13 Apr 2020
3 mins read
The current COVID pandemic has created a new normal, remote work or work from home. Typically it is estimated that companies can save up to $ 11, 000 dollars per employee per year by enabling remote work. A recent study with the USPTO (US Patent and Trademark Office), as shown in the chart below, shows $38.2 million dollar savings for the organization by enabling remote working.
Post COVID, cost management will be a top priority for enterprises. It is appropriate for the management to come up with a mix of on-premise and remote working capability. However, before taking a call on the right mix, a clear understanding of cost break ups in maintaining office premises vis a vis costs for working from home must be arrived at.
It is important for the CFO to understand different cost implications of a workplace facility to take a right decision. Also, it is important to understand new working models like Hot Desks and its cost, and new software that might be required for better employee engagements – like Yammer.
In hot desking, office workers aren’t assigned a desk, but by prior booking they take any unoccupied seat when they need it. This concept has been around for almost a decade and has been successfully implemented by large corporates, and are of interest now for even smaller enterprises.
Some of the questions that organizations need to answer:
Facility costs includes fixed and variable costs. Following are some of the points to be considered:
A what-if utility dashboard will need to be created which the finance team can use to manipulate the percentage of employees working from home to achieve the targeted cost savings.
In the current scenario, getting a quick understanding of potential workplace costs under different circumstances will help us stay productive and profitable. Also, do share with us your thoughts on sustainable workplace cost management and how we can overcome these testing times effectively with minimal disruption.
About the Author
Aruna is a Data and Analytics professional with more than 15 years of experience and has delivered analytics for enterprises in Healthcare and Insurance. She is currently focused on bringing automation in adopting cloud modern architecture and in leveraging data analytics for cost optimization.
BI & Analytics
11 Jun 2020
28 May 2020
08 May 2020
24 Apr 2020
06 Apr 2020
31 Mar 2020
26 Mar 2020
23 Jun 2017
06 Aug 2015
13 Jul 2015
28 Oct 2014
17 Apr 2014
24 Mar 2014
22 Jan 2014
20 Dec 2013
01 Nov 2013
26 Sep 2013
03 Sep 2013
26 Aug 2013
29 Apr 2013
04 Mar 2013
21 Feb 2013
04 Feb 2013
03 Jan 2013
17 Feb 2012
Digital Assurance
06 Feb 2013
Digital Assurance, Enterprise Solutions
14 Feb 2013
18 Feb 2013
27 Feb 2013
Others
01 Mar 2013
Enterprise Solutions
05 Mar 2013
18 Mar 2013
Digital Assurance, Enterprise Solutions, Others
22 Mar 2013
12 Apr 2013
26 Apr 2013
13 May 2013
11 Jun 2013
17 Jun 2013
25 Jun 2013
19 Aug 2013
27 Aug 2013
10 Sep 2013
19 Sep 2013
24 Sep 2013
30 Sep 2013
01 Oct 2013
03 Oct 2013
19 Nov 2013
Enterprise Solutions, Manufacturing and Consumer
28 Nov 2013
03 Dec 2013
03 Jan 2014
27 Jan 2014
31 Jan 2014
12 Feb 2014
13 Feb 2014
20 Mar 2014
11 Jun 2014
Manufacturing and Consumer
26 Jun 2014
30 Jun 2014
10 Jul 2014
15 Jul 2014
16 Jul 2014
18 Jul 2014
26 Aug 2015
28 Sep 2015
07 Oct 2015
26 Oct 2015
Infrastructure Mgmt. Services
07 Mar 2016
22 Mar 2016
13 May 2016
23 May 2016
Application Transformation Mgmt.
11 Jul 2016
25 Aug 2016
03 Sep 2016
14 Sep 2016
15 Nov 2016
22 Nov 2016
25 Nov 2016
Business Process Services
25 Apr 2017
Banking and Financial Services
18 May 2017
30 May 2017
27 Jun 2017
18 Jul 2017
26 Oct 2017
Healthcare, Insurance
28 Nov 2017
11 Dec 2017
25 Jan 2018
21 Feb 2018
14 Mar 2018
22 Mar 2018
23 Apr 2018
15 Jun 2018
18 Jun 2018
( Mandatory field * )
The information you provide will be used in accordance with our terms ofPrivacy Policy
Please Check on "I Agree" to register for the blog.