
From shrinking space to growing pains: Why workplace strategy and FM need to catch up
Author: Tony Marroney, Operations Director, the Americas
In recent years, many businesses took decisive action to reduce their real estate footprint. With office occupancy rates at historic lows and hybrid working firmly embedded, downsizing made sense given high total cost of occupancy and new ways of working. It made sense on paper, at least.
Now, the tide is turning.
With increasing pressure from senior leadership to bring employees back into the office, with a trend towards four or even five days a week in a growing number of firms, organisations are facing a new set of challenges.
Suddenly, the streamlined, downsized workplace isn’t enough to meet demand. Meeting rooms are overbooked. Desks are scarce. Phone booths and huddle rooms are used as workstations. Facilities teams are struggling to predict peaks in occupancy and ensure consistent workplace experience.
The result? Frustrated employees, strained resources, and workplaces that can’t deliver the experience businesses need.
A space strategy fit for reality
The challenge many organisations face isn’t unique. It’s the result of a gap between real estate decisions made during low-occupancy periods, typically longer lease cycles or challenges quickly acquiring more space, and today’s renewed push for office-based collaboration.
To close that gap, businesses need a more dynamic approach to workplace strategy and facilities management, one that reflects real-time usage, evolving leadership priorities, and employee expectations.
The role of FM in solving the space puzzle
Facilities Management (FM) teams are central to making the modern workplace work. But to do that effectively, they need the right tools, data, and strategy in place.
Here’s what that looks like in practice:
1. Data-driven space planning
Relying on outdated occupancy models won’t cut it. FM teams need real-time insight into how spaces are used, including desk booking data, meeting room utilisation, and foot traffic patterns. Sensor technology, occupancy analytics, and integrated workplace apps provide the visibility needed to plan proactively.
2. Flexible, adaptable spaces
A reduced footprint doesn’t have to mean reduced functionality. Smart space design with modular furniture, flexible collaboration areas, and multi-purpose zones ensures that workplaces can flex to meet fluctuating demand at good value with less CapEx.
3. Enhanced workplace experience
To make returning to the office worthwhile, the workplace must deliver more than just a desk. Seamless booking systems, catering options, wellbeing spaces, and personalised services enhance the employee experience and ensure staff enjoy their time in the office and that the space is used effectively.
4. Proactive communication
Employee frustrations often stem from poor communication around space availability and office policies. A clear, consistent message, backed by technology that shows real-time availability helps manage expectations and reduce friction.
Aligning workplace strategy with business demands
It’s clear: a reactive, short-term approach to space management won’t work in today’s climate. Facilities teams, workplace strategists, and leadership must work together to:
· Reassess space requirements based on actual and forecasted occupancy
· Invest in the right technology for data-led decision making
· Design workplaces that adapt to changing needs
· Create an environment that makes coming to the office worthwhile
At Macro, we partner with businesses to bridge the gap between real estate strategy and day-to-day operational reality. Whether you’re dealing with growing pains from recent space reductions or planning your next phase of workplace evolution, our FM and workplace experts help create agile, efficient, and experience-led spaces that work - today and tomorrow.
Is your workplace strategy keeping up with business demands? Talk to Macro about building a smarter, more adaptable workplace.
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