More companies are likely to make use of the flexible workspace concept, because it saves on costs in the face of dwindling availability of space, a real estate analyst said.
“The way I see it, it’s an emerging trend with interconnectivity constantly improving. You don’t have to be physically in the office to do your work,” CBRE Philippines Senior Director for Global Research and Consultancy Jan Custodio told reporters in a recent interview.
Flexible workspaces are “an efficient use of space.” Custodio noted a lot of companies might take to the concept in the future.
“A lot of companies probably might adapt that kind of practice, because there is limited amount of space. The amount of space is actually dwindling, unless you open up new areas of development. But for the sake of efficiency and also for cost-cutting measures, then companies will most likely adapt,” Custodio said.
“At this point, I don’t think it’s that big of a market, because if you talk about BPO companies, it’s still all about fixed space. So there will still be a need for the large space. But for companies who probably have people who are outside most of the time, then that’s something that they might consider,” Custodio noted.
In a separate interview, Jones Lang Lasalle head of Research and Consultancy Claro
Cordero Jr. noted why there is potential in business of providing flexible workspace in the country.
“Flexible workspace facilities are another increasing trend due to the growing number of small- and medium-scale enterprises and business,” Cordero said.
According to data from the Department of Trade and Industry, there were 941,174 business enterprises operating in the Philippines as of 2013, of which 99.6 percent or 937,327 were micro, small, and medium enterprises (MSMEs) and only 0.4 percent or 3,847 are large enterprises.
Flexible workspaces allow SMEs to focus on operating their businesses instead of worrying about occupancy requirements, Cordero noted.
“These SMEs need incubation spaces for them to concentrate on the essential aspect of their business and not be worried about managing their occupancy requirements, until they are able to manage themselves when they grow in scale,” Cordero emphasized.