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OPEN Coworking South Africa - Coworking Africa 2015

Paul Keursten.

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Co-working as a value proposition for
offices and neighbourhoods
Paul Keursten
Coworking Africa Conference
July 23, 2015
Workshop17, Cape Town
Key trends in work and value creation
• Economic and social development are intertwined.
• Innovation is the base for productivity and sustainability, the driver for economic, social and
environmental solutions.
• Intrinsic motivation, passion and curiosity are the main sources.
• Innovation comes about in communities and networks in which individuals cooperate based
on reciprocal appeal.
• Ideas develop and come to reality in a diverse and rich environments, where various sources
of ideas and inspiration are in proximity.
• Our traditional offices don’t offer this environment.
• Co-working spaces do and thus are material as innovation hubs.
• Co-working spaces can become destinations and be vital to bringing neighbourhoods to life.
OPEN Coworking South Africa - Coworking Africa 2015
OPEN Coworking South Africa - Coworking Africa 2015
OPEN Coworking South Africa - Coworking Africa 2015
OPEN Coworking South Africa - Coworking Africa 2015

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OPEN Coworking South Africa - Coworking Africa 2015

  • 1. Co-working as a value proposition for offices and neighbourhoods Paul Keursten Coworking Africa Conference July 23, 2015 Workshop17, Cape Town
  • 2. Key trends in work and value creation • Economic and social development are intertwined. • Innovation is the base for productivity and sustainability, the driver for economic, social and environmental solutions. • Intrinsic motivation, passion and curiosity are the main sources. • Innovation comes about in communities and networks in which individuals cooperate based on reciprocal appeal. • Ideas develop and come to reality in a diverse and rich environments, where various sources of ideas and inspiration are in proximity. • Our traditional offices don’t offer this environment. • Co-working spaces do and thus are material as innovation hubs. • Co-working spaces can become destinations and be vital to bringing neighbourhoods to life.
  • 8. Traditional office vs co-working model 1. Separation of space and function: • everyone their own seat, desk, space • separations of departments and companies • each functionality its own space 2. Hierarchy of spaces: • individual office is goal • highest rank gets best space 3. Square meter based 4. Ownership based 5. Long term contracts 1. Sharing of space and function: • shared facilities and spaces • mixed use by various companies and organisations • multi-functional continuum of spaces 2. Level playing field: • ideas are the currency • best space is shared 3. Member and community based 4. Use and access based 5. Flexible membership
  • 9. Trends in commercial property • Capacity has been growing on old assumptions and still is • Office needs are changing. • Office market is becoming a replacement market. • Growing number of entrepreneurs, smal businesses and free agents can’t and won’t buy into traditional offices and office models. • Autonomous professionals who drive innovation want an environment that is inspiring, high quality and does not look or feel like a traditional office. They don’t want to be stuck in office parks. • Vacancy is growing, so pricing not going up. • Value proposition is not matching a growing part of the demand. • Margins are under pressure
  • 10. Co-working answers • Fill the continuum between coffee shops and traditional offices • Create destinations: • add value to the building, become anchor tenants in existing buildings • revitalise old buildings into an ecosystem for work • be a critical part of the mix for creating neighbourhoods that are alive • Create networks of spaces ad people across locations: combining physical, virtual and community • Partnership models: • universities and knowledge institutes • property owners • incubators and accelerators • co-working spaces
  • 11. Challenges • Finance models don’t match co-working models • Still need to educate and prove the model to larger audience • Get the mix of people in: • entrepreneurs: starting and seasoned • professionals: expertise in relevant areas • decision makers and opinion leaders: influence and impact • larger organisations: corporate, government and civil society
  • 12. Value proposition • Sharing resources creates a win-win: • users get more than they can afford on their own, better quality • Networks of spaces and virtual communities create extra value • revenue per m2 goes up, property value increase • Combining revenue streams: • memberships and walk ins • eventing, training and meetings • (serviced) office rentals • return on property
  • 14. Structure 1. Traditional office approaches 2. Changes in work and work environments 3. Office trends 4. Co-working’s answers: • to changing work needs • economy of sharing based on time and access • continuum of spaces • revitalising spaces • creating destinations • creating a network of spaces • connecting virtual and physical to build communities