Did you know that your core values are key factors when it comes to your business management? That’s right. An organization needs a clear company culture in order to build a strong base. Once you have it figured out it will be much easier to find the right employees during the recruitment process and to promote employee retention later on.
The organizational culture dictates the way the work will be carried out, the expectations you will have from your employees, your boundaries and work relationships. In short, it establishes the work ethic.
Different cultures bring different goals and different habits. Some businesses might focus more on interpersonal relationships between co-workers, promoting the “we are like a family” concept. For this type of culture, team activities and teamwork are really important. Others might be more money-driven, focusing on strict rules and hierarchies. In this case, having employees that sustain the company’s image and that reach high-expectations is key.
Whichever one you choose, your company culture has to be compatible with your values and business goals, and, the most important thing, your work ethic might increase or decrease employee satisfaction.
The Connection Between Company Culture and Employee Retention
A study by Glassdoor examined the most important factors when it comes to employee satisfaction in 5 different countries - the U.S., the UK, France, Germany and Canada. In 4 out of 5 cases, culture and values are the number one reason for retention.
Furthermore, SHRM shows us that 1 out of 5 employees quit their job because of incompatibilities when it comes to organizational culture. And these high turnover rates also come with a cost - $223 billion in the last years.
That means, your values are supposed to align with your employees in order to grow your business and to provide a healthy work environment. For example, if your company culture focuses on individualism, a highly-competitive workplace and a money-oriented behavior, there’s no way someone who loves teamwork and a friendly environment will fit in.
Finding the Right Employees According to Your Company Culture
Your business values should be made clear from the start and recruiters should also pay significant attention to soft skills. When you are posting a job offer, make sure to mention the main soft skills you’re looking for in an employee and to focus on them as much as you focus on previous employee experience and college degree.
These skills have to be suitable with your company culture. A fast paced environment might need someone who has strong time management skills and who is able to work under pressure. Whereas a people-oriented workplace might look for a candidate with team work experience and critical thinking.
The secret is to understand that someone could have the right knowledge for the position they are applying to, but if they don’t share the same values, they might not be the right fit for the job.
The key is to promote ahigh-performance culture - when you are focusing on the right values and tools in order to build a strong work ethic that will benefit both parties - financial and interpersonal. That way, you can grow your business and provide employee satisfaction and retention.
How Business Values Affect Motivation Among Employees?
In the previous point we established that compatible values bring employee satisfaction. But is that the same as motivation? The answer is definitely no. Motivation happens when employees are constantly engaged, rewarded and when they can use their workplace as a way to improve themselves. A positive employee retention doesn’t prove they feel motivated.
In a study by Achievers, only 31.3% of employees considered themselves engaged, however, 65% of those who answered said they won’t quit their job. Why is this happening?
Harvard Business Review blames this on “inertia”. People don’t want to drastically change their routine unless something really bothers them. The problem here, as HBR mentions, is that recruiters and leaders rarely do thorough research to find out the reason why their employees stay, not why they leave. Their reasons might differ with age, relationship/social status, personal goals and environmental pressures.
This might signal a need for an organizational evaluation. A smart company culture focuses on employee motivation. Good leaders know that this is key when it comes to business growth. So now, you might wonder how to boost employee morale and motivation.
When people are engaged they feel inspired and motivated to do better, to work better and to become better, and that’s how businesses grow as well. As a leader, once you have established that you share common values with your employees, it’s important to find ways to engage them in different projects and activities.
That doesn’t mean overcrowding them with task after task. It means being mindful of your employee experience. Ask about their expectations and their goals and find out what engagement means for each of them. When it comes to motivation, a leader has to become a mentor. A study by O.C.Tanner shows that, by doing so, motivation among employees increases by 102% and the leader creates a significantly more favorable perception.
You should also come up with new opportunities and help them get out of their comfort zone. For example, if your company culture doesn’t promote a strict professional hierarchy, you can ask your employees to attend meetings of different departments in order to learn more and to come up with fresh ideas.
Another important point to keep in mind is that motivation also means a different thing for different company cultures. It all comes down to the business values and the employee’s goals.
For example, in a collaborative culture, motivation might be influenced by the quality of team work and interpersonal relationships at work. In this case, the leader has to come up with ways to improve communication between colleagues and to maintain these interactions. Whereas in a more controlled workplace, motivation might be primarily determined by success, recognition, a promotion or a salary raise.
How to Boost Employee Morale and Motivation During a Crisis?
The COVID-19 pandemic changed our approach to work. Suddenly, working from home has become a necessity, not a benefit, and interactions between coworkers have decreased significantly. At home, we are constantly surrounded by distractions, and that makes it even more easier to see decreased levels of motivation.
With the popularity of remote work increasing, now it’s more important than ever to find ways to engage your employees and to keep them entertained. Thanks to technology development there are so many ways to keep in touch with your team.
You can promote a positive company culture by investing in development programs for your employees - like training, conferences and workshops. Now that you can’t talk to your employees in your office about their work progress, you can also plan a weekly meeting with your team where you can discuss projects, tasks and deadlines.
Make the most out of communication platforms and keep in touch with your team and use your chat groups for more than just work-talk. Send them relatable Social Media posts, respond with gifs when it’s appropriate and maintain a positive approach to work.