Joseph Schwartz 97, Marketer of the Original Cubicle / Stance Healthcare to Acquire Arizona-based Plural Studios / Woodlore International Inc. Officially Under New Ownership / Surya acquires Mitchell Gold + Bob Williams brand / Humanscale Pilots Standalone Retail Concept in Hangzhou, China / Office Occupiers Plan To Dramatically Shrink Footprints Even As Attendance Mandates Rise / The Incredible Shrinking Worker’s Office / Half of people say they are less productive in coworking spaces / Office Usage Reaches Highest Mark Since March 2020 / Bringing the MillerKnoll Collective Together in San Francisco / World’s Best Office Property Market Is Seoul, Korea, With 98% Occupancy / 'Return-to-office' rates vary widely across Europe / People spending more time in offices in search of social interaction / and much more…


The Working Space
Monday, November 20. 2023

Industry News

Joseph Schwartz 97, Marketer of the Original Cubicle
Fifty nine years ago, in the spring of 1964, an important milestone occurred in in the world of contract furniture. It was during this time that the modern office made its debut in New York City. Joe Schwartz, the then marketing director of a small home furnishing firm called Herman Miller, based in Zeeland, Michigan, played a pivotal role in this historic moment. He was busy setting up the world's very first modular "workplace solution" in a showroom located at 600 Madison Avenue. Simultaneously, he was reaching out to various architecture firms, eager to share this groundbreaking product. The brainchild behind this innovative creation was none other than the brilliant and eccentric polymath, Robert Probst. The product itself boasted a spacious desk, a private carrel specifically designed for phone calls, and a vertical filing system. With its sleek steel lines and cutting-edge design, the "Action Office" truly looked like something out of the future, and it quickly became an iconic representation of its era. Naturally, designers from all over were drawn to the showroom, eager to witness this revolutionary concept for themselves. While the original Action Office failed, a version introduced a few years later, dubbed Action Office 2 was a huge hit. 
 
Joseph Norman Schwartz was born on January 29, 1926, to Mannie and Ruth Schwartz in Brooklyn, New York. He is survived by his loving wife of 69 years, Rana Morris Schwartz and numerous children, grandchildren and great grandchildren. He had a storied career at Herman Miller and was known as "the father of the cubicle." He was involved in numerous organizations and will be remembered for his ability to bring out the best in everyone. Services were held yesterday, November 19th, in Scottsdale, AZ.

Woodlore International Inc. Officially Under New Ownership

Woodlore International Inc. has been acquired by Bill Melnik, the owner and CEO of BRC Group and Tayco, under a Supreme Court Ordered Reverse Vesting Order. With Melnik and his leadership team at the helm, Woodlore aims to focus on efficiency and process improvements to expand its OEM and existing Dealer business at its production facility in Brampton, Ontario. The acquisition is expected to bring growth opportunities and a refreshed brand identity to Woodlore.

The new leadership plans to maintain ongoing business with BRC and Tayco, leveraging their unique capabilities and industry knowledge to increase efficiency and strengthen partner relationships. Woodlore will continue to operate separately from BRC and Tayco. Founded in 1986, Woodlore specializes in laminate case good production for office furniture and is committed to delivering high-quality products on time while ensuring environmental sustainability. BRC Group, founded in 1979, is a leading manufacturer of commercial office furniture solutions in North America, and Tayco, founded in 1976, is a Canadian manufacturer of commercial office furniture solutions.

Stance Healthcare to Acquire Arizona-based Plural Studios
Stance Healthcare has entered into an agreement to acquire Plural Studios, a maker of adaptive furniture. The two companies share similar values and missions of improving lives through design. Plural will continue to operate independently with its existing team, while growing alongside Stance Healthcare. Stance Healthcare focuses on manufacturing furniture for healing environments, while Plural Studios creates adaptive furniture for various settings.

Humanscale Pilots Standalone Retail Concept in Hangzhou, China
Humanscale is piloting a standalone retail concept in Hangzhou, China, with the grand opening taking place on November 17th. The store features Humanscale's range of ergonomic products and is designed to resonate with the high-tech, design-focused community. This marks Humanscale's first Chinese retail concept and serves as a starting point for future retail expansion globally.

Bringing the MillerKnoll Collective Together in San Francisco
MillerKnoll is renovating its 10,000 square-foot showroom in San Francisco to offer a co-branded experience with Herman Miller, Knoll, and other collective brands. The showroom will reopen in early February, providing customers and the design community a single space to experience the latest in design for home, office, and more.
Surya has acquired the Mitchell Gold + Bob Williams brand and plans to relaunch it as a wholesale and trade resource. The acquisition includes intellectual property, inventory, and manufacturing equipment, but not retail leases. Surya CEO Satya Tiwari aims to expand the company's reach and offerings to the design community. This marks Surya's third notable acquisition, following Global Views and RST Brands earlier this year.
Office occupancy reached its highest level since March 2020, with a 50.5% occupancy rate across 10 cities. Chicago, San Francisco, and New York City saw notable increases in occupancy. The national usage rate surpassed the previous high, and return-to-office mandates have increased. However, compliance with mandates remains low, with commuting times and a lack of perceived value as top reasons for employees not returning to the office.
In the face of hybrid work and decreased corporate demand for office space, property owners and operators are considering the amount of space allocated per worker. The uncomfortable conditions of traditional offices have led to a decline in workers' desire to spend time in them. Densification, the reduction of office space given to U.S. workers, has been driven by cost-saving measures and the belief that denser layouts foster interaction and innovation. Market-level job growth and space availability have been identified as the primary factors influencing densification. While the Covid-19 pandemic initially led to an increase in square feet per worker, densification appears to be accelerating.

However, there are several caveats in the data. The sample of office-using workers is not statistically representative and primarily consists of jobs that can be done remotely. Surveys like the federal government's Current Population Survey may not adequately cover all office workers. Data on office space comes from estimates of vacancies, not actual occupancy rates, and may not align with government data on remote work. Despite these limitations, property owners can consider running surveys among their own occupiers to gain a more comprehensive understanding of the situation.

Despite the push to bring workers back to the office, companies are shrinking their office footprints. A survey by Robin found that while the majority of companies mandate worker attendance, 80% have downsized their office space since the pandemic, and 75% plan further reductions in the future. The downsizing trend is driven by companies having a clear vision for their office space and implementing those plans. The shift towards hybrid work is also reflected in office design changes, with employers adding wellness spaces, collaboration rooms, and hot desking. However, the reduction in office footprints could negatively impact office valuations and occupational demand.
Seoul, Korea has the world's best office property market with over 98% occupancy and a 15% increase in rents. The demand for office space is high due to limited supply, cultural preferences, and a robust domestic economy. In contrast, the commercial real estate market in the US is facing declines and struggling with higher interest rates. Korean investors have been affected by the global market collapse, but the office market in Seoul remains strong.
Landlords are repurposing real estate to adapt to changing market conditions and meet the demands of tenants. Out-of-date office spaces are being refurbished or converted into hotels, data centers, apartments, and other types of real estate. Factors such as macroeconomic conditions, evolving city centers, and the need to cater to a demanding workforce are driving these changes. The conversion of office space into residential units is also seen as a solution to the lack of affordable housing. Investors are considering repurposing assets into industrial storage, hospitality, vertical farming, and data centers.

Features

The Covid-19 pandemic has led to a shift in the workplace, with many employees transitioning to remote work. However, as businesses begin to bring their workers back to the office, not everyone is eager to return. Studies have shown that a significant percentage of professionals prefer to continue working from home, and incentives are needed to entice employees back to traditional office life. This has sparked a rethinking of office design, with a focus on creating a workspace that feels like a "home away from home." The future of the office lies in incorporating inviting spaces, comfortable design elements, and nature-inspired elements such as plants and views of nature. By fostering a sense of tranquility and promoting social interaction, collaboration, and employee wellbeing, businesses can create an office environment that attracts and retains talent.

In this post-pandemic world, the office is no longer seen as just a physical workspace but rather a "social destination." The approach to office design has shifted from viewing offices as mere containers for staff to comfortable and inviting working spaces. By incorporating homely design elements, businesses can create an environment that aligns with employees' expectations and integrates their professional and personal lives. To encourage workers to return to the office, businesses need to think creatively and prioritize collaboration and employee wellbeing when briefing office designers. By adapting to this new template, businesses can create an office space that not only meets the functional needs of work but also provides a sense of comfort, social interaction, and productivity.

Workspace News

According to a report from Gowling WLG, office workers now spend more time in the office, with the average increasing to three and a half days per week. The main driver for returning to the office is social interaction. However, despite spending more time in the office, only 50 percent of workers spend four or more days per week in the office, leaving buildings below capacity for substantial periods. The report also highlights the impact on younger workers, with a third stating that working from an office provides better opportunities for career progression.

A new survey reveals that companies that allow remote work experience revenue growth four times faster than those that enforce stricter office attendance policies. The analysis of 554 public companies found that fully flexible firms, either completely remote or offering employees the choice to come to the office, saw a 21% increase in sales between 2020 and 2022. In comparison, companies with hybrid or fully onsite workforces only experienced 5% growth. The better growth rates for remote-friendly companies can be attributed to their ability to hire faster from a wider geographic area and higher employee retention.

Despite the trend of calling workers back to the office, this survey provides compelling evidence for the benefits of remote work on company performance. It challenges the argument that on-site work promotes collaboration and culture, as companies with more remote-friendly policies have shown significant revenue growth. The study also highlights the importance of providing flexibility to individual teams in determining when and where they work, rather than implementing a rigid attendance policy dictated by top management.

A survey by JLL reveals that while the majority of international organizations encourage employees to work from the office at least some of the time, the actual return-to-office rates vary across Europe. France and Belgium lead with an average of 3.5 days working from the office, while Germany, Netherlands, Spain, and the UK lag behind with an average of 2.5 days. The survey also highlights the evolving workstyles, with more employees working in the office for more days. The physical office is valued for socialization, innovation, and professional growth, but commuting, noise, and lack of privacy are reported as top barriers. Employers are transforming their workplaces to create flexible, collaborative spaces, with 42 percent of office space globally already adapted to meet changing needs.
U.S. law firms are expanding their office spaces, diverging from the trend of downsizing and adopting flexible work arrangements seen in other industries. This reflects a preference for in-person work in the post-pandemic era and a push for greater office attendance. While some firms are downsizing, the overall trend emphasizes the importance of physical office space for collaboration and client interaction in the legal field.
As we transition back to the physical office in a hybrid world, there are several considerations to optimize the workplace. These include recognizing the workplace as part of a wider ecosystem of work, recalibrating the workplace to meet the priorities and expectations of workers, placing emphasis on learning and socializing for younger generations, rethinking meeting spaces to support both in-person and virtual participants, creating office vibes that offer varied experiences, embracing workplace evolution and design as an active strategy, using design to enhance inclusion, prioritizing wellness as a workplace strategy, measuring and monitoring space performance to drive business outcomes, and staying smart on space utilization through data-driven insights and technology.
According to a study by Scoop Technologies and Boston Consulting Group, companies with flexible work-from-home policies experienced four times faster revenue growth compared to those with in-person requirements. Firms that allowed employees to work entirely from home or choose their office days saw a 21% increase in sales between 2020 and 2022, while companies with hybrid or full-time office policies only saw 5% growth. The study suggests that flexible workplace policies enable companies to hire from a broader talent pool and recruit more quickly.
Workers today are 40% more likely to skip lunch than they were a year ago, with nearly half of the workforce skipping lunch at least once a week. Generation Z workers are the most likely to skip lunch due to concerns about judgment from their bosses. While some workers try to block off time for lunch, many end up using that time for other purposes. Skipping lunch can lead to burnout and decreased job performance, so employers should encourage employees to take a proper lunch break by implementing lunch as an activity and providing opportunities for learning during lunchtime.
A psychologist explains the meaning behind common work-related dreams. Dreams of being late or unprepared may reflect concerns about meeting expectations or fear of failure. Conflict dreams may indicate communication issues in the workplace. Dreams about job loss or demotion reveal anxieties about job security and performance. Repetitive tasks or mundane work dreams may signal dissatisfaction and a need for change. Dreams about doing a different job may reflect a desire for personal growth. Being chased at work can indicate feeling overwhelmed, while missing a deadline dreams may show stress about meeting expectations. Inability to communicate dreams may reveal challenges in expressing oneself. Positive work dreams, such as success and recognition, may signify a desire for achievement or validation.

Trends

Futurist and coworking thought leader Liz Elam argues that coworking should be considered part of the workplace hospitality industry rather than the real estate industry. Coworking differentiates itself by focusing on providing an experience and being of service to others. The rise of hybrid work and the changing needs of companies may lead to a correction or crash in the office real estate market, making it important for coworking operators to redefine their business description as hospitality rather than real estate.
The shift towards remote work has impacted the commercial real estate landscape, leading to high vacancies in office buildings. To adapt, mixed-use buildings are incorporating office spaces to cater to the need for workspaces closer to people's residences. These workspaces offer plush furnishings, advanced technology, and a vibrant ecosystem of surrounding amenities. An example of this trend is the Warner Center neighborhood in Los Angeles, which is transforming into a downtown area with multifamily living, shops, retail, and office spaces.
Medical coworking spaces, a new trend in the healthcare industry, offer flexible alternatives to traditional clinical settings. These shared work environments provide on-demand office or clinical space for healthcare professionals, equipped with state-of-the-art facilities and medical equipment. The approach is attractive to independent practitioners as it helps amortize expenses and provides networking opportunities. However, running a medical coworking space requires considerable investment and operational effort.

Design

As the office market shifts and owners face the challenge of filling empty office spaces, the concept of adaptable design is gaining traction. Designing buildings that can easily be repurposed for different uses over time can increase their value and reduce waste. Examples of adaptable design concepts include the unTower, a donut-shaped skyscraper that can support various uses, and the idea of a "perpetual asset" that can morph and change throughout its extended lifespan. While there are challenges to implementing these concepts, such as zoning laws and short-term developer mindsets, incentives and a long-term perspective could encourage more adaptable building designs in the future.
Crafting exceptional office experiences that surpass the comforts of remote work requires focusing on community and belonging, flexibility and choice, opportunity and access for career growth, access to better technology and amenities, and culture-driven engagement. Examples from Pacific Companies and Fuscoe Engineering demonstrate how creating a sense of comfort, flexibility, collaboration, and purpose can enhance the office experience and attract and retain top talent.
A recent METROPOLIS Think Tank Panel discussed the role of research in work/life design and the implementation of hybrid work models. The panelists emphasized the importance of establishing a framework based on company profile and using data-driven decisions. They also highlighted the need to engage in early research conversations with clients and be mindful of survey fatigue and marginalized groups. Ultimately, the goal is to create happier, healthier, and more comfortable work environments.

Coworking

WeWork's bankruptcy filing has created opportunities for other coworking providers to step in and take over the leases that WeWork wants to exit. Companies like Industrious and IWG have already taken over some WeWork spaces and expect to do more in the future. However, the future of coworking is still uncertain, with conflicting market forces at play. The demand for flexible work and leases is increasing, but the shift in office attendance rates and the impact of the pandemic on the office market make it difficult to predict the exact direction of the coworking industry. Nonetheless, there is still potential for coworking spaces to thrive, especially with the increasing number of entrepreneurs and startups in need of office space.

Software

Autodesk, with its dominant architecture software like AutoCAD and Revit, has long ruled the industry. However, a wave of startups is challenging its dominance by offering lighter, cheaper, and more collaborative alternatives. These startups focus on specific user needs, building types, and functionality that Autodesk hasn't fully explored. The competition is driven by demands for lower fees, simplicity, speed, interoperability, collaboration, and automation. While no clear leader has emerged, these startups are leveraging cloud-based technologies, AI-powered data, and automation to reshape the industry and potentially change the built world.

Other News

Charles and Ray Eames, renowned designers of the 20th century, incorporated play into their design process, using toys as inspiration and tools for brainstorming. Their belief in the value of play allowed them to approach problems creatively and without constraints. The latest exhibition from the Eames Institute for Infinite Curiosity showcases their collection of toys and highlights the influence of play in their design philosophy.
Braun, a design icon, was founded by Max Braun in 1921 and became known for its innovative and progressive workplace culture in the 1950s. The company's collaboration with designers like Dieter Rams led to the creation of products that combined form and function, influencing not only the design world but also companies like Apple. Braun's focus on good design and longevity serves as a valuable lesson for the industry.

Latest Products

EzoBord has announced its collaboration with Robin Sprong, introducing the Robin Sprong Collection. This partnership combines the designs of Robin Sprong with the application capabilities of EzoBord, creating a transformative experience that brings art and culture into working spaces. Robin Sprong is known for its innovative aesthetics, showcasing a diverse portfolio of designs created in collaboration with talented artists. The Robin Sprong Collection offers a wide range of inspirations, from natural elements to contemporary and culturally rich creations. Interior designers and architects can select curated designs from this collection, which are applied to custom printed PET acoustic panels using EzoBord's advanced printing process. These panels can be repeated and applied in various thicknesses and configurations, allowing for flexibility and versatility in creating vibrant and artistically captivating environments.

Through this collaboration, EzoBord aims to revolutionize the way people experience their working spaces. By combining their expertise in architectural acoustics with the artistic brilliance of Robin Sprong, they are redefining design boundaries. The Robin Sprong Collection empowers individuals and organizations to transform their spaces into visually inspiring and acoustically balanced oases. With a commitment to sustainability, EzoBord ensures that all products in the collection meet the highest environmental standards and are crafted with meticulous attention to detail.

For more information about the Robin Sprong Collection by EzoBord and to explore the unique artists and their bespoke designs, visit their website  today.

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Keilhauer has partnered with HBF Textiles to offer ten new textile families, featuring unique patterns and colors not previously found in Keilhauer's library. The textiles emphasize sustainable materials and are partially constructed from recycled or rapidly renewable content. The partnership expands the textile options available for designers and includes collections like Argyle Boucle, Checkmate, Cherished Knit, Comfort Zone, Crosstweed, Gather, Poppy, Quill, Soft Angles 2.0, and Upstart.
Hightower and +Halle have launched the Boulevard collection, designed by MSDS Studio, which offers intuitive seating for resting or working. The collection includes six modules that can be customized to fit any space, with a slim profile that allows for seating in unused areas. The collection is designed to provide a pause and respite in active spaces, making it suitable for coworking, lounges, and hospitality settings.
Stylex introduces Luna, a contemporary banquette seating collection that offers precise specification down to the inch. Luna's sophisticated curves, ergonomic support, and limitless configurations invite collaboration. The collection includes comfortable segments ranging from 25" to 60" that can be run or standalone, and interlock with durable ganging brackets. Luna's base options and the ability to incorporate power, biophilic elements, and accessories make it a versatile solution for modern workspaces. Manufactured in the U.S. with a commitment to environmental sustainability, Luna is presently undergoing testing for Greenguard IAQ and LEVEL Certification.
German industrial designer Stefan Diez collaborated with Herman Miller to create the Fuld Nesting Chair, designed to save space with flip-up seats and wall-saving legs. The chair features a one-piece construction, tubular arms, and a 3D Knit textile made from recycled content. Diez shared prototyping shots on his website showcasing the chair's design and flexibility. Diez is also known for designing the Plusminus lighting system.
Buster + Punch celebrates its 10th anniversary with the launch of the Chopper chair, designed by Massimo Buster Minale as a tribute to his late father. The chair features a wider gauge steel frame, full-grain leather seat and backrest, and solid brass logo caps. It is stackable and adjustable for comfort, and the packaging has been reduced by over 75%. The Chopper embodies simplicity in design and is intended for use in lounges and lobbies. Buster + Punch plans to release new covers for the chair in the future while remaining original, meaningful, and innovative in their approach.

Trends in Commercial Projects from Around the Globe

Element Design Network transformed an old UFC gym into a new headquarters for Builders Paving in Hillside, Illinois. The project involved creating functional spaces with a refined design, incorporating materials that reflect the company's industry and a clean, modern aesthetic. The office features adjustable height workstations, a well-designed break room, and top-tier ergonomic-centric furniture. The employees are pleased with the new offices, which have improved work morale and fostered a sense of camaraderie.
(W)rapper, a new office tower in Los Angeles, stands out with its unique design and amenities but has yet to attract a tenant. The challenging post-pandemic market conditions and the unexpected writers' strike have contributed to the slow recovery of the Los Angeles office sector. However, there are signs of potential demand in the creative office space market, and (W)rapper is well-positioned to benefit from any improvements in the office market. If lease agreements start to accumulate, it will demonstrate the success of a building that meets the needs of office users. If not, it may indicate a longer road to recovery for the Los Angeles office market.
Workplace designed a large IT department for a confidential energy company in Wroclaw, Poland, focusing on comfort, work quality, and neuroinclusive design principles. The office utilized ecological materials, excellent acoustic parameters, and natural lighting to create a space that supports brain regeneration and increases productivity. Employees appreciated the aesthetically pleasing and environmentally friendly design, stating it is the "nicest office they have seen."

Upcoming Industry Events

Clerkenwell Design Week 2024
May 21-23, 2024 | London

Clerkenwell is home to more creative businesses and architects per square mile than anywhere else on the planet, making it truly one of the most important design hubs in the world. To celebrate this rich and diverse community, Clerkenwell Design Week has created a showcase of leading UK and international brands and companies presented in a series of showroom events, exhibitions and special installations that take place across the area.

NeoCon 2024
June 10-12, 2024 | Chicago, IL
 
NeoCon has served as the world’s leading platform and most important event of the year for the commercial design industry since 1969. A launch pad for innovation—NeoCon offers ideas and introductions that shape the built environment today and into the future.  

Orgatec 2024
October 22-26, 2024 | Cologne, Germany

Orgatec is the International trade fair for office and property equipment. Held in Cologne, Germany.

Industry Briefing

Berco Designs Announces Its New VP of Sales
Berco Designs, a manufacturer of high-performance tables, has announced the appointment of Brooke Corcoran as their new VP of Sales. With her extensive experience in the design community and working with dealers and end users, Brooke is expected to bring a new level of expertise to the company.

KI launches classroom furniture giveaway and space design competition
KI has launched its second annual classroom furniture giveaway and learning space design competition for K-12 educators. Four winners will receive up to $40,000-worth of KI furniture to create their dream learning space, with one winner receiving a school library or media center makeover. Submissions open on December 1 and winners will be determined by a public vote, with installations taking place in 2024.

IIDA NY Extends Application Deadline for Third Annual Hazel Siegel Scholarship
The International Interior Design Association's New York Chapter (IIDA NY) has extended the application deadline for the third annual Hazel Siegel Student Scholarship. This scholarship honors the legacy of Hazel Siegel, a renowned textile designer and chapter member. The scholarship provides financial support for student members to participate in scholarly activities and offers the opportunity to attend the SHIFT Conference in Dallas, TX. The scholarship is open to currently enrolled New York State undergraduate and graduate interior design students. Applications are due by November 27th, 2023. For more information and to submit your student application, visit: https://forms.gle/Bt5nHt3uFEztJ2xx7
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