Company culture is more than a set of company values. It’s how a business encourages growth by listening to and valuing its employees, whilst at the same time ensuring work ethics and attitudes are healthy. Good company culture also referred to as quality culture generates the foundations for solid business growth, by listening to employees, customers, and stakeholders and making changes where needed. In other words, quality culture is an attitude and set of values employed by a company to improve the levels of quality in its service.
Company culture is important not only for your employees’ general happiness and engagement but for your business’s stability as well. Therefore, Organizations that foster the development of a quality culture usually experience less employee frustration, less employee turnover, and more successful regulatory inspections.
What is Company Culture?
Your company culture defines for you and for all others, how your organization does business, how your organization interacts with one another, and how the team interacts with the outside world, specifically your customers, employees, partners, suppliers, media, and all other stakeholders.
Benefits of a Strong Company Culture
It is no secret that strong and healthy company culture has many benefits that can be summed as “Business Success”. We will develop 8 benefits
1- Better Financials
With increased employee productivity, morale and retention come sustained financial benefits. When employees are inspired and committed, they are more likely to work to their full potential, meaning tasks are completed effectively the first time. Additionally, money is saved from training during the onboarding of new staff, as staff retention is high.
2-Improved employee performance
When employees have a good grasp of their company culture, they’re more likely to work in line with the values a company holds close. You can expect improved productivity and commitment from employees working within a healthy company culture.
3-Higher Company Performance
Typically, companies with a strong culture tend to produce superior results as compared to those with weaker cultures. When a culture is strong, it leads to motivated employees and high-performing managers. Over the past few decades, both academics and practitioners have spent time focusing on the issue of corporate culture and whether a company’s culture does in fact impact its overall performance and effectiveness.
4- Staff Positivity
Much like employee work performance, as a good company culture develops, so does employee motivation. Staff wants to feel like their voices are being heard, so when they are listened to, they’re likely to feel more positive about their place of work.
5- Reduced employee turnover
When employees are happy in their role and feel listened to, they are less likely to take their careers elsewhere. With a good, strong company culture, staff retention is likely to increase. Not only does this build a strong, close-knit team, it means the business saves on money and time that often comes along with new hires.
Through mentions in your promotional materials to quotes from happy employees online, word of a good company culture spreads. From a recruitment standpoint, potential candidates are more likely to apply for roles at a company that has a positive culture. This means more applications and more choice, allowing you to select the best fit for the job.
7- Highlights Values
If your company culture matches up with your company’s values, it keeps your values front and center for employees to follow at all times. Whereas, if a culture didn’t quite reflect a company’s core values, they are meaningless words that merely highlight an aspiration rather than a value to work by.
8- Improves Employees wellbeing
A company culture that enables employees to be heard can reduce employee stress. This means more work done on time and increased staff motivation. Whereas on the contrary, unhealthy company culture can increase employee stress and even spread it around a work environment. Employee wellbeing strategies can bring a multitude of benefits to employees and employers alike, but they need to be consistent with a business culture that allows for their success.
A company’s culture is the only truly unique identifier. It is like a fingerprint, it may be similar to others but is uniquely distinct to your business. A strong organizational culture can clearly differentiate a business from its competitors in the mind of its stakeholders.
Now that you have learned about why company culture is crucial to business success, learn about quality culture and profitability.