Paul Scialla, founder and CEO of Delos. Paul is an expert on indoor environmental quality and healthy buildings.
Discussions about the impact of environmental, social and governance initiatives often focus on the desired benefits of environmental sustainability. If we are serious about delivering direct benefits to people and improving human sustainability—the “S,” or social, category in ESG—we need to look inward.
The link between indoor air quality and human health and well-being is well established, and evidence of that connection continues to grow. It makes sense, as it’s often said that many Americans spend about 90% of their time indoors, and indoor air quality can be up to five times worse than the air outside.
The benefits of improving the overall indoor environmental quality (known as “IEQ”) go well beyond the positive impacts of cleaner air. Thermal comfort, circadian lighting, noise abatement, water quality and biophilic design can also impact health, cognitive function, productivity and well-being—key factors that contribute to employee satisfaction.
As the ESG landscape and the post-pandemic workplace continue to evolve, investing in human sustainability is not just the right thing to do; it is increasingly becoming a business imperative. Creating work environments that support human health and well-being can help combat burnout, increase productivity, and recruit and retain talented workers, a company’s most valuable asset.
Further, a 2022 survey of more than 5,000 workers and job seekers commissioned by staffing company Indeed offered a good indication of how attitudes toward work have changed since the pandemic. Forty-six percent of respondents said their expectations for happiness in the workplace increased in the past year. The survey also found far more loyalty among workers who reported higher levels of well-being in their current job. In fact, 87% of the respondents who were satisfied with their workplace well-being said they were likely to stay with their employer for at least another year, while only 16% of workers with a low level of well-being expressed that degree of loyalty. This shift in worker expectations coincides with higher ESG expectations among employers, investors and the public.
These aligned trends have implications for commercial real estate as well as large employers.
Building owners can heed the call to action by creating healthier buildings. In doing so, they could see a significant return on investment. In response to a survey conducted by Dodge Data & Analytics in 2016, more than 70% of building owners said their investments in healthier buildings improved their ability to lease the property, and 79% said healthier buildings have a positive impact on employee satisfaction and engagement. More than 60% said the investments increased the building’s overall value.
An essential step for improving people’s well-being indoors is to collect data on IEQ factors such as temperature, occupancy, ambient noise and air quality. This data can provide valuable information to guide improvements and help improve efficiencies.
A forward-looking 2018 article published in the academic journal Sustainability defined smart real estate as “a property or land that uses various electronic sensors to collect and supply data to consumers, agents and real estate managers that can be used to manage assets and resources efficiently.”
It’s a good definition, and the technology that can collect and supply data is improving rapidly. Many newly built commercial structures incorporate state-of-the-art sensors that measure a host of factors related to health, well-being and energy use. Unfortunately, I’ve found building owners and operators of older buildings are often reluctant to use this type of information to improve indoor air quality because of the expense and disruptions associated with large-scale upgrades. For example, older buildings might need an entirely new HVAC system to improve air quality.
New technologies are one element that can help solve this problem. Owners can consider using smaller, localized air purification devices that limit the scale of necessary HVAC upgrades. (Full disclosure: My company provides this type of solution, as do others.) Owners and operators of spaces can also take other simple steps to enhance employee comfort and satisfaction, such as making temperature data accessible so employees can dress accordingly for their comfort level or clearly delineating quiet and collaborative zones in the office so employees can choose an area that best supports their work needs.
Technology developments, whenever they occur, and better IEQ transparency to employees can help benefit the environment and mark a giant step forward for the “S” in ESG.
Forbes Business Council is the foremost growth and networking organization for business owners and leaders. Do I qualify?
Read the full article here
