Barriers to changing the status quo

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marileebowlescarey

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Jul 9, 2010, 6:50:10 PM7/9/10
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What do people think are the key barriers to growth in coworking?

Marilee

Kent Lockart

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Jul 9, 2010, 7:21:35 PM7/9/10
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I think one of the key barriers to coworking's growth in fee based
sites is being able to show added value for the price of membership/
usage.

WiFi, public desktops, and Meetups are free and abundant. I can
locate like-minded people (or help) geographically anywhere I am in
real time with my mobile. I don't print or fax. Clients are
accepting of private conversations in public spaces.

These things make the business case harder but not impossible. After
all, vending machines selling bottled water still make money even when
they are located next to a free water fountain or sink-tap.

Cheers,

Kent

PS - I'm assuming the next question is going to be how to overcome the
barriers.... I'm not sure but I believe it will need to be a blended
solution of many creative things.

On Jul 9, 2010, at 3:50 PM, marileebowlescarey wrote:

> What do people think are the key barriers to growth in coworking?
>
> Marilee
>

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Dave Ruzius

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Jul 10, 2010, 5:12:02 AM7/10/10
to cowo...@googlegroups.com, marileebowlescarey
This may be the case if the business case solely relies on these
facilities offered...

In my opinion (and my favorite topic) the true value is not created by
the facility, the fax machine or the wifi connection... It's about the
people in the coworking community, the value of being part of that
community and what a Coworker together with bunch of smart people is
capable of. The collborative environment with its facilities are mere
enablers for good stuff to be able to happen.
These facilities should be offered in a sustainable way and should be
made scalable to grow (unlimited....) with the seize of the community.

A coworking project should be able to prove that the true value comes
from "working better, together" and the new social and business
benefits Coworking brings.
Also I believe there is no threat from public meetups, seminars etc...
We've seen a huge difference between the value coming from and
experiencing 'public' meetups versus knowledge sharing sessions among
members of TheWorks community during Jellies. As members are getting
to know eachother there are no or at least way less barriers for
discussion, participation. I'd like to see these sessions organized
for and by the TheWorks community as "mini barcamps on steroids"

So... imho... there are no barriers for growth if you can scale the
enabling facilities together with the growth of the community and are
able to prove that the value is not delivered by the facilities but by
the community and the opportunities that will arise by being part of
that community...

my 2 czech crowns

TheWorks
Dave Ruzius
http://www.theworks.cz

--
Dave Ruzius
http://www.theworks.cz

Alex Hillman

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Jul 10, 2010, 11:12:23 AM7/10/10
to cowo...@googlegroups.com, marileebowlescarey
I agree with David wholeheartedly. The power of coworking is not in the facilities, because those elements are commodities and have forever decreasing value. Scaling facility up is relatively easy...you can just throw more money at it. And despite how you might feel about funding your efforts, money is and will always be the easy part.

Culture, on the other hand - which is the glue of what holds a strong coworking community together - is difficult. Especially through fast growth, which is often desired to help achieve an end like scaling the space and the facility.

Culture is composed of norms, which can be established by anyone within that culture. They can be dictated - which tends to be the way offices are run. One of the things that fascinates me about coworking spaces is that we have the ability to provide a workspace, something that most people are relatively familiar with, and actually REMOVE the rules for how it is "supposed" to work. 

Ask yourself, "What happens in an office where nobody tells the workers how to act? How to interact? What to do? Where to go?". At first, there's some chaos. That's good. I learned to Embrace the Chaos from early coworking founders like Chris Messina and Tara Hunt. Our tendencies are to control chaos, and put things in order. By avoiding that, and allowing order to emerge a bit more organically, new behavioral patterns emerge. These patterns, in the context of coworking, are the things that the press likes to write about: Collaboration & work exchange. Increased charity and giving. Better support for local industries. Happier people. Increased business foundation. Camaraderie and friendship. We're building blank canvases for work patterns to emerge from, and I think that the work patterns that exist when nobody told them to are the most interesting and the most sustainable to practice.

Those elements don't truly emerge until someone gets out of their way and simply lets them. Telling people to collaborate is a lousy way to have it happen, because it's always dependent on you telling them. Creating opportunities for people to discover collaboration on their own creates a rolling effect that's difficult if not impossible to stop once it starts.

I like to look at coworking and ask: Are you contributing to the development of an ecosystem - one dependent on the health of its host - or a community - a self sustaining organism that while it may have a figurehead, could live on in other capacities without you? 

All of that said...the question was what are the challenges to growing/scaling?

These same elements that provide a very strong cultural base for a coworking community also pose a challenge as you grow. Consider this essay by Michale Lopp (of Rands in Repose). In it, he talks about a pickup hockey game played by Netscape employees every weekend for 14 years. A game with only 3 simple rules. Unwritten rules, but understood rules.

Rather than referee every game and start by reminding everyone of the rules, they just played. If someone new joined the game, and disobeyed one of the rules, it was up to one of the other players to let them know the rules, and then they could play on.

That is, until, a larger group with its own critical mass came in all at once. In one game, more arguments and fights, occurred than ever had in the history of the game.

Its not because that group was unnecessarily feisty, but because it's much harder to grow a group that's built on cultural norms - like the rules of the pickup game or the interactions of a coworking space - when lots of new people show up at once.

So what do we have at our disposal within our various coworking communities?

First, we have our membership. Existing membership is the foundation of your culture, not you. If they want something to change, its best to embrace the chaos and let it change, for the better. Making sure that existing members are having opportunities to build strong relationships is key, because they'll be there to defend the cultural norms important to them.

On the list, some people have made recent mention of "Town Hall" meetings and members lunches. These are excellent for building relationships because they allow coworkers to interact with each other with the context of membership but without the context of work. That means they are not worried about interrupting or otherwise inconveniencing each other. 

Every time Indy Hall has deviated from a focus on heling create these contexts, and at the same time experienced a growth spurt in membership, we have had issues. Some can be small, like a noticeable increase in people who come in, put on their headphones, work all day without talking to anyone, and then going home. Others can be large, like the introduction of a disruptive member. Truly toxic things, like poorly ending collaborations and even theft, are more likely to occur when people aren't on the same page with what to expect from one another. 

If you don't know what "normal" looks like in a given culture, how are you supposed to know if something is wrong? 

When the community grows quickly but nobody is there to introduce the newbs to the cultural norms, the "hum" of a coworking space - the thing that gets most people excited but they can't quite put their finger on - tends to decrease in volume. I've seen it repeatedly times, and not just at Indy Hall. I've seen it happen on this e-mail list as it has grown from less than 100 people to over 2500. 

Consider your coworking efforts like mini-societies, and consider the challenges of scaling ANY society. They're universal, they're interesting, and the solutions we're all coming up with are insanely cool and powerful.

-Alex


/ah
indyhall.org
coworking in philadelphia

marileebowlescarey

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Jul 10, 2010, 6:11:20 PM7/10/10
to Coworking
Wow, thank you all for such thoughtful comments. and debate. And
thanks Alex for the link to the essay. I'll have a look.

Marilee

On Jul 10, 10:12 am, Alex Hillman <dangerouslyawes...@gmail.com>
wrote:
> I agree with David wholeheartedly. The power of coworking is not in the
> facilities, because those elements are commodities and have forever
> decreasing value. Scaling facility up is relatively easy...you can just
> throw more money at it. And despite how you might feel about funding your
> efforts, money is and will always be the easy part.
>
> Culture, on the other hand - which is the glue of what holds a strong
> coworking community together - is difficult. Especially through fast growth,
> which is often desired to help achieve an end like scaling the space and the
> facility.
>
> Culture is composed of norms, which can be established by anyone within that
> culture. They can be dictated - which tends to be the way offices are run.
> One of the things that fascinates me about coworking spaces is that we have
> the ability to provide a workspace, something that most people are
> relatively familiar with, and actually REMOVE the rules for how it is
> "supposed" to work.
>
> Ask yourself, "What happens in an office where nobody tells the workers how
> to act? How to interact? What to do? Where to go?". At first, there's some
> chaos. That's good. I learned to Embrace the
> Chaos<http://www.flickr.com/photos/missrogue/2611607790/> from
> early coworking founders like Chris Messina and Tara Hunt. Our tendencies
> are to control chaos, and put things in order. By avoiding that, and
> allowing order to emerge a bit more organically, new behavioral patterns
> emerge. These patterns, in the context of coworking, are the things that the
> press likes to write about: Collaboration & work exchange. Increased charity
> and giving. Better support for local industries. Happier people. Increased
> business foundation. Camaraderie and friendship. We're building blank
> canvases for work patterns to emerge from, and I think that the work
> patterns that exist when nobody told them to are the most interesting and
> the most sustainable to practice.
>
> Those elements don't truly emerge until someone gets out of their way and
> simply lets them. Telling people to collaborate is a lousy way to have it
> happen, because it's always dependent on you telling them. Creating
> opportunities for people to discover collaboration on their own creates a
> rolling effect that's difficult if not impossible to stop once it starts.
>
> I like to look at coworking and ask: Are you contributing to the development
> of an ecosystem - one dependent on the health of its host - or a community -
> a self sustaining organism that while it may have a figurehead, could live
> on in other capacities without you?
>
> All of that said...the question was what are the challenges to
> growing/scaling?
>
> These same elements that provide a very strong cultural base for a coworking
> community also pose a challenge as you grow. Consider this
> essay<http://www.randsinrepose.com/archives/2010/06/08/pick-up.html>by
> Michale Lopp (of Rands in Repose). In it, he talks about a pickup
> hockey
> game played by Netscape employees every weekend for 14 years. A game with
> only 3 simple rules. Unwritten rules, but understood rules.
>
> Rather than referee every game and start by reminding everyone of the rules,
> they just played. If someone new joined the game, and disobeyed one of the
> rules, it was up to one of the other players to let them know the rules, and
> then they could play on.
>
> That is, until, a larger group with its own critical mass came in all at
> once. In one game, more arguments and fights, occurred than ever had in the
> history of the game.
>
> Its not because that group was unnecessarily feisty, but because it's much
> harder to grow a group that's built on cultural norms - like the rules of
> the pickup game or the interactions of a coworking space - when lots of new
> people show up at once.
>
> So what do we have at our disposal within our various coworking communities?
>
> First, we have our membership. *Existing membership is the foundation of
> your culture, not you.* If they want something to change, its best to
> embrace the chaos and let it change, for the better. Making sure that
> existing members are having opportunities to build strong relationships is
> key, because they'll be there to defend the cultural norms important to
> them.
>
> On the list, some people have made recent mention of "Town Hall" meetings
> and members lunches. These are *excellent* for building relationships
> > On Sat, Jul 10, 2010 at 1:21 AM, Kent Lockart <kent.lock...@gmail.com>
> > >> coworking+...@googlegroups.com<coworking%2Bunsu...@googlegroups.com>
> > .
> > >> For more options, visit this group at
> > >>http://groups.google.com/group/coworking?hl=en.
>
> > > --
> > > You received this message because you are subscribed to the Google Groups
> > > "Coworking" group.
> > > To post to this group, send email to cowo...@googlegroups.com.
> > > To unsubscribe from this group, send email to
> > > coworking+...@googlegroups.com<coworking%2Bunsu...@googlegroups.com>
> > .
> > > For more options, visit this group at
> > >http://groups.google.com/group/coworking?hl=en.
>
> > --
> > Dave Ruzius
> >http://www.theworks.cz
>
> > --
> > You received this message because you are subscribed to the Google Groups
> > "Coworking" group.
> > To post to this group, send email to cowo...@googlegroups.com.
> > To unsubscribe from this group, send email to
> > coworking+...@googlegroups.com<coworking%2Bunsu...@googlegroups.com>
> > .
> > For more options, visit this group at
>
> ...
>
> read more »

mark gilbreath

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Jul 12, 2010, 12:06:21 PM7/12/10
to cowo...@googlegroups.com
Marilee

You've gotten some great feedback on the barriers to growth for the human/"community" aspects of coworking.   Let me add a couple of thoughts regarding the physical and operational aspects.  After all, coworking facilities are real places with real expenses, offering a real product to customers from whom we expect/need to be compensated.  And, in many cases we owners/operators have ambitions for our coworking operations to be our primary livelihood.   So while there may not be any barriers to growth of the human community, there are real practical challenges and barriers to the business operations.   

We should expect increasing competition in the marketplace.  The barrier to entry to open a cowork facility is relatively low.  It is unavoidable that some communities will eventually be "overbuilt".  We should expect the serviced office/executive suites industry (Regus et al)  to wake up... at some point... and view coworking venues as competition.  We should expect competition from new players in the commercial real estate world who are scrambling to figure out what to do with a massive over supply of high quality office space.   

We need to be able to operate our facilities at a profit, however modest.   Facilities that are running at a loss or at just breakeven will not be able to sustain themselves against competition or unforeseen changes in the market.  We need to to have sufficient profit margin to maintain our spaces, invest in generating awareness to attract new users as we experience turnover from our founding/first generation members, pay our staff and overhead etc.

Yes the community - the people, left to freely interact and self organize ARE the culture, the heart and soul of our cowork facilities - however the spaces we create and the administrative processes we establish for this interaction are the backbone.  How we design these spaces and the business model we apply, has an enormous influence on member productivity and have a substantial impact on our cost of operations.   To survive and grow as a movement in a competitive marketplace we need to look for the same level of refinement and optimization that other real estate driven businesses have discovered.  Look to successful hotels and coffee shops for inspiration.  These companies are constantly looking for marginal gains in all aspects of their operations to survive and grow.    This may sound like "going corporate" to some of us - but whether we remain individual independent operators with a single great facility or aspire to grow to have multiple locations in a region (as many of you do and or hope to!) scaling will demand paying attention to the myriad of small physical and operational details....efficient utilization of space, effective marketing, simplified administration etc.

Mark

On Fri, Jul 9, 2010 at 4:50 PM, marileebowlescarey <marileebo...@gmail.com> wrote:
What do people think are the key barriers to growth in coworking?

Marilee
--
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--
Mark Gilbreath

PO Box 2830
Ketchum, ID 83340

mobile   208-720-8107
skype    mfgilbreath
twitter    markgilbreath

Campbell McKellar

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Jul 12, 2010, 2:06:37 PM7/12/10
to cowo...@googlegroups.com
All of these comments have been spot on; however I'd like to offer another perspective (as a coworker).  

For some background, I'm working on Loosecubes, a website meant to connect independents and travelers to the right coworking spaces and desk shares, and to facilitate connections between spaces and the people working in them.  We have a basic prototype out and are working hard on the second phase (thanks to the many of you who've been beta testers and provided feedback!).  So in some ways, I am not the typical coworker; however, in many ways I am (if there is such a thing). 

In the last two weeks, working at New Work City, I have: 
- sat next to a publicist for startups who gave me some incredibly valuable advice for about a half hour
- had a successful facebook application builder review our wireframes and offer feedback
- been introduced to a NY Times tech reporter and numerous bloggers 
- had my blackberry fixed by a handset expert who was able to talk me off the ledge after mine exploded

All this for the price of a basic part time membership! 

If coworking spaces are able to communicate these types of experiences to people - using community members to do so - any business person is going to come to the same conclusion I have:  the economic benefit to my business is 10x what I pay to come to New Work City.  If you added up the cost to me (as a understaffed startup entrepreneur) to track down a publicist, developer, reporters, and tech support on an ad hoc basis (not to mention the cost and time of engaging these services or spending time to meet with them and develop trusting relationships outside the workplace), it would be astronomical.  In fact, I probably just wouldn't do it, and my business would suffer because of it.

I think if people are considering business centers, staying home, or not willing to pay for memberships, it's because we're not 1) building communities that collaborate or 2) our members are not communicating clearly to the outside world the incredible economic opportunity coworking creates for them.

Maybe the next wave of adopters needs to be recruited on economic, not strictly personal/lifestyle terms. 

(Just my two cents!)

Campbell McKellar
beta invite code: lovemonday   

ps.  I know what Tony has created at NWC is incredibly special AND incredibly difficult to do, so please take my comments with a grain of salt! 

Cadu de Castro Alves

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Jul 12, 2010, 3:06:57 PM7/12/10
to cowo...@googlegroups.com
Hi people!

First of all, congratulations! This is one of the best discussions I have ever seen here! =)

Campbell, your feedback is the most valuable here, because you are the real coworker. In other words, you are the true coworking space member or customer.
In general, people like me and others coworking space owners, can't see that values in a coworking space or don't know how to make use of it.

Me and my partner are defining a lot of strategies to "teach" our customers that values. The coworking movement, for example, is not very popular in Brazil as compared in the US or Europe.
It's a new thing here and like every innovation, we have the responsibility to show them what it means, for what serves and so on.

Coworking is not only about desks, chairs, high speed internet connection, meeting rooms and so on. It's about how people can give support to each other, how we can collaborate, teach, learn, ask, meet, live together, work. It's about what we have to do to make the community, the place, the city or (why not?) the world better. Everything, in short, is about people.

But... how can we show it to everyone? How can we show the real value of a coworking space?

In BeesOffice, we are telling people that we can support them to take their business to another level, we can be an alternative to the home office (and not the solution), we can help them to transform an idea in business, and so on. We are not only offering desks, chairs and an internet access to allow them to work, because it's not enough. Most of them can do it by themselves.

In short, IMHO, desks, chairs, internet access and so on, are things that every coworking space must have. The difference will be what and how we will to help these people.

Best regards,

Cadu de Castro Alves
BeesOffice Espaço de Coworking @ Rio de Janeiro
Telefone: (21) 2233-5126 / 8464-3958
Website: http://www.beesoffice.com
Skype: beesoffice
Twitter: @beesoffice

“The guy who invented the first wheel was an idiot. The guy who invented the other three, HE was a genius.” - Sid Caesar

marileebowlescarey

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Jul 15, 2010, 8:57:46 AM7/15/10
to Coworking
I'm awed by the number of insights about this topic. As I have been
doing my due diligence, I have been both inspired by what is
happening, but also concerned about where it is going. So I appreciate
all your perspectives.

Marilee
> On Mon, Jul 12, 2010 at 12:06 PM, mark gilbreath <mfgilbre...@gmail.com>wrote:
>
>
>
> > Marilee
>
> > You've gotten some great feedback on the barriers to growth for the
> > human/"community" aspects of coworking.   Let me add a couple of thoughts
> > regarding the physical and operational aspects.  After all, coworking
> > facilities are real places with real expenses, offering a real product to
> > customers from whom we expect/need to be compensated.  And, in many cases we
> > owners/operators have ambitions for our coworking operations to be our
> > primary livelihood.   So while there may not be any barriers to growth of
> > the human community, there are real practical challenges and barriers to the
> > business operations.
>
> > *We should expect increasing competition in the marketplace.*  The barrier
> > to entry to open a cowork facility is relatively low.  It is unavoidable
> > that some communities will eventually be "overbuilt".  We should expect the
> > serviced office/executive suites industry (Regus et al)  to wake up... at
> > some point... and view coworking venues as competition.  We should expect
> > competition from new players in the commercial real estate world who are
> > scrambling to figure out what to do with a massive over supply of high
> > quality office space.
>
> > *We need to be able to operate our facilities at a profit, however modest*.
> >   Facilities that are running at a loss or at just breakeven will not be
> > able to sustain themselves against competition or unforeseen changes in the
> > market.  We need to to have sufficient profit margin to maintain our spaces,
> > invest in generating awareness to attract new users as we experience
> > turnover from our founding/first generation members, pay our staff and
> > overhead etc.
>
> > Yes the community - the people, left to freely interact and self organize
> > ARE the culture, the heart and soul of our cowork facilities - *however
> > the spaces we create and the administrative processes we establish for this
> > interaction are the backbone.  *How we design these spaces and the
> > business model we apply, has an enormous influence on member productivity
> > and have a substantial impact on our cost of operations.   *To survive and
> > grow as a movement* in a competitive marketplace we need to look for the
> > same level of refinement and optimization that other real estate driven
> > businesses have discovered.  Look to successful hotels and coffee shops for
> > inspiration.  These companies are constantly looking for marginal gains in
> > all aspects of their operations to survive and grow.    This may sound like
> > "going corporate" to some of us - but whether we remain individual
> > independent operators with a single great facility or aspire to grow to have
> > multiple locations in a region (as many of you do and or hope to!) scaling
> > will demand paying attention to the myriad of small physical and operational
> > details....efficient utilization of space, effective marketing, simplified
> > administration etc.
>
> > Mark
>
> > On Fri, Jul 9, 2010 at 4:50 PM, marileebowlescarey <
> > marileebowlesca...@gmail.com> wrote:
>
> >> What do people think are the key barriers to growth in coworking?
>
> >> Marilee
>
> >> --
> >> You received this message because you are subscribed to the Google Groups
> >> "Coworking" group.
> >> To post to this group, send email to cowo...@googlegroups.com.
> >> To unsubscribe from this group, send email to
> >> coworking+...@googlegroups.com<coworking%2Bunsubscribe@googlegroups .com>
> >> .
>
> >> For more options, visit this group at
> >>http://groups.google.com/group/coworking?hl=en.
>
> > --
> > Mark Gilbreath
>
> > PO Box 2830
> > Ketchum, ID 83340
>
> > mobile  208-720-8107
> > skype    mfgilbreath
> > twitter    markgilbreath
>
> > --
> > You received this message because you are subscribed to the Google Groups
> > "Coworking" group.
> > To post to this group, send email to cowo...@googlegroups.com.
> > To unsubscribe from this group, send email to
> > coworking+...@googlegroups.com<coworking%2Bunsubscribe@googlegroups .com>
> > .

Alex Hillman

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Jul 15, 2010, 9:35:18 AM7/15/10
to cowo...@googlegroups.com
Marilee, 

Are you involved with any of your local coworking efforts? Hearing our dialogue on this list is pretty one sided, despite how insightful :)

I'd highly encourage you to get out there and experience a few (or a dozen) different styles of coworking for yourself, as well as spend some time talking to people who participate as members, rather than operators. Our members tend to be far more insightful than I can, even when they don't mean to be :)

-Alex

/ah
indyhall.org
coworking in philadelphia


To unsubscribe from this group, send email to coworking+...@googlegroups.com.

marileebowlescarey

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Jul 15, 2010, 1:01:01 PM7/15/10
to Coworking
I totally agree, and I am really looking forward to diving in. Thanks
for the encouragement!

Marilee

On Jul 15, 9:35 am, Alex Hillman <dangerouslyawes...@gmail.com> wrote:
> Marilee,
>
> Are you involved with any of your local coworking efforts? Hearing our
> dialogue on this list is pretty one sided, despite how insightful :)
>
> I'd highly encourage you to get out there and experience a few (or a dozen)
> different styles of coworking for yourself, as well as spend some time
> talking to people who participate as members, rather than operators. Our
> members tend to be far more insightful than I can, even when they don't mean
> to be :)
>
> -Alex
>
> /ah
> indyhall.org
> coworking in philadelphia
>
> On Thu, Jul 15, 2010 at 8:57 AM, marileebowlescarey <
>
> > > >> coworking+...@googlegroups.com<coworking%2Bunsu...@googlegroups.com>
> > <coworking%2Bunsubscribe@googlegroups .com>
> > > >> .
>
> > > >> For more options, visit this group at
> > > >>http://groups.google.com/group/coworking?hl=en.
>
> > > > --
> > > > Mark Gilbreath
>
> > > > PO Box 2830
> > > > Ketchum, ID 83340
>
> > > > mobile  208-720-8107
> > > > skype    mfgilbreath
> > > > twitter    markgilbreath
>
> > > > --
> > > > You received this message because you are subscribed to the Google
> > Groups
> > > > "Coworking" group.
> > > > To post to this group, send email to cowo...@googlegroups.com.
> > > > To unsubscribe from this group, send email to
> > > > coworking+...@googlegroups.com<coworking%2Bunsu...@googlegroups.com>
> > <coworking%2Bunsubscribe@googlegroups .com>
> > > > .
> > > > For more options, visit this group at
> > > >http://groups.google.com/group/coworking?hl=en.
>
> > --
> > You received this message because you are subscribed to the Google Groups
> > "Coworking" group.
> > To post to this group, send email to cowo...@googlegroups.com.
> > To unsubscribe from this group, send email to
> > coworking+...@googlegroups.com<coworking%2Bunsu...@googlegroups.com>

marileebowlescarey

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Jul 20, 2010, 11:50:24 AM7/20/10
to Coworking
Thanks Campbell, that is the best description of the power of
collaboration in a coworking space I have come across.

Marilee

On Jul 12, 2:06 pm, Campbell McKellar <cmc...@gmail.com> wrote:
> On Mon, Jul 12, 2010 at 12:06 PM, mark gilbreath <mfgilbre...@gmail.com>wrote:
>
> > Marilee
>
> > You've gotten some great feedback on the barriers to growth for the
> > human/"community" aspects of coworking.   Let me add a couple of thoughts
> > regarding the physical and operational aspects.  After all, coworking
> > facilities are real places with real expenses, offering a real product to
> > customers from whom we expect/need to be compensated.  And, in many cases we
> > owners/operators have ambitions for our coworking operations to be our
> > primary livelihood.   So while there may not be any barriers to growth of
> > the human community, there are real practical challenges and barriers to the
> > business operations.
>
> > *We should expect increasing competition in the marketplace.*  The barrier
> > to entry to open a cowork facility is relatively low.  It is unavoidable
> > that some communities will eventually be "overbuilt".  We should expect the
> > serviced office/executive suites industry (Regus et al)  to wake up... at
> > some point... and view coworking venues as competition.  We should expect
> > competition from new players in the commercial real estate world who are
> > scrambling to figure out what to do with a massive over supply of high
> > quality office space.
>
> > *We need to be able to operate our facilities at a profit, however modest*.
> >   Facilities that are running at a loss or at just breakeven will not be
> > able to sustain themselves against competition or unforeseen changes in the
> > market.  We need to to have sufficient profit margin to maintain our spaces,
> > invest in generating awareness to attract new users as we experience
> > turnover from our founding/first generation members, pay our staff and
> > overhead etc.
>
> > Yes the community - the people, left to freely interact and self organize
> > ARE the culture, the heart and soul of our cowork facilities - *however
> > the spaces we create and the administrative processes we establish for this
> > interaction are the backbone.  *How we design these spaces and the
> > business model we apply, has an enormous influence on member productivity
> > and have a substantial impact on our cost of operations.   *To survive and
> > grow as a movement* in a competitive marketplace we need to look for the
> > same level of refinement and optimization that other real estate driven
> > businesses have discovered.  Look to successful hotels and coffee shops for
> > inspiration.  These companies are constantly looking for marginal gains in
> > all aspects of their operations to survive and grow.    This may sound like
> > "going corporate" to some of us - but whether we remain individual
> > independent operators with a single great facility or aspire to grow to have
> > multiple locations in a region (as many of you do and or hope to!) scaling
> > will demand paying attention to the myriad of small physical and operational
> > details....efficient utilization of space, effective marketing, simplified
> > administration etc.
>
> > Mark
>
> > On Fri, Jul 9, 2010 at 4:50 PM, marileebowlescarey <
> > marileebowlesca...@gmail.com> wrote:
>
> >> What do people think are the key barriers to growth in coworking?
>
> >> Marilee
>
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>
> > --
> > Mark Gilbreath
>
> > PO Box 2830
> > Ketchum, ID 83340
>
> > mobile   208-720-8107
> > skype    mfgilbreath
> > twitter    markgilbreath
>
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