How to Select a Project Manager And Improve Your Bottom Line in the “New Normal”

By Robin Weckesser

The workplace will never be the same in the wake of the pandemic—and employers understand that their survival is at risk if they don’t make adjustments to ensure a safe and healthy work environment. At the same time, as staff slowly return to the workplace and the economy begins to improve, another necessity is the recruitment and retention of top talent in an increasingly competitive market.

Both of these challenges beg the need to make the right strategic decisions…with the help of specialists in workplace solutions and change management.

Protecting the Bottom-Line in a Post-Pandemic World

The financial implications of the above are clear. Looking at ways to cut costs, companies often turn to real estate service providers to help them negotiate favorable lease terms. But beyond rent considerations, companies often overlook the fact that they can realize even more significant savings—sometimes more than $1 million—if they think strategically and adopt a “project-centric” rather than a “transaction-centric” approach.

If you’re in charge of facility management, you recognize that the workforce will continue to be virtual to some extent. Chances are you’re looking to maximize the use of your space, which probably means reducing your footprint to lower occupancy costs. You will likely also need to reconfigure your space to allow for physical distancing as well as create a hybrid model that combines open areas and private offices. Or, perhaps you’re thinking of relocating to more creative space that promotes your brand and provides amenities such as a café, an executive briefing center, and even a fitness center.

In planning space enhancements, a design/build project, or a move, a typical question is: Should I hire a project manager (PM)? Often, the initial response is, “Not sure I need to spend the money.” But if you want the project to be delivered on time, on budget, with minimal risk and maximum value, your final decision will likely be “yes.”

Charting Your Direction

Let’s assume you need help with one or more of the following: “new normal” office re-evaluations, strategic planning, budget/schedule development, programming/growth forecasts, space planning, construction implementation, move-in coordination, and overall project supervision. How can you find the right project manager? Should you keep the task in-house or outsource? Should you go with an architectural or construction firm, a real estate firm, or an independent project management firm?

Some thoughts to guide you:

In-house project management. This may be worth exploring if you have professionals on staff with the expertise and time to dedicate to this huge undertaking. Unless the scope of your project is small, this most likely isn’t the case. Typically, for more substantial and complex projects, it is best to outsource the job to more experienced specialists, allowing in-house managers to focus on their core competencies and work with their advisors.

Architects and construction managers. Architects and construction managers are vital to workplace solutions; however, they generally don’t possess the business acumen and strategic know-how to manage the project. For this reason, to ensure the proper expertise and financial oversight, they often partner with PM firms, some of whom have their own architects and construction managers. In this model, they are subsets of the PM firm and can still work their magic under the direction of the principal project manager, who is best suited to avoid conflicts and cost overruns.

Commercial real estate firms. Some of the larger commercial real estate firms have a project management arm, but PM isn’t their primary focus. Further, since these PM’s are first accountable to the brokers, their objectivity may be compromised. Still, an integrated approach like this might make sense if the real estate firm partners with an independent PM firm that has the required experience and depth.

Independent project management firms. As workplace solutions become more demanding and complicated, more companies are adopting this approach as the most efficient and cost-effective way to go. Many firms may specialize in this discipline, but do they have the right expertise and experience?

Overall, a good project manager will:

• Map out the project’s objectives and the expectations of all.
• Inspire confidence.
• Allow team members to excel in their roles.

A New Breed— The Contemporary Project Manager

Over the last decade, we have witnessed a dramatic transformation in work and the workplace—and this has been accelerated as never before by the pandemic. In this environment, project managers, facility managers, brokers, and architects need to re-think their roles.

Traditionally, project managers have directed vendors and integrated services with commercial real estate brokers. They have served as mechanics, responsible for staffing, budgeting, scheduling, and implementation, including IT, AV, security, furniture, and relocation management. While these are mission-critical activities, PMs seldom were involved in big-picture thinking. Today, the PM needs to think like a CFO, marketing manager, workplace strategist, architect, contractor, facilities manager, HR recruiter, and operations manager.

Accordingly, we need to view the role of the PM through a wider lens. Enter the Contemporary Project Manager (CPM), who ideally has the following attributes:

• The expertise of a mechanic but also the broader skills of a strategic thinker.
• A client partner providing non-biased counsel from start to finish.
• Trained in business, sociology, and psychology.
• Sensitive to employee demographics.
• A good listener and communicator.
• One who understands the design and construction process, infrastructure systems, operational programs, and jurisdictional requirements.
• One who can align real estate plans with corporate objectives.
• One who is part architect, part space planner, part interior designer, furniture dealer, and part visionary.
• A coach/facilitator who collaborates with staff and vendors but also can overcome barriers and push for solutions that meet the client’s best interests.

As part of today’s holistic approach to project management, CPMs should be involved from the onset in tenant improvement discussions, lease negotiations, and work letters.
In the final analysis, the right project manager will mitigate risks, save you time, and improve your ROI.

So, especially in today’s new normal, consider a start-to-finish approach to your real estate needs. This begins with site selection and continues with lease negotiation and project management that will optimize your space and improve recruitment and retention.

Today, more than ever, you need a workplace that works!

a3 Workplace Strategies

Robin Weckesser is CEO of a3 Workplace Strategies, a leading workplace consulting group based in San Jose and serving companies throughout the United States and worldwide. Previously, Weckesser served as head of project management for Cresa in the Bay Area. An industry pioneer, Weckesser specializes in workplace design, project implementation management, corporate facilities management, change management, and architecture. For more information, contact Robin at rweckesser@a3workplace.com.