By Khadijah Suria & Fakhirah Mohamed Ainuddin
Introduction
COVID-19 pandemic has shifted the way how businesses operate and conduct their business. It has forced businesses to rapidly redesign their work arrangements in order to protect the health and safety of their employees. In order to survive, businesses need to redesign work arrangements in a way that is both effective and sustainable in the long-term. Many employees are still unable to travel or work remotely, which means that many traditional office environments are not viable options. There are many challenges that businesses are facing in redesigning their work arrangements post-COVID-19.
On the other hand, a surprising number of potential users, including companies, business owners, and independent contractors, are embracing the coworking spaces (shared working spaces) as users need a strong emphasis on work routines to ensure productivity (Clifton & Reuschke, 2022). Coworking is where a working space or an office used by people who are self-employed or who are from different employers. They primarily work on a project independently, or some may work on the same project. Coworking spaces can potentially assist employees who have challenges with space and location, and this can be done while taking into account the nature of work .
The demand on coworking is predicted to rise unexpectedly as homeworking/remote working levels remain permanently higher postpandemic (Clifton & Reuschke, 2022; Massachusetts Institute of Technology, 2021). Vogl & Akhavan (2022) found that coworking spaces generate communities of specialised and highly-skilled employees, attract businesses and venture capitalists, and may speed up urban revitalization processes. The revitalization of places can have a positive effect on the value of nearby commercial assets to attract investors. In addition, the author stated that the developing communities and networks outside of the workplace are contributing to depopulation and even promotes the migration to non-urban areas.
Perks of Coworking Spaces
Accessibility
Most coworking spaces are set up in city locations, for instance, in urban area. These coworking spaces may be strategically located close to some clients or business partners (Mariotti et al., 2021). These eventually benefit companies in gaining better networking and engagement with their stakeholders. Companies frequently cannot improve engagement because there is no one-to-one connection between employees and stakeholders, particularly when there is only one headquarters (Pochepan, 2022). As a result, there is limited engagement with stakeholders through online working channels. For workers, most importantly, they choose a coworking space because it is close to their homes and community (Clifton & Reuschke, 2022). Coworking spaces help to overcome this limitation.
Flexible Rental
Coworking spaces offer flexibility on rental fees as company will incur rental costs depending on their team size. For instance, if a company rents spaces for 30 employees for a given month and choose to cut the crew in the following month (Pochepan, 2022), then, the coworking provider will cater to and suit the interest of their client by setting the size for the following month. Due to this, the companies can manage and spend their money sensibly by the resources it requires.
Furthermore, most businesses might view coworking as cost-effective (Tan & Lau, 2020). The businesses have to pay for the space rather than signing a contract for at least five years. Additionally, if a business chooses to hire coworking spaces, it would not have to pay additional expenses like refurbishment. Consequently, this makes it possible for companies to earn more money in the future.
Disadvantages of Coworking Spaces
Lack of Privacy
Most coworking spaces provide communal desk arrangements and open-style rooms without sound barriers. As a result, private and confidential conversations between people can be overheard. This positioning can be noisy, create conflict, distrust others (Bouncken et al., 2018) and distract workers from concentrating on their tasks. Hence, these situations will reduce the productivity of the employees.
Restricted Hours
The majority of coworking spaces are open during business hours. This time constraint is inconvenient for some people who prefer a flexible schedule. They cannot work according to their preferred schedule because the coworking provider's rental agreement restricts them (Pochepan, 2022). As a result, coworking spaces may not be the best fit for businesses with flexible work cultures.
Competitors Under the Same Roof
Coworking spaces are available collaboration and social hubs that bring together people or businesses from various backgrounds to work together or independently. Some groups may run into people whom they are competing with for business. According to Pochepan (2022), this causes discomfort and insecurity among businesses and their competitors. However, it might spark new collaboration that benefits both parties in certain cases.
Conclusion
Large corporations have no trouble maintaining office building budgets in this post-pandemic situation. Small businesses, on the other hand, are struggling with their financial resources, prompting them to sell their property ownership. Regardless, it is critical for any company and business owner to adapt to environmental changes like the COVID-19 pandemic that we are currently facing. The main point is to stay in the market as long as possible during the pandemic. Most employees are content with working remotely, but some prefer to interact with coworkers in person (Liu, 2021). Coworking spaces are ideal for people who need to socialise and interact physically. It also indirectly helps in creating networking as well as exploring new opportunities for businesses.
