That’s easier said than done, of course. Culture is intangible — and cultural issues are often so systemic that they aren’t easy for managers to single-handedly fix.
Let’s look at why company culture matters so much, as well as five ideas businesses can implement to invest in their culture.
Why does company culture matter so much?
67% of employees in a PWC survey say a company’s culture is more important than its overall strategy or operations. That’s because positive work cultures come with so many benefits, including:
Increased productivity: When employees feel engaged at work, they’re likely to be more productive. Actually, employees who work at a company with a positive culture are nearly 4x more likely to be engaged at work.
Attract the best employees: A desirable culture attracts top-tier candidates to your job listings. This means you get your pick of the litter, which results in better hiring decisions and a stronger team.
Improve employee retention: Did you know that 73% of employees in one survey have left a job solely because of the company culture? With a solid culture, you can keep employees motivated and engaged in a space where they feel safe.
Increase revenue: The net effect of thriving employees is profit. There’s no financial sense in creating a toxic burnout culture because inspired employees perform better. In fact, strong cultures can potentially lead to a 4X growth in revenue.
Five Tips to Invest in Your Staff
It’s easy to understand the importance of corporate culture, but how, exactly, do you intentionally create a culture that employees will love?
It all comes down to investing in your people. If you’re trying to turn your culture around, try these five tips to inspire and invest in your staff.
1. Create a Mission Statement
It might sound a little corny, but every business needs a mission statement. That’s because job seekers want to see if your values align with theirs. Plus, a mission statement gives your employees a metaphorical banner to rally behind. It’s the best way to clarify your long-term goals and inspire your team.
However, just 54% of employees in one survey connect with their company’s mission. Make sure your mission is meaningful, punchy, and reflects the real work you do.
2. Offer Training
Employees want to feel competent, independent and trusted at work. But without proper training, employees can feel overwhelmed and unsupported. That’s why training is the backbone of so many positive workplace cultures.
Give employees ample opportunities for training. That means paying for certifications, courses and any other type of professional development they need. You should also ensure your team has coverage so they can complete their training without sacrificing their personal time, which can be a drain on morale.
3. Promote From Within
Every employee wants to know, “What’s the next step in my career?” If they can’t see a future at your company, they’re going to look elsewhere. This is why it’s so critical to create an internal promotion pipeline.
This isn’t always possible for small businesses, but if you have the chance to hire for new positions, look at your current employees first. Not only do they bring institutional knowledge to the table, but they’re also much more likely to stick around.
4. Be transparent
Twenty-three percent of employees in one survey say trust is a critical ingredient for workplace culture. Instead of clouding your decisions in a veil of mystery, be as upfront as possible with your employees.
If something can’t be done, for example, explain the reasons why instead of outright refusing. Transparency helps you establish trust with employees, which is a must-have for a strong culture.
5. Recognize Employees
Did you know that businesses with employee recognition programs can have up to 31% less turnover? Everyone wants to be recognized for their hard work, so make sure you’re celebrating and congratulating employees on a job well done.
Remember to rotate your praise, though. If a single employee is consistently earning praise while others aren’t, it can create hard feelings. Ask your HR or marketing team to assign kudos to employees on a fair basis so you can spread the love.
The Bottom Line
People want to work at companies that reflect their own values. You might be able to source employees for the short-term, but if you want true longevity, a positive culture will keep employees on your team for the long haul.
Businesses need to invest in their employees as much as they invest in product research, marketing, and customer service. After all, you can’t do much in your business if your employees aren’t there to help you get across the finish line. Follow these five tips to create an inspiring corporate culture that your employees will love.