Building a Thriving Culture: Key Strategies and Insights
02 September 2024
How to Build Company Culture: 10 Tips from People Performance Specialists
Why invest time and money in people, processes, and initiatives that appear generally unrelated to gross profit, services offered, and company expansion? Because culture is a driver of your business’s success. A report from Forbes reveals that businesses prioritising culture witness a substantial 33% revenue boost (Forbes Finance Council, 2023).
Moreover, 46% of all decision-makers and leaders report that culture drives improvements in critical growth areas, such as employee productivity, retention, and engagement (Arbinger Institute, n.d.). Additionally, highly engaged teams exhibit 14% greater profitability, and organisations with highly engaged teams experience a 43% reduction in turnover (Gallup, 2018).
Culture isn’t a vague feeling you evoke over free coffees. It’s the collective set of beliefs, behaviours, practices, values, norms, and symbols that are shared by a group of people and driven by management. Culture starts with you.
In this article, the people performance management experts from The Human Touch (THT) share how to build company culture.
What We Cover:
- Create a Clear Vision and Mission
- Encourage Open Communication
- Promote Cross-Department Collaboration
- Recognise and Reward Cultural Alignment
- Offer Flexibility and Support Work-Life Balance
- Invest in Professional Development
- Celebrate Milestones and Successes
- Build a Diverse and Inclusive Environment
- Provide Regular Feedback
- Empower Employees to Take Ownership
1. Create a Clear Vision and Mission
Your employees don’t just want a job – they expect a position that fulfills them and gives them a higher purpose. They need to connect with your company and buy into its mission and vision. In fact, a study from Jobvite reveals that about 55% of respondents would resign from a new job if the organisation’s culture did not align with their personal values and expectations (Jobvite, 2022).
But a clear vision and mission aren’t just words to display on your website or include in annual reports; they are the guiding principles that shape every decision, action, and interaction within your organisation.
Here’s how to create a clear vision and mission:
- Ensure your vision and mission reflect your company’s purpose. Consider why your company exists beyond generating profits. What impact do you want to have on your customers, employees, and the broader community?
- Consistently communicate your values. Regularly remind your team of these principles during meetings, in internal communications, and even in one-on-one conversations. You could even design a poster of your company values and showcase it in the office, so employees are constantly reminded of what they should be striving for.
- Involve leadership. Leaders should consistently model the behaviours that reflect the company’s mission and values. It’s the leaders and management of your organisation that set the standard; a report from SHRM reveals that 87% of employees claim that their managers shape the work team environment (SHRM, 2022).
If effective leadership is lacking in your organisation (or you’re concerned it might be), reach out to The Human Touch. Our Executive Coaching solution assists either individuals or groups to improve their leadership skills – now, and for the future. It’s headed up by Mahlasedi Mojapelo, and backed by a team who share 40 years of experience between them.
2. Encourage Open Communication
When employees feel informed and involved, they are more likely to be engaged, motivated, and aligned with the company’s goals. Transparency and communication should be woven into the fabric of your organisation, not just as policies but as everyday practices. In fact, 75% of employees consider effective communication the top leadership quality (Haiilo, 2020).
In addition to promoting open communication within the company, it’s also important to be transparent with external stakeholders, such as customers, partners, and the broader community. Sharing your company’s values, goals, and progress openly helps build trust and strengthens relationships.
Here are some ways to promote transparency and open communication:
- Hear from leadership. Hold regular meetings where leadership shares updates and answers questions from employees. It’s important to encourage informal communication as well – creating spaces where employees feel comfortable sharing ideas or voicing concerns without fear of retribution.
- Establish communication channels. Employees need a way to provide feedback, and surveys and one-on-one meetings are great places for that. More importantly, act on the feedback you receive – whether it’s implementing changes based on employee suggestions or simply acknowledging their input.
- Share the rationale behind key decisions. Employees aren’t sheep, ready to follow blindly, but alarmingly, 71% of employees believe their leaders don’t invest adequate time in communicating goals and strategies. (Quantum Workplace, n.d.). Make sure your employees understand the key decisions that affect them, and involve them in the decision-making process whenever possible.
3. Promote Cross-Department Collaboration
Encouraging cross-department collaboration is a powerful way to break down silos, foster greater creativity, and create a more unified company culture. When employees from different departments work together, they bring diverse perspectives and skills to the table.
Not only does this lead to new ideas and solutions, but it allows your employees to spend time together and get to know each other – organically building company culture.
Here are some practical steps to encourage cross-department collaboration:
- Host brainstorming sessions. Organise quarterly sessions where mixed teams from different departments brainstorm and pitch innovative solutions to company challenges, with the best ideas receiving funding or resources for implementation.
- Create a ‘Collaboration Council’. Establish a group with representatives (ideally heads of department) from each department to regularly discuss and address barriers to collaboration, share success stories, and propose initiatives that enhance interdepartmental teamwork.
- Develop a 360 feedback loop: Set up a feedback system where employees can provide and receive feedback not just within their department but also from colleagues in other departments they interact with regularly, promoting transparency and mutual improvement. The data from this system could be used for performance appraisals, as well.
- Introduce ‘Mission Days’: Dedicate one day each quarter where mixed teams work together on a company-wide mission, such as a community service project, that requires collaboration and leverages the strengths of multiple departments.
4. Recognise and Reward Cultural Alignment
When employees see that their efforts to uphold the company’s culture are noticed and appreciated, they are more likely to continue contributing positively and encourage others to do the same. In fact, 69% of employees claim they would increase their work efforts if they were acknowledged more (DDI, 2023).
Start by clearly defining what cultural alignment looks like in your organisation. This might include specific behaviours, such as collaboration, innovation, customer focus, or integrity. Once these are identified, make it a point to recognise employees who consistently demonstrate these values in their work.
Key practices include the following:
- Spotlight cultural champions. Identify employees who consistently demonstrate core values and publicly recognise them in company meetings or newsletters. For example, highlight a team member who consistently collaborates across departments to achieve company goals.
- Ask for employee opinions. You might think a chocolate or cappuccino is a great reward, but your employees just want an extra leave day. It’s important to reward them in the way they prefer to be rewarded, and implement a sustainable rewards program.
- Performance integration. Incorporate cultural alignment into performance reviews with concrete examples. For instance, if an employee regularly mentors others, highlight this as a demonstration of the company’s value of collaboration.
“A key outcome of our HR Academy’s Technical competencies course is the alignment of total rewards programs with your organisational goals, values, and business strategies to attract, motivate, and retain talent.” – Mahlasedi Mojapelo, Senior Consultant and Head of Executive Search at The Human Touch.
5. Offer Flexibility and Support Work-Life Balance
Employees who feel their personal lives are respected are more likely to be engaged, productive, and loyal to the company.
Flexibility can take many forms, depending on the nature of your business. For some, it might mean offering remote work options or flexible working hours that allow employees to manage their time more effectively. For others, it could involve creating a results-oriented work environment where employees are measured by their output rather than the hours they spend at their desks.
To implement flexibility effectively, start by understanding the needs and preferences of your workforce. Once you have this information, tailor your policies to meet those needs while ensuring that business operations remain smooth.
Here are additional tips:
- Flexible working hours. Allow employees to customise their work schedules within core business hours. For example, enable a team member to start their day earlier or later based on their personal needs, like school drop-offs.
- Remote work options. Provide the option to work from home or another location. For instance, offer remote work days to accommodate personal appointments or reduce commute stress.
- Encourage time off. Actively promote the use of annual leave and mental health days. For example, remind employees to take time off during busy periods and lead by example by taking regular breaks yourself.
- Accommodate personal circumstances. Be supportive of personal needs during working hours. For example, allow employees to attend a child’s school event or a medical appointment without the stress of making up the exact hours.
6. Invest in Professional Development
When you provide opportunities for your employees to grow their skills and advance their careers, you’re not only improving their capabilities but also building a more capable and committed workforce.
Begin by identifying the skills and competencies that are essential for your company’s success, both now and in the future. This could involve technical skills, leadership abilities, or industry-specific knowledge. Once you’ve identified these areas, offer targeted training and development programmes that align with these needs.
At The Human Touch, we go beyond theoretical knowledge to emphasise practical skills and the ability to implement smart, sustainable strategies. Contact us about our Learning and Development Training, or experiment with the following practices:
- Personalised learning plans. Work with employees to create tailored development plans. For example, identify skills gaps and provide targeted training, such as a specialised course in data analytics for a marketing professional.
- Establish a mentorship system. Here, senior employees guide junior staff. For instance, pair a seasoned project manager with an emerging leader to help them navigate complex project challenges.When leaders receive quality coaching from their managers, they are 1.5 times more likely to believe they can advance within their current company without needing to switch (DDI, 2023).
- Fund certification courses. Offer financial support for employees to pursue certifications relevant to their roles.
- Organise in-house workshops. Or, support attendance at industry conferences. For instance, host a quarterly workshop on leadership skills or sponsor employees to attend a major industry event.
“People are the drivers of your company’s success. To be a successful company, you need skilled people who align with your culture and values, fit their roles, and can carry the company’s strategy into the future. That’s what we do with and for you.” – Maggie Mojapelo, Co-Founder of The Human Touch.
7. Celebrate Milestones and Successes
When employees feel that their achievements – both big and small – are celebrated, it not only boosts morale but also reinforces a sense of belonging and shared purpose.
To effectively celebrate milestones, start by identifying key moments worth recognising. These could include project completions, hitting sales targets, anniversaries, or even individual achievements like promotions or personal milestones. The key is to make these celebrations meaningful and relevant to your team.
Celebrations don’t have to be grand or expensive. A simple team lunch, a heartfelt thank-you note, or a shout-out during a meeting can go a long way in making employees feel valued. What matters most is the sincerity of the recognition and the sense that everyone’s contributions are appreciated.
Here are several ways to celebrate successes:
- Host team celebrations. Organise team gatherings to celebrate major milestones, such as project completions or hitting sales targets. For example, host a team lunch or virtual celebration and game where everyone can share in the success and have some fun.
- Host award ceremonies. Hold an annual or quarterly award ceremony to honour exceptional achievements. For example, present awards for ‘Employee of the Quarter’ or ‘Outstanding Team Performance’ during a special event.
- Offer commemorative gifts. Provide a keepsake or memento for significant milestones, such as work anniversaries or project completions. For instance, give a custom plaque or a branded item to commemorate a major accomplishment.
8. Build a Diverse and Inclusive Environment
A diverse workplace brings together different perspectives, experiences, and ideas, which can lead to more innovative solutions and a richer company culture. Meanwhile, inclusion ensures that all employees, regardless of their background, feel valued and respected.
Once you’ve built a diverse team, it’s crucial to create an inclusive environment where everyone feels they belong. Provide diversity training for your leadership and employees to help them understand and appreciate the benefits of a diverse workforce. Encourage open conversations about diversity and inclusion, and make sure there are safe spaces for employees to voice their concerns.
We also recommend the following:
- Adopt inclusive hiring practices. Ensure hiring processes are free from bias and promote diversity. For instance, use diverse interview panels and standardised questions to evaluate candidates fairly.
- Inclusive communication. Encourage open and inclusive communication across the organisation. For instance, use inclusive language in all company communications and create forums where all voices can be heard, such as regular town hall meetings.
- Recognise diverse perspectives. Why not celebrate the diverse backgrounds and experiences of employees? For example, hold cultural appreciation days where employees can share their heritage, traditions, or personal stories with the team.
9. Provide Regular Feedback and Conduct Check-Ins
When feedback is timely and constructive, it not only helps employees improve but also strengthens their connection to the company and their role within it. Begin by establishing a culture where feedback is viewed as a positive and essential part of growth.
Feedback should be given frequently, not just during annual reviews, so employees are continuously aware of their performance and know where they stand. It’s also important that feedback is specific, actionable, and balanced. Highlight what the employee is doing well before discussing areas for improvement. This approach not only boosts morale but also makes the feedback more effective.
Here are several ways to ensure regular (and constructive) feedback:
- Schedule one-on-one meetings. Establish regular one-on-one meetings between managers and employees. For example, set up bi-weekly or monthly check-ins to discuss progress, challenges, and career development.
- Set clear expectations. During check-ins, review and align on goals and expectations. For example, discuss upcoming projects and clarify what success looks like to ensure the employee understands their priorities.
- Two-way dialogue. Encourage employees to share their thoughts and feedback during check-ins. For instance, ask open-ended questions like, “How can I support you better?” to foster a more collaborative conversation.
- Document progress. Keep track of discussions and progress over time. If you’re evaluating an employee, it will be helpful to refer back to their previous appraisal to see how and whether they’ve grown.
10. Empower Employees to Take Ownership
When employees feel that they have control over their tasks and decisions, they are more likely to be motivated and committed to the company’s success.
Start by clearly defining roles and responsibilities, giving employees the autonomy to make decisions within their areas of expertise. Trusting your team to manage their own work shows that you have confidence in their abilities, which in turn boosts their confidence. It’s important to provide the resources and support they need to succeed, but without micromanaging their every move.
Encouraging ownership also means allowing employees to take risks and learn from their mistakes. When mistakes happen – and they inevitably will – focus on what can be learned rather than placing blame. This approach creates a safe environment where employees feel comfortable trying new things.
“Our training equips your targeted talent to take ownership of their role, enabling employee engagement and a high performing culture.” – Maggie Mojapelo, Co-Founder of The Human Touch.
Here’s how to empower employees to take ownership:
- Involve employees in goal-setting. Engage employees in setting their own goals aligned with company objectives. For example, during performance reviews, collaboratively set targets that are challenging yet achievable, allowing the employee to take ownership of their personal development.
- Give ownership of outcomes, not just tasks. Assign not just tasks but outcomes to employees, allowing them to take full responsibility for the results. Instead of assigning the task of writing a report, give an employee ownership of the entire process, including data collection, analysis, and presentation of findings to the client.
- Encourage employee-led initiatives. Support employees in starting their own initiatives that align with company goals. For instance, if an employee is passionate about sustainability, empower them to lead a green initiative within the company.
At The Human Touch, we enable your people managers to own employee engagement and employee experience through Learning and Development Training, specifically Team Effectiveness Training. This is all about creating an empowering and satisfying work environment to build a successful and high-performing team.
Equally important is finding a balance between the team members’ personalities, strengths, and weaknesses to get the most out of everyone and deliver business results. That’s our speciality.
“We get to understand every client on a personal level. We understand your company strategy, and your company culture. That equips us to deliver the exact value you need.” – Mahlasedi Mojapelo, Senior Consultant and Head of Executive Search.
Contact The Human Touch to build a sustainable and thriving company culture.
About Mahlasedi Mojapelo
Mahlasedi is an experienced business management consultant with more than 10 years practical experience in the profession. She is one of the founders of The Human Touch.
Mahlasedi is a BCom Marketing graduate from the University of Johannesburg. Upon completion of her junior degree, Mahlasedi worked as a marketing professional at InterBrand Sampson Branding, Professional Provident Society (PPS) and Avon Justine. Mahlasedi’s main areas of strength as a business management consultant include business strategy development, big-picture thinking, process development and implementation facilitation.
References
- Arbinger Institute. (n.d.). The ultimate list of corporate culture statistics. Retrieved August 14, 2024, from https://arbinger.com/blog/the-ultimate-list-of-corporate-culture-statistics/.
- Gallup. (2018, May 8). The right culture: Not just about employee satisfaction. Retrieved August 14, 2024, from https://www.gallup.com/workplace/236366/right-culture-not-employee-satisfaction.aspx.
- Forbes Finance Council. (2023, September 14). Building a company culture to drive success. Forbes. Retrieved August 14, 2024, from https://www.forbes.com/councils/forbesfinancecouncil/2023/09/14/building-a-company-culture-to-drive-success/.
- Jobvite. (2022, December). 2022 Job Seeker Nation report. Retrieved August 14, 2024, from https://web.jobvite.com/rs/328-BQS-080/images/2022-12-2022JobSeekerNationReport.pdf.
- SHRM. (2022). 2022 Global culture report. Society for Human Resource Management. Retrieved August 14, 2024, from https://www.shrm.org/content/dam/en/shrm/research/SHRM-2022-Global-Culture-Report.pdf.
- Haiilo. (2020, January 6). 18 leadership communication trends to look for in 2020. Retrieved August 14, 2024, from https://haiilo.com/blog/18-leadership-communication-trends-to-look-for-in-2020/.
- Quantum Workplace. (n.d.). The future of work: Workplace culture. Retrieved August 14, 2024, from https://www.quantumworkplace.com/future-of-work/workplace-culture.
- Folkman, J., & Zenger, J. (2014, January 15). Your employees want the negative feedback you hate to give. Harvard Business Review. Retrieved August 14, 2024, from https://hbr.org/2014/01/your-employees-want-the-negative-feedback-you-hate-to-give.
- DDI. (2023). Coaching cultures: Global leadership forecast 2023. Development Dimensions International. Retrieved August 14, 2024, from https://www.ddiworld.com/global-leadership-forecast-2023/coaching-cultures.