Question

Discuss the strategic importance of layout decisions. How important as these decisions in terms of a company’s long-term profitability goals? What are some examples?

Answer 1

The strategic importance of layout decision is to develop an economical layout which fulfills the organization needs to remain competitive in the business with greater optimal levels. The economical layout helps in maintaining employee self-esteem with greater motivation and productivity, operational costs remain in control, helps in maintaining the greater space utilization, also to have good relationship building with customers. These factors help in organization’s long-term profitability goals. For example, having the sufficient breakout areas attracts employees to be stress free and they can take smaller break in between their work hours. Also, they can work from any corner of the office facility by carrying their laptops. In many organizations the employee’s workplace (cubical) is shared among many employees based on the shift times or business units such technology services or BPO; Use of LED lamps helps in saving the operational costs; Use of recreational space for other office purpose; The canteen areas during the non-lunch hours used for office meetings.