tag:theconversation.com,2011:/us/topics/co-working-7995/articlesco-working – The Conversation2020-01-27T17:36:29Ztag:theconversation.com,2011:article/1299582020-01-27T17:36:29Z2020-01-27T17:36:29ZCo-working demystified: Behind the working world revolution<figure><img src="https://images.theconversation.com/files/310064/original/file-20200114-151862-giyuj0.jpg?ixlib=rb-1.1.0&rect=0%2C0%2C1343%2C667&q=45&auto=format&w=496&fit=clip" /><figcaption><span class="caption">Co-working spaces have become an innovative way to work away from a central office without necessarily being alone at home.</span> <span class="attribution"><a class="source" href="https://www.shutterstock.com/">(Shutterstock)</a></span></figcaption></figure><p>Co-working spaces have been growing in all the world’s major cities for 15 years. But what makes them so popular? Why and when did they appear? Who are their members?</p>
<p>New technologies such as artificial intelligence and robots are leading employers to rethink the way they work. At the same time, workers want more autonomy and flexibility. Many have chosen self-employment to escape organizational constraints and to determine where and when they will work. </p>
<p>The <a href="https://www.puq.ca/catalogue/livres/repenser-travail-2799.html">aspirations of workers as well as the expectations of employers</a> have therefore changed significantly in recent years. Many employees want to work from home; others want to work outside company headquarters but with other people.</p>
<p>As a specialist in human resources management and sociology of work, I have been researching co-working spaces for the past five years and have identified the main sources of interest and success of these places.</p>
<h2>A neutral and open place</h2>
<p>Co-working areas, fab labs and living labs are also called <a href="https://books.google.ca/books/about/The_Great_Good_Place.html?id=0aOjHGdSKLMC">third places</a>. The American sociologist Ray Oldenburg defines them as workplaces outside the office or usual place of work, but also outside the home, as is often the case with teleworking.</p>
<p>A third place is neutral (neither at home nor at the employer’s office), open to all, with free and unrestricted access (especially with regard to activities). It should facilitate conversations and meetings and should also provide meeting rooms and space for coffee breaks, lunch and dinner. Ideally, the space should be regularly used by the same users.</p>
<h2>Spaces for co-creation</h2>
<p>The first co-working space was created in 2005, in San Francisco, to allow users to develop their creativity, innovation and ideas. The total number of co-working spaces <a href="http://www.deskmag.com/en/coworking-space-members-how-when-why-are-people-working-in-coworking-spaces-statistics-market-report">now exceeds 14,000</a>. Some spaces disappear while others are created. </p>
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<img alt="" src="https://images.theconversation.com/files/308931/original/file-20200108-107219-1lj817a.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=754&fit=clip" srcset="https://images.theconversation.com/files/308931/original/file-20200108-107219-1lj817a.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=600&h=450&fit=crop&dpr=1 600w, https://images.theconversation.com/files/308931/original/file-20200108-107219-1lj817a.jpg?ixlib=rb-1.1.0&q=30&auto=format&w=600&h=450&fit=crop&dpr=2 1200w, https://images.theconversation.com/files/308931/original/file-20200108-107219-1lj817a.jpg?ixlib=rb-1.1.0&q=15&auto=format&w=600&h=450&fit=crop&dpr=3 1800w, https://images.theconversation.com/files/308931/original/file-20200108-107219-1lj817a.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=754&h=565&fit=crop&dpr=1 754w, https://images.theconversation.com/files/308931/original/file-20200108-107219-1lj817a.jpg?ixlib=rb-1.1.0&q=30&auto=format&w=754&h=565&fit=crop&dpr=2 1508w, https://images.theconversation.com/files/308931/original/file-20200108-107219-1lj817a.jpg?ixlib=rb-1.1.0&q=15&auto=format&w=754&h=565&fit=crop&dpr=3 2262w" sizes="(min-width: 1466px) 754px, (max-width: 599px) 100vw, (min-width: 600px) 600px, 237px">
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<span class="caption">The first co-working space appeared in 2005 in San Francisco’s Silicon Valley.</span>
<span class="attribution"><span class="source">(Shutterstock)</span></span>
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<p>A co-working space allows its users to share the same place with the type of equipment that can be found in an office (photocopier, printer, scanner). Workers can use this equipment and share expenses in exchange for weekly or monthly rental fees.</p>
<p>Offices may be in an open area to facilitate chance meetings. This is preferred by many self-employed workers, but small businesses or start-ups often prefer closed offices for more confidentiality. Both types of offices can be located in a co-working space, which helps to reduce isolation <a href="https://journals.openedition.org/tem/4200">through the presence of a kitchen or coffee corner, where workers meet</a>.</p>
<p>In this way, the co-working space has become an innovative solution to the desire to work away from a central office, without necessarily being alone at home. It is also attractive for self-employed workers who prefer to work in a space where there are other workers.</p>
<h2>Facilitating networking</h2>
<p>Ideally, a co-working space should go beyond cost-sharing or offering services. It should also be a place to share ideas and network, and allow members to develop professional co-operation.</p>
<p>Some co-working spaces bring together particular categories of workers, in the same sector or with professional links. The principle of a co-working space is to rent working space, which helps to reduce costs, but also to encourage networking and exchange of ideas.</p>
<p>To develop this collaboration, people must find a common interest to encourage exchanges. Some spaces emphasize proximity of mission or vocation (all social economy enterprises, for example), which can increase members’ interest and desire to collaborate with each other.</p>
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<img alt="" src="https://images.theconversation.com/files/308935/original/file-20200108-107249-1c8c8pb.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=754&fit=clip" srcset="https://images.theconversation.com/files/308935/original/file-20200108-107249-1c8c8pb.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=600&h=400&fit=crop&dpr=1 600w, https://images.theconversation.com/files/308935/original/file-20200108-107249-1c8c8pb.jpg?ixlib=rb-1.1.0&q=30&auto=format&w=600&h=400&fit=crop&dpr=2 1200w, https://images.theconversation.com/files/308935/original/file-20200108-107249-1c8c8pb.jpg?ixlib=rb-1.1.0&q=15&auto=format&w=600&h=400&fit=crop&dpr=3 1800w, https://images.theconversation.com/files/308935/original/file-20200108-107249-1c8c8pb.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=754&h=503&fit=crop&dpr=1 754w, https://images.theconversation.com/files/308935/original/file-20200108-107249-1c8c8pb.jpg?ixlib=rb-1.1.0&q=30&auto=format&w=754&h=503&fit=crop&dpr=2 1508w, https://images.theconversation.com/files/308935/original/file-20200108-107249-1c8c8pb.jpg?ixlib=rb-1.1.0&q=15&auto=format&w=754&h=503&fit=crop&dpr=3 2262w" sizes="(min-width: 1466px) 754px, (max-width: 599px) 100vw, (min-width: 600px) 600px, 237px">
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<span class="caption">Planners create shared places in co-working spaces with the aim to encourage meetings.</span>
<span class="attribution"><span class="source">(Shutterstock)</span></span>
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<p>By working together in the same space, users can find common solutions to facilitate knowledge sharing and face an increasingly competitive environment. Even though some self-employed workers prefer to work alone, they still have people to share coffee breaks and lunch with, and sometimes ideas and contacts to support their activity and exchanges.</p>
<p>There is not always an explicit strategy to encourage interaction, but many spaces have a facilitator whose role is precisely to ensure that people get to know each other and end up co-operating on projects.</p>
<p>Our research underscores the importance of available financial, material and human resources, particularly in terms of facilitation resources. A space created without these resources is less likely to encourage knowledge sharing, <a href="https://www.cairn.info/revue-journal-of-innovation-economics-2019-0.htm">collaboration and may even have some difficulty surviving</a>.</p>
<h2>Diverse realities</h2>
<p>Co-working has become popular all over the world, but it refers to diverse realities. Indeed, depending on the city or region where it appears, one will find more individuals, self-employed workers or, on the contrary, small businesses or start-ups, <a href="https://www.puq.ca/catalogue/livres/tiers-lieux-3590.html">with different objectives in setting up there</a>.</p>
<p>Co-working spaces can be used by people who want a more professional business address than a home to receive their clients. In addition, they can often have a large meeting room, providing a more formal setting for meetings.</p>
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<p>Some <em>co-workers</em> may use a space primarily for benefits such as cost reduction, sharing of human resources (administrative support) or equipment (printer, photocopier, meeting rooms), or simply for comfort and services (common kitchen, good coffee maker, comfortable sofas and chairs).</p>
<h2>Fear of competition</h2>
<p>It can sometimes be difficult to interact with colleagues in the same field. Some people may perceive these people as competitors who might steal their customers. Some co-working spaces refuse to accept people who could be seen as competitors of other members.</p>
<p>Collaboration does not always happen in a co-working space. Indeed, although it has often been presented as an advantage, no study has so far clearly demonstrated the advantage of co-working spaces to foster more collaboration. This remains to be documented.</p>
<p>Indeed, physical proximity does not necessarily lead to professional proximity, as some people prefer to work in isolation. For example, we have observed spaces that have wanted to specialize in a sector, such as the cultural or social economy sector, but that in fact got very few or no workers in this field.</p>
<p>Even if the discourse or objective is sometimes different, most managers of co-working spaces end up accommodating all categories of workers. Recent studies have shown that without this inclusive vision, there may not be enough clients to keep the space active, especially in small towns or outside the city.</p>
<p>A co-working space can stimulate creativity, innovation, initiative and a sense of belonging to the same community, but this is not always the case. In fact, exchanges and collaboration seem to be easier between self-employed workers than with employees of the same company, who sometimes tend to stay with each other in a co-working space. On the other hand, exchanges can often be helped by the presence of a facilitator.</p>
<p>Co-working spaces are therefore diversified and create opportunities for collaboration, but also certain challenges (profitability, development of exchanges). In any case, interest in this type of space is present in all major cities in the world and also in many small regional towns. This is clearly a new way of working, with the possibility of fostering exchanges, collaboration and networking.</p><img src="https://counter.theconversation.com/content/129958/count.gif" alt="La Conversation" width="1" height="1" />
<p class="fine-print"><em><span>Diane-Gabrielle Tremblay receives funding from the Social Sciences and Humanities Research Council. </span></em></p>Co-working spaces have become popular since they were created in 2005, allowing self-employed workers to have a professional space outside an office and avoid isolation. But does it really work?Diane-Gabrielle Tremblay, Professeure à l'Université TELUQ, Université du Québec, directrice de l'ARUC sur la gestion des âges et des temps sociaux et de la Chaire de recherche du Canada sur l'économie du savoir, Université TÉLUQ Licensed as Creative Commons – attribution, no derivatives.tag:theconversation.com,2011:article/1257852019-10-25T12:33:02Z2019-10-25T12:33:02ZWeWork debacle exposes why investing in a charismatic founder can be dangerous<figure><img src="https://images.theconversation.com/files/298579/original/file-20191024-170484-6foi43.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=496&fit=clip" /><figcaption><span class="caption">WeWork wanted to be a lot more than a shared workspace. </span> <span class="attribution"><a class="source" href="https://www.shutterstock.com/image-photo/new-york-nyusamay-10-2018-wework-1278091729?src=9xiaJ5BmEePlhpkb52WWiA-1-12">rblfmr/Shutterstock.com</a></span></figcaption></figure><p>WeWork went from <a href="https://www.wsj.com/articles/the-fall-of-wework-how-a-startup-darling-came-unglued-11571946003">unicorn darling</a> with a nearly US$50 billion valuation to a cautionary tale for gullible investors <a href="https://www.wsj.com/articles/softbank-to-take-control-of-wework-11571746483?mod=hp_lead_pos2">worth just $8 billion</a> in a matter of months. It did so in part by wrapping its real estate sublet business in the cloak of a tech startup destined to “change the world.”</p>
<p>Were investors like SoftBank and JPMorgan duped by the hype of a charismatic founder, as happened with <a href="https://www.cnbc.com/2019/03/20/hbos-the-inventor-how-elizabeth-holmes-fooled-people-about-theranos.html">Elizabeth Holmes and Theranos</a>? </p>
<p>As a <a href="https://csbapp.uncw.edu/data/fs/vita.aspx?id=25472">lecturer in finance</a> and someone who managed investments for 20 years, I believe that there was some of that, coupled with <a href="https://www.investopedia.com/articles/investing/050813/4-behavioral-biases-and-how-avoid-them.asp">behavioral biases</a> that lead people to make bad decisions. But I also think something else was going on that should give investors pause the next time they stumble across a visionary founder promoting a “change the world” branding strategy. </p>
<h2>‘We’ will change the world</h2>
<p>WeWork was founded in 2011 as a <a href="https://www.businessinsider.com/the-founding-story-of-wework-2015-10">co-working venture</a>. </p>
<p>But Adam Neumann crafted and pitched a vision for his company that went well beyond office sharing and real estate. He said the “we” culture he was building would change the world.</p>
<p>“The influence and impact that we are going to have on this Earth is going to be so big,” <a href="https://www.wsj.com/articles/this-is-not-the-way-everybody-behaves-how-adam-neumanns-over-the-top-style-built-wework-11568823827?shareToken=st3fcd4c5c55d94ffc80b5721a8aa6ffa2">he told staff</a> during a music festival-like retreat, where he suggested the company could “solve the problem of children without parents” and even eradicate world hunger. </p>
<p>Such statements weren’t uncommon from him. But moreover, they fit neatly in the messianic-like Silicon Valley tech world, where companies believe their inventions can actually <a href="https://www.gq.com/story/the-most-bullshit-motivational-slogans-in-silicon-valley">“free the world.”</a> </p>
<p>Neumann’s ambitious plans hit reality recently as <a href="https://www.bloomberg.com/news/articles/2019-10-22/neumann-clings-to-billionaire-status-after-wework-gets-a-bailout">investors soured on the company</a> in the runup to a planned initial public offering. On Oct. 23, existing investor SoftBank agreed to rescue the embattled company with <a href="https://group.softbank/en/corp/set/data/news/press/sb/2019/20191023_01/pdf/20191023_01.pdf">billions in additional capital</a> in exchange for increasing its ownership stake to 80%. The deal pushed out Neumann, who will get US$1.7 billion despite burning through earlier investments. </p>
<p>Neumann’s “exit” package may be unusual in its scale, but otherwise similar fates have befallen numerous other founders, such as Theranos’ Holmes and <a href="https://www.washingtonpost.com/technology/2019/09/30/inside-new-uber-weak-coffee-vanishing-perks-fast-deflating-morale/">Uber’s Travis Kalanick</a>. Even Elon Musk, CEO of Tesla and founder of SpaceX, often seems to be <a href="https://www.businessinsider.com/elon-musk-shocking-quotes-tweets-2018-10">one outrageous tweet</a> away from his own ignominious end. </p>
<p>Each of these leaders embodied varying traits that <a href="https://www.salon.com/2017/05/20/silicon-valleys-ceo-worship-problem/">inspired almost cult-like followings</a> among investors who forked over billions to be a part of their rise. In cases like Tesla and Uber, the companies have managed to become successful despite their CEOs’ shortcomings. Theranos and WeWork are examples of what can go wrong when the founder is both owner and executive in a venture capital-backed startup.</p>
<h2>Principals and agents</h2>
<p>Finance scholars like myself think about this in terms of the <a href="https://www.cfainstitute.org/en/research/foundation/2014/the-principalagent-problem-in-finance">principal-agent relationship</a>, an issue that is crucial to the management of almost every business and organization. </p>
<p>The principal is a party or group that enlists the agent to manage some asset or process in their best interest.</p>
<p>In a healthy corporate structure, the alignment of principal and agent is accomplished through governance and executive compensation policies that provide management incentives to act in the best interest of owners. For example, the CEO’s compensation might include stock in the company that vests over some period of years and is dependent upon specific performance targets. </p>
<p>In the case of WeWork, Neumann was acting in both roles: He was principal as the investor with the controlling stake and agent as the executive tasked with running the company. Even the <a href="https://www.sec.gov/Archives/edgar/data/1533523/000119312519220499/d781982ds1.htm#toc781982_1">prospectus</a> for the company’s ill-fated IPO included language that would have given him <a href="https://www.bloomberg.com/opinion/articles/2019-08-19/we-looks-out-for-our-selves">control for life</a>.</p>
<h2>Why it’s a problem</h2>
<p>You might wonder what the problem is with this arrangement given that it’s common for managers to be owners, as is the case with small businesses and family-owned companies. </p>
<p>When it’s their own money at stake, surely they’ll be looking out for their own best interests, right? In those situations, yes, and the downside risk is assumed by the owner-managers. </p>
<p>The difference between those types of companies and the likes of WeWork and Theranos is that startups typically have significant outside investment capital. SoftBank, for one, was also a principal in WeWork. In such situations, the interest of a founder like Neumann may not necessarily align with those of the company itself and its other investors. </p>
<p>During WeWork’s buildup, for example, Neumann borrowed hundreds of millions of dollars <a href="https://www.wsj.com/articles/softbank-to-take-control-of-wework-11571746483?mod=hp_lead_pos2%20%22%22">against his stock in the company</a>, leaving himself and WeWork exposed depending on the shares’ future valuation. He also charged his own company $5.9 million for trademark rights to the word “we” – <a href="https://www.businessinsider.com/wework-ceo-gives-back-millions-from-we-trademark-after-criticism-2019-9">a sum he gave back</a> after intense criticism.</p>
<p>Even in leaving the company, he was able to <a href="https://www.bloomberg.com/opinion/articles/2019-10-23/how-do-you-like-we-now">negotiate a generous go-away package</a>, including the ability to cash out almost $1 billion in stock and receive a $185 million consulting fee. This at the same time that the company’s future is uncertain and it’s <a href="https://www.theguardian.com/business/2019/oct/15/wework-sack-staff-workers-adam-neumann">laying off 2,000 workers</a> – which it delayed doing because <a href="https://www.wsj.com/articles/softbank-offers-to-put-6-5b-into-wework-including-5b-loan-11571687872">it couldn’t afford their severance</a>. </p>
<p>Unemployed workers and wasted capital are the collateral damage when investors fall prey to the principal-agent problem. And unfortunately, I don’t think this will be the last time.</p>
<p>[ <em>You respect facts and expertise. So do The Conversation’s authors and editors.</em> <a href="https://theconversation.com/us/newsletters?utm_source=TCUS&utm_medium=inline-link&utm_campaign=newsletter-text&utm_content=yourespect">You can read us daily by subscribing to our newsletter</a>. ]</p><img src="https://counter.theconversation.com/content/125785/count.gif" alt="The Conversation" width="1" height="1" />
<p class="fine-print"><em><span>Greg Putnam does not work for, consult, own shares in or receive funding from any company or organization that would benefit from this article, and has disclosed no relevant affiliations beyond their academic appointment.</span></em></p>Adam Neumann both controlled and managed the co-working company he founded in 2011. A finance scholar explains why that can be a serious problem in venture capital-backed startups.Greg Putnam, Lecturer in Finance, University of North Carolina WilmingtonLicensed as Creative Commons – attribution, no derivatives.tag:theconversation.com,2011:article/959232018-07-10T20:00:50Z2018-07-10T20:00:50ZCo-working spaces are part of the new economy, so town planners better get with the times<figure><img src="https://images.theconversation.com/files/226860/original/file-20180710-122280-17chvan.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=496&fit=clip" /><figcaption><span class="caption">Shared working spaces come in all different shapes and sizes. This is a formal space in Gothenburg, Sweden.</span> <span class="attribution"><span class="source">Carey Curtis</span>, <span class="license">Author provided</span></span></figcaption></figure><p>Cities are <a href="http://www.deskmag.com/en/the-complete-2017-coworking-forecast-more-than-one-million-people-work-from-14000-coworking-spaces-s">seeing a growing number</a> of shared working, or co-working, spaces. They include spaces where individuals and businesses can flexibly rent desks or rooms, or do shared work in “third spaces” such as libraries and cafes.</p>
<p>Co-working spaces offer a range of benefits and risks to the local economy. Our <a href="https://www.tandfonline.com/eprint/Wvj2Pc7zdEkKmjYIvNN2/full">research</a> looked at the role policy-makers, regulators and city planners can play in ensuring that these spaces make a positive contribution to our cities. </p>
<p>We found shared work spaces emerging in regulatory voids left by outdated policy frameworks. To exist, they are relying on the forward thinking of local innovators seeking to revitalise urban centres. </p>
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<h2>Types of spaces</h2>
<p>Shared work spaces vary by the type of work they facilitate, from knowledge work (such as IT and professional services) to small-scale manufacturing. Some are purpose-built for co-working, whereas others (such as cafes) are informally used as such. </p>
<p>Some also target particular markets by offering additional services such as a crèche for childcare, seminars for professional development and events for networking. </p>
<p>Shared working spaces also differ in their models of ownership. These range from privately owned and managed, to government subsidised and cooperatively managed community resource centres.</p>
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<img alt="" src="https://images.theconversation.com/files/217491/original/file-20180503-153884-q4pery.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=754&fit=clip" srcset="https://images.theconversation.com/files/217491/original/file-20180503-153884-q4pery.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=600&h=450&fit=crop&dpr=1 600w, https://images.theconversation.com/files/217491/original/file-20180503-153884-q4pery.jpg?ixlib=rb-1.1.0&q=30&auto=format&w=600&h=450&fit=crop&dpr=2 1200w, https://images.theconversation.com/files/217491/original/file-20180503-153884-q4pery.jpg?ixlib=rb-1.1.0&q=15&auto=format&w=600&h=450&fit=crop&dpr=3 1800w, https://images.theconversation.com/files/217491/original/file-20180503-153884-q4pery.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=754&h=566&fit=crop&dpr=1 754w, https://images.theconversation.com/files/217491/original/file-20180503-153884-q4pery.jpg?ixlib=rb-1.1.0&q=30&auto=format&w=754&h=566&fit=crop&dpr=2 1508w, https://images.theconversation.com/files/217491/original/file-20180503-153884-q4pery.jpg?ixlib=rb-1.1.0&q=15&auto=format&w=754&h=566&fit=crop&dpr=3 2262w" sizes="(min-width: 1466px) 754px, (max-width: 599px) 100vw, (min-width: 600px) 600px, 237px">
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<span class="caption">Pubs, such as this one in London, can become informal shared work spaces.</span>
<span class="attribution"><span class="source">Carey Curtis</span></span>
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<p>The ownership and funding of individual co-working spaces may also change through time, as they may receive new sources of government funding, attract new types of clients or relocate to new facilities.</p>
<h2>What are the benefits?</h2>
<p>There are many potential benefits for sharing a working space, including access to common spaces, equipment, tools, and technologies. Some people may only need a space for a few hours a day or on one occasion for a special project, so they can hire spaces in desirable locations without high rental charges.</p>
<p>Shared working spaces also offer social benefits through greater opportunities to interact, network and collaborate with like-minded workers. </p>
<p>A co-working space can be a good use of unused spaces in buildings and be birthing places of new enterprises. They can also support local businesses by hosting large groups of potential customers. </p>
<p>And they may afford people a place to work closer from home, <a href="http://bcec.edu.au/projects/unlocking-the-potential-for-working-closer-to-home/">reducing the need for long commutes</a>. </p>
<h2>What are the downsides?</h2>
<p>Big players in the sharing economy – such as Uber, Lyft and Airbnb – have had a disruptive effect on existing markets by reducing opportunities for less advantaged people and workers in the market, and confusing regulators. </p>
<p>A similar scale of disruption may be on the horizon with the rapid growth of big players in co-working spaces such as <a href="https://www.smh.com.au/business/companies/wework-expands-in-sydney-city-20180417-p4za3n.html">WeWork</a>. These could threaten existing shared work spaces by absorbing customers and competitively leasing out available buildings.</p>
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Read more:
<a href="https://theconversation.com/airbnb-whos-in-whos-out-and-what-this-tells-us-about-rental-impacts-in-sydney-and-melbourne-95865">Airbnb: who's in, who's out, and what this tells us about rental impacts in Sydney and Melbourne</a>
</strong>
</em>
</p>
<hr>
<p>Shared work spaces could potentially contribute to the <a href="https://www.theguardian.com/sustainable-business/2016/sep/29/derelict-buildings-cheap-rents-london-gentrification-meanwhile-space-local-buisnesses">gentrification of older neighbourhoods</a> by pushing up the price of real estate, and displacing established small businesses and residential tenants.</p>
<p>Co-working spaces has also been seen as representative of an increasing <a href="http://www.abc.net.au/news/2016-02-26/robots-will-take-over-44pc-of-workforce:-csiro/7203782">casualised workforce</a>, as such spaces may host short-term contractors doing work that was previously performed by full-time internal staff members.</p>
<h2>What we found</h2>
<p>We analysed planning and economic development policy and interviewed founders and users of shared working spaces in Western Australia.</p>
<p>We identified around 20 shared work spaces in Perth and regional Western Australia. Many were in retrofitted older and under-used buildings such as an old department store, maternity hospital or converted office space. </p>
<p>Most founders told us that shared working spaces needed to be accessible to be viable. Many also identified the quality and intensity of activities around the area as essential to attracting workers to their space. </p>
<figure class="align-center ">
<img alt="" src="https://images.theconversation.com/files/217489/original/file-20180503-138586-nkkep4.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=754&fit=clip" srcset="https://images.theconversation.com/files/217489/original/file-20180503-138586-nkkep4.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=600&h=800&fit=crop&dpr=1 600w, https://images.theconversation.com/files/217489/original/file-20180503-138586-nkkep4.jpg?ixlib=rb-1.1.0&q=30&auto=format&w=600&h=800&fit=crop&dpr=2 1200w, https://images.theconversation.com/files/217489/original/file-20180503-138586-nkkep4.jpg?ixlib=rb-1.1.0&q=15&auto=format&w=600&h=800&fit=crop&dpr=3 1800w, https://images.theconversation.com/files/217489/original/file-20180503-138586-nkkep4.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=754&h=1005&fit=crop&dpr=1 754w, https://images.theconversation.com/files/217489/original/file-20180503-138586-nkkep4.jpg?ixlib=rb-1.1.0&q=30&auto=format&w=754&h=1005&fit=crop&dpr=2 1508w, https://images.theconversation.com/files/217489/original/file-20180503-138586-nkkep4.jpg?ixlib=rb-1.1.0&q=15&auto=format&w=754&h=1005&fit=crop&dpr=3 2262w" sizes="(min-width: 1466px) 754px, (max-width: 599px) 100vw, (min-width: 600px) 600px, 237px">
<figcaption>
<span class="caption">Shared work spaces can facilitate knowledge work, as well as manufacturing (like this one in Fremantle, WA).</span>
<span class="attribution"><span class="source">Carey Curtis</span></span>
</figcaption>
</figure>
<p>But founders identified regulatory frameworks, including land use permission controls, as significant barriers to establishing these spaces. For instance, a shared work space where people repair furniture or make jewellery could be considered as being used for manufacturing.</p>
<p>This type of activity may not be permitted in a disused department store that falls within a retail zone. </p>
<p>We found that often, local councillors and economic developers, have thrown their hat in the ring to help establish shared work spaces in their area. They would do so by helping founders secure required approvals, such as building accessibility certifications and emergency management plans. </p>
<p>Knowing the potential contribution of such spaces to the economy, they’ve also helped founders navigate regulations and planning controls intended for more permanent use of spaces. </p>
<p>But we found that town planners were rarely engaged in early conversations with shared work space founders. Planners generally didn’t identify or facilitate opportunities to host shared working spaces in unused buildings. </p>
<p>Planning policy documents and city planning departments didn’t actively recognise co-working spaces as a major new way people use buildings in cities.</p>
<h2>Sharing spaces better</h2>
<p>Technologies are creating new ways to match a mobile and flexible workforce with work spaces. This is leaving regulators to manage the impacts from the temporary uses of many shared work spaces. </p>
<p>City planners should be prepared to recognise and plan for the benefits these spaces bring, while minimising possible negative impacts on users, neighbours, and the broader community.</p>
<p>Planning strategies that seek to regenerate urban places and provide economic and social opportunities in urban growth areas will need to prompt more engagement with shared work space proponents, users, neighbouring businesses and residents, and local government divisions. </p>
<p>Shared work spaces have a positive role to play in Australian cities and regional centres. However, it seems planners are at risk of missing the boat when it comes to using shared work space to achieve more socially and economically viable planning outcomes.</p><img src="https://counter.theconversation.com/content/95923/count.gif" alt="The Conversation" width="1" height="1" />
<p class="fine-print"><em><span>Courtney Babb received funding from Bankwest Curtin Economics Centre for this research project. </span></em></p><p class="fine-print"><em><span>Carey Curtis received funding from Bankwest Curtin Economics Centre in relation to this research project.</span></em></p><p class="fine-print"><em><span>Sam McLeod received funding from Bankwest Curtin Economics Centre for this research project. He works for GHD Australia. </span></em></p>More people are choosing to work in shared spaces, and there are many benefits of this to the local economy, as well as downsides. Local governments should work with both.Courtney Babb, Lecturer in Urban & Regional Planning, Curtin UniversityCarey Curtis, Professor of City Planning and Transport, Curtin UniversitySam McLeod, Urban Planning Researcher, Curtin UniversityLicensed as Creative Commons – attribution, no derivatives.tag:theconversation.com,2011:article/752002017-03-27T05:21:00Z2017-03-27T05:21:00ZCo-working is evolving to combine co-living<figure><img src="https://images.theconversation.com/files/162577/original/image-20170327-18995-2r1zi7.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=496&fit=clip" /><figcaption><span class="caption">Co-working can be a refreshing change for many employees where the design of the workplace and the politics of their organisation means they are simply too tired.</span> <span class="attribution"><span class="source">www.shutterstock.com</span></span></figcaption></figure><p>Recent <a href="https://www.dimensiondata.com/Global/Global-Events/Securing-workspaces-for-tomorrow-white-paper/Pages/Registration.aspx?utm_source=facebook&utm_medium=organic&utm_campaign=securingworkspaces">reports</a> estimate that by 2020 1.55 billion workers will be responsible for work that does not confine them to a desk. Already, up to 80% of employees work at least one day a week out of the office. </p>
<p>Co-working, where employees and the self-employed share workspace, ideas and knowledge, started in 2005 in San Francisco. Once the domain of techies working on start-ups, co-working spaces continue to evolve rapidly. </p>
<p>In <a href="http://www.deskmag.com/en/the-complete-2017-coworking-forecast-more-than-one-million-people-work-from-14000-coworking-spaces-s">2017</a> it is estimated over one million people will work from co-working spaces. In 2016, a single co-working company recorded a <a href="https://www.fastcompany.com/3057670/wework-valuation-soars-to-16-billion">valuation</a> of US$16 billion dollars, highlighting the growth of an industry that didn’t exist just over a decade ago.</p>
<p>Users of co-working spaces often report feeling that they are part of a social movement. In co-working spaces, helping each other out, even those you have just met, is the norm. Indeed, the co-working movement prides itself on a set of <a href="http://blog.coworking.com/core-values/">core values</a>, community, openness, collaboration, sustainability and accessibility. </p>
<p>This can be a refreshing change for many employees where the design of the workplace and the politics of their organisation means they are simply too tired, stressed or distracted to help their colleagues. Globally, organisations such as Merck, GE and the Guardian newspaper are regularly using co-working spaces for their employees. <a href="https://repositories.lib.utexas.edu/bitstream/handle/2152/28331/SpinuzziWorkingAloneTogether.pdf?sequence%3D2">Research</a> shows that users report increases in learning, new networks and the benefits of working close to the users of their services or products.</p>
<p>The promise of these anecdotal stories is now being supported in emerging research. In a study reported in <a href="https://hbr.org/2015/05/why-people-thrive-in-coworking-spaces">Harvard Business Review</a>, researchers from the University of Michigan found that users of co-working spaces experienced greater meaning from their work, and experienced thriving at work far more than their office based colleagues. Additionally, with many choosing to work from co-working spaces closer to home, commuting times and traffic congestion are reduced.</p>
<p>Some <a href="https://ecommons.cornell.edu/bitstream/handle/1813/40891/bes96.pdf?sequence=1">research</a> however indicates that the inherently social nature of co-working spaces may lead to similar issues experienced by regular office users such as distraction and lack of privacy. Another <a href="https://search.informit.com.au/documentSummary;dn=237909907440429;res=IELBUS">study</a> found that the co-working space itself was not enough to encourage connections and collaboration, and that a space host may be necessary to catalyse these relationships.</p>
<p>These changes to the way we work are bringing a focus on both the role of the stand alone workplace, and the design of cities. As co-working spaces evolve to meet the demand of workers for flexible, autonomous and creative work environments, broader changes are occurring in how we work and live.</p>
<p>Co-working spaces offer the potential to address other challenges facing our future cities as they provide <a href="https://search.informit.com.au/documentSummary;dn=237909907440429;res=IELBUS">accessible</a> space for individuals to work, attend learning events and become part of a like minded community. This is important given predictions regarding changes to the urban landscape. </p>
<p>The Australian Bureau of Statistics predicts a 65% increase in the number of single person households in Australia. For Australia particularly, housing affordability continues to be a significant issue. As governments and cities grapple with ways to address these issues, new projects in the collaborative economy are showing promise in addressing a number of these issues.</p>
<p>In London, the world’s largest <a href="http://www.dezeen.com/2016/04/28/collective-old-oak-common-co-living-plp-architecture-willesden-junction-london-housing/">co-living community</a> opened its doors to 550 residents. While residents have their own units with bedroom, bathroom and kitchenette, the project offers all inclusive rent with access to a restaurant, co-working spaces, wifi, gym, cinema, spa, larger kitchens and dining rooms. Aside from convenience and flexibility, early indications suggest that co-living residents are attracted to the sense of community. While empirical research on co-living is yet to emerge, 96% of residents of co-housing communities report increased life satisfaction according to <a href="http://www.cohousing.org/node/3049">research</a>.</p>
<p>As similar projects are underway globally, <a href="http://www.cohousing.org/node/3049">research</a> suggests this trend will increase as solutions are offered for adults at all life stages.</p><img src="https://counter.theconversation.com/content/75200/count.gif" alt="The Conversation" width="1" height="1" />
Co-working spaces are evolving to suits the needs of a changing workforce.Libby (Elizabeth) Sander, Lecturer, Bond Business School, Bond UniversityLicensed as Creative Commons – attribution, no derivatives.tag:theconversation.com,2011:article/633222016-08-19T05:26:26Z2016-08-19T05:26:26ZGaming trends show cities need to rethink how they tap into creative economy<figure><img src="https://images.theconversation.com/files/132914/original/image-20160803-12223-utcsad.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=496&fit=clip" /><figcaption><span class="caption">City policymakers are realising creative workers don't have to be permanently clustered together if they can collaborate as needed.</span> <span class="attribution"><a class="source" href="https://www.flickr.com/photos/stevepurkiss/13945518656/in/photolist-nfjqQQ-dCou8f-ikXbBA-nhCZGi-nhD2RP-nhXFij-nhD5nR-nfSZV3-nhCVvJ-bEzzdt-7xhdHS-7xh13w-65nBfW-FTB7p-65nAUy-4eKahS-qhbHgF-7xdcmz-wFgFRC-7xh1Vd-7xh4jw-ni2QMc-7xh3Nf-hyeB1S-7xh2o1-qf4miE-7xh1wS-368ay3-7xh2YL-9Asmnw-7xdhzM-7MiPFH-7xdgS6-FHsb6q-pknymh-5R6r65-33P8X4-pZWM2M-qT8CUX-quLXkR-qf5yUu-nhV8JH-9TxV9r-nTzH6o-pZMGJE-4SYgYW-4SU4hi-4SYhoJ-qf4hG1-iczfyN">Steve Purkiss/flickr</a>, <a class="license" href="http://creativecommons.org/licenses/by-sa/4.0/">CC BY-SA</a></span></figcaption></figure><p>Various cities in Australia have developed creative economy policies with the aim of diversifying their economy. These policies are about attracting and retaining entrepreneurs and firms from the creative industries sector, such as the music and fashion industries. </p>
<p>Creative economy policies were often based on the <a href="https://hbr.org/1998/11/clusters-and-the-new-economics-of-competition">cluster concept</a> developed by Michael Porter in the 1990s. This was the case for the <a href="https://www.brisbane.qld.gov.au/sites/default/files/creative_brisbane_creative_economy_2013-2022.pdf">creative city strategy in Brisbane</a> and also for the more recent <a href="https://theconversation.com/what-are-the-secrets-to-being-a-superstar-music-city-50184">music industry policy in Melbourne</a>. </p>
<p>Brisbane has been very active in this area. The objective was to be less dependent on natural resources in the future. </p>
<p>Planning initiatives such the <a href="http://www.kgurbanvillage.com.au/">Kelvin Grove Village</a> are examples of economic development strategies based on the cluster concept that translated into planned projects. But positive steps are being taken to provide <a href="http://www.creativespaces.net.au/about-us/our-network/brisbane-city-council">affordable spaces for creative workers</a>.</p>
<p>Recent <a href="http://www.tandfonline.com/doi/abs/10.1080/02723638.2015.1067981#.V5_-lOt97q4%20_">research on the video game industry in Australia</a> has shown that new technologies have greatly influenced the production of games. The industry functions as a “networked community” and not strictly as spatially bounded clusters. The use of new platforms such as the internet enables small companies to produce games from remote areas. </p>
<h2>Industry structures are changing</h2>
<p>The composition of the industry has changed significantly since 2006-07, with the closure of several development studios that focused on console games, such as <a href="https://en.wikipedia.org/wiki/Krome_Studios">Krome Studios</a>. A variety of platforms – <a href="https://unity3d.com/unity?utm_source=youtube&utm_medium=&utm_campaign=demos-showcase-2016-06-21-Global-AdamFulll">Unity 3d</a>, mobile phones etc – is now available to game developers. </p>
<p>With the shift from console games to mobile phone games, the industry has changed dramatically. The nature of the demand has changed too: consumers of video games are now <a href="http://www.lib.umich.edu/blogs/eaten-grue/rise-mobile-games-factors-contributing-their-success">looking for a quick and fast experience</a>. </p>
<p><a href="http://www.disparitygames.com/about/">Disparity Games</a>, operating from Noosa on the Sunshine Coast, is an example of these new successful companies located outside the main cluster. The people behind Disparity Games are two video game developers working from home in an idyllic environment. The map below shows the location of video game firms in Queensland, with some of those companies operating from the Gold Coast and the Sunshine Coast. </p>
<figure class="align-center zoomable">
<a href="https://images.theconversation.com/files/132689/original/image-20160802-17183-1hrz1wl.png?ixlib=rb-1.1.0&q=45&auto=format&w=1000&fit=clip"><img alt="" src="https://images.theconversation.com/files/132689/original/image-20160802-17183-1hrz1wl.png?ixlib=rb-1.1.0&q=45&auto=format&w=754&fit=clip" srcset="https://images.theconversation.com/files/132689/original/image-20160802-17183-1hrz1wl.png?ixlib=rb-1.1.0&q=45&auto=format&w=600&h=874&fit=crop&dpr=1 600w, https://images.theconversation.com/files/132689/original/image-20160802-17183-1hrz1wl.png?ixlib=rb-1.1.0&q=30&auto=format&w=600&h=874&fit=crop&dpr=2 1200w, https://images.theconversation.com/files/132689/original/image-20160802-17183-1hrz1wl.png?ixlib=rb-1.1.0&q=15&auto=format&w=600&h=874&fit=crop&dpr=3 1800w, https://images.theconversation.com/files/132689/original/image-20160802-17183-1hrz1wl.png?ixlib=rb-1.1.0&q=45&auto=format&w=754&h=1098&fit=crop&dpr=1 754w, https://images.theconversation.com/files/132689/original/image-20160802-17183-1hrz1wl.png?ixlib=rb-1.1.0&q=30&auto=format&w=754&h=1098&fit=crop&dpr=2 1508w, https://images.theconversation.com/files/132689/original/image-20160802-17183-1hrz1wl.png?ixlib=rb-1.1.0&q=15&auto=format&w=754&h=1098&fit=crop&dpr=3 2262w" sizes="(min-width: 1466px) 754px, (max-width: 599px) 100vw, (min-width: 600px) 600px, 237px"></a>
<figcaption>
<span class="caption">Digital connectivity has led to a wider dispersion of video game companies in southeast Queensland.</span>
<span class="attribution"><span class="license">Author provided</span></span>
</figcaption>
</figure>
<p>In an interview with the author, one of the game developers explained why they decided to move their company to Noosa: </p>
<blockquote>
<p>After the collapse of large studios we decided to go indie. With the smaller indie companies, everyone is more supportive. We have meet-ups on marketing, technical issues, game testing. We are exchanging knowledge at those events, [so] we don’t need to be based in the city anymore to be part of the community.</p>
</blockquote>
<h2>New technologies enable new ways of working</h2>
<p>These studios have demonstrated that self-publishing is a viable business model in Australia. Independent developers can now bypass traditional international publishers. </p>
<p>New technologies have thus had the effect of <a href="http://www.tandfonline.com/doi/abs/10.1080/02723638.2015.1067981">reducing the size of video game companies and increasing their number</a>. This is verified in Queensland, which has become specialised in developing mobile phone games.</p>
<p>New technologies such as the National Broadband Network (NBN) have changed the way video game developers produce games and where they produce them. With the NBN, a small video game company can literally produce a game from anywhere.</p>
<figure class="align-right zoomable">
<a href="https://images.theconversation.com/files/132911/original/image-20160803-12201-1blciey.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=1000&fit=clip"><img alt="" src="https://images.theconversation.com/files/132911/original/image-20160803-12201-1blciey.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=237&fit=clip" srcset="https://images.theconversation.com/files/132911/original/image-20160803-12201-1blciey.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=600&h=601&fit=crop&dpr=1 600w, https://images.theconversation.com/files/132911/original/image-20160803-12201-1blciey.jpg?ixlib=rb-1.1.0&q=30&auto=format&w=600&h=601&fit=crop&dpr=2 1200w, https://images.theconversation.com/files/132911/original/image-20160803-12201-1blciey.jpg?ixlib=rb-1.1.0&q=15&auto=format&w=600&h=601&fit=crop&dpr=3 1800w, https://images.theconversation.com/files/132911/original/image-20160803-12201-1blciey.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=754&h=755&fit=crop&dpr=1 754w, https://images.theconversation.com/files/132911/original/image-20160803-12201-1blciey.jpg?ixlib=rb-1.1.0&q=30&auto=format&w=754&h=755&fit=crop&dpr=2 1508w, https://images.theconversation.com/files/132911/original/image-20160803-12201-1blciey.jpg?ixlib=rb-1.1.0&q=15&auto=format&w=754&h=755&fit=crop&dpr=3 2262w" sizes="(min-width: 1466px) 754px, (max-width: 599px) 100vw, (min-width: 600px) 600px, 237px"></a>
<figcaption>
<span class="caption">Co-working spaces allow creative workers to get together only when they need to.</span>
<span class="attribution"><a class="source" href="https://www.flickr.com/photos/janelleorsi/12897062203/in/photolist-kDEPgr-9Apr26-a2KK9g-9ApqXv-ikWRxA-ikYcbZ-njFCnP-92jnme-nhXdYL-nhCzUE-nfjqQQ-dCou8f-ikXbBA-nhCZGi-nhD2RP-nhXFij-nhD5nR-nfSZV3-nhCVvJ-bEzzdt-7xhdHS-7xh13w-65nBfW-FTB7p-65nAUy-4eKahS-qhbHgF-7xdcmz-wFgFRC-7xh1Vd-7xh4jw-ni2QMc-7xh3Nf-hyeB1S-7xh2o1-qf4miE-7xh1wS-368ay3-7xh2YL-9Asmnw-7xdhzM-7MiPFH-7xdgS6-FHsb6q-pknymh-5R6r65-33P8X4-pZWM2M-qT8CUX-quLXkR">janelleorsi/flickr</a>, <a class="license" href="http://creativecommons.org/licenses/by/4.0/">CC BY</a></span>
</figcaption>
</figure>
<p>If they already have the professional connections, developers can work on the same game with different experts located in different cities. Face-to-face interactions are important, but this does not mean anymore that video game developers need to be located in the city at all times. </p>
<p>In that sense, creative economy policies should think about flexible ways to accommodate creative workers in the city. The opening of co-working spaces in <a href="https://www.littletokyotwo.com/">South Bank</a> or the <a href="http://www.rivercitylabs.net/">River City labs</a> are good examples in Brisbane.</p>
<p>This research shows it is time to go beyond the cluster type of economic development policies to attract and retain creative workers and firms in cities like Brisbane. </p>
<p>Instead of planning creative neighbourhoods or districts, which are often not affordable for start-up companies, policies should aim for flexible solutions such as co-working spaces. Those are more adapted to an era in which new technologies are to a certain extent changing the geography of creative industries based on technological innovation such as the video game industry.</p><img src="https://counter.theconversation.com/content/63322/count.gif" alt="The Conversation" width="1" height="1" />
<p class="fine-print"><em><span>Sebastien Darchen does not work for, consult, own shares in or receive funding from any company or organisation that would benefit from this article, and has disclosed no relevant affiliations beyond their academic appointment.</span></em></p>Cities seeking to attract creative industries have relied heavily on the cluster concept. New research suggests a technology-driven transformation of how the sector works calls for a new approach.Sebastien Darchen, Lecturer in Planning, The University of QueenslandLicensed as Creative Commons – attribution, no derivatives.tag:theconversation.com,2011:article/195172013-11-21T01:22:17Z2013-11-21T01:22:17ZQuitting the cubicle farm for coworking<figure><img src="https://images.theconversation.com/files/35366/original/23qdw3t2-1384487895.jpg?ixlib=rb-1.1.0&q=45&auto=format&w=496&fit=clip" /><figcaption><span class="caption">More workers are ditching the cubicle for a collaborative coworking space.</span> <span class="attribution"><span class="source">madrideducacion.es/Flickr</span></span></figcaption></figure><p>From humble beginnings, the coworking movement has exploded to an estimated 3000 spaces around the world, with hundreds of thousands of people choosing to ditch the home or corporate office in favour of a shared workspace.</p>
<p>Coworking spaces offer sanctuary and solidarity to those escaping the isolation of working at home, and those in search of an alternative to the grind of the office or cubicle farm. The “co” in coworking might possibly be “community”.</p>
<p>Bernie DeKoven is credited with coining the term “coworking” back in 1999 to describe an emerging pattern of people choosing to work on their own projects but in shared physical proximity. As is often the case with zeitgeist “inventions”, several parallel examples of the idea appeared at the same time. Early reports depict coworking as becoming both a recognised social movement and growing form of enterprise.</p>
<h2>Serendipity works</h2>
<p>San Francisco, 2005: Brad Neuberg was facing the dilemma of choosing between the “structure and community” of a nine to five job and the “freedom and independence” of contract work. He opted for the “both-and” option (a phrase in itself that has become emblematic of coworking philosophy). Brad opened one of the first recognised coworking spaces. In his own words:</p>
<blockquote>
<p>“I grew up in Texas and it was like a desert. There was no community, no connection. I was like the only geek… so to have a coworking space, that could be really powerful.”</p>
</blockquote>
<p>London, the same year: A small group of social entrepreneurs led by Jonathan Robinson opened the first “Hub” on the top floor of an old warehouse in Islington. Their vision was for a new work space structured around serendipitous encounters between “unlikely allies for a radically better world”. The model aimed to meld together the best of a business incubator, think tank, learning lab and a professional membership community.</p>
<blockquote>
<p>“We discovered this whole set of people trying to realise good ideas from their bedrooms; lonely, cut off from the world, not really fulfilling the potential of their ideas. So it dawned on us: what if these people could come together in the same physical space and have a place to connect?”</p>
</blockquote>
<h2>By the numbers</h2>
<p>For fans, coworking offers something missing from the home office and lost in the daily grind. And people are drawn to its collaborative potential. Its growth signals this.</p>
<p>The dedicated online coworking magazine Deskmag this year claimed 100,000 people coworked; and a new “space” is estimated to open each day somewhere in the world.</p>
<p>In Australia there are over 60 coworking spaces in operation, and the country boasts both the highest density per capita and, with the majority of spaces opening over the past two years, one of the highest growth rates. While the majority of coworking spaces tend to be single location, founder-owner operated and close to the CBD, we are starting to see forays into regional and suburban areas.</p>
<figure class="align-center ">
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<span class="caption">Coworking enables the sharing of knowledge and the breeding of new ideas.</span>
<span class="attribution"><span class="source">ZonaCoworking/Flickr</span></span>
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<p>It’s ironic that at the very moment many white collar workers are able and have chosen to “live the dream” of working from home, a model has sprung up to cater to an unmet social need emerging as people spend less time communicating face-to-face. Twenty years after Robert Putnam published <a href="http://bowlingalone.com">Bowling Alone</a> we see the development and growth of a service offering a communal experience akin to a bygone utopia of “village life” amid the competition and anonymity of the CBDs of major cities. The curiosity of coworking, as Clay Spinuzzi puts it, is in people’s desire to be “<em>working alone together</em>”.</p>
<p>But despite the rapid growth rates estimated above, just a small proportion of workers in the economy are engaged in coworking. Indeed, few have the luxury to choose to.</p>
<h2>Here to stay?</h2>
<p>Emotionally, coworking doesn’t necessarily feel right for everyone. The prospect of sharing work spaces with people from other organisations, and the general buzz of the place doesn’t appeal to all. Coworking spaces are unfamiliar to those accustomed to conventional workplaces. Likewise, coworking’s constant stream of activity can be a distraction to those who prefer the silence and stillness of working alone.</p>
<p>Socially, individuals are attracted by the promise of professional connections and a supportive community but, for a variety of reasons, not all are able to realise their promised value and end up leaving. Meanwhile, for large organisations which aim to leverage the innovative potential of coworking by sending their people in, the pull of “community” and the tales of its members can initiate talent drains. People seeking alternatives to the cubicle farm begin easing their transition from employee to free agent.</p>
<p>Is coworking simply a peripheral social movement that will remain at the edge of the mainstream economy, or does it signal the beginning of a wider structural transformation and convergence in the place of work and social engagement?</p>
<p>One argument is that the existing management and institutional models are fundamentally broken. In <a href="http://blogs.hbr.org/2010/04/a-brief-history-of-the-power-o/">The Power of Pull</a>, the authors claim the source and means of value creation is shifting away from knowledge <em>stocks</em> towards <em>flows</em> and as a result the basis of competition is fundamentally changing. </p>
<p>Most organisational structures are framed around protecting existing stocks of knowledge rather than participating in knowledge flows and the creation of new knowledge.</p>
<p>Their suggested remedy for this structural malaise is institutional innovation - not simply conceiving of new approaches within existing organisations but rethinking the relationships between and across many varied independent enterprises. From their perspective larger organisations need to seek out and participate in “creation spaces”, such as those found in coworking, where physical and digital environments whose diversity and density offer fertile ground for the “unlikely creative collisions” that breed new ideas.</p>
<p>If this narrative gains popularity we are likely to see larger organisations shifting towards distributed collaborative work models, indeed there’s already clear evidence of corporate interest in participating in coworking networks.</p>
<p>It’s still too early to determine coworking’s wider social and economic impact, or whether it represents a future of work that will be widely embraced. What is clear now though is that as a social movement and institutional form it is showing no sign of slowing down. </p><img src="https://counter.theconversation.com/content/19517/count.gif" alt="The Conversation" width="1" height="1" />
<p class="fine-print"><em><span>Julian Waters-Lynch is a former employee of Hub Australia.</span></em></p><p class="fine-print"><em><span>Tim Butcher is a member of Hub Melbourne.</span></em></p>From humble beginnings, the coworking movement has exploded to an estimated 3000 spaces around the world, with hundreds of thousands of people choosing to ditch the home or corporate office in favour of…Julian Waters-Lynch, PhD Candidate, RMIT UniversityTim Butcher, Director - Undergraduate Programs, College of Business, RMIT UniversityLicensed as Creative Commons – attribution, no derivatives.