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Pros and Cons of Open Offices

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An open office layout, characterized by minimal enclosed spaces and shared work areas, offers both advantages and drawbacks. While open offices promote collaboration and can reduce construction and utility costs, they may also present challenges, such as increased noise levels and less privacy. Before selecting a floor plan, consider the pros and cons of an open layout, and determine if it meets your business needs.

Learn how this layout can affect employees, and find out how to determine if a shared workspace meets your company’s needs.

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What is an open office?

An open office is a type of workplace layout with large, open areas and a limited number of walls, cubicles, doors or other physical partitions. Individual workstations are scattered throughout the space, often grouped by department or team.

The open part of the office is typically used for the general workforce, break rooms and collaborative meeting spaces. Company leaders may work in the same space or in private offices.

Why are open offices popular?

By removing the barriers between departments, companies hoped to increase collaboration and communication in the workplace.

While the open-office concept has been around for decades, it has become increasingly popular due to its influence on the workplace environment, by inviting collaboration and an added sense of community.

Pros of open offices

Companies often choose open-office layouts to encourage a creative work environment. Without walls, it may be easier for employees to have spontaneous conversations.

Additional benefits of the open-office concept include:

  • Transparency: When employees of all levels share a working space, such as cubicles separated by glass partitions, it increases transparency. The visibility can help employees to be productive and accountable.
  • Flexibility: As the company evolves, shifting to an open office may help accommodate new employees or changing workflows. Businesses with hybrid work arrangements may use a flexible “hot desk” layout, where employees can sit at any open workspace. Others use modular office furniture that can be rearranged as needed.
  • Cost savings: It’s generally less expensive to outfit one large work area than it is to decorate and furnish numerous office spaces. The open space may also eliminate the need for interior walls and dividers, reducing construction and renovation costs.

Where should a manager sit in an open-plan office?

Another potential benefit of open office spaces is that they can reduce the separation between workers and management. When managers and supervisors work in the open area, it can ease the organizational hierarchy and create a more relaxed environment.

Cons of open offices

One of the biggest drawbacks of working in an open space is the lack of privacy. To provide a place for confidential conversations, many companies offer private executive offices and conference rooms. However, the limited privacy can still affect the team. Employees in shared workspaces may not feel comfortable communicating concerns or feedback candidly.

Other disadvantages of open offices may include:

  • Distractions: The conversations, ringing phones and general activity in an open workspace can be distracting. One study found that open-office noise has a negative impact on analytical processing and task performance.
  • Reduced communication: Although open-space offices are designed to improve communication, they can sometimes reduce face-to-face interactions between employees. Workers may choose to communicate by email to avoid disturbing their colleagues.
  • Reduced productivity: The distractions in an open office can affect employees’ ability to focus, reducing their productivity. Australian researchers found that this type of work environment increases employees’ stress responses, which could negatively impact their work.

Do employees like open offices?

According to the Gensler Research Institute, 65% of employees prefer a work environment that offers both open and private spaces. They want an open work area for collaborative projects with an option to move to a quiet, closed-off space when they need to focus. This type of arrangement could be particularly beneficial for employees who need to switch between individual work and group projects.

How to decide if an open office concept is right for your business

Whether your employees work from the office full time or in a hybrid capacity, it’s important to find a layout that supports productivity and overall wellness at work. Here are some questions you can ask to determine if an open-office concept is right for your business:

  • What type of work do you do? If your company handles sensitive or confidential information, an open office might not provide the privacy necessary to complete certain tasks. Private offices can also be more effective for work that requires deep concentration, such as legal consulting or software programming.
  • How many employees do you have? A shared workspace might work well for smaller companies, but it may not be feasible to put 100 or more employees in the same open area.
  • What are the preferences and needs of your team? Ask team members how they prefer to work. Adjusting the workplace to their preferences and working styles can help improve morale and job satisfaction.
  • Do you have a remote workforce? If the majority of your employees have remote or hybrid work arrangements, an open office can offer the flexibility you need to accommodate a fluctuating in-person workforce.
  • What are your plans for growth? If you’re scaling the business quickly or planning to bring in seasonal employees, an open office can be rearranged to suit shifting space requirements.

FAQs about open-space offices

How can you reduce noise in an open office?

One of the most effective ways to reduce office noise is to install objects and materials that absorb sound. Hard objects reflect sound waves, which can make a space feel noisier. Instead, opt for thick rugs, acoustic panels and fabric chairs and couches. Carpeted floors can also reduce noise from chairs and footsteps, creating a more peaceful environment.

What are some etiquette best practices for an open office?

To minimize distractions in an open office, turn down the ringer volume on desk phones, and avoid using the speakerphone. Ask team members to use quieter voices in the shared work area and hold long conversations or meetings in a private space rather than at employees’ desks. As the employer, you might consider providing noise-canceling headphones so workers can block out noise as needed.

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Indeed’s Employer Resource Library helps businesses grow and manage their workforce. With over 15,000 articles in 6 languages, we offer tactical advice, how-tos and best practices to help businesses hire and retain great employees.