If I told you that an intentionally planned culture has the power to align your organization’s people, processes, and workplace, wouldn’t you want to learn more? I thought so – keep reading! Culture is a buzzword that isn’t going away anytime soon. If you’re reading this article, you may be concerned about your company’s culture; or lack thereof. Maybe you’re witnessing hostile personalities, negative attitudes, or a lack of team energy, and need help turning things in a positive direction. Or, maybe you’re starting a new company and want to make sure you create a positive and supportive culture from the get-go.
More and more studies are proving the benefits and ROI of an investment in company culture. In fact, studies have found an investment in company culture can increase employee engagement 30%, leading to a 19% rise in operating income and even a 28% increase in earnings. (Source)
In the article below we’ll explain more about what workplace culture consulting is and how it can help you create a happy, healthy and productive environment in your company.
To begin, let’s start with the basics of workplace culture consulting and what makes it important to your organization. Think of it as a tool within the bigger umbrella of your talent management strategy.
What is workplace culture consulting?
Culture consulting is a practice designed to help companies achieve their financial, strategic, organizational and social goals by creating a desired organizational culture. Consultants who specialize in this work must be skilled at assisting leaders in pinpointing a clear cultural direction and plan.
To be clear, culture is a shared way of being, thinking, making decisions, and coming to conclusions. It includes the company’s mission, values, expectations, processes and work atmosphere. Think of it as the company’s “personality” from an employee perspective. Company culture is often thought of as the foundation that will help shape the company’s employer brand.
Culture isn’t a complex or elusive concept, culture is simply the experience that employees have. It has been my observation that companies who have content and productive employees positively affect financial results. Not to mention, having a great company culture can encourage solutions or innovations that might not come about in a less culture-centric organization. When an employee feels valued, is given growth opportunities and respects their organization, a positive and healthy culture is born and productivity skyrockets.
Why is workplace culture so important and what part do employees play?
By building a community within your organization that people want to be a part of, it forces employees to connect and build on positive aspects and company values, so that everyone can do effective work on either sustaining or changing it. Employees can be incredible advocates for your company … good talent knows other good talent. Since culture is quite possibly the strongest force in determining what gets done well in a company, being able to assess, define and shape it is critical, and there’s no better culture champion than your employee network.
What does the war for talent have to do with workplace consulting?
First, let’s consider the state of our economy related to employment. For the first time since the beginning of The Industrial Revolution, we have more jobs than qualified workers. This has resulted in a hotly contested war for talent. We currently have a record number of unfilled positions in the U.S. This is causing many companies problems with growth and expansion, simply because they cannot attract and retain the talent required. In many cases, companies are struggling financially because of the talent shortage, which often leads to quality and service issues. As a result, they’re losing customers and their financial conditions are deteriorating. If the company doesn’t have a solid culture, a turnaround will be difficult.
On the other end of the spectrum, are companies who invest in an intentional culture. These forward-thinking companies have created “best places to work” cultures based on intuitive hiring and promotion practices, performance management recognition and rewards, as well as open communication and leadership alignment. By taking initiative and being proactive, they have ultimately developed an employer brand that attracts top talent like a magnet. Typically, companies with strong employer brands do not struggle to attract necessary talent, nor do they struggle to retain talent.
What are the “culture is suffering” signs?
Review these key signs that your culture is suffering and see how many apply in your organization. If you answer yes to all of these, your culture should seriously consider hiring a workplace culture consultant.
- High turnover
- High number of vacant positions
- High number of days to fill open positions
- Low morale
- Low employee engagement
- Poor customer service levels
- Poor quality levels
Strive to avoid any of the above by tuning into the environment around you. When it comes to morale and employee engagement, what your employees think about your organizational culture is paramount. Put your curiosity to rest and make sure you have a two-way conversation with your employees! Whether it’s in person, over video conference or by survey, it’s vital to ask for feedback and ideas in order to grow a dynamic and prosperous company.
How does culture affect ROI/financial performance?
Good cultures have a direct, positive effect on financial performance. Our data shows roughly 80% of comparative companies with better cultural scores have better financial performance. See the sample data below:
of executives say culture is extremely important for organizational performance but only
say their organization’s culture is fully aligned with the business strategy
(Source: Korn Ferry)
Workplace culture consulting can help companies assess needs and determine which tools are necessary to define goals that lead to satisfied employees and clients. Part of this process often includes teaching organizational leaders how to manage corporate culture and how to build stronger teams. Once that happens, the desired end result is a positive culture that contributes to steady growth, company profitability and longevity.
If you’re interested in speaking with an expert to learn more about company culture, click here.
For a more in-depth look at the state of your company’s acquisition, growth, and retention efforts, consider taking our free talent assessment.