Physical environment impact on employee well-being and performance

Ieva Augutyte-Kvedaraviciene and Rta Kazlauskait

ERES from European Real Estate Society (ERES)

Abstract: More and more people are working in modern offices; therefore, it has become relevant to explore the impact of this physical environment on employee well-being and performance. For this reason a systematic literature review has been performed. Through an initial search in four databases 268 publications were identified, out of which 79 research works built on quantitative studies conducted on samples of office employees were selected for in-depth analysis. In the performed literature analysis physical work environment is explored from two perspectives – internal (atmospheric features, planning and surrounding environment) and external (proximity to nature, accessibility). Results of the analysis show that a wide range of factors of office environment have been analysed in the scientific literature. Predominantly this strand of research focuses on the internal environment. In addition to the traditional physical, or atmospheric, features researchers also analyse interior planning, office type, work space density, etc. The external environment has gained research attention more recently; however findings show that it plays a critical role in enhancing employee well-being and performance too. In this respect most of the authors analyse office surroundings, proximity to nature, commuting options, etc. Effects of physical environment on employee well-being has been analysed at the individual level quite extensively and through different dimensions: emotional well-being, professional well-being, social well-being, cognitive well-being and psychosomatic well-being. Studies looking into environment effects on employee performance may be grouped into three types: in-role, extra-role and counterproductive performance. Though research findings are inconsistent, the analysis has shown that overall physical environment and its specific features have significant influence on employee well-being and performance. The paper also discusses different methodological and theoretical approaches applied in prior research and offers directions for future research.

Keywords: modern office; Performance; Physical environment; Well-Being (search for similar items in EconPapers)
JEL-codes: R3 (search for similar items in EconPapers)
Date: 2018-01-01
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