Eliminating two satellite office locations, yielding $200K in annual savings.
An information technology service management (ITSM) company faced significant challenges in managing its real estate portfolio during the pandemic, and to adapt to a changing workplace in the years after. With employee numbers tripling in just a few years, effective space management became crucial. Traditional data collection methods were insufficient for their expanding serviced office portfolio, prompting the need for an innovative solution.
The ITSM company needed accurate space utilization data in their serviced offices, which represent approximately 30% of their real estate portfolio, to make informed leasing decisions. Badge data from fixed offices wasn’t representative of how employees were using spaces within serviced offices. Without this data, making strategic real estate decisions posed a significant risk, and they needed a global partner to help them address these challenges.
The ITSM company partnered with VergeSense to deploy sensors across their global serviced offices. This phased approach involved placing sensors in non-fixed offices for about a year to gather data on space usage and inform leasing decisions.
VergeSense sensors were deployed in 14 serviced offices to monitor real-time space utilization. Data was collected for over a year, focusing on space occupancy and usage patterns, which the team accessed via detailed reports and visualizations in the VergeSense platform.
Portfolio Optimization
The ITSM company evaluated leases at 14 sites and chose not to renew two sites, yielding $100,000 in savings; of those 14 sites, they decided to renew four site leases and will be relocating four offices. In addition, they were able to avoid ~$110,000 additional costs in FY25.
Enhanced Space Design
The insights led to a redesign project in one serviced office to accommodate the way employees liked to work; rather than having a number of smaller conference rooms, the team shifted to one larger shared conference room and a breakout room for teams to be able to take their calls.
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