Increasing Productivity Through Energy-Efficient Design

This 1998 report by the Rocky Mountain Institute (RMI) and the U.S. Department of Energy examines how energy-efficient building design—specifically improvements in lighting, heating, and cooling—can lead to significant increases in worker productivity, reduced absenteeism, and improved work quality. Through eight case studies of commercial and industrial facilities, the authors argue that the economic gains from productivity often far exceed the direct energy cost savings, making efficient design a highly cost-effective business strategy.

• Energy-efficient design can lead to productivity gains that are economically more significant than the energy savings themselves. The report notes that a mere 1 percent increase in worker productivity can provide savings that exceed a company's entire annual energy bill, largely because employee costs are vastly higher than energy costs.
• Lighting retrofits in industrial and commercial settings have measurably reduced errors and improved product quality. At Boeing, new lighting improved the ability to detect imperfections by 20 percent, while at Hyde Tools, improved visibility of 'mud holes' on blades resulted in quality improvements estimated at $25,000 annually.
• Improvements in lighting and thermal comfort are linked to reduced employee absenteeism. Case studies at Lockheed, ING Bank, and Pennsylvania Power & Light showed absenteeism drops of 15 percent, 15 percent, and 25 percent, respectively, following energy-efficient upgrades.
• The implementation of 'environmentally responsive workstations' (ERWs) that give employees individual control over temperature, airflow, and lighting can boost productivity. A study at West Bend Mutual Insurance found a median productivity increase of approximately 16 percent, with ERWs specifically estimated to contribute 2.8 percent of that gain.
• Daylighting strategies, such as the use of skylights and high window walls, can positively impact commercial performance and energy costs. At a Wal-Mart 'Eco-Mart' prototype, sales per square foot were 'significantly higher' in the daylit half of the store compared to the non-daylit half.
• The productivity gains observed in these cases were generally unanticipated, as the companies implemented the changes solely to reduce energy and maintenance costs rather than to increase worker performance.

APA

ROMM, J. J., & BROWNING, W. D. (1998). Increasing Productivity Through Energy-Efficient Design. RMI. https://rmi.org/app/uploads/2017/05/RMI_Document_Repository_Public-Reprts_D94-27_GBBL.pdf

Chicago

ROMM, JOSEPH J., and WILLIAM D. BROWNING. Increasing Productivity Through Energy-Efficient Design. RMI, 1998. https://rmi.org/app/uploads/2017/05/RMI_Document_Repository_Public-Reprts_D94-27_GBBL.pdf.

Wikipedia

{{cite report |last1=ROMM |first1=JOSEPH J. |last2=BROWNING |first2=WILLIAM D. |title=Increasing Productivity Through Energy-Efficient Design |publisher=RMI |date=1998 |url=https://rmi.org/app/uploads/2017/05/RMI_Document_Repository_Public-Reprts_D94-27_GBBL.pdf |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{romm1998increasing, author = {ROMM, JOSEPH J. and BROWNING, WILLIAM D.}, title = {{Increasing Productivity Through Energy-Efficient Design}}, institution = {RMI}, year = {1998}, url = {https://rmi.org/app/uploads/2017/05/RMI_Document_Repository_Public-Reprts_D94-27_GBBL.pdf}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }