Business leaders everywhere are contemplating how to build a positive company culture. We have the answer at Your Money Line. The first step is defining good culture and figuring out what it means for your company. This guide includes several tips and strategies to help you build the positive company culture you and your employees are looking for.
What is work culture?
Work culture is the attitudes and behaviors of employees within an organization. It’s created through the behaviors of the entire company, from the top executives down to entry-level employees. Lots of things influence work culture. It’s unique to every business and is shaped by interactions, attitudes, beliefs, traditions, and values.
We spend a lot of time at work, so the environment we're in will no doubt have an impact on us. This is why it’s essential to create a work culture that is conducive to everyone. Work culture is also ever-changing based on the behaviors of your employees.
Elements of work culture
There are many elements impacting work culture. Below are both the positive culture at work and the toxic work environment that can happen.
Positive culture at work
- Accountability
A healthy work environment includes every employee being held accountable for their actions. A balanced workplace makes people feel comfortable taking pride in their work and owning up to their mistakes. Accountability fosters a work culture based on respect, teamwork, openness, and responsibility.
- Equity
Companies who treat all of their employees equally often have healthy workplace environments. Every position has value, and ensuring employees feel valued will boost company morale.
- Expression
When your employees can express themselves, they will feel more comfortable at work. It will also increase their comfort level within the office, leading to a better work environment.
- Communication
Open communication is critical to the success of any company. It’s also critical to creating a positive company work environment. Everyone within the company and within a team needs to be heard, give and receive feedback, collaborate, and solve problems together. Companies will always run into conflict, but if you have good communication, you will be better able to find a solution.
- Recognition
A good work culture recognizes its employees often for their hard work and accomplishments. It’s on management to recognize the values of their team members and promote them throughout the company. From verbal praise to monetary rewards, employee recognition builds a positive culture and mutual respect.
Toxic culture in the workplace
- Low morale
If there is a lack of company-wide morale, your work environment isn’t good. Low morale and a hostile environment lead to employees leaving the company.
- Lack of clarity
A toxic workplace is a company that lacks clarity in roles and responsibilities. This could be because of poor communication, power struggles, or dysfunctional management. The end result is your employees not knowing who to turn to, which leads to an unsuccessful business.
- Interpersonal drama
Drama at work isn’t good for anyone. This can include gossip, cliques, and passive-aggressive communication from coworkers. This can happen at all levels within a company, from the leaders to their team members, and it doesn’t help anything. In fact, interpersonal drama leads to a negative work culture.
- Fear of failure
If your employees don’t feel like they are in an environment where they can trust each other, then they fear failure. Fear of failure leads to poor performance and leads to more stress.
- High employee turnover
If you have a toxic work environment, your turnover rate will be high because you can’t retain employees who feel uncomfortable where they work. According to Pew Research, one of the most common reasons employees leave is due to a poor work environment.
Why is building a positive company culture important?
Take a look at the many benefits of building a positive company culture below.
- Recruitment
A strong company culture is one way to recruit top talent. A positive work culture gives a company a good competitive advantage because employees want to work for companies with good reputations.
- Employee loyalty
Once you recruit top talent, you must retain them. Positive work culture will increase employee loyalty. Employees are much more likely to stay at their current work if they feel valued, are treated right, and enjoy doing their job.
- Job satisfaction
Job satisfaction also increases with employees when they are in a good environment. Employers who invest in their employees will be rewarded with happy and dedicated employees.
- Collaboration
Employees are much more willing to work with one another when they are a part of a strong work culture. A positive environment promotes teamwork, social interaction, and open communication to get the most out of your employees.
- Work performance
Strong company culture is linked to better work performance in employees. Employees are more motivated and dedicated when they know their employer is investing in their overall well-being.
- Employee morale
A positive company culture will boost employee morale. Employees are happier and enjoy work more when they are in a positive environment.
- Less stress
Employees will face less overall stress if they like where they work and are in a good environment. A positive company culture will significantly reduce workplace stress.
10 tips for building a positive workplace culture
We know a happier workforce makes for more productive and engaged employees. As a manager, if you have difficulty attracting and retaining good employees, then your work culture may not be positive. Below we have ten tips for building a positive workplace culture.
1. Define your company’s vision
A company with a clear vision will be better able to attract and retain the right employees. You first need to define your company’s vision and make sure it’s clear. Defining a vision will help you hire employees with similar values. Although not everyone will agree and share the same vision, you will find people with similar purposes by making it clear.
2. Be clear about company values
Your organization needs to be transparent about the company values. It’s important to demonstrate how the company and leadership live by those values daily.
3. Employ people who fit your culture
Hiring the right people who fit your culture is just as important as their skills and ability. Make sure you hire people who fit into the culture you’ve built. If an employee doesn’t fit in, the manager can work with them to help them adjust their attitude, but ultimately they may need to be let go.
4. Invest in your employees
Employees are at the core of your company culture, so happy employees will improve your culture. Investing in your employees by listening to their needs and providing them with the benefits they need will lead to overall better success for everyone. Creating a positive work environment, whether providing more professional development opportunities or offering generous paid time off, can help improve your bottom line. There are many reasons to invest in employee development, which will help lead to a positive culture.
To further enhance your ability to invest in and manage your workforce effectively, explore the tools and resources available at Workyard, which are specifically designed to support and streamline employee management processes
5. Listen to your employees
Listening to your employees is one of the most important and easiest things you can do to contribute to a positive culture. Your employees can provide valuable feedback on your business and how to improve. Let your employees know you want their feedback by allowing them to complete surveys or have frequent meetings where you ask for their opinions. Your employees should know how valuable they are, and allowing them to give their feedback is important to long-term success.
6. Encourage communication
Checking in with your employees regularly will ensure the success of your business. Whether this is checking in weekly or even yearly performance reviews, encouraging open communication is the best way to create a good environment. Show your employees that when they have a problem, they can come to you about it, and it can be a team effort to solve it. Your employees will perform better by creating an environment where open communication is encouraged.
7. Promote teamwork
Teamwork is another important aspect of building a positive work culture. Encouraging team members to work together towards common goals can help the business hit its goals. Employees who feel part of a team will do better work because they feel valued.
8. Offer competitive compensation
Salary is a big aspect of attracting and retaining employees. However, benefits packages that come along with salary also have an impact. Besides offering competitive compensation, consider other benefits like paid time off, bonuses, etc. These kinds of benefits can make you stand out from your competition and get the top talent you are looking for.
9. Allow For workday flexibility
Employees today want flexible working hours. They want options to work remotely and flexible hours when going into the office. According to research by Pew Research, employees like working from home and feel more productive when they have more control over their work schedule. 60% of workers say they want to work from home because they can get their work done there if they have a choice.
10. Set a good example through leadership
The leadership at all companies must lead by example. You must commit to your organization through your values, so your employees will do the same. Employees follow what leadership does quickly, so it’s important to set a good example and practice what you preach.
What impacts work culture?
Many things impact workplace culture. One of the most asked-for benefits by employees is financial wellness, which can greatly influence a positive work environment. Employees who feel secure in their financial lives can give 100% at work and are happier and more proactive.
- Leadership
The way leaders of the company interact with employees, what they communicate and emphasize, and their vision for the future are all things that impact the work culture. Employees follow by example, so what leaders do is what their employees will do.
- Management
The systems in place at a company, the goals set out, and the structure of management all impact work culture. Managers who encourage their employees to make decisions and support and interact with them daily create a positive environment.
- Workplace Practices
Recruiting, hiring, onboarding, compensation and benefits, rewards and recognition, professional development, and work/life balance are all workplace practices that determine the company culture.
- Policies and Philosophies
Policies, including dress, attendance, code of conduct, etc., and philosophies such as hiring, compensation, paid time off, etc., all affect workplace culture.
- People
The people you hire inevitably affect the culture because everyone has different opinions, values, and beliefs.
- Values
Your mission and values as a company, and how apparent that mission and those values are, will impact your work culture.
- Work Environment
The work environment your employees are physically in also contributes to the company culture. Where they work, what’s at their desk, and even the color painted on the walls will have an impact.
- Communications
How communication happens at your company is essential to work culture. Open communication between managers and employees, transparency about information, and decision-making impact the work culture.
A positive work culture is essential to any business's success. When employees enjoy where they work, they are more likely to be more productive and engaged, less stressed, and stay loyal. Building a great company culture takes time and effort, but it will help your bottom line. There are many ways to build a great company culture, and one of the most important ones is through a financial wellness program like Your Money Line. We provide tools, resources, and Financial Guides to help your employees become financially healthy. Request a demo today to start building a positive company culture.