The Office Ultimatum? 

Executive Summary

Why experience and technology, not policy, defines the future of work

Diversified surveyed more than 1,600 US employees¹  to understand their attitudes toward workplace structures and how workplace technologies impact their work and life. This executive summary is an overview of our findings and provides guidance on increasing technology maturity to support fit-for-purpose work. This insight, paired with strong strategic technology partnership, can help organizations embrace a modern and more effective workplace and technology strategy.

Survey Findings at a Glance

What's Happening Today

The definition of hybrid may not actually be what you think. It’s not solely about switching between working at the office or at home anymore–our data shows that the idea of hybrid has evolved. The most productive and desired way of working is fit-for-purpose and designed for role-based flexibility. It supports work everywhere in every scenario, not just in one chosen standard. It requires that companies invest in workplace technologies that help employees connect and collaborate when working in the same office, in offices miles apart or from home. Always on equal footing.

Some companies are embracing this culture, investing in workplace technology with the mindset of a media company, embracing products like Microsoft Teams, cloud services and others that make collaboration easy wherever employees are. Yet as technology moves forward, others are moving backward. Return-to-office (RTO) mandates from some of the world’s most admired companies lay out strict in-office policies, leaving some employees angry with eroded trust and loyalty.

Technology is the linchpin of the new hybrid. Yet, our research reveals that companies are underinvesting in technologies that support a hybrid and dispersed workforce. This investment gap does more than risk employee productivity. It impacts their physical and mental health, family dynamics, equity and advancement opportunities. And it risks companies’ ability to attract and retain top talent, cultivate a trust-based culture and improve performance. 

Survey Insights: The Details

Employees prefer hybrid models; leaders prefer them even more.

The survey results confirm that employees care about workplace structures. A strong majority (86%) consider them when determining what company to work for. Hybrid is among the top five considerations, more important to employees than in-office and remote work options 

Most survey respondents work in organizations that offer hybrid work, and they are overwhelmingly positive about the experience. Ninety-two percent think their company has done well integrating hybrid and remote work. And 94% believe that hybrid is here to stay. However, they are less confident that the benefits of hybrid outweigh the challenges—just 56% of employees believe this. 

Leaders prefer hybrid work structures more than workers do. They are 20% more likely to sacrifice pay to ensure a hybrid work environment in a new role. Both workers’ and leaders’ support of hybrid reflects a fundamental need: flexibility. This is why fit-for-purpose models over blanket mandates are well aligned with the changing culture of work.

Companies are underinvesting in modern workplace technologies.

As important as workplace technology is, the survey results suggest that enterprises are falling short in provisioning them for employees. A surprising 88% of employees report that the limitations of their company’s workplace technology constrain their creativity and problem solving. 

To get the technology support they need, employees are finding they must use their personal technology instead. Eighty-nine percent use their personal devices or apps for work tasks because they are easier than company-provided options, or when nothing else is provided. Most do this daily. 

Employees’ personal devices don’t have the security that company-issued devices do, which makes them more vulnerable to malware, hacking or unauthorized access. Personal technology also involves a maze of other issues around compliance, data management, network vulnerability and more. 

Workplace tech goes beyond boosting productivity—it’s linked to profoundly human issues.

Sixty percent of employees say that workplace technology integration issues affect their work-life balance. And 76% feel like they must be on all the time because of their company’s communications technologies. Workplace technology also impacts employees’ physical health. Nearly half (48%) have experienced physical discomfort that they attribute to technology. At the same time, 88% believe that better investments in workplace technology could improve their physical health at work. 

There is also the very human issue of equity. An overwhelming 76% of employees say their organizations’ technology systems create or reinforce workplace inequalities. Meeting inequity is also a pressing problem. Without collaboration and AV technologies, remote employees often struggle to engage and feel their voices are not heard or valued.

The good news is that workplace technology (because it enables hybrid and remote work) has a positive impact on family dynamics. Ninety-two percent of employees feel stronger connections with their children when working at home. Most say flexible work helps them support their kids’ emotional needs (79%) and get more involved in their education (85%). 

Creatively reinventing workspaces benefits employees—and the business.

For organizations that want to encourage more employees to work in the office, the goal is to create comfortable, tech-powered workspaces that deliver experiences worth having. No one wants to go to the office just to sit in a cube. It’s not much different than being at home. Organizations need to give employees reasons to make the trip, providing social engagement and entertaining work-related events. It comes down to creating an environment where employees want to be. 

There are important distinctions here. For example, room scheduling technology is a utility that is unlikely to be a big draw. But pair it with immersive, touch-screen digital canvases where teams can brainstorm in real time or AV pods that support focused discussions, and the office can become an experience destination for employees.

Seventy-three percent of CEOs want to find new ways to use office space to increase occupancy and justify cost. Thinking creatively—and letting go of how things have always been done—is key. As leaders rethink their real-estate footprint, 83% are interested in updating office space to include public use spaces. They are most drawn to shared revenue models with service providers for exclusive access or partnerships, subscription services for clients to access specialized resources and hosting events, conferences or workshops.

Recommendations

With fit-for-purpose models powered by technology, organizations can draw employees back to the office with a strong purpose and valuable activities while keeping their trust. While fit-for-purpose isn’t one-size-fits-all by definition, the essential first step is taking an honest, objective look at the current state to understand the technology needed to run the business today, not yesterday. In addition, there are basic principles for making technology investments in today’s culture of work.

• Zero in on experience. Modern workplace technology delivers experiences that transcend it. Experience must be the lens for making technology investments. It’s essential for leaders to define the desired employee experience, identify the technology that enables it and shape the culture to support it.
• Prepare IT for a new world. IT has a central role to play in the era of fit-for-purpose work structures and will continually be asked to be responsible for more. IT leaders should explore revisiting rigid policies around the use of employee-owned devices, finding a new balance between flexibility and security.

• Make data-driven decisions. Determining the right work structures shouldn’t be about the leadership team’s personal preferences. These are decisions that touch employee experience, culture and brand and can ultimately impact competitiveness. Grounding decisions in data is more insightful, reduces the risk of a bad decision and yields stronger results faster.
  
  

Workplace technology is a big driver of the changing culture of work—and will become even more so in the AI era. In a world where the right technology can empower employees to work without boundaries, workplace structures should be fit-for-purpose. Flexible. Human. Honest. Grounded in what’s right for the industry, company, role and employee.

 1 The employees surveyed include both workers and leaders. 
 2 Survey results referencing employees include responses from both leaders and workers.
 3 Survey results referencing leaders include responses from directors, vice presidents, presidents, C-level executives and partner/owners.