Running an office in 2017

Happy new year, everyone!

Over the course of the last year, we’ve collected a lot of interesting data about office operations and administration. If you run a small business with fewer than 100 people in the office, this infographic may be of particular interest to you.

A couple quick observations that surprised even us:

  1. Employers are paying, on the conservative side, an additional $22K per year in benefits and overhead to hire the average person-of-all-trades in New York City. On the high end, that could be $32K per year
  2. A role that people historically believe should be on-site can be effectively done 40% off-site (for the record, our managers do spend time in our client offices)

Vesper Infographic (1).png

In 2016, companies chose us as an alternative to finding their own full-time hire for three key reasons:

  1. Price. They did not need a full-time or constant on-site presence (some had hired a full-time person prior to working with us), and no longer wanted or needed to pay the premium for it.
  2. Turnover. Turnover for admin roles is high, and the position is usually harder to fill than anticipated. Having to do it every 6-12 months is not a good use of a company’s time and resources.
  3. Quality. Paying an expert (us) to get things done faster and correctly the first time around incurred the same costs as paying a less-experienced, full-timer to spend more time figuring it out.

According to the Center for Urban Future, which tracks business trends in NYC, small businesses of all sorts are thinking about how to scale sustainably, and identifying opportunities to outsource if it means added benefits and cost-savings. Michael Simas (EVP Partnership for NYC) phrased it well:

“When you have to pay your own bills and take care of permitting and other issues…it gets more expensive—you have to deal with HR, with legal, with workers’ comp, not to mention other expenses…companies in all sectors need a whole new strategy to handle growing demand…and decide what parts of the business to outsource and what to handle in-house.” 

Comments, questions, or want more details? Email hello@getvesper.com and we’ll get back to you!

Notes and Sources:
*Note: most of Vesper’s clients are in the tech, media, and advertising space, but we also work with capital markets and consulting firms
**Number of small businesses in NYC provided by Center for an Urban Future
***Salary, benefits, and overhead statistics by Payscale, MIT, and JLL
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2 thoughts on “Running an office in 2017

  1. Great read, always looking for extra ways to be more efficient around the office. I just wanted to share something I’ve been doing recently. I run an office and have noticed that unused toner was piling up in storage. Looked into returning but that was no good. Tried out the site http://www.tonerconnect.net/ and was impressed. They had quick service and that payout was nice.

    Like

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