Rearrange employee seating to maximise efficiency

Strategic seating is more than an office-design decision—it can be a meaningful driver of organizational performance. Research conducted by Harvard Business School in partnership with Cornerstone OnDemand finds that simply rearranging where employees sit can significantly improve productivity and effectiveness.

The study analyzed data from approximately 2,000 employees over a two-year period, examining how individual performance changed based on who was seated nearby. The results show that proximity to certain types of coworkers can measurably influence how well employees do their jobs.

Researchers identified three distinct types of workers: productive workers, who complete tasks quickly but with lower quality; quality workers, who produce higher-quality output at a slower pace; and generalists, who perform at average levels across both dimensions.

The most effective seating arrangement paired productive workers with quality workers, while grouping generalists together. When organizations adopted this configuration, they saw a 13% increase in productivity and a 17% increase in effectiveness following the move.

These gains translate into substantial financial impact. The researchers estimate that for an organization with 2,000 employees, strategic seating alone could generate up to $1 million in additional profit per year.

However, the study also highlights the risks of poor seating decisions. Negative behavior can spread through proximity as well. So-called toxic workers—defined as employees who harm an organization’s people or property—were found to influence nearby coworkers to behave in similarly destructive ways.

According to Dylan Minor, visiting assistant professor at Harvard Business School, these findings demonstrate that organizations can develop a practical framework for improving performance through physical placement alone. “Physical space is something organizations can manage relatively inexpensively, and it should be viewed as an important resource in increasing the returns to human capital,” he explains.

Jason Corsello, senior vice president of strategy and corporate development at Cornerstone OnDemand, adds that the results are especially relevant as companies adopt open floor plans and flexible workspaces. The research shows there is real science behind seating charts—and that people analytics can guide even seemingly simple decisions like who sits next to whom.

Taken together, the findings suggest that organizations looking to improve performance don’t always need costly training programs or incentive schemes. In many cases, smarter use of physical space can deliver fast, measurable returns.