Bringing Collaboration to LifeBringing Collaboration to Life

Global Exchange for Growth

Relina Bulchandani Director, Internet Business Solutions GroupGlobal Lead Connected Real Estate

March 24, 2010

Global Exchange for Growth

Relina Bulchandani Director, Internet Business Solutions GroupGlobal Lead Connected Real Estate

March 24, 2010

AgendaAgenda

Cisco Real Estate

Shifting Workforce

Cisco Connected Workplace

Proof of Concept

Smart Work Centers

Innovation Centers & Community Hubs

Questions

Cisco Real Estate

Shifting Workforce

Cisco Connected Workplace

Proof of Concept

Smart Work Centers

Innovation Centers & Community Hubs

Questions

A Laboratory for Innovative Real A Laboratory for Innovative Real Estate and Technology SolutionsEstate and Technology Solutions

Portfolio23M sq ft

56% owned

Persons housed 75,000+

Countries 90+

Buildings 595+

Cisco’s Real Estate PortfolioCisco’s Real Estate Portfolio

TraditionalistTraditionalist

Trait:Trait: PaternalisticPaternalistic

Leadership Style:Leadership Style: Top-downTop-down

Career:Career: Pay dues, Pay dues, build legacybuild legacy

Value:Value: Loyalty Loyalty

Rewards:Rewards: Job Job security and security and recognitionrecognition

BoomerBoomer

Trait:Trait: OptimisticOptimistic

Leadership Style:Leadership Style: ConsensusConsensus

Career:Career: Competitive; Competitive; change agentschange agents

Value:Value: OpportunityOpportunity

Rewards:Rewards: Money, Money, title and perkstitle and perks

Generation XGeneration X

Trait:Trait: SkepticismSkepticism

Leadership Style:Leadership Style: CompetenceCompetence

Career:Career: Resourceful, Resourceful, self-manageself-manage

Value:Value: FreedomFreedom

Rewards:Rewards: Transferable Transferable benefits, flexibility and benefits, flexibility and balancebalance

Millennials (Gen Y)Millennials (Gen Y)

Trait:Trait: EmpoweredEmpowered

Leadership Style:Leadership Style: Non-hierarchicalNon-hierarchical

Career:Career: Cutting-Cutting-edge vs. experienceedge vs. experience

Value:Value: Diversity and Diversity and social responsibilitysocial responsibility

Rewards:Rewards: High pay, High pay, interesting work and interesting work and work/life balancework/life balance

Shifting WorkforceShifting Workforce

Born 1928–1945Born 1928–1945 Born 1946–1964/5Born 1946–1964/5 Born 1965/6–1980Born 1965/6–1980 Born 1980–2000Born 1980–2000

Source: Based in part on “Meeting the Challenges of Tomorrow's Workplace,” CEO Magazine, 2005Source: Based in part on “Meeting the Challenges of Tomorrow's Workplace,” CEO Magazine, 2005

(All Generation View – Cisco Population Worldwide)(All Generation View – Cisco Population Worldwide)

Cisco Today: Boomer Leadership; Gen X and Millennial Workforce

Cisco Today: Boomer Leadership; Gen X and Millennial Workforce

0%0%

20%20%

40%40%

60%60%

80%80%

TraditionalistTraditionalist

BoomerBoomer

Generation XGeneration X

MillennialsMillennials

FY04FY04 FY05FY05 FY06FY06 FY07FY07 FY08FY08 CurrentCurrent FY09FY09 FY10FY10 FY11FY11

Cisco Tomorrow: Millenials Pass Boomers Market Transition: New Source of Productivity

Cisco Tomorrow: Millenials Pass Boomers Market Transition: New Source of Productivity

(Data represents Cisco global population)(Data represents Cisco global population)

Millennials are largest US generation Millennials are largest US generation (75M) since Baby Boomers (80M). (75M) since Baby Boomers (80M).

Gen Xers = 40M.Gen Xers = 40M.

Collaboration via Collaboration via “virtual work “virtual work practices” is practices” is

rapidly evolvingrapidly evolving

As our employee As our employee population population

changes, so do changes, so do our work stylesour work styles

Enterprise InfrastructureEnterprise Infrastructure

LEGACYLEGACYEnterprise InfrastructureEnterprise Infrastructure

LEGACYLEGACYEnterprise InfrastructureEnterprise Infrastructure

TODAYTODAYEnterprise InfrastructureEnterprise Infrastructure

TODAYTODAY

Virtual & Physical Solutions Are ConvergingIntegrating Space, Technology and Services

Virtual & Physical Solutions Are ConvergingIntegrating Space, Technology and Services

The Way People Work Is ChangingThe Way People Work Is ChangingWork Done in the Office Is Increasingly Work Done in the Office Is Increasingly

CollaborativeCollaborative

Group WorkGroup WorkGroup WorkGroup WorkWorking AloneWorking AloneWorking AloneWorking Alone

WORK STYLESWORK STYLESWORK STYLESWORK STYLES

Percentage of Percentage of Individual’s Work Individual’s Work Product That Will Product That Will

Depend on Depend on Group InputGroup Input

Percentage of Percentage of Individual’s Work Individual’s Work Product That Will Product That Will

Depend on Depend on Group InputGroup Input

Source: Gartner Source: Gartner Dataquest, 2002Dataquest, 2002Source: Gartner Source: Gartner Dataquest, 2002Dataquest, 2002

19851985 19901990 19951995 20002000 20052005 2010201000

20%20%

40%40%

60%60%

80%80%

100%100%

Cisco Cisco Two Major Changes Are Driving The Need Two Major Changes Are Driving The Need For a New Workplace DesignFor a New Workplace Design

Infrastructure is More Mobile Infrastructure is More Mobile You no longer need to be in one place to You no longer need to be in one place to

be productivebe productive

•Lap-tops & other mobile devicesLap-tops & other mobile devices

•Web-based applicationsWeb-based applications

•Wireless NetworkWireless Network

•Internet Based Telephony and VideoInternet Based Telephony and Video

•Collaboration SoftwareCollaboration Software

•VPN and Network SecurityVPN and Network Security

Data as at Q4FY09 includes only partial Scientific Atlanta, WebEx and Ironport portfolios, excludes offline buildingsData as at Q4FY09 includes only partial Scientific Atlanta, WebEx and Ironport portfolios, excludes offline buildings

Meanwhile, our space allocation remains the same — and is underutilized

Meanwhile, our space allocation remains the same — and is underutilized

Cisco’s Solution – Connected WorkplaceCisco’s Solution – Connected Workplace

A group-assigned environment with a variety of shared open and closed workspaces that give teams and individuals choices to support their work.

Key physical attributes include: no more than seated height privacy at open workstations, closed door spaces that emphasize collaboration, and personal storage that is separated from the individual workspace.

Day-to-day space use is established and managed by the occupants in tandem with WPR.

A group-assigned environment with a variety of shared open and closed workspaces that give teams and individuals choices to support their work.

Key physical attributes include: no more than seated height privacy at open workstations, closed door spaces that emphasize collaboration, and personal storage that is separated from the individual workspace.

Day-to-day space use is established and managed by the occupants in tandem with WPR.

Group-assignedGroup-assigned

Variety, ChoiceVariety, Choice

Seated PrivacySeated Privacy

CollaborativeCollaborative

Distributed StorageDistributed Storage

Group-managedGroup-managed

““

””SPACE + TECHNOLOGY + POLICYSPACE + TECHNOLOGY + POLICY

Typical floor in San Jose Traditional Cisco Connected Workplace

Usable Area 49,000 sq. ft. 49,000 sq. ft.

Work Space 70% individual 30% individual

30% collaborative 70% collaborative

Use Pattern Traditional, Assigned Flexible, Unassigned

Design Capacity 300 (fixed) 440 (nominal)

Enclosed Meeting Spaces 16 72

Usable Area / Capacity* 163 sq. ft. 111 sq. ft.

Chargeback per Employee $5,162 per year $2,596 per year

Typical ResultsTypical Results

* Excludes specialty spaces, labs, etc* Excludes specialty spaces, labs, etc

audio privacyaudio privacy

denden

recreationrecreation

workstationworkstation

CUD Goals

five Year Cisco commitment work with major cities to develop innovative solutions using ICT (information and

communications technology) to reduce carbon dioxide emissions to forge blueprints, models, policies and practices that help to create a successful,

connected, competitive, attractive and sustainable 21st century city the development and exchange of relevant thought leadership and replicable

methodologies between CUD Cities and beyond.

CUD Goals

five Year Cisco commitment work with major cities to develop innovative solutions using ICT (information and

communications technology) to reduce carbon dioxide emissions to forge blueprints, models, policies and practices that help to create a successful,

connected, competitive, attractive and sustainable 21st century city the development and exchange of relevant thought leadership and replicable

methodologies between CUD Cities and beyond.

Connected Urban Development (CUD)Connected Urban Development (CUD)

Connected Urban Development (CUD)Connected Urban Development (CUD)

20062006

SeoulSeoul San FranciscoSan Francisco AmsterdamAmsterdam

www.connectedurbandevelopment.org

Business Transformation Enabled by Information Business Transformation Enabled by Information and Communication Technology (ICT)and Communication Technology (ICT)

MadridMadrid BirminghamBirmingham HamburgHamburgLisbonLisbon

Three founding cities:Three founding cities:

In 2008, four new cities joined:In 2008, four new cities joined:

Connected Urban Development A Blueprint for City Transformation

Connected Urban Development A Blueprint for City Transformation

Broadband Platform – 4Broadband Platform – 4thth Essential Infrastructure Essential InfrastructureIP-Enabled Homes and Offices, Roads, Utilities, Workplace DesignIP-Enabled Homes and Offices, Roads, Utilities, Workplace Design

Sustainable Urban PlanningSustainable Urban Planning

Connected & Connected & Sustainable WorkSustainable Work

Smart Work CentersSmart Work Centers

Digital SwarmingDigital Swarming& Hub Pavilions& Hub Pavilions

ConnectedConnectedWorkplacesWorkplaces

ConnectedConnectedWorkforceWorkforce

Connected & Connected & Sustainable Sustainable BuildingsBuildings

HomesHomes

OfficeOfficeBuildingsBuildings

Public Public SpacesSpaces

Public TransitPublic TransitHubsHubs

HospitalsHospitalsand Schoolsand Schools

Connected & Connected & SustainableSustainable

MobilityMobility

Smart TransportationSmart TransportationPricingPricing

Personal TravelPersonal TravelAssistantAssistant

Connected PublicConnected PublicTransportationTransportation

Connected & Connected & Sustainable Sustainable

EnergyEnergy

Renewables &Renewables &co-Generationco-Generation

Urban MonitoringUrban Monitoring& Measurement& Measurement

Citizens EnergyCitizens EnergyEfficiencyEfficiency

Sustainable Sustainable Socio - Socio -

EconomicsEconomics

Active CitizenshipActive Citizenship& Eco Maps& Eco Maps

InnovativeInnovativeGreen Business Green Business

Models andModels andSustainability Sustainability

ClustersClusters

Mega Trends Impacting the Urban Work EnvironmentMega Trends Impacting the Urban Work Environment

Energy and Sustainability: Quest for sustainable modes of work

and transport

Access: Urban Mobility Access to work, information and

education for all – the remote, the aging, the newly started

Changing the Way We Work & ICT: Work follows the worker Push to improve quality of life Collaboration and autonomy A work force in flux

Energy and Sustainability: Quest for sustainable modes of work

and transport

Access: Urban Mobility Access to work, information and

education for all – the remote, the aging, the newly started

Changing the Way We Work & ICT: Work follows the worker Push to improve quality of life Collaboration and autonomy A work force in flux

Copyright © 2007, 2008 , 2009 Cisco Systems, Inc. All rights reserved.Copyright © 2007, 2008 , 2009 Cisco Systems, Inc. All rights reserved.Cisco Highly ConfidentialCisco Highly Confidential 1717

Bring Information to the User, Not the User to the Information

Bring Information to the User, Not the User to the Information

Why move people and information, if you can move information alone?Why move people and information, if you can move information alone?

A Smart Work Center (SWC) is an office center within a close proximity of a residential community, that allows workers to be positioned centrally and pervasively within the context of their work, their peer work groups and relevant work processes with the help of high end broadband powered innovative IT solutions, next generation video connectivity and collaboration tools, and offers them flexible work stations embedded in a socially conducive service setting.

Smart Work Centers help substitute phyical traffic by bringing work to the worker rather than the conventional opposite practice. Smart Work Centers provide enhanced access to work, data and services to the remote, the commuting, the elderly and the newly started. Smart Work Centers help forge an innovative and connected urban work environment, spurring job creation and enterprise incubation

A Smart Work Center (SWC) is an office center within a close proximity of a residential community, that allows workers to be positioned centrally and pervasively within the context of their work, their peer work groups and relevant work processes with the help of high end broadband powered innovative IT solutions, next generation video connectivity and collaboration tools, and offers them flexible work stations embedded in a socially conducive service setting.

Smart Work Centers help substitute phyical traffic by bringing work to the worker rather than the conventional opposite practice. Smart Work Centers provide enhanced access to work, data and services to the remote, the commuting, the elderly and the newly started. Smart Work Centers help forge an innovative and connected urban work environment, spurring job creation and enterprise incubation

Smart Work CenterSmart Work Center

Smart Work Center: an Integrated Service Concept

Smart Work Center: an Integrated Service Concept

Flexible work stations/ conference rooms

Lounge work places

Telepresence facilities

Restaurant/ Business Club/ Catering

Child day care

Bank

IT Support

Notary and legal advice

Employment agency

Easy physical access, close proximity to highway

Flexible work stations/ conference rooms

Lounge work places

Telepresence facilities

Restaurant/ Business Club/ Catering

Child day care

Bank

IT Support

Notary and legal advice

Employment agency

Easy physical access, close proximity to highway

Smart Work Center ConceptSmart Work Center Concept

Smart Work Center for allSocial Innovation: Enhancing a community based platform

Smart Work Center for allSocial Innovation: Enhancing a community based platform

HealthcareHealthcare

EducationEducation Aging WellAging Well

GovernmentGovernment

AmsterdamAmsterdam

The HagueThe Hague

RotterdamRotterdam

AlmereAlmere

SWC in 2008: SWC in 2008: One Proof of One Proof of

Concept & Pilot Concept & Pilot

AmsterdamAmsterdam

The HagueThe Hague

RotterdamRotterdam

AlmereAlmere

20102010

Double UChain of SWCs, Portfolio Approach,

forging a distributed work environment

Double UChain of SWCs, Portfolio Approach,

forging a distributed work environment

GovernanceGovernance

Public Public TelepresenceTelepresence

One Stop One Stop ShopShop

Booking ToolBooking Tool

WorkSnugWorkSnug

MarketMarketOrganizerOrganizer

Standards, Standards, LabelLabel

IndependentIndependentPlatformPlatform

MySmartWorkSpace Reservation ToolMySmartWorkSpace Reservation Tool

SWC Wherever, Whenever:SWC Wherever, Whenever: Work Work

Space follows the WorkerSpace follows the Worker

MultimodalMultimodal

Selection, Reservations & PaymentsSelection, Reservations & Payments

‘ ‘One-Stop-Shop’ for Employers, One-Stop-Shop’ for Employers,

SWC usersSWC users

Integration into EcoMapsIntegration into EcoMaps

SWC Wherever, Whenever:SWC Wherever, Whenever: Work Work

Space follows the WorkerSpace follows the Worker

MultimodalMultimodal

Selection, Reservations & PaymentsSelection, Reservations & Payments

‘ ‘One-Stop-Shop’ for Employers, One-Stop-Shop’ for Employers,

SWC usersSWC users

Integration into EcoMapsIntegration into EcoMaps

www.w-smartwork.nlwww.w-smartwork.nl

Public TelepresencePublic Telepresence

Double U Fact SheetDouble U Fact Sheet

• Initiated by City of Amsterdam and Cisco under CUD, Initiated by City of Amsterdam and Cisco under CUD, founded by Cisco, ABN AMRO, Rabobank and several SWC founded by Cisco, ABN AMRO, Rabobank and several SWC providers. Double U is a foundation under Dutch law.providers. Double U is a foundation under Dutch law.

• Public Launch of Double U and Double U tool on March 23, Public Launch of Double U and Double U tool on March 23, 20102010

• Double U commences with 21 SWCs, with 30 more ready to Double U commences with 21 SWCs, with 30 more ready to become part of the Double U network throughout 2010, become part of the Double U network throughout 2010, totaling over 50 SWCs throughout the Netherlandstotaling over 50 SWCs throughout the Netherlands

• Double U to facilitate and embed a public Telepresence Double U to facilitate and embed a public Telepresence network. First SWC to feature Telepresence is Amsterdam network. First SWC to feature Telepresence is Amsterdam Bright City (June 2010)Bright City (June 2010)

• Double U to feature ‘Worksnug’ as part of its portfolio. Double U to feature ‘Worksnug’ as part of its portfolio. Worksnug is an augmented reality smart phone application Worksnug is an augmented reality smart phone application mapping public work locationsmapping public work locations

Global SWC Replication effortsGlobal SWC Replication efforts

CUD CitiesCUD Cities

Non-CUD CitiesNon-CUD Cities

San FranciscoSan Francisco

PBC – Bay AreaPBC – Bay Area

Venga - IdahoVenga - Idaho

Buenos AiresBuenos Aires

LisbonLisbon

FranceFrance

KenyaKenya

New DehliNew Dehli

Korea/SeoulKorea/SeoulGermanyGermany

The NetherlandsThe Netherlands

New South WalesNew South Wales

DubaiDubai