How Workplace Analytics Helps Owners Right-Size Space and Cut Costs

Return-to-office mandates from big-name employers may dominate the news cycle, but for most organizations the day-to-day reality is still hybrid, which presents a unique problem set for buildings. When attendance rises and falls unpredictably by day, floor, and team, owners and operators are left making expensive decisions (leases, renovations, amenity investments, operating schedules) with incomplete information.

The good news is that workplace analytics platforms are now moving beyond simple headcounts into predictive, AI-assisted planning that can translate scattered signals like access events, Wi-Fi connections, bookings, and sensor data into clear guidance on how to right-size space, reduce waste, and reduce the risk of long-term commitments.

Hybrid Work Isn’t a Trend—It’s the Operating Reality

High-profile return-to-office (RTO) mandates from companies like Amazon and JPMorgan Chase grab headlines, but the reality for most organizations remains hybrid. According to the Q3 2025 Flex Report from Flex Index, two-thirds of U.S. firms continue to offer location flexibility, while only about one-third require full-time office presence.

 Another interesting fact is that businesses with fully flexible arrangements grew revenues 1.7 times faster than mandate-driven firms from 2019 to 2024. Smaller, more adaptable companies (with fewer than 1,000 employees) are leading almost all net job growth in 2025. They utilize hybrid work models as a strategic advantage to attract and keep top talent more successfully than larger companies that enforce strict return-to-office policies.

Although large companies continue to attempt to enforce RTO mandates, the ongoing market preference for small and mid-sized organizational flexibility creates a gap that causes real issues for building owners and operators. These issues include uncertainty about unoccupied space, higher operational costs due to underused areas, higher utility expenses per occupant, and riskier decisions about lease renewals or renovations. The unpredictability of future demand makes committing to long-term leases or expensive upgrades a gamble.

What Workplace Analytics Measures Now

The good news is that these challenges, from wasted space and inefficient costs to risky long-term commitments, can be turned into opportunities through workplace analytics platforms, which provide real-time data on occupancy, booking patterns, and utilization. These solutions turn hybrid unpredictability into actionable insights. They make right-sizing possible by aligning space with actual usage patterns, unlocking meaningful cost savings, and helping building owners future-proof their real estate portfolios without expensive, large-scale overhauls.

Modern workplace analytics platforms go well beyond tracking basic headcounts. Today’s tools integrate badge swipes, track Wi-Fi logins, facilitate desk/room bookings, and even incorporate data from occupancy sensors to reveal:

• High and low-utilization periods: Identify busy days (often mid-week) versus quiet ones.
• Workforce “neighborhood preferences”: See how teams cluster for collaboration in designated office zones.
• Underused spaces: Spot conference rooms that get booked but stay empty, or whole floors that barely see any foot traffic.
• Forecasting trends: Predict future needs based on hiring plans or policy changes.

With these insights, owners can consolidate floors, convert excess space to amenities (like collaboration hubs or gyms), or adopt flexible leasing models. Tenants benefit too with better layouts that encourage voluntary office visits, boosting spontaneous interactions that hybrid workers crave. Let’s learn a bit more about workplace analytics in the modern era.

The Evolving Landscape of Workplace Analytics

The workplace analytics market offers solutions at different levels of sophistication, from platforms that focus primarily on day-to-day operations and utilization tracking to newer AI-driven tools that enable more strategic planning, allowing owners and operators to make proactive, lower-risk decisions on major investments like leases, renovations, and layout changes instead of relying on guesses or historical averages.

Examples of workplace analytics platforms include established platforms such as Envoy and Robin, which are widely used for managing the operational side of hybrid offices. Together, they handle visitor management, desk and room booking, real-time scheduling, mobile navigation, and detailed reporting on attendance, resource usage, foot traffic, and occupancy trends. These tools integrate well with common workplace systems (like Microsoft 365, Google Workspace, and access controls) and provide reliable, consistent data that helps operators monitor policy compliance and identify immediate inefficiencies.

However, as AI continues to reshape enterprise technology across industries, often disrupting long-standing approaches in positive ways, the workplace analytics space is no exception. Newer AI-based tools are shaking up the status quo by introducing predictive and scenario-based capabilities that go well beyond what most traditional platforms have offered, enabling a more proactive approach to space management.

AI in Action: Scenario Modeling, Stack Planning, and Move Management

A strong example of this evolution is Kadence, which has taken a leading role in the category with the October 2025 launch of SpaceOps—an AI-powered platform. SpaceOps not only enables building owners, operators, and businesses to optimize their office portfolios with greater confidence but also turns workplace strategy into measurable performance gains and bottom-line growth.

The real power of AI-driven workplace analytics lies in capabilities like:

• Predictive scenario modeling that evaluates the potential results of significant changes, including consolidating floors, relocating teams, or adjusting hybrid policies.
• Interactive stack planning that allows quick design and comparison of layout options across multiple floors or buildings, with instant projections on space efficiency and utilization.
• Automated management of complex office moves, streamlining the entire process from planning through execution and reducing associated disruption.

These capabilities connect real-time occupancy data with higher-level real estate strategy, often integrating with enterprise systems like Microsoft Places, ServiceNow, and Jira. The result is that planning tasks that previously required extensive manual work or outside consultants can now be completed faster and with greater confidence.

Overall, the workplace analytics market is evolving to address a wider array of needs in the hybrid work era. As hybrid work creates ongoing unpredictability in occupancy and utilization, the market is now moving beyond simple operational tracking. Early adopters like Kadence are shifting focus by integrating AI-driven features, paving the way for proactive, long-term optimization.

Turn Hybrid Uncertainty Into a Competitive Edge

Workplace analytics turn hybrid challenges into real advantages. Tenants right-size efficiently, matching space to actual demand, cutting costs, and creating layouts that encourage voluntary visits and natural collaboration. For building owners and operators, the payoff is clear: more vibrant, highly utilized properties that attract and retain flexible companies, reduce vacancy risks, and support stronger portfolio performance through lower-risk decisions on leases and renovations.

In a market where hybrid work dominates and flexibility fuels growth, analytics-driven optimization is a true competitive edge.

Next Steps for Owners, FMs, and Smart Tech Integrators

1. Start with 2–3 decision questions (e.g., which floors can be consolidated, where “booked-but-empty” rooms exist, which days drive peak demand).
2. Audit and validate your data signals (access/badge, Wi-Fi, bookings, sensors) so everyone agrees on what “occupied” and “utilized” mean.
3. Pilot in one zone for 60–90 days (a floor, tenant, or department) and track a short KPI set: peak/valley days, room show-rate, utilization by zone, and cost/energy per occupant.
4. Operationalize the insights by tuning HVAC/lighting/cleaning/security to real patterns, then right-size space (consolidate, repurpose, or rebalance room types) based on proven demand.
5. Scale with governance + integration standards (space taxonomy/IDs, time sync, privacy-by-design, IT/OT boundaries) so the approach is repeatable portfolio-wide.