A positive workplace culture is essential for the development of the employees’ skills, which increases productivity of a company. The report, “Return on Culture,” demonstrates a direct correlation between cultural factors such as collaborative efforts, employee involvement and retention, and client satisfaction and earnings and profit.

As per the report, organizations with a positive work culture are 1.5 times more likely to have revenue growth of 15% or more, throughout three years, and 2.5 times more likely to have substantial stock growth during the same time period. 

However, according to research, just 31% of HR executives feel their companies have the right culture they require to drive future growth, and getting there isn’t simple. This means certain companies fail to reform their cultures over time.

Also read: 5 Performance Management Biases To Avoid

Considering the above stats, we have provided a step-by-step approach to turn your organizational culture into a significant asset, by offering an understanding of what work culture is and why it is essential to develop a positive workplace culture that consistently produces results.

What is organizational culture?

Organizational culture refers to a set of beliefs, expectations, and practices that guide and shape the activities of all the employees of the organization. Consider it a collection of features that distinguish your organization. A healthy work culture in an organization focuses on practical work practices that contribute to increased performance, while a poorly functioning company culture elicits characteristics that may ruin even the most successful businesses.  

Let us look at what the research says

According to Deloitte research, a unique and healthy corporate culture is vital to a company’s success for 88 percent of employees and 94 percent of executives. Also, the survey identified that certain executives (about 76%) are of the view that having a ” well-defined company strategy” helps a company to achieve success. Hence, well-defined objectives and a healthy working environment are core aspects of a healthy work culture

Benefits Of Having A Positive Work Culture

It is important to have a positive work culture, as it influences the outlook of the employees towards their work. The employees’ mindset, in turn, affects their productivity. Besides, a positive work culture also influences how the employees collaborate cohesively to perform a particular task. Thus, a positive work culture is directly related to the productivity of employees.

Let’s check out how a positive workplace culture can be advantageous for an organization.

  • Retaining Skilled Employees:

A positive work culture helps you to retain your best and skilled talents. They love to work in a positive work environment where they receive appreciation for their work. Attracting and recruiting good talent is easy, but retaining them is difficult. A healthy and positive work environment ensures that employees stay with you for a longer time.

According to the Deloitte Global Human Capital Trends 2015 report, ‘culture and involvement’ seemed to be the main motive on the corporate agenda, and organizations with the healthiest cultures were far better at attracting and retaining people.

  • Achieving business goals:

Positive workplace culture encourages employees to work hard to stay aligned with their company objectives. They are happy and satisfied with their job, and do their best to attain their goals and that of the organization. With a positive work culture, you may notice that employees care for the welfare of the organization. They do their best to achieve the goals set by the company.

Also read: Why Do Workplace Goals Fail?
  • Conducive for growth:

It gives every employee the chance to develop professionally and personally. It also fosters transparency and motivates your workforce to express themselves and pursue the ideals that they believe in.

  • Enhances employee satisfaction and productivity:

A positive workplace culture will make your employees want to come to work every day. Additionally, it boosts your employees’ focus, which leads to increased efficiency.

  • Increased profitability:

According to Dale Carnegie’s white paper on ‘Transforming Attitudes and Actions: How Senior Leaders Create Successful Workplace Cultures’, 92 percent of company executives feel that organizational environment and financial performance are linked closely. Workplace culture has a visible effect on how your employees’ function. This, in turn, has a significant effect on the financial profitability of your company.

How can organizations create a positive work environment?

  • Establish organizational culture and values:

It’s critical to have a set of defined core values for the organization. Communicate them to your employees so that they are aware of it and inculcate them in their daily lives. It’s also vital to take verifiable assessment actions on a regular basis so that employees feel a sense of accountability for the company’s values.

This enables employees to analyze, assess, and change their work attitudes, based on the defined fundamental values. Thus, an employee’s healthy attitude can contribute to a positive work environment.

  • Through culture surveys:

It is of high importance to have a leadership and management style that promotes cooperation, open and honest communication, and a healthy work environment. 

For the same, conduct regular culture surveys. Evaluate how employees engage with one another and how they react to criticism. Unconscious and implicit biases often spoil working relationships. Evaluate how employee interact with one another and work on removing prejudices if any. Often biases and prejudices result in cut-throat competition among the employees. Surveys will help you understand your employees better.

Also read: 8 Steps To Effective Employee Surveys
  • Trustworthy leadership

Without a doubt, the most crucial part of any workplace culture is leadership. Furthermore, they must constantly promote business principles and serve as role models for the rest of the organization.

Leaders should attempt to develop new methods to engage employees, inspire passion and dedication in the workplace. 

Traditionally, a leader’s responsibility did not include speaking to their employees or participating in company-wide discussions. Today’s employee-centric companies, on the other hand, want leaders to express honest, inspirational, and motivating viewpoints to their employees.

  • Inclusive Workplace:

A good workplace is one where all employees, regardless of gender, sexual orientation, race, region, religion, etc. receive equal respect. They are given equal opportunity and benefits and are encouraged to take active part in the organization. Having an inclusive workplace helps organization to build a wider talent pool with better performance, and greater creativity and innovation.

Also read: Building Diversity & Inclusion In The Workplace
  • Align employee behavior with workplace culture:

The term “employee behavior” refers to how employees react in the workplace to certain settings or scenarios. While numerous factors influence an employee’s conduct in the workplace, people are molded by their own culture as well as the culture of the company.

Your company’s culture is inextricably linked to the individuals who work there. If you want to effect change, you’ll need to assist employees in making specific behavioral adjustments.

In the context of this, you can establish guidelines such as ‘dos and don’ts’ that help employees to know what to do and what not to do. This would bring changes in their work procedures, beliefs, and assumptions, in line with workplace culture.

Team members will be influenced by these beliefs and the conduct of leaders. As a consequence, team members will absorb and spread culture via social interactions. 

On the whole, a strong organizational culture occurs when positive unified behavior, value systems, and principles have been created. As an instance, let’s say you’ve defined work-life balance as one of your priorities, but everyone in the company is working 13-hour days right now. 

As an HR professional, one of the first behavioral adjustments you’ll need to make is to urge executives to spend only 8 to 9 hours each day so that this practice can spread across all employees’ behavior.

  • Set clear objectives, provide feedback, and appreciate:

According to a Deloitte research study, 83 percent of executives and 84 percent of employees are of the view that having productive and committed employees is the key aspect that significantly contributes to a company’s success. 

Employees may be inspired and committed if they are treated fairly and given clear objectives and feedback. Having a clear framework allows employees to assess their own performance. 

Measurable performance feedback will lead to constructive competition, and an open policy will help to minimize unpleasant sentiments and discontent among team members. When objectives are positively reinforced and accomplishments are acknowledged and celebrated, employees feel appreciated, which contributes to a positive working atmosphere.

Summing up

A positive workplace culture is more effective over time because it fosters positive feelings and well-being among employees. As a result, people’s relationships with one another strengthen, and their talents and inventiveness grow. Thus, creating a good work environment may make or break your company’s success. 

Organizational success — including business performance, client satisfaction, efficiency, and job involvement — dramatically improves with positive work cultures.

The tips that we shared will help you lay the foundation for positive workplace culture. But it is not limited or restricted to them. Every workplace does its bit to create a healthy and positive work environment. Do you have any other points in mind? Let us know in the comments.


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