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Open-Plan Office vs. Private Office: Which Is Better for Companies and Their Employees?

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From a strategic perspective, choosing the office concept that best suits their company is of great importance to HR managers and employers. The right space concept influences operating and rental costs. It also has an impact on employee satisfaction and performance. Open-plan offices were long considered agile and transparent, while private offices were seen as a symbol of prestige.

But this trend is changing: The noise in open-plan offices and the rise in sick leave are increasingly causing employers to have second thoughts. When comparing open-plan offices and private offices directly, it’s not possible to make a blanket statement about which model is better or worse. It’s important to determine which spatial concept suits which work style and which alternatives on the modern market ideally combine the advantages of both models.

How are the terms "open-plan office," "private office," and "hybrid concept" defined?

To make a well-informed decision for your company, you should understand the differences between the various types of spaces:

Open-plan office

An open-plan office—or “open space” office—is defined as an office space that is at least 400 m² and has more than 20 workstations. Minimal partitions, such as shelves or partition walls, promote an open atmosphere and unimpeded communication.

Private office

A private office is defined as a room separated by doors and walls that is used by only one person. Private offices offer maximum privacy and sound insulation, as well as the opportunity to customize the space. This article shows what sizes, amenities, and lease terms are common in practice. Rent a Private Office in Berlin.

Hybrid Models

A hybrid office concept breaks down the barriers associated with traditional offices. Hybrid models include:

  • Combined Offices: Permanent single-occupancy offices and two-person offices are located in a shared area with common spaces.
  • Activity-Based Working (ABW): No employee has a fixed workstation; instead, depending on the employee’s role, a suitable area is selected each day that matches their tasks (e.g., a meeting room).
  • Smart Office / Multi-Space: This refers to open-plan spaces that are divided into separate areas using acoustic partitions, as well as booths or team zones.

What are the arguments against open-plan offices?

The space-saving approach is particularly appealing to decision-makers, but in practice, open-plan offices reach their functional limits.

Why don't open-plan offices often work in practice?

One of the main reasons open-plan offices fail as a concept for companies is the lack of structure and the constant noise level. Interruptions during work—such as phone calls from colleagues and spontaneous conversations with other employees—can disrupt productivity. Studies show that employees need up to 23 minutes after an interruption to regain full concentration (Source: Dr. Gloria Mark from the University of California, Irvine (UCI)).

Can working in an open-plan office be unhealthy?

Yes, an unstructured open-plan office can pose health risks to employees. Constant ambient noise leads to increased cortisol (stress hormone) levels. In addition, illnesses transmitted via droplets can spread more quickly. Empirical studies show that employees in an open-plan office take up to 62% more sick days than colleagues in private offices (source: a study by Stockholm University in which Swedish researchers analyzed absenteeism data).

What alternatives to open-plan offices are available on the market?

These concepts are particularly recommended for employers who want to avoid the drawbacks of open-plan offices:

  • Shared offices or Team Offices (Cubicle offices): These are small accommodations for 2–6 people.
  • Multi-Space Concept: The focus here is on zoning communication and quiet areas to meet specific needs.
  • Hybrid work or remote models: This concept complements the traditional office by allowing employees to work from home.

What is the difference between a private office and an open-plan office?

The most significant difference lies in the spatial layout and its design: open-plan offices maximize unplanned interaction and space efficiency, whereas private offices prioritize individual focus, confidentiality, privacy, and the ability to work without interruption.

What are the three main types of offices?

Traditionally, ergonomics distinguishes between three basic types:

  1. Individual office or cubicle: Lockable rooms along a hallway or spread across different floors.
  2. Open Space / Open-Plan Office: Contiguous, large open spaces without walls dividing them.
  3. Shared or group office: Rooms (medium-sized) for entire departments (4–12 people) or configurations that can be combined.

What are the benefits of private offices for teams—and, by extension, for companies?

  • Confidentiality and Data Protection: Extremely important for legal and human resources departments, the accounting department, and executives.
  • Maximum Focus: Challenging and mentally demanding tasks can be completed productively and with full concentration in private offices.
  • Low background noise: There are no interruptions from phone calls or conversations by other people in the same room.
  • Individuality: Factors such as temperature and ventilation, as well as the individual design, can be customized to suit personal preferences.

Do private offices have any drawbacks?

  • High costs and high space requirements: The Rental Costs per Employee are significantly higher.
  • Isolation and silo mentality: Spontaneous communication between departments is hindered.
  • Hierarchies & Prestige: Working in individual offices can, under certain circumstances, make the corporate structure more rigid.

When is an office considered an open-plan office?

From a purely legal and technical standpoint, an open-plan office is not considered an open-plan office simply because it has 5 or 6 workstations.

Open-Plan Office Definition: How many workstations does it take to be considered an open-plan office?

An open-plan office is defined as a space of approximately 400 m² with more than 20 employees.

Legal Requirement: How many square meters per person are required in an office?

The Workplace Regulations (ArbStättV) regulates in Germany, together with the Technical Rules for Workplaces (ASR A1.2) the specified room dimensions.

Office Type Minimum legal floor space per workstation Recommended area for good ergonomics
Individual / Group Office At least 8 m² 10–12 m²
Open-plan office At least 12–15 m² 15–20 m²

Note: In open-plan offices, the minimum square meterage per person is set higher to account for evacuation routes, traffic flow, and space for items such as soundproofing elements.

How large must a private office be according to the law?

According to ASR A1.2, a private office must have a floor area of at least 8 m² to ensure ergonomics, freedom of movement, and safe distances.

What rules apply to open-plan offices?

To ensure effective collaboration in a large space, basic rules of conduct should be established:

  • Leave your workspace clean (Clear Desk Policy).
  • Make video calls and phone calls only in the designated phone booths.
  • Clear guidelines regarding noise levels and getting along with others.
  • Avoid impromptu meetings at other colleagues' desks.

Who are open-plan offices best suited for?

Open-plan offices are not universally suitable for every company, but they can generate clear synergies.

What are the benefits of open-plan offices for businesses?

  • Cost and Space Efficiency: Every square meter is used to its fullest potential.
  • Flexibility: Workstations can be quickly adjusted as the company grows.
  • Communication: Quick coordination within teams takes place through direct communication.

When does an open-space layout make sense, and which industries benefit from it?

Open spaces are particularly well-suited for companies that value dynamic collaboration and do not place a high priority on confidentiality. This would be the case, for example, with creative teams, agencies, or even support or sales departments.

What are the disadvantages of an open-plan office?

In addition to background noise and the aforementioned risk of disease transmission, employees in open-plan offices often complain that there is hardly any privacy and that they feel as though they are constantly being watched while they work.

Which corporate culture should choose which space concept?

There is no one-size-fits-all office layout that works for every company. The choice of the ideal space concept is influenced by two factors: How much does the team need to concentrate and collaborate?

Activity-Based Working and Multi-Space as a Middle Ground

In today's workplace, companies are increasingly embracing the principle that: Form Follows Function. This means that employees are increasingly less constrained by rigid structures, and instead, different areas are created within multi-space offices for various activities:

  1. Focus Areas: Quiet areas or individual cubicles for undisturbed and productive work.
  2. Areas of collaboration: Open spaces provide room for workshops and brainstorming sessions.
  3. Socializing Areas: Lounges and kitchens provide space for casual get-togethers.

Business Centers as a Flexible Solution

Smaller businesses, startups, or even medium-sized companies looking to expand—and who prefer the quiet of individual offices—usually want to avoid long-term contracts and high setup costs. A Business Center Model offers exactly these benefits. Fully equipped individual and team offices can be rented on a flexible basis, and the existing infrastructure (kitchens, Reception Services, meeting rooms) can be shared. One provider of this model in Berlin is Octavus Office at Leipziger Platz. There, you can Rent Fully Equipped Offices, including reception, Conference Rooms and flexible terms.

Frequently Asked Questions (FAQ)

A private office is preferable when your employees need to concentrate intensely (e.g., development, legal, accounting). A private office is also advisable for tasks that regularly involve handling confidential or personal data. Privacy and the ability to work without constant interruptions have a positive impact on satisfaction and productivity.
Long-term studies show that constant exposure to noise in open-plan offices leads to increased stress and boosts cortisol levels. Diseases also spread more quickly. Studies show that employees in private offices take about 62% fewer sick days than their colleagues in open-plan offices. Therefore: yes, from a health perspective, open-plan offices can be problematic.
Studies by Dr. Gloria Mark (UCI) show that employees need an average of 23 minutes to fully regain their concentration after an interruption. In open-plan offices, such interruptions can occur several times an hour, which drastically reduces productivity.
Open-plan offices are significantly more cost-effective per square meter and per workstation. A private office requires more space and is therefore more expensive. However, when calculating the total cost, you must keep in mind that open-plan offices entail follow-on costs due to higher rates of sick leave and reduced productivity, which can offset the supposed cost savings.
For certain professions, yes. In creative industries, at agencies, or in sales, open-plan offices can foster a dynamic work environment through quick communication channels and spontaneous interaction. For professions that require deep concentration, however, spontaneous interaction tends to be a hindrance. In these cases, activity-based working models—which combine different work areas—are a better solution.
Yes, definitely. Studies show that constant interruptions from noise and conversations measurably reduce productivity. Especially for tasks that require a high level of concentration (programming, writing, analysis), productivity in open-plan offices drops by up to 66% compared to private offices. For support or sales teams that communicate frequently, however, an open-plan office can certainly be advantageous.
Absolutely. Activity-based working and multi-space concepts are currently among the best solutions. They combine focus areas (for concentrated work), collaboration zones (for teamwork), and social spaces (for interaction). Employees can choose the appropriate area depending on the task at hand. This promotes both productivity and well-being.
Open-plan offices work well in industries with high communication needs: creative agencies, advertising agencies, sales teams, customer support, and startups that value an open culture. Industries such as law firms, financial consulting, software development, or HR should opt for private offices or multi-space models.
Yes, absolutely. Rules of conduct are essential in open-plan offices: a clear-desk policy, phone calls and video conferences only in phone booths, and clear guidelines regarding noise levels and spontaneous communication. Without these basic rules, the open-plan office becomes a self-defeating environment that lowers productivity and satisfaction.
According to the Workplace Ordinance (ArbStättV) and the Technical Rules for Workplaces (ASR A1.2), a minimum of 12–15 m² per person is required in an open-plan office. A space of 15–20 m² is recommended to ensure optimal ergonomic conditions. In private offices, a minimum of 8 m² is required, while 10–12 m² is recommended.

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