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Well-designed office key to improving employee performance

NEW YORKRecently released research conducted by Gensler, a leading architecture and design firm, concluded that poor workplace design could be costing American businesses $330 billion annually in lost productivity. The Gensler 2006 U.S. Workplace Survey reveals that workplace design has a very real impact on companies’ bottom lines. Findings suggest businesses that ignore the design and layout of their workplaces are failing to optimize the full value of their human capital.

“Businesses are waking up to the fact that the workplace is much more than just real estate and a means to house their people,” said Diane Hoskins, an Executive Director at Gensler. “They are embracing performance-focused workplace design as a strategic business initiative—as the forum that can drive employee excellence, business objectives, and ultimately, the bottom line.”

According to the survey, nine in ten workers believe that better office design leads to better overall employee performance, and also makes a company more competitive. Nearly 90% of senior executives, including occupants of the C-suite, feel that a better physical working environment would have a positive impact on their company’s bottom line. They also estimate that their companies would be able to perform an average of 22% more work if their physical working environments were designed better.


Gensler, San Francisco, California. Photo courtesy of Gensler. Photography by Sherman Takata


bp WOW!, Houston, Texas. Photo courtesy of Gensler, Photograph by Joe Aker


Discovery Communications, Washington, D.C. Photo courtesy of Gensler. Photograph by Paul Warchol


However, in practice, many businesses seem to ascribe a low value to workplace design. Forty-six percent of workers do not believe creating a productive workplace is a priority at their companies, and 40% say that minimizing costs is the main reason behind their workplace’s current layout. One in five respondents rated their current physical workplace environment as being only “fair to poor.”

The survey also demonstrates a link between the physical office and work processes such as innovation, collaboration, and creativity. Two thirds of workers believe they are more efficient when they work closely with co-workers. However, about 30% of workers don’t think their current workspace promotes spontaneous interaction, collaboration, or cooperation and teamwork among colleagues and direct reports. Only 50% believe that their current workplace design encourages innovation and creativity.

Topping the list of employee grievances about physical environment were lack of space, too few quiet areas, uncomfortable workstations and bad layout and design. Other notable results from the study include:

  • Over one third of respondents say their current workplace design does not promote health and well-being; yet healthy and secure working conditions are reported as the most important factors in an efficient working environment.
  • 62% of U.S. office workers have great respect for leaders who work in an open plan environment with their teams rather than in private offices.
  • Only 42% of respondents say they would be proud to show important customers or potential recruits their current workplaces.

McCann Erickson, Los Angeles, California. Photo courtesy of Gensler. Photograph by Michelle Litvin

Gensler is working with a number of companies, such as BP, Discovery Communications, and the Hearst Corporation, that have identified workplace design as critical to innovating and competing in the 21st century. With strategically planned workplaces, these companies aim to leverage their “organizational intelligence.” For example, BP is using a Gensler-designed workplace prototype to inform and infuse a new office design with attributes that clearly motivate collaborative work for the Houston Exploration and Production group.

For more information, please visit, gensler.com/news/2006/07-20_workSurvey.html