Office Set Up: Location of Office, Factors Determining Office Location, Office Building and Office Layout

Get unlimited access to the best preparation resource for IAS : Get detailed illustrated notes covering entire syllabus: point-by-point for high retention.

Download PDF of This Page (Size: 171K)

Location of Office

Location means the place and site where the office of an organisation is situated. Proper location of the office is of great importance to every organisation. While taking decision on this issue, the management must take into consideration the present as well as future needs. An unsuitable location adversely affects the efficiency of operations.

Factors Determining Office Location

The following factors should be taken into consideration while determining office location:

Factors Determining Office Location

Factors Determining Office Location

Availability of Sufficient Space

The office should have sufficient accommodation and facilities i.e., rooms, storage space etc. Future expansion and requirements should also be kept in view.

Proximity to Other Departments

The office should be located at a central place so as to be easily accessible to other sections, units and departments of the organisation.

Proximity to Other Offices

The office should be located in or near an existing office complex which will enable it to derive the benefits of common services like Post Office, Bank, Transport etc. available in the locality.

Availability of Transport Facilities

Every office requires adequate transport facilities for the convenience of office workers and outsiders dealing with the office.

Service Facilities

Besides transport, availability of banking, postal, internet, telephone and telegraph facilities are also necessary for efficient conduct of office functions. The services of insurance agencies are also needed for various purposes. The office should, therefore, be located where such facilities exist.

Availability of Office Employees

It is desirable to locate the office where it may be easier to recruit and retain different categories of office staff e.g., stenographers, computer operators, accountants, clerks, typists, peons, etc.

Healthy Environment

  • Every office requires healthy surroundings. The place must be free from dust and noise. It should not be located in a congested area. Unhealthy surroundings adversely affect the efficiency of the employees.

  • In short, the location chosen must be one from where the entire organisation can be served efficiently at a reasonable cost.

Office Building

  • A suitable building with sufficient number of rooms for carrying out the administrative and routine functions is essential for every office. It should neither be too spacious nor too small. The office space may be either owned or rented. The management has to take a decision whether to own or hire an office building. A suitable building may be constructed, or an existing building may be purchased.

  • An office building owned by the organisation has some advantages. It provides a permanent address and location. This is convenient to outsiders and customers. If the entire building is not required for use a part of the building may be rented out to other organisations. This will bring additional income. An owned building enhances the prestige of the enterprise. The building owned by the organisation can be named after its name. Apart from this, the building can be planned and designed to meet the particular needs of the organisation. However, there are also certain drawbacks of owned building. It requires huge investment and its upkeep and maintenance, and security also may involve heavy expenditure.

  • Let us now examine the advantages of a rented building. The expenditure on major maintenance is not required to be incurred by the enterprise. There is no heavy investment on construction. Apart from this, the office can be easily shifted to a more suitable location, if necessary. On the other hand, a rented building suffers from certain drawbacks. For example, it may involve additional expenditure on some alterations. Rent is also quite high in urban areas.

Office Layout

Office layout can be described as the arrangement of different departments, equipment and staff within a given floor space with a view to make optimum use of space and ensure maximum efficiency of the office.

Significance of Office Layout

  • Proper office layout is necessary from the point of view of office efficiency. It ensures full use of office space and best use of office machines and equipment. It is necessary for adequate safety of valuable documents and records, and also for achieving smooth flow of work. It allows free movement of office personnel from one section to another. It facilitates better supervision and speeds up inter-communication. It ensures privacy in the performance of confidential work and creates favourable impression on visitors and customers. Proper layout avoids mutual interference and ensures comfort and satisfaction to the employees.

  • While planning office layout, it is to be decided whether to have one open office or several private offices. An open office refers to a large room or hall in which all the sections of the office are located. Private offices are small rooms which are separated from one another by walls or partitions. The modern tendency is to adopt the open office instead of private offices for different sections. However, some private offices have to be provided to top executives and also for work requiring privacy and concentration.

Developed by: