Working from home – Productivity & Flexibility

In recent years, working from home has evolved from a temporary fix into a staple of the modern workplace. What was once an exception is now standard practice. Flexible models, hybrid teams, and remote work require new mindsets, clear structures, and the right tools. Our comprehensive guide shows you how to leverage the benefits of working from home while overcoming challenges like isolation, work-life blending, and IT security.

The world of work has changed dramatically in recent years. Working from home is no longer just a temporary measure, but a permanent fixture in the modern professional landscape.

Our comprehensive guide to working from home provides a detailed overview of all relevant aspects of remote work. Whether you are already using a hybrid model or planning to integrate working from home as a permanent option, you will find valuable information, practical tips, and strategic advice here to ensure your remote work setup is a complete success.

Defining working from home

The term "working from home" refers to performing job duties from a workspace within one's own four walls rather than from a traditional office. This flexible approach allows employees to complete their professional tasks efficiently from home without having to commute to the office every day.

Working from home combines the convenience and flexibility of a home workspace with professional requirements, offering a balance between performance and personal freedom.

The pandemic showed that colleagues can stay perfectly connected while working from home, as modern collaboration tools keep remote communication effective. Working from home is therefore a forward-looking way of working that can boost productivity and increase employee well-being. However, work does not have to happen exclusively from home, as the following concepts show:

Working from home concepts

There are various strategies and concepts for successfully implementing remote work, each with its own benefits and challenges. By using tailored strategies, you can ensure that your remote work policy meets both the operational requirements and the individual needs of your company.

The following remote work concepts offer companies numerous ways to make work flexible and efficient:

Telecommuting

Telecommuting, often simply called remote work, is a model where employees perform their duties primarily or entirely from home—the classic home office. Telecommuting is particularly suitable for companies that prefer a clear structure and fixed working hours, but perhaps have limited space for all team members.

If your employees are not typically present in the office, an employment contract is usually drawn up that defines the home office as a fixed place of work. The equipment for the home office—from the desk to technical gear—is often provided or subsidized by the employer. This helps ensure the home environment meets ergonomic and labor law requirements.

Hybrid working

Most companies, however, rely on alternating telecommuting, a flexible mix of working from home and in the office. In this hybrid modelEmployees spend part of their working time at home and the rest in the office. Usually, fixed home office days and a quota are set (for example, two days per week at home, every Tuesday and Thursday).

This combination of mobile work and traditional office work makes it possible to enjoy the benefits of both worlds. Regular office presence maintains personal interaction and teamwork, while teams simultaneously enjoy the comfort of working from home.

Companies that prioritize a strong team culture and regular exchange, but still want to offer their employees flexibility, find alternating telecommuting to be a great solution.

Mobile remote work

Mobile teleworking is arguably the most flexible form of remote work. Employees are not tied to a fixed workstation and can theoretically work from anywhere in the world – whether in a café, on a train, or even abroad as part of a so-called workation.

However, this form of teleworking requires a high level of self-organization and personal responsibility, as employees can choose their working hours and locations individually.

Such a model is particularly suitable for companies that operate internationally, do not have fixed working hours, or promote project-based work that is not location-dependent. It is important, however, to establish clear guidelines to address legal aspects. Data protection also plays a major role in mobile teleworking, especially when it comes to working from home abroad. The more precisely the contractual terms are defined, the better everyone involved knows what is expected of them.

The pros and cons of working from home

It wasn't just the pandemic that proved that working from home has a multitude of benefits – for both employees and companies:

1. Increased employee satisfaction

Working from home has been shown to have a positive impact on employee satisfaction. Without the daily commute, there is more time for family, hobbies, or relaxation. The ability to design one's own work environment according to individual needs also increases well-being.

In addition, many employees perceive this flexibility as a sign of trust from their employer, which increases motivation and loyalty while simultaneously reducing turnover. After all, satisfied employees are naturally more productive and less inclined to leave the company. In the long term, working from home contributes to a positive corporate culture.

2. Increased flexibility

Working from home allows for a flexible daily routine that meets the individual needs of employees. Whether it's getting up early or working later, in many cases, employees can adapt their working hours at home to their personal circadian rhythm.

This flexibility promotes work-life balance and productivity, as work can be done during the most productive times of the day for the individual. For parents or commuters in particular, this freedom is a major advantage that has a positive effect on overall work dynamics.

3. Cost efficiency

Working from home brings benefits not only to teams but also to companies – as teleworking opens up a significant opportunity to reduce costs.

By eliminating or reducing office space, rent and operating costs drop significantly. Utility costs such as electricity and water are minimized, while dematerialization also eliminates the need for many office supplies and expensive equipment. These savings create financial leeway that can be invested in other areas of the company, such as employee development or innovative projects.

Incidentally, this does not happen to the detriment of your employees, as they can use the home office tax allowance to reduce their tax burden.

4. Global talent acquisition

If you offer teleworking in your company, it simultaneously opens up the possibility of recruiting talent regardless of location. This expands search criteria from local markets to a global scale, which is an enormous advantage, especially in specialized industries.

As a company, you can access a much broader spectrum of skills and experience, which strengthens innovation. By offering the option to work from home, your company immediately becomes more attractive to valuable professionals, which means your employees benefit from an international and diverse team composition. This workplace diversity promotes the exchange of ideas and the development of new perspectives.

5. Fewer sick days

A higher proportion of remote work can also help reduce sick leave. Without daily contact in an open-plan office or on public transport, the risk of catching illnesses such as colds or the flu decreases.

Furthermore, working from home allows your employees to remain productive even with minor ailments – without infecting colleagues. This, in turn, helps employees stay healthier and recover faster, which ultimately increases overall productivity and efficiency in the company.

You should also not underestimate the positive effects on mental health. Working from home significantly reduces stress and lowers the risk of workplace burnout.

If you are considering introducing remote work in your company, there are also some potential disadvantages that you should not overlook:

1. Work-life blending

Working from home can blur the lines between work and private life, a phenomenon known as work-life blendingWhen your workplace is in your own home, many find it difficult to switch off after the workday is done.

The risk of being constantly "on" and unable to mentally disconnect from work can lead to burnout. It requires discipline and clear rules to maintain this balance and ensure that personal time is not overshadowed by professional obligations.

2. Less contact with colleagues

There is also the risk that social interaction with colleagues will fall by the wayside. Spontaneous conversations in the breakroom or lunching together are lost, which can increase feelings of isolation. A lack of direct contact can also hinder team development and the exchange of ideas.

However, you can actively counteract this risk. Through regular virtual meetings and team events, you can successfully foster cohesion even in hybrid work models and ensure that communication within your teams does not suffer.

3. Managing remote workers the "right" way

Working from home naturally carries the risk that private distractions will reduce productivity. Household chores, family members, or even the couch can distract from work, which is why a high level of self-discipline and a clear daily structure are required.

For managers, this means you must establish effective management for remote workers to ensure that work results meet your expectations and that your employees remain motivated and engaged. Regular check-ins and clear goals are therefore essential in hybrid work models.

Home office equipment

The right equipment and tools are essential for a productive home office. An ergonomic workspace is crucial even at home to avoid back pain and other ailments, and to protect the health of your teams.

Home office tools

Digital tools play a decisive role in the home office, as they maintain collaboration, communication, and productivity. Without the right technology, working from home can quickly become chaotic.

Tools for project management, video conferencing, communication, and data security are essential to keep teams connected and on track. They make it possible to organize tasks, share information, and hold meetings as if everyone were in the same office.

For companies implementing hybrid work models with desk sharing,Flexopusis an indispensable piece of software. Flexopus is an intelligent booking system for workstations, meeting rooms, and other resources, making it easier for employees to switch flexibly between the home office and the office.

With Flexopus Smart analytics, you can optimize space utilization, avoid vacancies, and thus reduce operating costs in the long term. With the Flexopus desk sharing software, you can ensure that existing workstations are used optimally—an essential solution for the modern, flexible world of work.

Occupational health and safety in the home office

Occupational health and safety must also be a top priority in the home office. As an employer, you are obligated to ensure that the work environment is safe and healthy—both for the physical and mental well-being of your employees.

Regular breaks

In a home office, many employees tend to forget or shorten their breaks. But regular breaks are, of course, important to prevent exhaustion and maintain concentration. Every 60 to 90 minutes, your employees should take a short break to get some fresh air and move around a bit. These small interruptions help clear the mind and recharge, allowing them to return to work refreshed and focused.

Ergonomic chairs

An ergonomic chair is the centerpiece of any home office. It supports proper posture and prevents back and neck pain. Make sure the chair is adjustable and provides good support for your lumbar spine. Armrests should relieve strain on your shoulders, and the seat height must be adjusted so that your feet rest flat on the floor. A well-fitted chair makes sitting for hours more comfortable and helps you stay healthy in the long run.

Creating a clear separation between work and private life

As previously mentioned, the boundaries between work and leisure can quickly blur in a home office. To maintain your employees' mental health and an optimal work-life balance, it is important to draw clear lines. 

Your employees should therefore set up a dedicated workspace and consciously end the workday by closing their laptop and leaving the room. Rituals like a walk after work help facilitate the transition to leisure time. After all, once the work is done, your employees deserve to switch off and enjoy their evening without constantly thinking about their job.

Home office allowance

The home office allowance allows your employees to deduct the costs incurred from working at home from their taxes. They can claim a flat rate of 6 euros per day spent in the home office, up to a maximum of 1,260 euros per year—even if there is no separate home office room. 

For you as an employer, this means no additional costs, but it provides an attractive incentive to make flexible work from home easier for your employees. 

IT security in the home office

IT security in the home office requires special attention, as hacker attacks and data leaks can occur more easily on a home network than in a protected corporate environment. It is therefore crucial that your employees are equipped with the right security measures. 

Data security obligation policy

Data security obligations do not end at the office door. In a home office environment, it is just as important for your employees to handle sensitive information responsibly. A clear data protection policy ensures that everyone knows how company data must be protected, whether in paper or digital form. 

This includes encrypted communication channels, locking screens when away from the desk, and the secure storage of documents. With a well-formulated policy, you minimize the risk of data protection breaches.

Using personal IT devices

Caution is advised when employees use their own IT devices in a home office. Personal devices are often less secure than company hardware, which poses a risk to data security. A BYOD (Bring Your Own Device) policy helps set clear boundaries: Which devices may be used, which security standards must be met, and what data may be stored on them? 

Especially if your company works with sensitive data, it is worth providing laptops with high-quality security settings to minimize risks.

Home office law

Do I have a right to work from home?

In Germany, there is no legal entitlement to work from home unless it is explicitly stipulated in the employment contract or a works agreement. As an employer, you can therefore decide for yourself whether or not to allow working from a home office. In some cases, special circumstances, such as health reasons, may lead to an exception. Ultimately, however, it usually remains a matter of negotiation between employees and the employer.

Home office agreement

A written agreement for working from home creates clarity for both sides. This agreement should cover all relevant points, such as working hours, availability, equipment, and IT security. A well-thought-out agreement ensures that misunderstandings are avoided and both sides know their rights and obligations. 

working from abroad

Working from working from home abroad brings additional legal challenges – not only regarding labor law issues but also concerning tax and social security aspects. 

Different countries have different regulations that apply when working from abroad, even if it is only a temporary workation. As an employer, you should ensure that all legal requirements are met and that your employees are aware of the potential consequences before you agree to them working abroad. Consulting with a tax advisor or lawyer beforehand can be helpful here.

Taxes

Tax aspects in the home office should not be underestimated – here, too, it is a good idea to hire a tax advisor. It is important for both employers and employees to be clear about the tax advantages and obligations in order to maximize financial benefits, such as the aforementioned home office allowance.

Works agreement for home office

A works agreement for home office creates clear rules and ensures legal certainty for both employers and employees. It should define essential aspects such as working hours, availability, data protection, IT security, potential cost reimbursement, and work equipment. 

Regulations on occupational safety and ergonomic requirements should also be included. With a well-structured agreement, you prevent misunderstandings and ensure that all parties are aware of expectations and obligations. 

Sample PDF for download

Studies on working from home

Facts and figures can help provide a better picture of the benefits of working from home or hybrid work models. A long-term study from Constance, which followed over 1,000 employees from 2020 to 2024, reports the following observations: one-third of managers would like a mandatory full-time office presence, whereas only one-fifth of employees are in favor of this. Employees required to work on-site report significantly higher emotional exhaustion than those working from home.

The results of other studies are equally surprising: researchers have been able to show that hybrid work models, where employees work partly in the office and partly at home, improve employee retention and do not negatively impact performance. For instance, another study contradicts the stigmathat working from home hinders career advancement and confirms that with the right strategy and visibility, you can successfully build a career while working from home. 

Increasing productivity when working from home

Productivity when working from home depends significantly on proper organization and an effective work environment. The key lies in creating a structured and distraction-free workspace that maximizes work efficiency and ideally suits individual preferences. A clear separation between professional and private life is essential to minimize distractions and maintain focus.

To maximize productivity when working from home, you should implement a few proven strategies:

Checklist for working effectively from home

• Set up a dedicated workspace
• Use ergonomic furniture
• Establish and stick to regular working hours
• Create daily to-do lists
• Schedule breaks
• Minimize distractions
• Use the right software and tools
• Set clear boundaries between work and leisure time
• Schedule time for virtual meetings
• Offer professional development and further training

Employee retention for remote workers

Working from home does not automatically ensure strong employee retention. While remote work offers many advantages, it is important for companies to take targeted measures to ensure the integration and visibility of employees within the team. 

There is no question that in-person meetings at the office help foster a strong sense of community. Consciously nurturing team culture is also crucial so that all employees feel valued and included, even when they are not physically present in the office.

Occasions for in-person office meetings

Regular contact is what many employees working from home miss, making it all the more important to create opportunities for in-person meetings so that your teams feel included and motivated. Scheduled video calls, daily or weekly updates, and regular team meetings ensure that everyone stays informed and feels like part of the team. This continuous exchange promotes not only communication but also the relationships between team members.

Virtual team-building activities

Virtual team-building activities also strengthen cohesion and a sense of community while working from home. Online games, quizzes, or virtual coffee breaks offer your employees the opportunity to interact informally and maintain team dynamics. These activities help break down barriers and promote collaboration by simulating the personal interactions that are often missing in a remote work environment.

Taking employee feedback seriously

Taking employee feedback seriously is the key to strengthening employee retention in a remote work environment. Through regular surveys and individual discussions, you can identify the needs and concerns of your employees and address them specifically. This shows your appreciation, allows you to identify problems early on, and creates a positive work environment for everyone.

Conclusion

Working from home is more than just a trend—it is a flexible way of working that can contribute to your company's success with the right strategies and tools. Through clear structure, the use of digital tools, and a conscious team culture, efficiency and satisfaction can be maintained even outside the office. With these insights, both companies and employees can make the most of the hybrid working world.