The Physical Workspace in a More Health-Conscious World: Part One of Frost & Sullivan’s Healthy Buildings Research 

The COVID-19 pandemic has fundamentally changed the future of work across industries. In DLL’s recent webinar, “Keeping Occupants Safe: The Framework for Healthy Buildings,” Konkana Khaund, Director of Consulting, Energy and Environment at Frost and Sullivan, shared insightful research on the pandemic’s transformative impact on workplaces. Part one of this two-part blog series will dive deeper into the learnings, expectations and business models for healthy buildings as we re-emerge.

Download now

COVID-19 recovery 

In a baseline scenario, Frost and Sullivan anticipates a full, U-shaped GDP recovery by the fourth quarter of 2021 from the 8.4 percent contraction in the second quarter of 2020 at the beginning of the pandemic. Optimistically, the firm forecasts a full GDP recovery as early as the second quarter of 2021, but even conservatively predicts a full recovery by 2022 at the latest. 

As such, the economic impact on key industries will likely evolve as the pandemic begins to lessen in severity. Industries that were hit the hardest, such as transportation, construction and manufacturing, will begin experiencing fewer challenges in their markets and operations. On the other hand, industries that experienced a net positive impact, such as building services, healthcare and personal care, will likely experience less accelerated and more normalized growth moving forward. However, these services are likely to remain in higher demand than they were before the onset of COVID-19.

Workplace transformation 

In the workplace, we are likely to see transformative measures to accommodate adequate occupant distancing in office spaces, deep cleanings, more contact-free infrastructure, and better air management become standard. Remote employees will remain more common, and we are likely to continue seeing new technologies emerge to better support remote working. Reduced mobility requirements for employees and a decline in real estate requirements for office spaces in specific cities or countries are also likely to occur. 

Safe-start plans 

Along with basic mitigation measures, building owners are encouraged to adopt and develop technology-based mechanical, electrical and plumbing (MEP) safe-start plans. It will be critical that these address the foundations of healthy buildings, including thermal health, safety and security, ventilation and water quality to name a few. Moreover, recommendations from OSHA, ASHRAE and other government organizations like the CDC regarding safe work practices will be instrumental in mitigating COVID-19 within buildings. 

Future business models 

In existing and futuristic business models, outcome-linked value propositions will be favored over productized and project-based approaches to promote healthier buildings. One of the most comprehensive and customizable approaches is digital transformation-as-a-service, a solution-oriented business model that can help maximize portfolio-blend for vendors and service providers. This type of model is already being spearheaded by the likes of NEC Corporation, Carrier and Johnson Controls in the healthy building space.

Another solution-oriented business model with post-lockdown appeal benchmarking-as-a-service for healthy buildings. This human-centric approach involves healthy buildings certification standards such as WELL and RESET and would be led by asset service providers and third-party safety and sustainability certification companies. Additionally, the pandemic response-as-a-service business model has the potential to be leveraged as a parallel revenue stream by facilities managers, which would include things like staff certification. 

As-a-service model gaining momentum 

Air Quality-as-a-service also gained significant momentum in the past six months, largely driven by commercial real estate and higher education institutions looking for ways to reassure their constituents that they can return safely while doing so as economically as possible. This approach offers significant collaboration opportunities for industry participants for joint delivery. Like digital transformation-as-a-service, healthy buildings benchmarking-as-a-service and pandemic response-as-a-service, this model maximizes inclusiveness and customization in comparison to traditional business models. 

As we inch closer to a safe return to the workplace, companies will need to reimagine every aspect of the building to ensure a healthy environment. The layout, technology, and the risk-management plans of buildings will all be crucial in protecting all those who enter physical spaces from COVID-19 as well as future viruses that may arise. Part two of this two-part series will address future considerations and examples of best practices.

To obtain a detailed copy of Frost & Sullivan’s healthy buildings research, click on the button below. 

Download now