Case studies
European Property and Workplace Transformation
SECTOR
Medical Devices
SPECIALISM
Property & Workplace
FOCUS
Elevating Business Image; Customer and Talent Attraction and Retention
OVERVIEW
Our client, a multi-€B revenue global medical devices organisation, was experiencing acute problems arising from its European property portfolio.
Outdated premises in city locations not associated with high technology business, poor proximity to public transport, outdated working environments, congested workspace, and working conditions which were not conducive to staff welfare had led to low morale, highly valued staff leaving the company to join competitors, and Country Managers reluctant to invite existing customers, prospective clients, and important suppliers to the offices for meetings.
A European Property Transformation programme had been initiated but soon encountered significant issues in key areas including the unsuitability of aspects of the workplace design, lack of financial transparency from a key supplier, inadequate financial planning, weak governance, and expenditures exceeding budgets.
We were appointed to lead the turnaround of the programme, to manage the first project through to completion, and deliver a series of workplace transformation projects in Europe.
VISIBILTY
We designed and implemented a Programme Management Office framework for the European Property Transformation Programme and created new templates for budget planning and management, and investment benchmarking.
To facilitate programme and project coordination we selected, developed, implemented, and managed a real-time, collaborative, project management platform and processes to ensure transparency, robust governance, and status reporting between the PMO, architect, country teams, and specialist fit-out contractors.
We also chaired the European Property Steering Group which provided a forum for information-sharing and strategy alignmentacross the organisation and increase strategy coordination between Commercial and Manufacturing business units including the management of lease expiry and renewals, space utilisation surveys and future requirements planning across the property portfolio, andidentifying facilities to be used for temporary transition purposes.
VALUE
The successful outcomes for this programme included the completion of new, high quality, modern, and agile workplace in four office premises (Netherlands; Sweden; Italy; Spain) in a series of overlapping sprint projects during the course of 15 months to deliver the strategy of modernisation combined with agile working and staff wellness.
All projects were completed within budget parameters.
We received exceptionally positive feedback from the Board, Country Managers, project teams, and office-based staff regarding the fulfilment of the needs of the business, the elevation of the company’s image, and the increase in staff collaboration and morale.
4 New Offices
Concept to completion within 15 months
Zero
Business days downtime
100%
Adherence to budget
EFFECTIVENESS
We managed the regional relationship with the group global property agent and its activities to create a global lease contracts database. We also designed and introduced a new framework and process for defining, scoping, pricing and delivery of property-related services as a means of increasing clarity, transparency, and value for money.
In agreement with regional management we set out space allocation guidelines (occupation density) and an acceptable investment ranges (per M2 and per PAX) for workplace transformation. We had full responsibility for creating and managing capital budgets (subject to approval), and benchmarking project investments to the agreed ranges.
We managed the company’s local property agents to ensure that the client’s requirements were clearly understood, and its best interests were served. This included responsibility for managing the client’s property agents, as well as defining the criteria for their property search activities and market benchmarking. We ensured detailed due diligence was performed for each property including core building infrastructure, landlord investment plans, allocation of building services, and landlord/tenant obligations. We created a detailed budget forecast for each project, made proposals to the regional Board, and achieved approvals to proceed. Working with the property agents we negotiated commercial offers, Heads of Terms, and lease agreements including Category A and Category B modifications, and dilapidations obligations.
Due to its resistance to providing financial transparency regarding client funds we terminated the client’s preliminary appointment of the intended pan-European specialist fit-out main contactor and interior designer. We led formal selection processes for all major works packages including the architect and interior designer, business rates advisors/negotiators, the replacement specialist fit out contractor, decoration, joinery, lighting, furniture, security, internal and external signage, and ensured performance in accordance with the negotiated contracts.
At the individual projects level we formed and led core teams comprising Country Managers, department Directors, cross-company representatives, and the architect. We facilitated and documented key project components including business requirements, a detailed programme, key milestones, and design concepts which combined a new corporate workspace design language as well as localisation to reflect the culture of each country.
Key progress reports were presented to the Regional President, the SVP Finance, and the Property Steering Group on a monthly basis to ensure awareness and ongoing coordination.
Working closely with the local project teams we ensured that regular communications were issued to all in-country staff, and that detailed Day One inductions took place to provide smooth onboarding to new ways of working.