A company's culture is the sum of its values, traditions, beliefs, and behaviours. It is how things are done within a business.
It can be a powerful tool to improve customer satisfaction and loyalty.
As businesses have become more globalised and competitive, the need to have a strong and positive company culture has become increasingly important.
A key driver of company culture is employee engagement. Employees who are engaged in their work are more likely to be productive and loyal to their employer. In a company culture survey of 1,000 UK employees, 90% said that they will leave a job because of a poor fit with the company culture.
The costs of high employee turnover are well-documented. Besides the direct costs of recruiting and training new employees, there is also the indirect cost of lost productivity as employees adjust to their new roles.
Also, it can take a long time for new employees to bed into the company culture. It can take up to two years for an employee to reach their full potential in a new role.
This means that businesses need to invest in their employees from the very beginning if they want to see a return on that investment.
A lack of trust, transparency and communication often characterises A bad company culture.
Employees feel like their skills are not being utilised properly. They may also feel like they are not given the opportunity to develop and progress in their career.
In contrast, good company culture is built on trust, respect and teamwork. Employees feel like they are part of something larger than themselves and that their work is meaningful.
The COVID-19 pandemic has led to a dramatic shift in the way businesses operate, and now over 40% of people work in hybrid positions.‘
This presents both challenges and opportunities for businesses. One of the key challenges is maintaining company culture when employees are not all in the same place.
It's difficult to build relationships and create a sense of community when people are working remotely.
Businesses need to find new ways to engage with their employees and make sure that everyone feels like they are part of the team. This is where company culture comes in.
A strong culture can help to create a sense of belonging and community, even when employees are working remotely. It can also help to improve communication and collaboration.
The pandemic has also led to a decrease in office rents and an increase in office space. This presents an opportunity for businesses to rethink their office space and create a working environment that reflects their company culture.
For example, some businesses are choosing to invest in collaborative spaces and breakout areas, which can help to improve employee wellbeing and creativity.
There is no substitute for face-to-face interaction with building relationships and trust. In-person interactions are also important for developing a sense of belonging and community.
The traditional office can be a great place for businesses to showcase their culture, and 40% of people are still working in-office permanently.
For example, some businesses are choosing to decorate their offices with company values or mission statements. This helps to remind employees of the company culture and what they are working towards.
There has been a growing shortage of skilled workers in the UK, and candidates can be more selective about where they work. This has led to a war for talent, as businesses compete for the best employees.
In such a competitive market, company culture can be a key differentiator in attracting and keeping top talent. In fact, 80% of respondents of the UK culture clash survey from There Be Giants said that culture is a major factor when considering whether to accept a job offer.
Employees are looking for more than just a pay cheque. They want to work somewhere where they feel valued and where they can be themselves.
Businesses need to create an environment where employees feel like they are part of something bigger and where they can thrive.
With company culture, every business is unique, and so is every team. It's important to create a culture that reflects the values of the business and resonates with employees.
The data is clear: company culture matters, especially to UK businesses. But what exactly is company culture? At its most basic, company culture is the personality of your organisation.
It’s what makes your company unique and sets it apart from other businesses in your industry. A strong company culture will get the best talent, foster creativity and innovation.