Company Culture

Culture Reins Supreme

Communicative work environments that encourage strong relationships are driving positive company cultures. 

By Debbie Bolla

Company culture has become a mainstay on HR’s priority list in recent years. Organizations understand that today’s talent is seeking a workplace where they feel supported, empowered, and enabled to do their best. And the majority of companies are doing it right: SHRM’s Global Culture Research Report finds that 72% of respondents report their company’s culture as good or very good. Even further, 89% of workers said that their workplace culture has improved or stayed the same since the beginning of the pandemic.

Those are some high marks. So what is driving company culture? What factors make for a positive environment where workers thrive? The Global Culture Research Report revealed that transparency, the ability to communicate among the workforce, and strong relationships with managers result in winning company cultures.

Safe work environments. Employees are seeking the ability to openly communicate with their managers. The study found that 82% of respondents feel comfortable voicing their opinions about work-related issues. The same amount report being able to engage in honest conversations about work topics with their managers and even more feel this way—89%—when it comes to their co-workers. This level of transparency helps drive a strong company culture.

People management. The study found that employees feel inspired and motivated at work when they have a good relationship with their managers. When there is a lack of leadership, turnover can be a result. In fact, the report found that half of workers who are looking for a new job say it’s because their manager doesn’t have the skills or ability to lead their team well.

One factor HR has been dealing with in the last few years is attrition due to The Great Resignation. The report found that almost half of workers (45%) have considered leaving their current organization and culture is a main factor. Nine out of 10 workers who rate their culture as poor have thought about quitting, compared with 72% of workers who rate it as average, and 32% who say that it is good.

Why are employees seeking greener pastures? A third of respondents are looking for new work because they are lacking a meaningful career. Many of today’s workers need more than just a job—they want a place where they can find purpose in their professional lives. A work-life balance is increasingly important, as well as a sense of well-being. In fact, 60% of workers who are looking for a new job said it’s because their company’s culture makes it challenging to balance their work and home commitments, compared with 35% of workers who are not looking for a new job.

Job seekers are more than twice as likely to say they lack a desire to go into work, as compared to those not actively searching (53% versus 23%). The reports finds that a negative culture will encourage top performers to leave, making recruiting and retaining talent a challenge for HR. However, those organizations that are committed to a strong, supportive culture will reap the reward of employees who stay.

Tags: April 2023, Culture

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