Access to business leaders is the most sought-after in-office perk, says JLL's Neil Murray
Work Dynamics at JLL
- The office — and the role it plays in companies — is at the center of workforce change.
- Neil Murray, a Workforce Innovation board member, discussed workspace purpose, leadership, and AI.
- This article is part of "Workforce Innovation," a series exploring the forces shaping enterprise transformation.
Commercial real estate has experienced a tumultuous few years, with pandemic-related office vacancies and high interest rates. The sector is also at the epicenter of significant changes to the global workforce.
"It is the most incredible time to work in this industry," said Neil Murray, the CEO of Work Dynamics at JLL. "We are at the center of some really important strategic conversations about the very nature of work."
Work Dynamics is a division of the global real-estate corporation that collaborates with corporate clients on technology, employee experience, and design strategies. Murray says its goals are to help client companies attract and retain employees and foster productivity.
In its annual global Future of Work survey, which involved 2,300 corporate real-estate and business decision-makers, some 64% of respondents said they expected to increase their head counts by 2030.
JLL's third-quarter earnings beat estimates — it reported revenue of $5.87 billion, an increase of 15% from the same period in 2023.
Murray talked about companies mulling the purpose of the office, how leaders can incentivize employees to willingly go into their workplaces, and how to harness AI for concrete breakthroughs.
The following has been edited for length and clarity.
How have the priorities of your clients changed in the aftermath of the COVID-19 pandemic and the changes that brought to office life?
What we do for a living changed dramatically through the pandemic. Previously, corporate real estate may have been seen as a sort of factor of production. We weren't intentional about why we had space and where we had it, what we wanted that space to do, and its function. Is it a cost line, or is it an investment?
Suddenly every chief executive in the world had a view on real estate. It brought much more intentionality about its function within the organization and its ability to contribute to broader organizational goals.
Our business now is about helping our clients navigate that complex situation where they're planning to grow their workforce over a number of years, balancing what that might look like in the macro environment we're living in. It's a very complex environment for leaders to think through.
What's the state of return-to-office you're seeing among your clients?
There's a fairly even split between companies that are embracing some sort of hybrid policy and those that want their people back full time.
In our Future of Work survey, we found that 85% of organizations had a policy of at least three days of office attendance per week, and 43% expected the number of days in the office to increase by 2030.
It's still very much an evolving scenario. The metrics of productivity that we've relied upon to make database decisions don't always capture the challenges that businesses are facing. The time people spend doing emails or logged in doesn't necessarily translate to productivity.
One client, for example, has found that while their productivity metrics looked just fine, the number of patents had fallen off a cliff from prepandemic levels.
That led to this notion that what we're missing is, as the phrase goes, people painting on the same canvas at the same time.
Now we've seen some high-profile companies coming out, wanting more time spent in the office, saying there's something lost around culture and the collective sort of personality and purpose of an organization because of remote working. Companies are finding it really difficult to balance that.
What aspects of the workplace are most effective for enticing workers to return to the office?
The overwhelming evidence is that it's not a single amenity but it's other people — and, in particular, leaders. Companies that are intentional about their leaders being present have seen the greatest results in terms of people coming back.
What people crave is proximity to leadership for personal development. So without getting leaders back into the office, you can add whatever amenities you want and you'll still have significant challenges.
Clients that enacted three-days-a-week mandates but didn't focus on leadership presence have exactly the same attendance as those who didn't have three-day mandates.
Could that be attributed to people just wanting to be visible when the boss is around?
I wouldn't purport to understand entirely the psychology of humans, but I do believe that our research and my own experience is that people enjoy other people. The most important amenity in any workplace is that notion of community and other folks to chat to.
The notion of apprenticeship in all aspects of what we do is very real. The ability to learn from others, to absorb how things are done or navigate the complexities of an organization, is really difficult to do among 30-minute slots. You don't get to sort of naturally observe through osmosis what's happening in the world around you.
You mentioned in one of our roundtables that companies need to focus on consistent, breakthrough innovation across the organization as opposed to incremental innovation from a centralized department or team. Why is that important, and how can leaders work toward that goal?
When you centralize innovation, you can get stuck in the paradigm of trying to incrementally improve a particular way of working. But the technology breakthroughs mean that it's fundamentally shifting how we do business.
In my business alone, the rapid adoption of AI tools in daily business use has surprised us all. We are an organization with 250 years of data on everything from how buildings are occupied and used to what they cost to run to their utilities to their capital values.
The tools available to us now to cut and splice and curate and make connections in that data, which we were never able to make before at scale, are driving us to think about the business in completely different ways.
Breakthrough innovation comes about when you use a large language model to interpret multiple data sets and then you start to ask the second, third, and fourth questions, going deeper and deeper into a particular topic. You find things that you could not have possibly seen or connected otherwise.