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Implications of churn
In 2002 the Facility Management Association of
Australia (FMA) completed a research project titled, FMA Office
Churn Research - The Management of Physical Workplace Change.
The scope of the research included 5,115,918m2
and 286,702 full time equivalents (employees) across 132 of Australia's
leading organisations. The study covered secondary and tertiary
churn not primary churn (defined as relocation/major refurbishment)
and compared facility type (office and non-office) and workspace
type (open plan and cellular).
The cost of churn economy-wide in Australia per
annum is AUS$3,579,800,000. As can be expected the key drivers
of
churn include:
- Organisation Restructure
- New Management
- Relocations
- Business Growth
- Staff Turnover
- Teaming
- Downsizing
Types of Churn
Level 1
Briefcase churn, - just moving your own "stuff", all equipment
and furniture remain in the same location for the next person to
use.
Level 2
Internal relocation, minor furniture relocations, minor data communications
relocation.
Level 3
Major departmental churn, larger areas of furniture cabling and
equipment relocation including full height walls.
Level 4
Complete redesign refit, or relocation to new premises.
If the organisation can accommodate workplace
standards that can be utilised throughout the premises the only
churn that needs to be implemented is Level 1. A very cost-effective
way of relocating large number of staff to meet business changes.
Level 2 and 3 churn costs relate to the cost of
systems furniture, Cost of Ownership can be calculated. Churn costing
should be part of the original selection process.
Ie How long does it take to move six workstations
from A to B = $.
- Some furniture may cost
5% more and be 50% cheaper to move/churn.
- If they are of equal cost then the cheaper
selection is the one with better churn cost.
- Is the systems furniture a Mechano set
or a Lego set? Too many pieces take a lot longer to move if
you
have to pull them all apart.
Data/Power and Communications Cabling
Churn costs in relation to re-routing cabling
can be significant if they have to be pulled out of existing equipment
and furniture then re-traced into the new location. Access floors
are the most cost effective over the long term if consistent Level
2 and 3 churn is anticipated. Also systems furniture that allows
drop in cabling rather than "laced" through the system will save
significant $ in the long run.
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