The phrase company culture is often used interchangeably with the terms organizational culture, work culture, workplace culture, and corporate culture. These terms are defined as the collective expectations and objectives of a specific enterprise.
Another widely accepted definition of company culture is the attitudes, behaviors, and values of a particular business. Corporate culture affects crucial business components including-
Work life balance
Long term bottom line profitability
High performing employees
Organizational culture influences not only individual employees but helps shape the entire business overall. 8 significant reasons why company cultures matter for businesses and their employees include-
1. Increased Productivity
Happy employees are more productive and high performing than their less happy counterparts. To create and maintain happy employees both human resources and leadership team representatives must support a healthy work life balance and a positive work environment.
Corporations directly benefit from high performing and productive team members through increased business success and bottom line profitability.
2. Boosted Brand Reputation
Developing and maintaining a positive organizational culture is necessary in order to accomplish a long term positive brand reputation. Company culture affects the way an enterprise is perceived not only by its own team members but also by the general public.
As customers become more conscious about the company cultures of the businesses they purchase from, workplace culture is more important to consider than ever before.
3. High Performing Employees
High performing employees are a business's greatest asset. With an increasingly competitive global market, recruiting high performing new hires is more difficult than ever before.
Even if job seekers or new hires are originally misled by deceptive company core values or company mission statements, a lack of strong company culture will become evident quickly. High performing employees consider company culture important which is clearly reflected in the low employee retention rates of enterprises that lack a strong company culture.
4. Healthy Work Environment
Strong company culture occurs when every employee is knowledgeable in regard to their roles and responsibilities. A solidified organizational structure also helps simplify and streamline decision making initiatives concerning important business issues.
A workplace culture that encourages communication and collaboration between team members is much more likely to be productive and profitable. When employee engagement rates increase, the entire work environment is positively affected.
Why do work environments matter?: Both business success and the entire employee experience are greatly impacted by a positive work environment and corporate culture.
5. Better Communication
Every aspect of the employee experience is influenced by communication, from job seekers being recruited by human resources to the final exit interview after a long term career. Great communication should be incorporated through an entire organizational culture including the company mission statement and company core values.
Employees work best when they are comfortable communicating with each other. High performing and communicative team members result in long term business success and increased bottom line profitability.
6. Increased Engagement
In a positive work culture employees feel encouraged to provide feedback to human resources and senior management. Instead of fearing judgment or negative retaliation for expressing their opinions or concerns, team members should feel empowered to share their thoughts.
However, corporations must make sure that every employee understands the specific protocol and procedures for submitting feedback appropriately.
7. Solid Organizational Culture
Establishing and maintaining a proper organizational structure is not easy work but it is worth the consistency it grants employees and businesses. A strong company culture necessitates congruency between organizational structure and company core values.
The likelihood of business success is heightened when every employee knows not only what is expected of them but also is treated fairly and with respect. Team members experience increased employee engagement levels in a corporate culture that is positive and pleasant.
8. Improved Onboarding
Onboarding new hires is a primary responsibility of the human resources department. Onboarding processes should be heavily influenced by the organizational culture of a specific enterprise.
Both core values and important company resources should be integrated into the onboarding process. By the time new hires have finished orientation and onboarding, they should have a great understanding of the unique organizational culture of their new company.
An outstanding onboarding process can even attract high performing job seekers to apply for positions organically.
Recruit The Best-: Recruiting and retaining high performing team members long term is beneficial for both business success and bottom line profitability.
Both company employees and the entire business overall are greatly affected by corporate culture.
Workplace culture should be based on shared values and objectives which takes time and energy to develop and maintain.
Prominent reasons why company cultures matter range from increased employee retention of high performing team members to the construction of a healthier work life balance.