The epidemic hastened the transition to a dispersed work environment. Companies are increasingly seeking flexible workspace solutions to de-densify their current office space when constraints ease and people return to the office. Face-to-face cooperation is restored when employees meet in person, and doing so in a decentralized manner keeps employees secure.
The post-pandemic period is predicted to intensify a new trend: working in a decentralized office.
WHAT IS A DECENTRALIZED OFFICE?
The practice of establishing satellite offices closer to employees’ homes is known as office decentralization. This method lowers dependency on a single central office, offers teams accessible, flexible, and comfortable work environments, and decreases commuting times for workers.
In business, decentralization has a broader connotation. It refers to a corporate structure in which day-to-day operations and decision-making duties are delegated from a central office to trusted management farther down the chain.
Yet, in this article, we’ll stick to the benefits and drawbacks of physical decentralization of office space.
THE BENEFITS OF DECENTRALIZED OFFICES
Decisions Are Made Faster: Managers in a decentralized organization are trusted to make choices without the requirement for express clearance from someone higher up the corporate ladder. This enables a nimbler approach to dealing with unforeseen difficulties because local managers have a far more excellent grasp of their particular area and team.
More Emphasis on Strategy and Forecasting: Those at the top of the company can focus less on managing tiny details and more on the bigger picture by outsourcing day-to-day operations to satellite offices. Top management may concentrate on strategy, growth, and executive-level tasks as a result of decentralization.
Improved Emergency Response: Unexpected incidents take time for a centralized organization to react to. Top management can prepare for emergencies by putting in place procedures and training, but it’s hard to anticipate every circumstance that a satellite office will experience. In the event of an emergency, a decentralized office with decision-makers on-site can respond swiftly.
DRAWBACKS OF DECENTRALIZED OFFICES
Less Control Over the Organization: As a firm expands, its founders will be unable to monitor everything; therefore, they will have to delegate some authority to business partners or workers. Like every other stage of a company’s growth, the shift to a hub-and-spoke model entails delegating greater power to individuals you trust.
Managerial Conflicts of Interest: You’ll need a mechanism in place to put everyone back on the same page if one office chooses one strategy and another chooses a different one. Knowing how to settle disagreement is critical for managers in a decentralized organization, as they are there to speak for their own office.
WHY WOULD A BUSINESS WANT TO SWITCH TO A DECENTRALIZED OFFICE?
Decentralization occurs when a business reaches a particular size barrier, after which transferring duties to satellite offices can enhance day-to-day operations. A firm may also decentralize due to external forces beyond its control, such as market changes or a worldwide epidemic.
NUAGE B CAN HELP!
Nuage B is one of the first serviced office centres to erase the conventional barriers of office spaces. Our flexible workspaces can help you decentralize your company quickly and without locking yourself into restrictive long-term leases, whether your goal is to open a satellite office in a convenient location closer to where your employees live or to reduce the risk to your workers by de-densifying your existing office space. Contact us now and see how we can help your business grow!