The importance of company culture

“Company culture” is more than just a buzzword that you hear at business meetings and seminars. Or at least it should be!

Companies with a strong, positive culture have a competitive advantage in the marketplace — and, of course, it’s the right way to run a business.

One competitive advantage of a strong company culture is that employees will notice it. They want to feel good about where they work. Increasingly, employees don’t simply want “a job”: They want to be part of an organization that does good work and takes pride in its mission. A positive culture will help retain good employees, and may help attract prospective employees as well. And in the tough competition for talent, this is important.

Company culture has found its way into the collective consciousness of businesses, and those who write about them. A recent Forbes Advisor article observed that 67% of executives prioritize company culture over their organization’s strategy or operating models. So, it’s an idea whose time has come.

Think of culture as the “secret sauce” of your company — the glue that holds it together. It encompasses mission, values, guiding principles, best practices and more. Parking lot cookouts, casual dress Fridays, softball games, trivia contests and company hikes are part of a company’s culture, but it extends much deeper than that.

Strong culture characteristics include:

· An environment where employees are treated with respect and as valued members of a team, and where they feel heard

· An atmosphere of open and effective communication

· An environment where the work of employees, and their ideas, truly matter

· A company where people live out their core values

· An organization where management leads by example

· A company that encourages work-life balance

· A business where employees are encouraged to continue professional and personal growth

· A company that constantly seeks to better itself through self-evaluation and improvement as needed

· A place where people work hard but can have fun too!

Dave St. Peter, president of the Minnesota Twins, describes team culture as having the four pillars of fun, passion, heart and hustle. The same might be said of businesses.

So how can you, as a company owner, build a strong company culture?

1. Clearly define your company’s mission, vision and values. Seek input from everyone on the team — not just the leadership. You could do so through a retreat, or brainstorming sessions on site.

2. “Walk the walk.” Leaders lead by example and set the tone for others to follow.

3. Be open, transparent and inclusive.

4. Empower employees to advance professionally. Offer leadership training and training in their areas of expertise. Establish a mentorship program which can help new employees feel welcome and become productive.

5. Acknowledge employee contributions. Remember that happy employees lead to happy customers. Whether it’s an “Employee of the Month” or other such recognition, show your employees that you appreciate what they do.

6. Establish your own company culture committee, made up of people from your company — workers and managers. Encourage open and honest discussion centered around “What are we doing right?” and “What can we do better?” To that end, another great way to learn what your employees think is through surveys — anonymous if you like.

7. Elevate the importance of culture in the hiring process. Evaluate potential hires not only in terms of this person’s background, but will he or she be a good fit with the organization's culture. The person with the most impressive resume may not be the best fit.

8. Encourage teamwork — in and out of the office.

9. Create a positive physical work environment. Is your office space appealing? Are the workstations suited for collaboration? Is there a break room for employees? Is the office a place you are proud to show off to customers? Investing in the office space is a good investment in your employees’ well-being.

Our company specializes in technology, but it’s worth noting that every business, no matter what the industry, benefits from a strong and positive culture. This newspaper has named a number of businesses as “best places to work.” Congratulations to all who are included, and best of luck to everyone in strengthening your company culture!

· Vince Miceli is Vice President of Technology at Pulse Technology (https://pulsetechnology.com) in Schaumburg.