Consider the Hub and Spoke Office Model to Save Time and Money

by | Sep 8, 2020 | 0 comments

Combining the benefits of work-from-home and the cost-savings of reduced office space is the ‘Hub and Spoke‘ office model.  It’s made up of a small central office supported by a network of smaller offices or co-working spaces. Furthermore, they are near employees’ homes. This concept is popular with international companies and now, with the social distancing requirements, it makes sense for businesses to adapt to this model.

A survey by Deloitte & Touche found that a whopping 94% of employees prefer to return to a physical office and not work from home. This finding presents an issue for businesses which don’t want to waste money on a high-rent urban location. Particularly when employees are working from home the majority of the time.

‘Hub and Spoke’ Model

The hub and spoke model consists of a downsized, central office (Hub) located in an urban business-core adding smaller offices. The Spokes, or co-working spaces, are spread across a broad geographic area near employees’ homes.

Large service companies, such as banks, accounting, software development, and legal firms are already exploring the hub and spoke model with the assistance of commercial real estate companies like COVE and Avison Young. Some are finding that a switch to the hub and spoke vs. one large location, reduces space requirements by 75%.

The hub and spoke office model works for the benefit of both employers and employees. Moreover, it is a good way to boost the employee’s experience (EX) while cutting down on needless expense. Employees will not have long, time-consuming commutes which will save money and gas.

Like it or not, people also like to be around people. Yes, video conferencing makes it easy to connect and collaborate with people working from home. However, not everyone has a comfortable home office space. Home offices also come with all sorts of distractions.

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By Jim Lavorato

Jim Lavorato is the founder of 4M Performance which is designed to assist businesses to survive and thrive in these uncertain times. Jim launched an entertainment-related company in 1988. He was at the forefront in cinema technology and helped spearhead the movie industry's transition to digital presentation and distribution. He also co-founded the Arboreal Group, an environmental consultancy. He has published articles on the motion picture and media industries and is a contributing editor for ScreenTrade magazine and writes a blog "Cinema Mucho Gusto". He is a certified SCORE Mentor in the SCORE Greater Phoenix Chapter and lives in Scottsdale, AZ. Learn more about Jim in his "About" page.

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