Home, Office, and Beyond | Godrej Interio

1. HOME, OFFICE, AND BEYOND UNDERSTANDING EMPLOYEE EXPECTATIONS IN A POST-PANDEMIC WORLD

2. Contents Navigating Work 2.0 .................................... 3 Office to Home to Office – There and Back Again .................................. 8 Opposing Views: WFH Vs. WFO ................... 11 Hybrid Work: The Best of Both Worlds ....... 13 Building the Hybrid Workplace ................... 19 Changing Policies to Support Hybrid Work .................................... 29 About Godrej Interio ..................................... 33 2

3. The COVID-19 pandemic changed the world as we know it. Pre-pandemic, it was the norm in India to go to the office, and remote work was confined to a few privileged white-collar workers. Navigating Work 2.0 Colloquially, the term ‘being at work’ was synonymous with “being in the office”. A National Statistical Office Survey found that Indian workers clocked the longest work hours compared to their global peers. Indians work 53-54 hours a week, which averages to 10.6-10.8 hours a day1. 82% of Indian employees think that their job is a vital part of their identity. Source: Godrej Interio Workspace and Ergonomic Research Cell Survey % of Total Respondents; N=350 1 Periodic Labour Force Survey (PLFS), Ministry of Statistics and Programme Implemen- tation, National Statistical Office, June 2020 https:/ /cse.azimpremjiuniversity.edu.in/ wp-content/uploads/2019/06/Annual_Report_PLFS_2018_19_HL.pdf 3

4. Moving from Offices to Homes The first 21-day lockdown in India, announced on March 24, 2020, resulted in a seismic shift for office-going workers, many of whom had never experienced remote work before. An earlier study by Godrej Interio (GI) found that around 33% of Indian employees did not have remote working policies in place. Considering the millions of white-collar workers in India, this number is not insignificant. David Rock, cofounder of the Neuroleadership Institute, likened the response of businesses worldwide to that of a lifesaving first burst of adrenaline in the body when subject is in shock3. Top Three Job Aspects For Indian Employees 84% Good Work-Life Balance 82% Learning and Growth Opportunities 84% Compensation Source: Godrej Interio Workspace and Ergonomic Research Cell Survey % of Total Respondents; N=350 What was meant to be a short-term emergency solution has matured over the last 2 years. As corporations gear up to welcome all employees back to office, employee perceptions about a good work-life balance have changed significantly. 2 Godrej Interio. The Good and the Evil of “Work From Home” – An Indian Perspective. 2020. https:/ /www.godrejinterio.com/business/research-the-good- and-the-evil-of-work-from-home-an-indian-perspective/22982 3 Rock, David. We Need Time to Rehabilitate from the Trauma of the Pandemic. Harvard Business Review. 2022. https:/ /hbr.org/2022/02/we-need-time-to- rehabilitate-from-the-trauma-of-the-pandemic 4

5. Is Remote Work Beneficial to Businesses? While WFH has had employees scrutinising the importance of autonomous work and wellbeing, businesses worldwide have been exploring the benefits of allowing their employees to work remotely more often - instead of it just being a stopgap solution for the pandemic. Allowing remote work means offices can be used as collaborative and social spaces. This has the potential to drive employee engagement4, improve Employee Value Propositions (EVPs), and lead to an increase in the bottom line for companies. 4 Godrej Interio. Metamorphosis of the Indian Workspace. 2021. https:/ /www.godrejinterio.com/business/research-metamorphosis-of-the- indian-workspace/23817 5

6. 31% Employers Should Be Interested in Employee Wellbeing 62% Improvement in Personal Wellbeing Employee Expectations In fact, a Gallup survey found that firms with engaged employees had 18% lower employee attrition and 23% higher profitability5. In short, wellbeing became the focus area for both the employers and the employees over the past two years. 50% Improvement in Team’s Wellbeing Improvement in Wellbeing Employees noticed a difference in, both, their own and their teams’ wellbeing over the same period. Source: Godrej Interio Workspace and Ergonomic Research Cell Survey % of Total Respondents; N=350 5 Gallup Inc. What Is Employee Engagement and How Do You Improve It? https:/ /www.gallup.com/workplace/285674/improve-employee-engagement- 6 workplace.aspx. accessed February 2022.

7. The Way Forward: Changing the Traditional Use of Offices needs to provide a three-pronged approach to address public health requirements, the individual needs of employees, and deliver economic value for businesses through adaptive ways of engaging with their ecosystems6. Despite seeing benefits from WFH policies, the concept of a formal workplace has not disappeared completely. However, the pandemic has opened discussions of how office spaces can be used more effectively. Solutions need to look beyond a return to the traditional workplace and consider practical ideas that consider flexible work protocols, training and development, and company culture. The holistic design of office spaces can ease the transition back to office using technology, furniture, and robust layouts. Essentially, the workplace of the future 6 Stewart, Kristen and Menon, Anil. How to navigate the transition to remote work during the COVID-19 pandemic. World Economic Forum. 2020. https:/ / 7 www.weforum.org/agenda/2020/03/covid-19-transition-to-remote-work/

8. The Move to WFH Was Not Easy Office to Home to Office — There and Back Again Earlier GI research found that 33% of workers lacked a dedicated space to work from their homes. They had to choose from sofas, beds, and dining tables as workstations, with more than 70% of respondents lacking ergonomic support in terms of work chairs, desks, and/ or an external keyboard and mouse7. All that, coupled with longer working hours, internet and electricity issues, caregiving responsibilities, and chores meant that the lines between work and home life grew increasingly blurred. WFH meant that employees had to maximise their utilisation of spaces to emulate the functionality of their offices. Despite this, the WFH scenario did have its benefits too. 7 Godrej Interio. The Good and the Evil of “Work From Home” – An Indian Perspective. 2020. https:/ /www.godrejinterio.com/business/research-the- 8 good-and-the-evil-of-work-from-home-an-indian-perspective/22982

9. Moving Cities Where are employees working from? Many employees returned to their hometowns to spend time with their families, saving money on rent paid in metropolitan areas where their offices were located. Others used this opportunity to live someplace new. 10% worked away from their office locations PRE- PANDEMIC 30% moved to hometowns or to other places DURING THE PANDEMIC Uncovering Return to Work Concerns While some employees have started going back to the office for a few days a week, companies are looking at ways to bring all of them back. However, employees have voiced concerns regarding a return to office. 26% still in hometowns 18% returned to cities where their offices are located PARTIAL UNLOCK PHASE An overarching worry uncovered was that of health and safety; a valid concern considering the open plan layout design in many offices. Source: Godrej Interio Workspace and Ergonomic Research Cell Survey % of Total Respondents; N=350 9

10. Main Concerns about Returning to Office Despite concerns, employees are also looking forward to a return to office. 90% Contracting Covid-19 in Office 86% Compromising Current Lifestyle 68% Employees are Comfortable and Look Forward to Returning to Office 84% Poorer Work-Life Balance 81% Long Commutes For any form of return to office to be successful, employers need to be mindful of workers’ concerns, and inculcate matters of personal and professional wellbeing into policies, office infrastructure, and design. 71% Unable to Provide Care to Parents & Children Source: Godrej Interio Workspace and Ergonomic Research Cell Survey % of Total Respondents; N=350 10

11. Opposing Views: WFH Vs. WFO Experiences from the pandemic years have companies reassessing their policies to ensure no major disruptions to workflows in the future. The Willis Towers Watson India COVID-19 Readiness Pulse Survey, conducted during the early days of the pandemic, found that 83% of companies in India were planning to review their work from home policies8. This is a giant leap from traditional perceptions that employees would not be as productive when working away from the office, reports the Society for Human Resource Management (SHRM)9. 8 Willis Towers Watson. India COVID-19 Readiness Pulse Survey. 2020. https:/ /www. wtwco.com/en-IN/Insights/2020/04/india-covid-19-readiness-pulse-survey 9 Maurer, Roy. Study Finds Productivity Not Deterred by Shift to Remote Work. SHRM. 2020. https:/ /www.shrm.org/hr-today/news/hr-news/pages/study-productivity-shift- 11 remote-work-covid-coronavirus.aspx

12. Male Female The Outliers in the WFH vs. WFO Argument The Argument for WFH Flexibility 25% 24% Lower Risk of Contracting COVID-19 18% 11% Employees who prefer Full-Time Remote 20% Full-Time Office 23% No Commuting 15% 15% Time With Family 10% 12% The Argument for WFO Formal Environment and Resources 18% 18% Location Agnostic 6% Connection with the Organisation’s Culture 16% 18% Improved Collaboration with Colleagues 17% 17% Source: Godrej Interio Workspace and Ergonomic Research Cell Survey % of Total Respondents; N=350 (M=266; F=84) 12

13. Hybrid Work: The Best of Both Worlds 51% Prefer Hybrid Work Employees Who Want Hybrid Work While there are advocates for a total return to office and those for remote work, the rest seem to want a bit of both worlds. 52% of employees worldwide state that they would prefer a hybrid work model in the future10. The Indian workforce is no different. 32% 3+ Days WFH 19% 3+ Days WFO Source: Godrej Interio Workspace and Ergonomic Research Cell Survey % of Total Respondents; N=350 10 McKinsey & Company. What employees are saying about the future of remote work. 2021. https:/ /www.mckinsey.com/business-functions/people-and- organizational-performance/our-insights/what-employees-are-saying-about-the- 13 future-of-remote-work

14. How Far are Employees Willing to Go to Get What They Want? Benefits of Hybrid Work Work-life balance tops the list of benefits offered by a hybrid work schedule, demonstrating yet again how much flexibility and wellness matter to knowledge workers today. There is definitely an excited buzz in the air about reopening offices, but a 180-degree return to the way things were is out of the question. Perceiving employees as individuals with varying needs instead of overarching ‘workers’ is the first step towards this. Employees know what they want and aren’t afraid to ask for it. A flexible work model is now a vital tool for attracting and retaining talent. Male Female Hybrid Benefits Work-life balance 23% 28% Saving Commute Time 20% 16% Time with Family 12% 11% Employees are Ready to Act for Flexible Work Options 39% Negotiate with Employers Improved work performance 14% 11% 24% Switch Jobs 14% Move Locations 13% 10% Salary Cut Source: Godrej Interio Workspace and Ergonomic Research Cell Survey % of Total Respondents; N=350 (M=266; F=84) 14

15. Emerging Employee Personas The survey found distinct employee personas emerging with varying preferences according to age, work experience, and gender, highlighting how different generations need different forms of support from their workplace and have different expectations from their employers. This knowledge can help companies design relevant return to office policies to reduce stress, improve employee engagement, improve team collaboration, as well as decrease employee attrition. 15

16. Employee Personas Entry Level Professionals Mid-Career Women Mid-Career Men Established Business Moguls Age: 35 years old Age: 21-29 years old Age: 40 years old Age: 50-56 years old Gender: Female Gender: Female/Male Gender: Male Gender: Female/Male Job Profile: Marketing Job Profile: Sales/IT Job Profile: Finance Job Profile: Admin / HR Personality Trait: Ambivert Personality Trait: Ambivert Personality Trait: Ambivert Personality Trait: Extrovert 16

17. Cohorts Entry Level Professionals Mid-Career Women Mid-Career Men Established Business Moguls Job Identity High Medium Very High Very High Personal Responsibilities • Household Chores • Caring for Parents • Household Chores • Caring for Children • Household Chores • Caring for Parents and Children • Household Chores • Caring for Parents • Job Role • Work Life Balance • Learning & Growth Opportunities • Job Role • Work Culture • Compensation • Compensation • Learning & Growth Opportunities • Work Life balance Important Aspects of Jobs • Learning & Growth Opportunities • Compensation • Job Role WFH or WFO Hybrid - WFH 3+ days of the week Hybrid - WFH 3+ Days of the week WFO only Indifferent - but prefer Hybrid. WFH 3+ Days of the Week • Nothing. Will continue in job as flexibility is not important • Location agnostic • Negotiate with current organisation • Possibility of Switching Jobs What They Will Do For Flexibility • Negotiate with current organisation • Switch Jobs • Switch Location (men more likely than women) 17

18. Cohorts Entry Level Professionals Mid-Career Women Mid-Career Men Established Business Moguls • Worried about inadequate safety measures in offices • Strongly anticipating a return to office • Remote work negatively affects career progression • Hybrid allows for family time • Boss and colleagues’ decision to go to office has no impact • Hybrid improves work performance and provides a healthy lifestyle • Worried about caregiving in a full- time WFO scenario • No negative impacts of remote work on career progression • Does not look forward to returning to office full-time • Boss and colleagues’ decision to go to office impacts them • Full-time remote work negatively affects career Outlook About Work • Expect teams to work from office giving regular updates • Improved productivity of self and team • Collaboration within team, other departments in organisation stayed the same • Decreased collaboration with customers. • Prefers team to work in office with regular check-ins • Decreased productivity of self and team • Increased collaboration within team and other departments in organisation • Decreased collaboration with customers • Believes team can work from anywhere • Improved productivity of self and team • Increased collaboration within team, other departments in organisation and customers Workplace Performance Over the Past Two Years • Trust their team to deliver their work from anywhere • Improved productivity of self and team • Improved collaboration within team and with customers • Decreased collaboration with other departments within organisation. 18

19. Building The Hybrid Workplace It is clear that the future of work is hybrid. A flexible work model is going to be a key factor that builds company culture and retains critical talent. In short, empathy needs to be at the centre of the decision-making process11. Source: Godrej Interio 11 McKinsey & Company. Getting hybrid work right: What employees are saying. https:/ /www.mckinsey.com/featured-insights/mckinsey- live/webinars/getting-hybrid-work-right-what-employees-are- 19 A flexible work environment saying. Accessed February 2022.

20. Supporting Remote Work Employees need to feel direct support from the company while working remotely. Tangible items can serve as physical reminders that the company wants to support them in as many ways as possible. Home Workstations Helping employees to set up workstations at home can go a long way towards making employees feel that the company cares about their physical wellbeing. Simple ergonomic support like ergonomic office chairs and desks can reduce the strain employees face while working from home. Source: Godrej Interio An ergonomic workstation amplifies the WFH experience 20

21. Work Accessories Laptop stands and second screens can help reduce eye and neck strain. An external keyboard and mouse can also help with setting up an ergonomically friendly workstation at home. Providing employees with good quality wireless headphones can help reduce the fatigue that is associated with earbuds during long meetings. Source: Unsplash.com Laptop stands and second screens can help reduce eye and neck strain 21

22. Tech Support While devices like company laptops are often standard in industries where data security is a key factor, businesses can go further to support their employees at home. Employees expect the reimbursement of internet costs and electricity for a smooth hybrid work experience. Providing training on how to use all the tech tools the company has in place like running antivirus scans, using VPNs, and communication tools can ensure best practices are followed. 22

23. Training Employees to Use WFH Equipment Providing employees with equipment is not enough. Employees need to be trained on how to use it correctly. For example, employees should be aware of the 90-90-90 rule. Chairs need to be adjusted so that feet remain flat on the floor, knees can be bent at a 90-degree angle, elbows resting on armrests at 90 degrees and back support needs to be provided so that hips and back rest at 90 degrees too. It can be a good idea to appoint a wellness manager to oversee employee wellness. Godrej Interio’s Wellness@Work Initiative has certified ergonomists who carry out workplace audits and training workshops to create a healthier and more productive workforce. 23

24. Solutions For Offices Organisations can use the workplace to reinforce their culture and brand. Well-lit interiors with planters and standing desks focus on employee health and wellbeing. Modular workspaces using moveable furniture can support innovation and creativity. Activity Based Work Design Activity-based working allows employees to choose from a variety of workspaces according to their cognitive requirements. Examples include focus rooms when employees want to concentrate or larger rooms for brainstorming sessions. If space permits, adding a meditation room can help employees refocus and de-stress. Source: Godrej Interio Create a variety of workspaces according to their cognitive requirements 24

25. Resimercial Décor The office décor can play a key role in promoting employee wellness, by giving them the choice and control to use spaces that make them feel the most productive. Consider bringing comfortable furniture that mimic the choices they have at home for break and meeting rooms. Sofas, soft furnishings, and artwork can add inspiring pops of colour in offices or turn spaces into oases of calmness to help employees focus. Planters bring nature indoors, adding to the décor, and have health benefits too. Informal bean bags and pouffes can create a playful atmosphere. Source: Godrej Interio Consider bringing comfortable furniture that mimics the choices they have at home Source: Unsplash.com Source: Godrej Interio 25

26. Choice Of Furniture A mixture of seating arrangements can help employees alternate postures as needed. Height adjustable desks that allow employees to sit or stand, and additional ergonomic support should be made available in the office for employees to personalise their workstation according to their needs. Satellite Office Spaces Implementing policies for workers who want to use co-working spaces near them for team meetings or a change of work environment can reduce commute times, encourage employees to meet in person and keep the spirit of collaboration alive. Satellite office spaces can also offer similar advantages. Source: Godrej Interio Height adjustable desks promote active posture change 26

27. Digital Collaborations AV equipment needs to be able to support hybrid teams - i.e., where some team members are physically present, and others are working remotely. Digital whiteboards, lecterns, and other equipment like motion sensing cameras can bring equity to all the individuals no matter where they are. Other considerations include equipment that considers sightlines, the correct lighting, and good audio systems in meeting rooms. Source: Godrej Interio Tech-enabled spaces with movable furniture can quickly be converted into a meeting space for hybrid teams that are spread between office and other locations 27

28. Workspaces that Focus on Health and Wellbeing Office Design for Employee Wellness The fear of contracting COVID is one of the biggest concerns employees have about returning to office. Therefore, communicating the measures the company is taking to ensure the health of its employees is vital. Email communications and visible signage about safety measures like changes in the HVAC system and sanitization can help reassure employees. Biophilic elements Infrastructrue Outdoor Spaces Planters Promote Choice — Sit stand desks, Soft furnishing (sofas, pouffes), mobile furniture and accessories Sunlight Nature-inspired Artwork Natural Materials Used Circadian Lighting Spaces like Gym/Yoga/Meditation Room 28

29. Employee Wellness Changing Policies to Support Hybrid Work Apart from physical changes to spaces, company policies need to reflect an attitude that cares about the holistic wellbeing of employees. Implementing Employee Assistance Programs (EAPs) are a great way to help employees through tough times. Additional wellness initiatives can include providing access to yoga classes, gym memberships, and organised outdoor team-building activities. With hybrid work the way ahead, ultra-formal office spaces are things of the past. Making the workplace inviting while still providing all the amenities of a professional office can encourage employees to come to work. Instituting policies that support a mixed presence of employees creates an equal arena no matter where the employees are located. Policies Beyond Balance A mixture of seating arrangements can help employees alternate postures as needed. Adjustable desks that allow employees to sit or stand, chairs and additional ergonomic support should be made available to employees attending office so that they can personalise their workstation for the day. 29

30. It’s vital that the senior leadership at the organisation walk the talk when it comes to adhering to these policies lest these rules become ‘on paper’ only. Manager Training None of this is possible without training managers on the best ways to handle hybrid work. They need to be given the skills, tools, and time to learn how to manage individual employees and teams that work on a hybrid schedule. Scheduled time for micro meetings or one-on-ones with individual employees can iron out issues. Managers also need to be given adequate training on how to assess productivity to make sure annual appraisals are performance based and not presence based with hybrid settings. Employee Training and Development Professional development is one of the most important aspects of a job according to employees from different demographics. Companies need to innovate to make sure that this is not overlooked in hybrid work scenarios. Companies can use digital classrooms to upskill their employees while virtual water coolers can provide spaces for mentorship. Wherever possible, encourage training sessions or mentor - mentee meetings in person as face-to-face meetings are the richest forms of interaction12. Caregiving Caregiving support is essential for employees with caregiving duties. Helping employees with access to creches or home health workers for senior care can ease the transition back to office. 12 Kinsay Gorman, Carol. Why You Are More Successful In Face-To-Face Meetings. Forbes. 2015. https:/ /www.forbes.com/sites/carolkinseygoman/2015/10/25/why- 30 you-are-more-successful-in-face-to-face-meetings/?sh=fee097563155

31. Keeping Company Culture Alive Create a business resilience plan - detailing the expectations and processes in case of a change in work location, whether it is a full return to WFH, WFO, or hybrid. Company cultures need to evolve to remain strong. Leaders need to create a sense of shared purpose where every individual feels their contributions are important to company success. Clear and regular communication from management can improve engagement and inculcate a sense of belonging. Leaders need to connect employees across departments, provide cross-functional learning opportunities, and chances for employees to network on-site or off- site to promote positive company culture in a hybrid work model13. Leaders need to track metrics to understand if innovation and performance have decreased, sustained, or improved in the light of new policies being implemented and make course corrections as necessary. Employee wellbeing will continue to be an important factor while formulating these policies. Without involving employee expectations in the decision- making process, leaders run the risk of alienating their workers and losing talent. 12 Guntur, Vijay Anand. 5 ways to inject culture into a hybrid working model. World Economic Forum. 2021. https:/ /www.weforum.org/agenda/2021/10/ 31 hybrid-working-model-inject-good-culture/

32. The past two years have taught us to look to the future with hope and a renewed sense of purpose and meaning. The future of work is one which empowers employees and organisations to thrive, regardless of their location. With such a huge change on the horizon, it is impossible to have all the answers right off the bat. Office spaces need to be revisited to improve engagement, build stronger company cultures, and be used as spaces to heal and grow in a post pandemic world. 32

33. About Godrej Interio Disclaimer Godrej Interio (GI) is India’s premium furniture brand in both home and institutional segments with a strong commitment to sustainability and centers of excellence in design, manufacturing and retail. solutions. Each of our product range revolves around comfort and aesthetics while delivering well-designed, fun and functional furniture solutions. This paper represents the opinions of the authors and is the product of professional research. This report has been prepared for the exclusive use and benefit of the addressee(s) and solely for the purpose for which it is provided. Unless we provide express prior written consent, no part of this report should be reproduced or distributed. While every attempt is made to ensure that the information contained in this document is true to its best. However, Godrej and Boyce Mfg. Co. Ltd., its employees, representatives, affiliates or any of its divisions, etc. shall not be responsible for any reliance made on this paper or for any errors / omissions in information obtained from the source while preparing this paper. Briefly, Godrej Interio transforms dream spaces to life! GI commitment to the environment has resulted in manufacturing products with lesser environment footprint. Our pioneering efforts include designing less environment burdening products, usage of eco-friendly materials and setting up less polluting and consuming processes, ensuring eco-friendly packaging and transportation and finally the extended responsibility of recycling reuse of used furniture and scrap, thus ensuring a lifecycle approach to green. Led by the largest in-house design team in the country in the furniture category and awarded with 42 India Design Mark Awards till date, GI aims to transform spaces with its thoughtfully designed furniture to create brighter homes and offices with products that have the highest design quotient in aesthetics, functionality and technology. With consistent pursuit of excellence and a special focus on health and ergonomics, GI’s product portfolio comprises a massive range. Currently present in over 650 cities with 250 exclusive showrooms and 800 dealers, GI is one of the largest divisions of Godrej and Boyce Mfg. Co. Ltd., part of the Godrej Group, one of India’s largest engineering and customer product groups. Today, we design and manufacture furniture for office spaces, homes, educational institutes, healthcare facilities, laboratories and more. Along with furniture we offer Audio Visual and 360 Degree Turnkey 33

34. Available in over 600 locations in India. North: Delhi, Chandigarh, NCR, Lucknow South: Chennai, Bengaluru, Hyderabad, Kochi West: Mumbai, Ahmedabad, Bhopal, Pune East: Kolkata, Bhubaneswar, Guwahati, Patna An initiative by Godrej Interio, the first Indian furniture company with GREENGUARD certified products. MODULAR FURNITURE . DESKING . SEATING . STORAGE . INTERIORS . LAB . MARINE . HEALTHCARE . HOME Godrej & Boyce Mfg. Co. Ltd. Godrej Interio, Pirojshanagar, Vikhroli (W), Mumbai 400 079. Follow us on Toll Free Number: 1800-267-1122. Fax: +91-22-6796 1503 Email: interiooffice@godrej.com Website: www.godrejinterio.com/business Email Web