1. Hotel Monaco September 18-21, 2011 Washington, DC John McBain Assistant Deputy Minister, Real Property Branch Public Works and Government Services Canada Ottawa Canadas Workplace 2.0 Concept, Challenges & Approach

2. 2 Our Initiative Build a better workplace –More supportive –More productive –More flexible –More efficient Leverage technology Sustainability as a founding principle Build for 2012 and beyond, not the 1970s Recruit and retain talent Integrate broader government initiatives – 3 pillars Work is what you do, not where you do it

3. 3 Our Context Mandated by federal law to provide office accommodation to federal public service; –265,000 public servants in 18,43 locations –7.1 M m 2 or 75 M ft 2, incl 2091 leases @ $1.1 B/yr –Appropriations of $3.1 B/yr Good cop, bad cop Successive, layered efficiency initiatives; –2005-2010 Way Forward: $1 B (5 yr) plus $300 M on going –2011 Strategic Review: $148 M over 6 years (+/- 5%) –2012 Strategic Operating Review: 5% and 10% scenarios Way Forward brought/perceived as cost and space cutting, reducing ratio from 22 m 2 /FTE to 18 m 2 /FTE

4. 4 Our Challenges Split funding environment; fit up vs. fit out funding - RPB and tenants Inertia of in-house FM groups (110 tenants) Clerk and Deputy Head interest in public service renewal Dog that caught the car Unfortunate convergence of initiatives –Perceptions –Seed funding Reduction/restraint environment Diminishing workforce – pre-retirement course Budget secrecy I bought a house real estate experts

5. 5 Our Approaches Engage broader management community advocacy: IT and HR Integrated solutions – technology as an essential component Higher paybacks secure longer time frame for delivery Shared savings – consumer benefit Teleprescence as a core allocation as basic provision Pilot/demonstration projects – walk the talk Turnkey leases Evolving change management approach Partner with other jurisdictions, e.g. bi-laterals with the GSA, TWN Focused effort on a communication matrix

6. 6 Opportunities 9 development sites across Canada 2.4 M square feet of new office $2 B in investments