The design of your office has a major impact on the performance of your employees. Previously, this notion was not accepted at all. Entrepreneurs refrained from spending a lot of money on the interior design of their offices. After all, the interior design was not directly contributing to the increased revenue. Most entrepreneurs were of the belief that the sole motivator for employees was money. However, this theory was debunked in the early 20th century, as many studies highlighted several other factors.

From 1950 to 1970, companies began to invest heavily in the interior design of their office. Interior design firms began to offer a wide range of different services. Previously, these companies only offered consultancy services. However, in a bid to get ahead of the competition, interior design firms began to offer procurement and furnishing facilities too.

In the modern era, hiring an interior design firm is an excellent choice. That’s simply because competition has increased drastically. In the current business environment, companies use a variety of different techniques in order to get ahead. Many studies have been sanctioned to determine the factors that affect employee performance. Older studies conducted by famous researchers such as Peter Durham, Frederick Taylor and Henri Fayol have been replaced with newer, more practical ones.

Almost all of the studies point to one thing: the interior of your office has a major impact on the performance of your employees. The studies showed that employees working in similar industries and doing similar tasks performed much better in improved workplace conditions. Some studies even suggested that the interior design of an office can also impact an employee’s mood and health too.

The business landscape in Melbourne is intensely competitive. If your office is situated in this city, it might be a wise idea to redesign your office interior. Most entrepreneurs don’t realise that the only thing holding them back from greater success is the performance of their employees. Keeping up the morale of your employees is vitally important. If an employee’s morale is low, they won’t be able to perform individual tasks very well. On the other hand, team performance will also be negatively affected.

If even one employee is underperforming, the morale of the whole team will be affected. In a business environment, where teamwork is so important, this could be a serious problem. If you are thinking of redesigning your office space in Melbourne, you should consider many things. Apart from setting up a budget and hiring a good company that offers office design Melbourne based services, you need to consider the impact on your employees too. Here’s how the design of your office impacts employee performance:

How The Design Of Your Office Impacts Employee Performance

It Induces a Sense of Self-Worth

There is a reason why executives and managers get to sit in separate offices while the lower level employees work in cubicles. As you climb up the corporate ladder, you get more benefits and perks. All of this is designed to induce a sense of self-worth in the employee. For example, office employees get to work from a beautifully designed office, with a separate waiting room. Executive offices are usually state-of-the-art, featuring ambient lighting, expensive furniture and a host of other features. Why does a company invest so much money in designing the offices of executive employees?

That’s just because the interior design of the office induces a sense of self-worth in the employee. For the lower level employees, this serves as an excellent motivator. If they work hard, they may get their own office someday. If an employee feels valued by the company, they will be willing to work twice as hard. Obviously, if an employee is stuck in a poorly designed office throughout the day, their morale is going to be badly affected.

Greater Comfort Means Better Performance

The interior design of your office needs to be as comfortable as possible. Newer studies have shown that employees tend to perform better if they work in more comfortable surroundings. That is one of the main reasons why interior design companies recommend specific furniture for their clients based on their operations. If a client has to sit at a desk from 9 to 5, the office needs to be well-lit, properly ventilated and the seats should be comfortable.

You can’t expect an employee to perform better in an uncomfortable environment. Think about if from an employee’s perspective: if the office environment is uncomfortable, employees won’t look forward to work in the morning. When the work shift ends, your employees will be quick to rush out of the office. On the other hand, they will be willing to arrive early and stay for long hours, as long as the environment is comfortable and you offer ample pay benefits.


Proxemics is the study that focuses on the amount of space that people require between themselves and others. It is also referred to as their “personal space.” If an employee is asked to work with a crowded environment, others will encroach on their personal space. Obviously, this will affect individual performance.

In order to perform at their best levels, employees need to maintain a bit of distance between themselves and others. Many research studies have shown that proxemics play a major part in worker performance. Not all employees share healthy relations with each other. Some may wish to maintain a bit of distance between them. Constantly working alongside each other may even have an adverse effect on an employee’s mood.

Official interior designs factor proxemics while creating models and architectural blueprints. Nobody likes working in a cluttered and crowded environment. That is why many office environments follow a minimalistic design philosophy. By making efficient use of the interior real estate, designers are able to free up additional space for employees to work in.

There are hundreds of studies that highlight the impact of interior design on employee performance. Most of these studies were commissioned by famous universities and organisations, such as the University of Montreal and the National Renewable Energy Lab.