This is mostly dependent on the nature of one's work. Where the scope of work requires self drive and little interraction with othes, I don't see a reason why work can't be done at home.
with all the benefits of technology, there has not been any replacement face to face contact where emotions can be expressed, where body language can be felt, touch and all other forms of communication fully in use. There is motivation that comes from knowing that you are not in this work by yourself which most office working environments give. So I would say it is very important to keep office work space alive
It is related with the type of work, sector, company… However, the most generalized problems of home offices is that;
1) Low interaction with coworkers (sometimes you have to ask something in an instant, or your coworker might find a problem in your work that you never realized… Workplace is an environment for all workers to share their knowledge, skills and anything that can be helpful for you and your company)
2) Low coordination (Probably in every business environments, coordination more or less happens and it effects efficiency of the work. Especially if we are talking about complex tasks like projects, progress has be known by anyone, anytime for optimal efficiency)
3) Personalizing employee (Your works are not the only thing that makes you employee, please do not objectify yourself as "They employ me just because these works, they only need these works to be done, nothing else". As you limit your communication, you will become more like an item than person. Through sticking in the working environment and communication, you can be informed about promotions, meetings and anything that can improve your position in the company)
With the help of ICT, it is possible we can do many works from our home/remote location and office is not required. However, organizational climate is very important for motivation and overall commitment to the organization.
I don't think that office duties can all be done at home. There are always somethings that can only be done by a highly cooperated team. Office is a place in where such highly cooperated teams can be built.
Can Office duties all be done at home? Do we still need an Office?
My personal experience is most of the duties can be done remotely outside the office, at Starbucks, home etc. provided the staff is enabled with all the virtual related tools like Skype, Whatsapp, VPN, Remote Control / Console, Jabra headsets, Internet data plan etc. However, some companies still retain small office to cater face-to-face internal meetings or customer meetings because they believe face-to-face experience does carry weight.
Work from home is always a wonderful option that organisations need to pursue to better utilise the important resources. Technology companies have implemented it to the best use. Others can follow for better productivity.