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>you can just let teams and individuals decide what works best for them, then that can be communicated upwards so the company can plan office space/resource allocation

Finding this many self-motivated conscientious employees is uncommon. Consider yourself lucky. This has never been a winning strategy that I've seen anywhere.

I can't imagine a C-suite determining literally anything about my team beyond allowing it to exist in the budget.

I worked at way too many startups where the CEO was far too involved with day to day minutiae.

'place of work' is usually (here in Czechia) defined in a labor contract. So that cannot change because 'team decided'. I have contract with my employer, not with my team.