking spaces help companies in their recruitment is through their vibrant, youthful, and Instagram-worthy interior that appeals to millennials. There are also premium coworking spaces that have recruitment specialists onboard, so you have someone you could turn to for staffing assistance.

3. Grow your professional (and personal) network.

Coworking for business is all about networking. Here, you don’t just get to find people that can work for you, but also people you can work with. With its open environment, community events, and other activities, people and organizations have lots of opportunities to interact, collaborate, and network with each other.

Even the mere presence of your business there exposes you to potential partners, investors, and clients. In the same way, it takes your company out of its limited backyard and into the larger world of business.

In fact, Harvard Business Review in 2017 revealed that 82% of respondents reported an increase in their professional network because of coworking, and 64% identified their coworking network as an essential source of work and business referrals.        

And it doesn’t have to be all about work. One of the benefits of coworking for business is forming friendships outside of business. Perhaps you’ll meet other Game of Thrones followers you could invite for a TV marathon or sports enthusiasts to join your football team. Because why just find and collaborate with people in the same industry, when you could also meet and connect with other people of the same interests?

4. Increase productivity by inspiration—not perspiration.

The office is almost always parallel to hell. Sometimes the sight of it is enough to trigger anxiety and stress. And these feelings are enough to hamper the team’s productivity big time.

What sets coworking space from the usual office is that it’s all about the experience. Who doesn’t want to work in a place as cool as Google and has coffee that’s better than Starbucks? Coworking eliminates the stiffness and monotony of the traditional office. Based on a 2015 study published in the Harvard Business Review, the sense of autonomy and the space for personal expression are some of the things that make coworking professionals thrive. Also, the atmosphere created by the presence of talented individuals and industry experts is inspiring and infectious. The exchange of knowledge and sharing of experiences could trigger innovative ideas, encourage collaboration and teamwork, and reawaken your employees’ passion for work.

In addition, there are coworking spaces that make consultations with business specialists possible and hold entrepreneur workshops dedicated for growing businesses. These, along with the physical design and overall ambiance of coworking spaces, inspire its users to work and level up, which can affect the company’s revenue positively.

5. Give more focus on growing your business.

 Coworking also takes out mundane tasks from its member companies, allowing them to focus on their core functions and primary objectives. In coworking, the day to day routine that comes with running an office such maintenance and security are already taken care of.

Moreover, excellent coworking operators partner with more companies to meet the diverse needs of their members. For instance, with a quality coworking provider, companies can avail of discounts to various tech solutions or get a good deal from legitimate and leading software providers to ease concerns on software licensing. Others even help international businesses move their way around the local business scene.

When looking for a coworking space, choose the one that serves as a one-stop shop that covers not only your basic office needs, but also provide the services and support needed to grow your business.

6. Be everywhere.

One of the key benefits of coworking for business is flexibility. According to a Bloomberg survey, large companies, and not just small businesses, are creating demand for flexible workspaces. These larger enterprises have discovered the substantial benefits this flexibility offers as stated in Cushman and Wakefield’s market research.For instance, a number of projects may require certain teams to move across locations or operate in different sites. Long-term leases for an entire office for limited human count and duration of stay is not a practical choice.

Coworking offers more flexible terms that allow you to pay only for what you need and for how long you need them. It can be reduced to a monthly, daily, or even an hourly rate without creating a huge impact on your cash flow and a big hassle to your operations.

Many coworking spaces have multiple facilities in different prime locations, allowing members to work at the most convenient place for them. Some international coworking spaces let members check in to their facilities abroad, providing greater value and convenience.

7. Have a high-end office at a low cost.

Knowing all these benefits of coworking for businesses may get you wondering, it really must be worth something despite how flexible it is and how much you could save from office setups and long-term leases. After all, anything upscale and valuable comes with a price tag—or hidden charges.

Coworking has a straight-forward pricing scheme. For as low as Rs 5,000 to Rs 15,000 per month, you can have an awesome space that inspires people to collaborate and work, and a place they can look forward to every day. Invite potential investors and partners where they are most convenient, and confidently present ideas and projects to them in an impressive, modern meeting room, instead of squeezing in a confined space or an ordinary coffee shop.

Besides the affordable cost, many coworking spaces are looking to team up with top companies to provide their members with additional privileges and discounts for products and services beneficial for their business operations. Thus, creating more value for their money.

Across the world, more and more companies are taking advantage of coworking spaces. In fact, the largest economic cities in India, like Delhi and Mumbai, have seen as much as 20%-25% reduction in operation costs because of coworking.