A telecom giant's corporate real estate savings success story.

Unlocking the hybrid workplace dividend: 80% savings, zero corporate real estate waste–this Fortune 500 company shows how it's done.
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Industry Telecommunications
Employees 50K - 100K
Location North America
Policy Hybrid, Minimum Days Per Week
Key Features Marketplace User Administration Utilization Data
Executive Summary:
A leading telecom company recognized inefficiencies in its corporate real estate strategy. So, they took a bold step, eliminating seldom-used, smaller regional offices and instead offering office space on-demand. The result? A whopping 80% reduction in regional office costs.
80%
Real Estate Savings
0%
Real Estate Waste
100%
Flex Workspace Utilization
The Challenge:
Despite implementing a 3-day in-office policy to foster collaboration, the traditional real estate model proved inefficient. While larger offices enjoyed healthy utilization, many of the smaller regional offices went largely unused. Highlighting the necessity for a more refined approach to real estate optimization.

  • Large offices:

    Average attendance: 70% Tues-Thurs, 50% Monday, 25% Friday.

  • Small offices:

    Employees in field roles rarely used dedicated spaces in regional offices, highlighting wasted resources and optimization opportunities.

The Solution:
Seeking to balance the objectives of reducing real estate waste while also encouraging gathering, the company undertook a bold hybrid transformation:

  • Reduce real estate waste:

    Closed underutilized small offices, eliminating significant real estate waste.

  • Give choice:

    Provided employees with access to a pre-approved network of 403 on-demand workspace venues nationwide.

  • Leverage data insights:

    Equip real estate leadership with data-driven insights to inform portfolio decisions.

  • Focus on purpose:

    This flexible model wasn't just about cost-cutting; it aimed to bring employees together to gather meaningfully around specific projects and goals, fostering collaboration beyond the limitations of fixed office spaces.

We closed a large number of small field offices, and we gave employees a tool that enabled them to meet when, how, and where they need to and want to...and saw 80% cost savings.
- Sr Director of Corporate Real Estate Strategy
The Results:
The impact was swift and significant:

  • Booming collaboration:

    Over 4,000 team gatherings in just seven months demonstrate the power of intentional, purpose-driven workspace utilization.

  • Cost savings soar:

    An 80% reduction in real estate costs significantly bolstered the company's bottom line.

  • Zero real estate waste:

    Every square foot was optimized, eliminating unnecessary overhead.

  • Empowered and productive employees:

    Choosing workspaces based on their needs boosted engagement and productivity.

What's Next?
The company's hybrid journey is far from over. They're continuously analyzing their utilization data and gathering employee feedback to fine-tune their program, paving the way for an even more dynamic and successful hybrid environment.

Key Takeaways:

This case study offers valuable insights for large organizations navigating the complexities of hybrid work:

  • Optimize space ruthlessly:

    Analyze your space and eliminate inefficiencies. Every square foot counts.

  • Embrace flexibility:

    Fixed, underutilized office space is a relic of the past. Empowering employees with choices leads to happier, more productive teams.

  • Prioritize collaboration:

    Design your work model to facilitate meaningful team gatherings around specific goals.

  • Be bold and innovative:

    Don't be afraid to rethink traditional models. Bold solutions can yield remarkable results.

Ready to slash your corporate real estate expenditure?