3 Reasons Your Company Should Invest in Culture

Posted by Lou Bergholz on Jan 28, 2016 5:38:01 PM
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Culture_Renetion_Risks.jpgA positive culture can drive growth, increase retention, spur productivity and inspire creativity. A negative culture can lead to disillusionment, reduced engagement, and send good team members and promising talent heading for the exit. Here are three reasons to invest in building a positive culture for your company.

  1. Instill a sense of group identity and a connection to something bigger. It’s about engagement. People in a positive culture care. They take pride in walking into the office, wearing their company ID, and the signature on their emails. If the workplace culture is positive it can transform a company from a place they collect a paycheck, to a place where they are proud to spend their time.

  2. Help individuals to take calculated risks. Each day, each person in your company, from the CEO to the newest hire, takes risks: taking out a business development loan, hitting submit on a press release, responding to an email, not responding to an email, telling your boss that you already responded to an email. A positive work culture gives people the information and context they need to take the most productive and best calculated risks possible. It encourages open discussion about the pros and cons of the risks, and gives team members the freedom and courage to pursue growth opportunities that benefit your company.

  3. Boost recruitment and hiring. You may hire for a position – engineer, marketer, accountant – but what you get is a person. And what the job description says about the role is only one part of what a new hire contributes to the company. A positive, defined, preexisting culture will help you recruit people who not only have the skills listed in a job description, but also have the skills to navigate and thrive in your specific environment. These intangible contributions affect your bottom line as deeply as skill-based performance. Each bad hire can cost you around $50,000.

Investing in your culture affects retention, quality, and engagement. But not just any investment will do. Investing in your culture has to be smart, intentional, and not contrived. Unfocused events like taking the team out to a movie, or adding a smoothie bar, aren’t culture building. They’re the equivalent of building a car by ordering four tires and a windshield – they may be parts of the solution, but you need more. And you need to make sure the parts fit together if you want to get anywhere. Check out our posts on culture, to see where to begin, and click the link below to start a conversation about how to build a lasting, positive, proactive culture at your company.

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Topics: Teamwork, Organizational Culture, Productivity, Workplace Culture