In this paper, we analyze the relocation of the headquarters of a consulting company from a traditional to a non-territorial collaborative office environment. Using a quasi-experimental research design, we examine the impact of this relocation on both objective and subjective employee performance as well as employee satisfaction. We find that the shift to a flexible office enhances employee satisfaction and fosters an environment conducive to collaborative work. However, employee performance is adversely affected when relocated knowledge workers´ activity profile involves a low degree of collaboration or requires focused attention rather than switching attention from one project to another. This study contributes to the literature on flexible work, physical space and managing knowledge workers by highlighting the boundary conditions of adoption of innovative office design.
