Culture Change In The Workplace: What You Need To Know

A company’s culture refers to the beliefs and behaviors of the employees when they are present in the workplace. It is essentially how an organization conducts its business and can be influenced by the policies, mandates, and values they implement. In addition to this, an organization can develop its culture through decision-making and daily practices.

Although all the modern company culture has many benefits for an employee, it may still need a fair bit of improvement. Therefore, for the organizations aiming to improve their company culture, this article will dive into why company culture is important and how to carry out a cultural change in the workplace? 

The Importance of a Good Culture in the Workplace

The culture that a company possesses contributes a great deal to the company. Some organizations state that the culture in the workplace is as important as its operational strategy. Because company culture is capable of improving:

• Employee Retention

Several organizations and research papers suggest a strong correlation between employee retention and positive workplace culture. It is primarily because, in positive work culture, employees are more likely to be happier. 

• Engagement

Given that employees prefer to work at a satisfying job, there will be a higher degree of engagement.

• Employee Performance

With the increased engagement while working, employees will be able to perform better as well. Organizations with a stranger culture in the workplace will also perform better than their competitors financially and, therefore, be more successful. 

• Onboarding Talent 

Strong and positive workplace culture can also be an attraction that will attract more talented employees who will contribute more to the company.

When does an Organization require a Culture Change? 

For a culture change to occur, a company needs to determine why they need it, and what aspects of the workplace need changing. Typically, the need for a culture change in the workplace arises when there are issues with the following aspects of the workplace: 

• Mergers

There are cases where an organization may merge with another or acquire another organization. In this situation, retaining the old company culture will not be feasible if the companies’ previous cultures differ significantly. In addition to this, there were several changes within the management. Therefore, instead of sticking to the previous culture, it may be time for a culture change to make the merger more streamlined. 

• Decreased Performance

The company may need to change the company culture if there is a drastic decrease in the company’s productivity due to a decrease in the performance of individual employees. With a new company culture, an organization will encourage their employees to improve their performance either through incentives or the introduction of better tools. 

• High Employee Turnover 

The company requires a culture change when many employers are quitting the job. In other words, when there is a high employee turnover, it will mean the culture has to change alongside other aspects. A positive work culture can help improve the employee experience at an organization contributing to their retention. 

• Expansion

Work cultures may also have to change if the company is experiencing growth, hiring more employees, and expanding the day-to-day operations. Aspects like flexibility in work hours, a lack of structure, and more may need to be changed. Large organizations are also prone to experiencing the formation of subcultures or a toxic work culture that will need rectifying in the future. 

However, there are cases where a culture change will have to be accelerated, especially during a crisis. It includes legal issues, company losses, or other major incidents. 

Implementing Culture Change in the Workplace Effectively 

Consider an organization that has seen tremendous growth, either through a merger or after a successful period. If this is the case, the organization should look to implement a change in the culture in the following way: 

• Formulate Values: 

One of the major aspects of company culture and culture change is the values behind the culture. The HR team will have the challenging task along with the management heads like the CEO to determine what values will benefit the company better than the previous values that it held. Although this seems easy enough, it can be difficult as these values need to be planned and detailed. 

• Align With Operations: 

The next step is to slowly implement these values and behaviors outlined in the processes and strategies that the company possesses at the moment. For this reason, the HR team will have to outline how each employee in a particular role should behave while at the office. 

When it comes to processes, the culture change in the workplace will have to take place in everyday operations as well. It includes activities like compensation, incentives, promotion, and more. It can help to rake in new talent and make it possible for the existing talent to stay. 

• Introduce Non-Negotiables: 

With every employee knowing what the right way to behave is, it may also help to introduce non-negotiables. In other words, it is a list of don’ts when it comes to how an employee should act in the office setting. It also means a list of behaviors or values that have to be present in the new company culture. Discussing this can be especially important during a merger or acquisition as each company can determine what they would like to keep from their previous company cultures. 

• Align Culture With Branding: 

An essential aspect of building a brand involves the company culture. Therefore, in the efforts that a company puts towards building the brand, they should also ensure that they can align the company culture with the brand. It will also help to improve the customer experience in general. 

• Quantify Culture Change:

To implement a culture change effectively, an organization must measure the problems with the previous culture. It includes employee surveys and other analyses to determine if the employees can act and implement the values that form company culture. 

• Remain Patient: 

It is important to note that changing the culture of a company can take quite a few years. However, that does not mean that the plan to implement is wrong and is failing. On the contrary, if it does take longer, it will mean that the company will have to find the gaps between the desired behavior and the current behavior of its employees. After which, they will have to work towards bridging it. 

However, the entire process of changing the culture in the workplace will not be possible without proper leadership and effective scaling. Whether it comes to outlining the values that make the new culture or implementing it, there needs to be a leader at the forefront of every step in the culture change plan. 

In this way, a company can completely transform their office starting with every employee. Culture change in the workplace is an especially effective strategy to improve the existing workforce present at the office and in the future.