This paper discusses how a successful return-to-office strategy recognizes and addresses the distinct but interconnected priorities of three key stakeholders: property owners, workplace operators, and occupants. Each brings a different set of metrics, challenges, and success criteria to the workplace transformation journey.
Return to Office Strategic Transformation for the Modern Workplace
Industry Perspectives from Intelligent Building Advisory Board April 2025
August 2024
Welcome Back! The return to office is not a reversal—it’s a redefinition. Across industries, we are confronting a pivotal moment in the evolution of work. This is not just about where work happens, but how and why . As organizations seek to navigate hybrid models, talent expectations, and shifting business dynamics, one truth has become clear: the office must now earn its relevance. This white paper reflects a collaborative effort by the Intelligent Building Advisory Board to provide clarity in a time of complexity. Drawing from research, global case studies, and the lived experiences of workplace leaders, the insights presented here move us beyond one- size-fits-all mandates. Instead, we offer a framework grounded in intention—one that recognizes regional variation, values-based leadership, and the new metrics of meaningful collaboration. We stand at the intersection of technology, human behavior, and space. And at that intersection lies an opportunity: to design environments that do more than accommodate work—they elevate it. As you explore these findings, I encourage you to think expansively. The return to office is not about going back to what was, it’s about moving forward to what could be. Our challenge—and our privilege—is to shape spaces that foster connection, spark innovation, and reflect the evolving needs of the workforce and the world.
May 2024
January 2024
Denise Lee VP Cisco Engineering Sustainability Office and Engineering Alliances
Table of Contents
Executive Summary: Strategic Framing of the Return-to-Office Challenge The post-pandemic workplace transformation and key insights from the Intelligent Building Advisory Board Global RTO Landscape: Regional Approaches and Cultural Adaptations Analysis of diverse regional approaches including Brazil, Germany, Japan, Dubai, and Melbourne The Productivity Paradox: What In-Person Work Really Enhances Research insights on which activities improve with in-person collaboration versus what doesn't benefit
Stakeholder Perspectives: Three Views on Return-to-Office Success Understanding the distinct priorities of property owners, workplace operators, and occupants
Real Estate Portfolio Optimization: Purpose-Driven Workplace Design Space utilization transformation and smart building integration strategies
Investment Priorities: Building the Foundation for Effective Hybrid Work Key investment areas: Collaboration infrastructure, employee experience enhancement, and space intelligence
Framework for Execution: Implementing Effective RTO Strategies Leadership approaches, policy development, and change management guidelines
Actionable Outcomes & Policy Guidance: Balancing Business Needs with Employee Experience Practical trade-offs, balanced approaches, and key questions for leaders
Visual Decision Matrix: Designing the Right RTO Approach by Work Type A framework for aligning work activities with appropriate collaboration models
Conclusion: The Path Forward Principles for navigating workplace transformation successfully
2
Global Landscape: Diverse Approaches to Workplace Evolution In late 2024, major corporations implemented strict return-to-office mandates while smaller companies maintained flexibility, setting up 2025 as a pivotal year for workplace policies. The Q4 Flex Index Report shows structured hybrid models have doubled to 43% of companies since early 2023, with average office requirements rising to 2.78 days weekly. Most organizations (79%) now set minimum office hours rather than specific days. A significant divide exists between company sizes: 70% of businesses under 500 employees offer flexibility compared to just 14% of enterprises with over 25,000 workers. This rigidity comes at a cost—80% of large employers have lost talent due to strict mandates, and 72% of recruiters report difficulty filling roles at full-time office companies. The global response to workplace reentry has varied significantly across regions, reflecting cultural differences, local regulations, and organizational priorities.
City-Rural Work Divide | Brazil Brazil has developed a regionally variable approach to hybrid work, with São Paulo- based companies widely adopting 3-2 hybrid schedules while businesses in secondary markets maintain traditional office requirements.
Insight: The most successful global organizations have rejected one- size-fits-all mandates in favor of frameworks that account for regional variations while maintaining consistent collaboration principles.
Legal Right to Flex | Germany Germany has embraced flexible work through its "Flexi- Working" culture and legal protections established in 2021, with major corporations adopting permanent hybrid models allowing 2-3 remote days weekly.
Tradition Resists Reform | Japan Japan traditional office culture has remained largely intact despite government "Work Style Reform" initiatives, with only 8% of companies offering three or more weekly rest days despite official endorsement of 4-day work week since 2021.
Lockdown's Lasting Legacy | Melbourne Melbourne’s approach to return-to-office has been distinctly shaped by its record 262-day COVID lockdown, resulting in CBD occupancy rates that consistently trail other Australian cities as companies adopt more flexible hybrid policies in response to employee resistance.
Visas Abroad, Offices At Home | Dubai Dubai took a unique approach by creating "Remote Work Visas" in 2021 while simultaneously encouraging local companies to return to offices. This dual strategy aimed to attract global talent while maintaining traditional office culture locally, reflecting Dubai's position as both a global hub and regional business center.
Real Estate Portfolio Optimization: Three Perspectives Shaping Return-to-Office Success The successful return-to-office strategy addresses the distinct but interconnected priorities of three key stakeholders: property owners, workplace operators, and occupants. Each brings a different set of metrics, challenges, and success criteria to the workplace transformation journey. The Owner: Economic Viability Property owners and investors face unprecedented vacancy rates and challenging development economics in a post-pandemic landscape. Their focus remains on maximizing property value, minimizing vacancy, and ensuring stable long-term returns. Strategic investments must demonstrate clear ROI through tenant attraction and retention, with a growing emphasis on technology-enabled, flexible spaces that command premium rates even in a challenging market. The Operator: Productivity and Purpose Workplace operators—typically corporate real estate and facilities teams— must create environments that justify the commute. Their challenge is determining which investments will most effectively drive collaboration, innovation, and attendance while managing operational costs. Operators need data-driven insights to balance the competing demands of space utilization, technology integration, and workplace services that collectively create a compelling office experience. The Occupant: Experience Above All For employees, workplace quality trumps workplace policy. The office must provide tangible benefits over remote work. This includes the opportunity to connect and collaborate with colleagues, but also spans functioning technology and comfortable workspaces to amenities that enhance wellbeing. Shift in Leadership Rather than imposing universal solutions, today's leaders must function as workplace architects—designing experiences that honor these different perspectives while creating cohesive team cultures.
Research Insights: The Productivity Paradox A careful examination of research from Stanford, Harvard Review, and other academic sources reveals one clear meta-finding: specific work practices can be improved with in-person work, while general productivity does not necessarily improve. Understanding the Nuanced Benefits of In-Person Collaboration What Benefits from In-Person Work: • Complex problem solving and collaboration benefit from face-to-face interaction and real-time exchange • Mentorship and talent development, particularly for employees in less traditional markets away from main sites • Cultural integration and incorporation of employees into the organizational fabric • Team dynamics and cohesion that strengthen interpersonal connections What Shows Less Clear Improvement: • Individual focus work and routine task completion • General productivity metrics across diverse work categories • Information sharing and standard communication flows • Employee satisfaction when flexibility and choice are removed The Leadership Challenge: Balancing Tradeoffs Organizations must thoughtfully consider important tradeoffs. In-office interactions can build competitive team spirit, while flexibility ensures resilience and reduces burnout. Office environments can help establish clearer work- home boundaries, but commuting reduces overall "online hours." Face-to-face work improves certain collaborative outcomes, but requires distinguishing these situations from general work activities. " “The office has evolved and is no longer considered the place to get work done but rather a community hub where collaboration, innovation and complex problem solving can occur. But this Is a learned behavior that must be driven by leaders who understand the needs and established work practices of their teams. At Cisco, we’re encouraging our leaders to be intentional in how they bring people together and leverage the workplace to create magnetic and meaningful experiences that help employees value their time in the office. " Christian Bigsby | Senior Vice President, Workplace Resources, Cisco
Investment Priorities The most successful organizations follow a "Purpose-Platform-Place" model: defining the purpose of in-person work, building the technology platform to support it, then designing physical places that enable desired outcomes. Building the Foundation for Effective Hybrid Work To support effective hybrid work environments, organizations are prioritizing investments in three key areas: 1. Collaboration Infrastructure • Equitable meeting experiences with 360 ° cameras, spatial audio, and intelligent displays • Digital whiteboarding solutions accessible to both remote and in- person participants • Room scheduling systems with attendance analytics to optimize space usage 2. Employee Experience Enhancement • Frictionless building access through mobile credentials and touchless systems • Concierge-level services to make office time more productive and enjoyable • Wellness amenities including natural light optimization, air quality monitoring, and biophilic design 3. Space Intelligence • Occupancy management platforms to understand utilization patterns • Experience apps allowing employees to book spaces and navigate the workplace • Analytics dashboards providing leaders with insights on collaboration patterns
Reimagining Workspace for Purpose-Driven Collaboration The physical workplace must evolve from a productivity center to a collaboration hub that facilitates high-value interactions impossible to replicate virtually. Space Utilization Transformation Organizations are reconfiguring portfolios to reflect new workplace patterns: • Reduction in individual workstations by 30-40% in favor of collaborative spaces • Increase in technology-enabled meeting rooms by 45% to support hybrid collaboration • Implementation of neighborhood-based layouts promoting team cohesion while maintaining flexibility • Introduction of experiential spaces designed for innovation, learning, and cultural development Smart Building Integration Leading organizations are leveraging intelligent building systems to: • Track space utilization patterns through anonymous sensors • Optimize environmental conditions based on occupancy • Enable seamless experiences between remote and onsite participants • Collect data on collaboration patterns to inform future space design "The post-pandemic landscape demands we rethink physical workspaces as strategic assets rather than cost centers. At JLL, we're seeing organizations leverage real estate intelligence to drive collaboration and innovation. The most successful companies combine occupancy analytics with purpose-driven design to create spaces that enhance the employee experience while optimizing portfolio performance. This isn't about filling seats—it's about creating intelligent, technology-enabled environments where the value of in-person work becomes self-evident, creating destinations people actively choose." Scott Panzer| Vice Chairman, JLL Cisco
Insight: Organizations maximizing RTO success have shifted from measuring attendance to measuring meaningful collaboration, using technology to understand
how space enables business outcomes.
Case Study: The Well Living Lab: Advancing Research on Indoor Environments The Well Living Lab, a groundbreaking collaboration between Delos and Mayo Clinic established in 2016 in Rochester, Minnesota, is dedicated to researching the relationship between human health and built environments. As the first lab exclusively committed to research, development, and testing of both new and existing innovations for indoor spaces, this facility conducts human-centered research in simulated real-world environments, sharing practical findings that can be applied to improving indoor spaces where people spend approximately 90% of their time. Since its first study in 2017 on air quality, acoustics, lighting and thermal conditions in offices and their effects on adult office workers, the lab has completed 44 studies (over half with industry and university partners) and generated 41 peer-reviewed publications. The lab features 5,500 square feet of highly configurable space equipped with advanced technologies including dynamically glazed electrochromic windows, programmable shades, full- spectrum LED lighting, and sophisticated audio systems capable of simulating various acoustic environments.
Rochester, MN 5,500 sq. ft.
Photo Credit: Centerbrook Architects and Planners
Its unique design includes six reconfigurable modules that can be transformed into multiple settings—from residential units to office spaces to school environments. The HVAC systems can also be reconfigured, creating a customizable lab to meet specific research needs and allowing researchers to study a wide variety of environmental conditions. The facility houses thousands of sensors and actuators that monitor various environmental conditions including temperature, humidity, sound, and air quality (measuring VOCs, CO2, ozone, and particulate matter). The Well Living Lab, with its advanced mobile platform, can now conduct research outside the walls of the Lab in the field, leveraging its extraordinary data collection capabilities and commitment to practical applications. All data is centrally managed through a control center that enables researchers to view real-time information and remotely control building systems. This ability to precisely control indoor conditions while capturing comprehensive biometric, behavioral, and physiological data allows researchers to quantify how specific environmental elements affect human health, well-being and performance. The Lab maintains the highest levels of scientific integrity, including adhering to Institutional Review Board requirements and protecting human subject confidentiality.
Framework For Execution Implementing Effective RTO Strategies A successful RTO strategy requires thoughtful implementation across multiple dimensions: Leadership Approach Rather than imposing centralized mandates, senior leaders should be empowered to: • Assess the specific needs of their teams • Identify work outcomes connected to in-person collaboration • Understand what team dynamics benefit from face-to-face interaction • Determine what talent needs from leadership
Policy Development Effective policies balance structure and flexibility by:
• Establishing core collaboration days or "team agreements" • Creating clear expectations while allowing for exceptions • Focusing on outcomes rather than presence • Providing guidelines for determining which activities benefit from in-person work
Change Management Support the transition through:
• Clear communication of the "why" behind in-office work • Manager training on leading hybrid teams effectively • Employee training that encourages a mindset shift • Regular feedback mechanisms to assess and adjust approaches • Celebration of successful collaboration outcomes
"The intelligent building has become the cornerstone of successful return-to-office strategies. Through SkyFoundry’s SkySpark analytics, we are able to understand not just how spaces are used, but how they contribute to collaboration outcomes. Organizations leveraging IoT sensors and building automation can create responsive environments that adapt to occupant needs while providing actionable insights to leadership. Our data shows companies investing in smart systems experience significantly higher satisfaction rates and better attendance than those relying solely on policy mandates." John Petze | Partner and Co-Founder, SkyFoundry
Visual Framework: RTO Decision Matrix When determining your organization's optimal RTO strategy, consider this framework:
Collaboration Intensity
Innovation Requirement
Cultural Development Need
Recommended Approach Regular in-person sessions with supporting virtual follow-ups Hybrid collaboration with purpose-built creative spaces Flexible scheduling with regular team touchpoints Remote-first with optional in-office presence
Work Type
Strategic Planning
High
High
High
Creative Development
High
High
Medium
Project Execution
Medium
Medium
Medium
Routine Operations
Low
Low
Low
This framework helps leaders assess which activities benefit most from in- person collaboration, creating intentional workplace experiences rather than arbitrary attendance requirements.
Actionable Outcomes & Policy Guidance Balancing Business Needs with Employee Experience The most effective RTO strategies acknowledge fundamental tradeoffs:
Consideration
In-Office Benefit
Remote Benefit
Balanced Approach
Structured in-person development sessions with flexible daily work Activity-based scheduling focused on collaboration-intensive work Core collaboration hours with flexibility around individual work Regular team experiences balanced with remote individual work
Enhanced mentorship and cultural integration
Access to broader talent pools
Talent Development
Improved complex problem-solving
Reduced meeting fatigue
Collaboration Quality
Clearer boundaries between work and personal life
Eliminated commute time and improved flexibility
Work-Life Integration
Stronger interpersonal relationships
Greater individual autonomy
Team Dynamics
Key Questions for Leaders When developing your RTO approach, consider:
1. What work outcomes connect directly to in-person collaboration? 2. Which team dynamics would benefit from face-to-face interaction? 3. What does your talent need from you as their leader? 4. How can your workspace be optimized for the types of collaboration that matter most? 5. What metrics will you use to measure success beyond simple attendance?
INSIGHT: Creating a central mandate puts pressure on employees and risks widespread dissent. Empowering senior leaders to assess team needs creates a relevant and differentiated approach to returning to the office.
Conclusion: The Path Forward The return to office represents not merely a logistical challenge but an opportunity to fundamentally reimagine how work happens. By focusing on the specific activities that truly benefit from in-person collaboration, organizations can create workplaces that serve as destinations for meaningful connection and innovation. The most successful organizations will: • Reject binary thinking about remote versus in-office work • Design policies around collaboration outcomes rather than attendance • Leverage technology to enhance both in-person and remote experiences • Create workspaces that draw people together for purpose-driven interaction • Empower leaders to develop approaches tailored to their teams' needs By following these principles, organizations can navigate the complexities of workplace transformation while building environments that enhance collaboration, strengthen culture, and deliver business value.
Contributors
Robert Bailkowski, Chief Executive Officer, Logicalis Robert serves as CEO of Logicalis, an information technology company focused on helping organizations succeed in a digital-first world. Robert understands that sustainability is a clear differentiator, both for Logicalis and the customers they serve. Logicalis is helping organizations improve the emissions generated by their IT environment.
John Braley, Senior Advisor, Delos As Senior Advisor for Delos, John brings his 25+ years of experience in real estate and construction to bring the company’s health and wellness platforms to designers, developers, financial institutions, and technology partners. Since joining Delos, John has launched programs in multi-family residential, student housing, office, education, and other building sectors, as well as establishing strategic partnerships with industry leaders like Johnson Controls International (JCI) and Cisco. Christian Bigsby, Senior Vice President, Workplace Resources, Cisco Christian leads the Real Estate and Facilities organization known as Workplace Resources at Cisco. In his three decades in the real estate industry, Christian has worked as an interior designer, a facility manager, and a real estate director. Over the past 15 years, he has helped transform the way people interact within the work environment and how they think of “the office” and “the lab.” Looking to the future, he and his team are constantly innovating to define the next generation of workplaces to drive the company’s real estate and services into a true competitive advantage in the retention and pursuit of talent. Andrew Karsh, Co-Founder and General Partner, Bay Bridge Ventures Andrew Karsh is Co-Founder and General Partner at Bay Bridge Ventures, an institutional venture capital firm focused on investing in industry leading climate technology companies. With more than 25 years of experience in managing investments on behalf of major asset owners globally, he previously spent ten years as a Portfolio Manager within the Investment Office at CalPERS. During this time he managed a portfolio of $10Bn+ in direct alternative investments and also represented the organization as part of the UN Global Investors for Sustainable Development working group alongside 30 of the largest global financial institutions.
John Petze, Partner and Co-Founder, SkyFoundry John is a co-founder of SkyFoundry, a technology company that develops software solutions designed to help clients derive value from their investments in smart systems through the application of advanced data analytics. Previously, John was CEO of Tridium and also served as the Global Sales Director for Intelligent Buildings at Cisco. John has over 40 years of experience in the intelligent buildings industry and is an expert in automation, control, IoT and energy management. Scott Panzer, Vice Chairman, JLL Scott serves as Vice Chairman of JLL, a global real estate services company that combines innovative technology and data intelligence with their world-renowned full service real estate advisory platform to unveil untapped opportunities for client success globally. Scott is also CEO and Founder of Digital Building Solutions, an infrastructure "farm to table" technology enterprise that provides Power over Ethernet integration with end-to-end solutions for all things PoE. Bryan Osoro, Vice President of Sales, EOS IT Solutions Bryan serves as Vice President at EOS, supporting the largest companies on the planet, whom all have progressive sustainability initiatives. He’s been connecting technology to business for over 20 years and has a particular passion for connecting the unconnected, with a recognition that the real power comes from creating actionable insights gleaned from widespread connectivity. Denise Lee is Vice President for Cisco’s Engineering Sustainability Office and Engineering Alliances where she leads a team that is defining Cisco’s long-term sustainability vision and roadmap, embedding prototype offers across multiple portfolios and building new business blueprints to accelerate growth through Cisco networking ecosystem alliances. She and her team collaborate across every function of the business to develop and create integrated capabilities that serve as the foundation to incubate and scale sustainable products that accelerate the journey to net zero for Cisco, its customers and partners. Denise Lee, Vice President, Engineering Sustainability Office & Engineering Alliances, Cisco
Special thanks to the Cisco team for their invaluable insights and contributions: Bob Cicero, Americas Intelligent Buildings Leader; Eric Knipp, Vice President, Systems Engineering, Andrew Lu, Intelligent Buildings and Sustainability Lead, David Smith Smart Buildings Consultant
Disclaimer This thought leadership paper has been produced by a group of industry experts for general information and educational purposes only. The information contained herein is based on the collective knowledge, insights, and experience of the group members but does not represent formal advice or recommendations. Any views or opinions expressed within are those of the authors and do not necessarily reflect the official policy or position of this group or its members. While every effort has been made to ensure the accuracy of the information in this paper, the authors of this paper and its members accept no responsibility for any errors or omissions, whether caused by negligence or otherwise, or for any loss, damage or liability incurred by anyone in reliance on the information in this paper, to the extent permitted by law. Before making any decisions based on the content of this paper, readers should seek professional advice tailored to their individual circumstances.
Sources: • Kastle Systems Back-to-Work Barometer • Melbourne RTO trends stabilize, Victorian Chamber of Commerce and Industry, March 31, 2023 • How to get return-to-office right, McKinsey, February 6, 2025 • 2024 Mercer Future of Work Study • RTO Mandates Lead to Higher Turnover, Recruiting Challenges, Society for Human Resource • Management's (SHRM), December 17, 2024
• Melbourne’s CBD vacancy continues to be worst in the nation, Property Council of Australia, February 6, 2025 • Tripartite Guidelines that Shape the Right Norms and Expectations around Flexible Work Arrangements, April 16, 2024 • Fujitsu introduces permanent remote working policy for 80,000 employees, Employee Benefits, July 7, 2020 • Japan wants its hardworking citizens to try a 4-day workweek, Associated Press, August 31. 2024 • Working Remotely From Dubai • Emerging Covid-19 Success Story: South Korea Learned the Lessons of MERS, Exemplars in Global Health • Returning to the office? Focus more on practices and less on the policy, McKinsey Quarterly, February 14, 2025 • The Big Four are sticking with hybrid work, Business Insider, February 14, 2025 • Return to Office Trends Q4 2024, FLEX Insights, January 14, 2025
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