What is culture and why does it matter?
All Things Biltmore • 02/20/20
Written By Anna Sullins
Every company has one. And it has the power to make or break your profitability—no matter your size, no matter your industry. The common denominator we’re talking about here? Culture.
Defined as the sum of employees, their relationships, their work environment, shared attitudes and beliefs, values and standards, culture is essentially a company’s personality—and it doesn’t form by accident. Leadership is responsible for defining their corporate culture and hiring employees who will fit well and flourish under it. Ranging from laid back and casual to more rules-based and traditional, all corporate cultures might not look exactly the same—but ensuring yours is positive and healthy is critical. Why? Here are three reasons:
1. Culture Can Help Attract and Retain Employees—Or Send Them Running
Simply put, when you cultivate a healthy culture, people will want to work for you. And they’ll want to stick around, too. In fact, at companies where the culture is positive, turnover is just 13.9 percent. And at companies where the culture is poor? Turnover is a staggering 48.4 percent.
2. Culture Can Foster Employee Engagement
More than just employee retention, culture can positively impact employee engagement. When employees feel their companies really care about their overall health and satisfaction—and when they’re on board with your values and standards—they’re far more likely to care about their company and their work. The results? 21 percent greater profitability.
3. Culture Can Improve Customer Satisfaction
At the end of the day, your culture impacts your customers—for better or worse. Consider what message your culture sends your employees, and how that might influence the way they ultimately treat customers. Are employees expected to “win” at all costs or are they expected to care for others? Are they expected to go the extra mile for customers or are they expected to cut corners to save on costs? If your culture doesn’t prioritize values customers care about, they’ll sense it.
If you’re ready to create a positive culture where employees are fully engaged, attend our Culture of Engagement workshop and develop a plan of action tailored to your organization.