Location, location, innovation: Why where you work changes (almost) everything

As companies wrestle with the return-to-office debate, it’s crucial to ask: How much does location really matter for innovation? Surprisingly, where you work can significantly shape how—and how much—you innovate. Assistant Professor Ruben Gaetani dives into the research, revealing why dragging everyone back to their cubicles could stifle the very creativity you’re trying to spark.

Show notes
[0:00] Downtown offices are in the midst of an identity crisis. As vacancy rates rise, some leaders are demanding workers return to their towers to strengthen culture and innovation.

[1:11] Meet Ruben Gaetani, an assistant professor at the University of Toronto, who specifically looks at how office location influences innovation strategy.

[2:22] What is conventional versus unconventional innovation, and how do they differ?

[3:48] You’re most likely to see unconventional innovation in dense, urban environments, while conventional innovation thrives in the suburbs. But why?

[5:53] How should leaders be thinking about office location in relation to their innovation strategy?

[6:44] Don’t discount conventional innovation: it plays an important role in company growth.

[7:27] But don’t get stuck chasing iterative innovation; make sure you have a strategy for unconventional ideas too.

[10:21] If you’re calling people back to their downtown office cubicle, ask yourself: What kind of innovation am I actually chasing…and is an office tower really helping my team meet strangers?

[11:48] Downtowns might be dense, but they are not the dense, urban environments that Ruben is talking about. Instead, he says companies chasing unconventional innovation should look for places that encourage random encounters.

[13:07] If innovation is the goal of your office strategy, there are some questions to keep in mind.

[13:48] Post COVID-19, it’s a great opportunity for businesses and policy makers to reflect on how companies influence their surroundings, and vice versa; Ruben has some not-so-great research to share.

[14:36] What can policy makers do to alleviate this negative gentrification of innovative tech clusters?

[15:26] And why should business care? “We have been observing in some instances, tech firms, innovative firms are consider by the public opinion as responsible for these negative effects they have on local communities. It reduces their ability to attract talent if a location is extremely segregated. And it reduces the amount of diversity and richness of interactions that firms have in their geographical location.”