Company culture can be defined as a set of shared values, goals, attitudes and practices that characterize an organization. A company’s culture reflects and influences its values, beliefs and attitudes, in addition to levels of employee engagement, productivity and job satisfaction.
Why is it important?
A survey conducted for the American platform Built In revealed that 43 percent of employees would stay at their current job if there was a great company culture, even if they received a higher-paying job offer. Additionally, 44 percent of employees shared that the main reason they would look for a new job was to find an organization with a better company culture.
A sense of belonging has a strong relationship with commitment and motivation in the workplace. Employees with a lack of sense of belonging are 74% more likely to leave their workplace.
The power of positive culture
For more and more employees, pay is not the only or most important factor when choosing an employer. People want to work for organizations that treat them with respect, whose values and beliefs are aligned with their own, and which offer a positive and engaging workplace culture.
According to the report cited above, when employees feel their company fosters a company culture that values and supports them, they are more likely to stay with the company long-term. This helps create a sense of belonging and loyalty among employees, ultimately contributing to success in retaining and recruiting talent.
A corporate culture that prioritizes inclusivity and inclusion is the hallmark of a workplace that encourages collaboration, creativity and innovation.
The risk of a negative culture
A negative company culture can lead to employee disengagement, burnout, stress and turnover. This is because when employees feel undervalued, unsupported or dissatisfied with their work environment, they are more likely to look for other opportunities.
Candidates are wary of working for an organization with a known bad company culture and are more likely to be hesitant to accept job offers.
Next steps
In order to have a positive company culture, management must first understand the existing company culture and how it is perceived by employees as well as others outside the business. By investing in and managing a strong company culture, businesses can foster a supportive and engaging work environment that attracts and retains top talent, improves employee well-being and drives business success.
