Employees are a significant part of what makes businesses successful, but profitability also depends on a company’s physical office space. Adding new furniture and decor could be an excellent investment or a waste of financial resources. It depends on the space’s return on investment (ROI). If you don’t know what that number is, use these five tips for measuring your workplace ROI to find your answer and strategize the best workplace renovations or upgrades.
1. Calculate Each Employee’s Salary
Any estate agent can find an expert to present an estimated property value, but that’s not where you should start when measuring your workplace ROI. Instead, begin by calculating each employee’s annual salary before taxes. The final totals will present a baseline for dividing by the number of hours each person works per month and how much money they make per minute. After you get that number, you can move on to creating a helpful survey.
2. Send a Productivity Survey
Using your preferred survey creation site — like Survey Monkey, Google Forms or Survey Planet — send a questionnaire to all interoffice employees. Ask them which office features help them stay focused and which might cause distractions. Managers and business owners can also request how many estimated minutes people feel distracted from their work per day.
The survey answers will provide specific places where management teams can start their renovations and make the most difference to their teams. If you utilize effective survey incentives like positive word choices or rewards, you’ll get more responses and more easily choose the best updates to find and improve your office’s ROI.
3. Compare Survey Results with Budgetary Limits
After reviewing the survey results, you’ll know what needs improvement around the office. Compare the ideas and potential project costs with your budgetary limits to avoid overspending on your investments.
Numerous employees might say that the outdated conference table wobbles during meetings or has seating too far away from power sockets. Getting a new table would be wise, but it could also be a fiscally advantageous purchase if management invested in a conference table with built-in sockets for electronics and a modern design that lacked the wear and tear of daily use.
New furniture or office appliances will add to your workplace ROI, but you’ll double that number if the updates also improve employee productivity. Compare the project costs with the profits lost per minute while each team member remains distracted to see which investments will pay off in the long run.
4. Connect with Your C-Suite
If your workplace has C-suite members on-site, connect with them after calculating the daily profit loss due to workplace design dysfunctionality and recording which projects would help employees focus the most. They may want to focus on boosting the productivity of a specific team by starting with a particular project.
5. Get Employee Feedback
A recent study found that happy employees are 13% more productive, so any projects that create a more positive environment will increase company revenue. Upgrades like a drink machine or a fancy coffee machine for the kitchen will please current team members and potentially attract or retain future employees by demonstrating how management cares about making everyone feel happy.
Start Measuring Your Workplace ROI
Use these tips for measuring your workplace ROI and you’ll discover the most promising projects to boost profits while improving the property’s value. Every step along the way will bond team members and their supervisors, creating a happier office environment that generates more long-term success.