You might have worked in a company that made you feel welcomed from the very first day. Or, you might have experienced a work environment that feels awkward and closed off. Perhaps, you’ve joined a company that completely aligns with your personal values, or maybe you vehemently disagree with everything they stand for.
All those experiences are largely driven by the company’s culture.
All businesses have their own beliefs and values that are unique to them, and these values often affect the attitudes and behaviours of the company’s employees. Aside from shaping the reputation of a company and its ability to attract top talent, company culture has a major influence on employee engagement and job satisfaction. By creating an environment where employees feel valued, supported, and aligned with the company’s mission, organisations can significantly enhance their engagement levels, leading to better performance.
The relationship between company culture and employee engagement
Your company culture can strongly affect your employees’ engagement with their work and the company itself. Company culture shapes the environment the employees work in, and employees work better in an environment that is open, positive, and welcoming. A hostile environment, on the other hand, can negatively impact your company’s ability to retain employees and prevent them from working optimally.
Employees are also more receptive to a company culture that is aligned with their values and beliefs. If they fully believe in the values that the company holds, they will feel more passionate and committed to their job, and they would be more likely to deliver better results.
Symptoms of negative company culture
It’s not always easy to tell if your company is starting to develop a negative culture because culture doesn’t change overnight. It’s often a slow build that can snowball if not addressed quickly. Some warning signs include:
Constant tardiness
If your employees are often late, it could be a sign that they’re dispassionate about their job. Or maybe they’re just a little lazy. Either way, constant tardiness could affect the productivity of the company.
High employee turnover rate
High turnover could stem from a toxic company culture that drives employees away. High turnover leads to higher costs in hiring and training new employees, as well as lower productivity.
Employees working outside of work hours
Working outside of work hours indicates that employees are being given more work than they have capacity for. The long-term repercussion of this is that it may lead to burnout.
Lack of acknowledgement
Although it may seem trivial, recognition for a job well done can motivate employees to do better. Employees are more likely to demonstrate commitment to their job if they feel their input is valued.
Inadequate or ineffective diversity, equity and inclusion policies
If a company has poorly established DEI policies, or worse yet, no DEI policies at all, it signals to its employees that the company has no intention of being inclusive. This may lead to biases in hiring and promotions, discrimination in the workplace, and a general lack of consideration for those in minority groups.
Strategies for improving company culture
You can’t improve your company culture overnight either. Generally speaking, culture should be driven by senior leadership, as they tend to have a significant influence over employees. However, you need buy-in from every level for any improvement initiatives to work effectively.
The following are some strategies that leaders can adopt to build a positive work culture.
Be transparent
Transparency does wonders for employees. Transparency often translates to safety and employees tend to work better if they feel psychologically safe. There should be no concealment when it comes to business processes, salaries, performance, and values. Honesty should be a value that’s held by every member of the company.
Celebrate small wins
Recognition and reward is critical for employee development, growth, and productivity. Recognition doesn’t need to be reserved for huge achievements either. In fact, it makes sense to celebrate the small wins because they’re likely to occur more often.
Be flexible
Only praising the best employee can also lead to unhealthy competition between co-workers. Instead, it’s important to acknowledge minor achievements that contribute to a bigger project. This might include finishing tasks ahead of time, resolving a project blocker, or even leading a productive meeting. Let your team know that even though the tasks may seem trivial, they’re necessary for achieving the bigger picture goals in the long-term. Expressing your appreciation for these small things make employees feel validated and motivated to meet or exceed expectations.
Flexibility generally means not having rigid work structures. This might include establishing a flexible work schedule and environment to enable staff to choose how they work. Not all employees have the same needs, and accommodating different working styles can make them feel heard and valued.
Facilitate smooth communication
Communication is a major aspect in improving company culture. There should be multiple channels for employees to communicate to each other and their manager, such as emails, meetings and group chats. Sometimes 1-on-1 conversations between an employee and a manager are necessary to build trust in the company. Employees should not feel afraid to express themselves, so it’s leadership’s responsibility to ensure that the work environment is conducive for this.
Encourage employee feedback
Employees generally appreciate having their voices heard, so as a manager, you need to encourage them to express their opinions. Let staff give feedback on how they think the company culture could improve, and you should provide channels for both direct and anonymous feedback. This can help you understand their concerns and areas for improvement. Employees are also more likely to stick around if they know that their workplace is actively trying to improve.
Give autonomy to employees
There’s a difference between guiding your employees and micromanaging them. Micromanagement shows your employees that you don’t trust them to carry out their responsibilities themselves. Give your staff 2 freedom to work in a way that is comfortable to them and let them decide their own pace. Instead of breathing down their necks, the company should embrace accountability over everyone’s work.
Host social activities
Social and team-bonding activities don’t have to happen every week, but they should be held on a regular basis. Activities can be as simple as an afternoon hangout or team lunch, or as elaborate as a games night or escape room.
Stop blaming others
It’s very easy to blame others for mistakes made when working. But the blame game not only breaks trust, it’s also a waste of time. If your workplace truly values teamwork, you’ll soon realise that when something goes wrong, it’s rarely an isolated mistake. Instead of blaming each other, you should work as a team to find a solution to rectify the error or minimise its impact. If it really was a mistake made by a single person, allow them time and space to fix it and get themselves back on track.
Evaluate the health of company culture
It’s important to keep track of your progress. Evaluation can come in the form of employee feedback, analysing employee retention rate, or simply observing how members of your company behave and interact with each other. Taking the time to evaluate your company culture can help you identify if your efforts are working or if you need to course correct.
How Herrmann can help
Changing company culture is by no means a small feat. It requires great effort and commitment. Luckily, you’re not alone in this journey. At Herrmann, we’re experts in improving employee engagement. Using Whole Brain® Thinking and the HBDI®, we empower managers and HR professionals with the insights required to create a positive workplace culture that drives engagement. Get in touch to find out more.