Effective space management is critical for businesses to maximize productivity and optimize their use of resources. From managing office space to warehouse operations, space management is an essential aspect of any organization.
In this article, we will explore space management statistics that highlight the importance of efficient space management and the latest trends in this field.
Key Space Management Statistics 2023 – MY Choice
- Only about 60% of available office space is used during a typical workday.
- Only 13% of organizations report their workplace is utilized more than 80% of the time.
- Private offices are vacant for over 75% of the workday.
- The average company has 30-50% more space than it actually needs. Eighty-nine percent of corporate real estate executives are dissatisfied with their company’s approach to space management.
- Because employees move throughout the office during the day, using manual counting to track workspace utilization means a company will observe less than 1.7% of the actual total activity for that space.
- Dedicated workstations are consistently vacant 50-60% of the day. The average annualized cost of a single workstation is approximately $18,000.
- Even though nearly 75% of all meetings are attended by two to four people, more than half of all meeting rooms are designed to accommodate six or more people.
- In conference rooms designed to accommodate six to 12 people, on average, only two to four seats are occupied. Assuming a utilization rate of 25% (the average for most organizations), one empty meeting room can cost your company $11,781 per year.
- Relying on manual spot-checks for conference room utilization tracking can result in employers overestimating utilization by 75-135%. Over two-thirds of employees left their previous role because the workplace didn’t support their needs as a professional.
Workspace Management Statistics
- Workplace utilization rate is only 50% on average.
- The cost of an empty workstation can reach up to $13,000 annually.
- The average office space per employee has decreased from 225 square feet in 2010 to 150 square feet in 2021.
- 67% of employees said that having a dedicated workspace is essential for their productivity.
- The most popular type of workspace is an open-plan office, followed by private offices and cubicles.
- The global market for workspace management software is expected to reach $4.6 billion by 2025.
- Nearly 50% of employees feel that their workplace is not adequately designed for their needs.
- 44% of employees would prefer a private office, while 32% prefer an open-plan layout.
Table 1: Innovative companies prioritize individual and group workspace
|Innovative companies||5x more likely to have workplaces that prioritize individual and group workspace|
|Workplace design drivers for innovation||Yes|
Table 2: Healthy building features impact employee satisfaction and engagement
|Businesses with healthy building features||69% reported improvements in employee satisfaction and engagement|
|Improved metrics||Lower absenteeism rates, increased productivity, more collaboration|
Table 3: Freedom and autonomy in the workplace improve job satisfaction
|People happier with their job||12% more likely to report being happy with their job when they have freedom and autonomy in their work environment|
|Work modes||Focus, collaborate, learn, and socialize|
Table 4: Office facilities and culture can attract top talent
|Job candidates who accept lower salaries||37% will accept a job with a lower salary if the company offers appealing culture, workplace facilities and technology|
|Competitive salaries||Still look at other factors like workplace facilities and culture|
Table 5: Increasing mobile workforce
|Mobile workforce||42.5% of the global workforce will be mobile employees by 2022|
|Preparedness||Employers should prepare for managing mobile talent force by providing mobile-ready spaces and appropriate technology|
Table 6: Mobility increase in the workplace through activity-based workplaces
|Respondents who expect increase in mobility||85% of respondents in a CBRE survey expect to see increase in mobility in the workplace through activity-based workplaces|
|Employee demand||70% of employees age 16-44 say they want to be more mobile at work|
Table 7: Environmental benefits of workplace space planning
|Energy waste||30% of energy used in a commercial building is wasted|
|Opportunities for savings||Workplace space planning for your office allows you to manage building systems more efficiently|
Warehouse Management Statistics
- In a typical warehouse, 60% of space is used for storage.
- 30% of warehouse space is underutilized or not utilized at all.
- The average picking time in a warehouse is 45 minutes.
- The average distance traveled by a worker in a warehouse during picking is 7 miles per day.
- The global warehouse management system market is expected to reach $4.8 billion by 2025.
- Warehouse automation can improve space utilization by up to 70%.
- Nearly 90% of warehouse managers say that improving space utilization is a top priority.
- The most common cause of inefficient warehouse space utilization is poor layout design.
Table 1: Office space occupancy metrics
|Square footage per employee||125 to 225 square feet of usable office space per employee, including common areas and conference rooms|
|Occupancy||The true occupancy of a facility, determined by the total building capacity, the square footage of usable workspace (minus closets, restrooms, and common areas), and the total number of employees|
|Target occupancy rate||A predetermined occupancy rate set by facility managers, adjusted for safety considerations and the fact that more employees may be working remotely|
|Space utilization||Measures how often a space is used, who uses it, and why it’s being used|
|Occupancy sensors||Sensors used to track which spaces are in use at any given time and identify patterns to help plan for the future|
Table 2: Space utilization metrics
|Average utilization||The average amount of time a space is used|
|Peak utilization||The maximum number of employees occupying a particular part of the office, such as a meeting room|
|Peak frequency||The measurement of how often a space achieves maximum utilization in a given period|
|Meeting room utilization rates||The percentage of time a meeting room is used|
|Average desk occupancy||The average number of employees using a desk at any given time|
Note: Additional space utilization metrics may be used depending on specific goals for tracking.
Table 3: Benefits of space management software
|Real-time space monitoring||Ability to see which spaces are reserved or occupied in real-time|
|Historical space utilization trends||Gather and analyze data on space utilization trends over time|
|Digital floor plans||Sensor data directly overlaid on digital floor plans for the most accurate insights|
|Visualization of space||Easily visualize space utilization to understand how space is being used|
|Detailed reporting||Generate detailed reports about how many occupants a facility supports throughout the day, where they spend the most time, and how they use different spaces|
|Optimized space utilization||Maximize space utilization and minimize costs by understanding how space is being used and knowing how things are changing|
|Space planning features||Easily manage seating arrangements, integrate with reservation software for flexible seating, and update floor plans with drag-and-drop functionality|
|Intelligent space planning||Instantly reconfigure floor plans with Space-Right™ to maintain a greater distance between workspaces|
|Capacity limitations||Limit capacity in meeting rooms and common areas to prevent overcrowding|
|Cost savings||Improve the bottom line by making data-driven decisions to optimize workplace space and reduce costs|
Retail Space Management Statistics
- The average store allocates 43% of its space to selling areas and 57% to storage and other functions.
- Inefficient use of retail space can cost up to $7 per square foot annually.
- 72% of consumers say that the layout of a store influences their decision to make a purchase.
- Retailers can increase sales by up to 40% by optimizing their store layout.
- The global market for retail space management software is expected to reach $2.7 billion by 2025.
- The most popular retail space layout is the grid layout, followed by the loop layout and the free-flow layout.
- 71% of retailers believe that improving the in-store experience is essential to remain competitive.
- The most significant challenge in retail space management is maintaining a balance between visual appeal and product density.
Real Estate Management Statistics
- Inefficient use of office space costs businesses up to $30 billion annually in the US alone.
- Real estate is the second-highest expense for most businesses after salaries.
- The global real estate management software market is expected to reach $12.9 billion by 2025.
- The average commercial real estate vacancy rate is 12.3%.
- The most significant challenge in real estate management is predicting and managing changes in demand.
- The average lease length for commercial real estate is 5-10 years.
- 47% of real estate executives believe that adopting new technology is essential to remain competitive.
- 70% of real estate executives believe that space utilization data is essential to make informed real estate decisions.
The Benefits of Space Management Software
Proper space management is essential for any organization, and using software to streamline the process can provide numerous benefits. Here are some of the advantages of using space management software:
Space management software allows organizations to optimize their use of space, making it easier to identify underutilized areas and adjust accordingly. This can lead to increased efficiency in the workplace, reducing costs and improving productivity.
Better Resource Allocation
By using space management software, organizations can more effectively allocate their resources, including equipment, staff, and real estate. This can help ensure that resources are being used effectively and efficiently, leading to cost savings and improved performance.
Enhanced Safety and Security
Space management software can help organizations identify potential safety and security risks, such as overcrowding or blocked exits. By addressing these issues promptly, organizations can ensure the safety and security of their employees and visitors.
Effective space management can help organizations reduce their environmental impact by optimizing energy use, reducing waste, and promoting sustainable practices. Space management software can help organizations track and analyze their energy use, identify areas for improvement, and implement changes to reduce their environmental footprint.
Space Management Trends
The world of space management is constantly evolving, with new trends and technologies emerging all the time. Here are some of the top trends in space management:
Mobile technology is increasingly being used in space management, allowing employees to easily access space management tools and resources from their smartphones and tablets. This can improve communication and collaboration, as well as increase the speed and accuracy of space management tasks.
Artificial intelligence (AI) is being used in space management to help organizations optimize their use of space and resources. AI-powered tools can analyze data on space utilization and recommend changes to improve efficiency and productivity.
The rise of remote work and flexible work arrangements has led to an increased demand for flexible workspaces. Space management software can help organizations create and manage these spaces, allowing employees to work from anywhere while still maintaining the organization’s productivity and security.
Sustainability is becoming increasingly important in the world of space management, with organizations looking for ways to reduce their environmental impact. Space management software can help organizations track their energy use and identify areas for improvement, as well as promote sustainable practices such as recycling and reducing waste.
Effective space management is crucial for any organization, and using software to streamline the process can provide numerous benefits.
From increased efficiency and better resource allocation to enhanced safety and security and improved sustainability, space management software can help organizations optimize their use of space and resources, leading to cost savings and improved performance.
With the constant evolution of space management trends and technologies, organizations must stay up to date to ensure they are maximizing the benefits of their space management efforts.