The Indian commercial real estate sector is in the nascent stage of adopting structured, comprehensive ESG strategies and frameworks. Of late, ESG has become a key element of decision making for corporate occupiers and employees as well as investors, thereby becoming integral to how offices are designed and operated.
In the ongoing talent war, corporate occupiers are increasingly realizing the importance of offices as a means to attract and retain the best talent. After over two years of remote working, an employee’s expectation from an office space has evolved. The office spaces of tomorrow (or even today, for that matter) need to quickly align with these changed expectations. Keeping in mind the principles of E, S and G, the future of office needs to balance three concepts during design, construction and operation – wellness, user experience and carbon footprint.
Wellness Orientation
Employee health and wellbeing has emerged as a major driver for increasing satisfaction and loyalty levels towards their employer. Offices will need to work hard to ensure the return-to-office experience offers them a sense of security, safety, and convenience, while maintaining a healthy and hygienic work environment. Accessibility to gyms, open and green spaces for employees, superior air filtration systems, air quality displays are some key initiatives which will soon become a norm.
Wellness of the local communities surrounding the offices is also a part of the overall wellness orientation in order to run socially responsible offices. Participation in larger community development programs provide offices and employees alike an opportunity to offer meaningful contributions to the society and improve the overall ecosystem in which the office operates.
User Experience Enhancement
With increasing work and personal life integration along with the nature of work evolving in itself, the workspaces are increasingly becoming more user-centric. Further, how an employee interacts with the physical office space is now changing with the concept of smart buildings. The available amenities, ease of usage, and operational efficiency, all of these are expected to improve with increased digitization of the buildings through newer, smarter technologies.
Integration of tech-solutions through IoT (Internet of Things), larger spaces for collaboration and team building, presence of total ecosystem in and around the office for work life integration are some of the aspects critical to enhance the user experience of an office building. The future offices will be smart, functional and productive and designed from the ground-up with the user in mind.
Carbon Footprint Reduction
The Indian Government has reaffirmed its commitment to achieving net zero with Prime Minister Narendra Modi announcing at the Glasgow COP26 summit in 2021 that India would eliminate carbon emissions by 2070 and would source 30% of its energy needs from non-conventional sources by 2030.
Commercial real estate can do its bit to mitigate over one-third of total carbon emissions it is responsible for (Source: World Business Council for Sustainable Development 2018). Office spaces will need to work towards reducing their carbon footprint through rigorous implementation of energy efficiency measures, use of green energy, responsible waste disposal, recycling and upcycling, and responsible use of water combined with adopting an efficient supply chain. These measures are crucial to pivot next-generation offices into the new paradigm of carbon neutral workspaces.
Reporting and Standardisation
Commercial real estate developers are now seeking nationally and internationally recognized building certifications – something that corporate occupiers would now look at as an important criterion for selecting and setting up their office spaces. Certifications such as Leadership in Energy and Environmental Design (LEED) and India Green Building Council (IGBC) are the most accorded in India. Apart from this, there are other green certifications and benchmarks such as those from the International Well Building Institute, RE100, GRESB and more which reflect a sense of credibility and commitment to the principles of ESG. Along with these certifications, transparent communication among stakeholders as well as stringent reporting on the progress on achieving ESG goals and objectives will be the true hallmark of a futuristic, responsible corporate citizen.
ESG-compliant workplaces will continue to find favor among employees and investors alike. Working towards a roadmap guided by tangible ESG goals is key to readying the workplace of the future. (Source: Times of India)
