Working environments affect employee morale and productivity

10/09/2007

Published in Payroll and Human Resources, on 10th September 2007

Offices come in all shapes and sizes. Some are fancy, others dull but the reality is we all spend more time in the office than any other place. Like our homes, if we don't like the environment, our mood and attitude will be affected.

"Form follows function" is the phrase first coined by pre-eminent 20th-century designer and architect Frank Lloyd Wright. His designs epitomised just this: total functionality for the sake of its occupants, while the design was merely an outfit for its purpose. The reality is that we don't all work in Frank Lloyd Wright buildings and office environments differ vastly all over the world. In fact, most people work in very average spaces. So, just what effect do working environments have on productivity?

Motivation and productivity

According to the Work Foundation, 73 per cent of employees are not satisfied with their current working environment. Furthermore, 51 per cent of employees will go on to leave their jobs because they are dissatisfied with their work environment. This is not a work performance issue yet can impact on it greatly.

The statistics become even more interesting. Around 85 per cent of UK office staff say that their working environment inhibits their creativity. A further 25 per cent of employees have serious complaints about various office environment factors. These figures clearly demonstrate that office space not only affects productivity, but dictates it.

Company directors and HR managers spend millions each year on motivation, performance improvement techniques and incentives, but do they give enough thought to one of the most important factors that affects people's performance, their physical environment  and assign a proportionate budget for this?

A study of IBM mobile employees found that, through careful space design, 52 per cent could work more effectively and around 66 per cent felt more satisfied with their jobs. Studies have shown that employees who are pleased with their physical workplaces are 31 per cent more likely to be satisfied with their jobs. A whole organisation's performance can be affected up to 15 per cent by design management and use of space. These figures indicate that employees will thrive on an improved workspace. Developing the workspace will not just impact on productivity within the organisation but also improve its image externally.

While not all companies can offer lunch rooms, zen zones or outside gardens, the office design plays a key role in attracting the right people to your organisation. Around 41 per cent of employees and job seekers say the office environment played a significant role in their decision to accept a position.

The best office design incorporates well planned floor space with no redundant areas, great styling and ergonomically sound furniture products. Only if all these elements are in place is an office's design able to have a positive impact on worker wellbeing and mood, and in turn, productivity.

David Rand, MD of Morris Office Furniture

Striking the balance

Although there is no magic solution to creating the perfect office environment, there is basic due diligence which should be taken into account when planning an office space.

Architects and designers today are developing new models of working space which aim to empower workers by creating interaction and cross-fertilization of ideas. The aim is to create traditional communities, social connections and professional interaction. This also means the death of the cellular office as we know it. Workspaces producing optimum results are those which allow the office to be more of a club where people are made to interact. The Japanese concept of open plan offices, stemming back to the 1970's, is the successful formula of the future.

Magnet facilities areas which will draw together all staff at some point, such as tea and coffee areas and photocopiers should be set up in public areas to stimulate interaction. They are usually combined with hotdesking and flexible space systems where staff use workspaces more efficiently. At the same time as investing in well-designed common areas intended for social interaction, employees most value their own personal workspace, ie their own desk with reasonable storage facilities and a comfortable chair. I have heard stories from Japan, where space is at a premium, that employees stay later after work to move their workspaces out by a few inches in the hope that their colleagues won't notice.

Projecting the right image

Businesses rely on their image when it comes to making a lasting first impression. The look of an office can speak volumes about the way in which a company operates, how it treats its employees and those with whom it does business.

An old fashioned and untidy look can reflect badly on the business and make prospective clients think twice about developing a working relationship. On the other hand, a modern, well-presented office can send out all the right signals, showing the firm keeps up with the times and runs a suitably organised business. Whether or not this is an accurate interpretation of a business is neither here nor there; first impressions count.

At Reynolds Porter Chamberlain LLP, thousands of pounds have been invested into the design of the law firm's London offices. Employees work in pods, where white noise - a random noise signal that has the same sound energy level at all frequencies helps them focus. They also have break-out rooms, games and a coffee lounge and a subsidised cafeteria.

Stephen Malley, a solicitor at the firm, said: "Office space and what you choose to do with it says something about the company, as well as how much you value your staff. It's got to be attractive to both workers and clients."

A worthwhile investment

There is a discrepancy between what designers and architects recommend and what employers do. Few offices are actually custom-built. The Work Foundation research found that around a fifth of UK offices fail to provide an adequate work environment. This so-called 'bad space' can be a serious problem. Why does this happen? Simple: cost. Most office design is based on cost minimalisation, very seldom on the work destined to be done there. In addition, small companies with limited resources dominate the economy and their owners hardly have the time or resources to be generous with the space they provide.

Poorly designed workplaces impair employees physical and mental wellbeing. Companies that don't put thought into well-grounded strategies in their workplace stand the risk of losing money through reduced productivity, while relationships with employees are affected. Investment in thoughtful, comfortable workplaces will be an investment in future employee productivity.

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