No man (or woman) is an island.
Businesses seem to be finally catching up to this reality- humans need healthy relationships and communities. Those middle school motivational speakers were on to something. It really does matter who we hang out with! We need to choose our friends wisely.
It’s just as true of our professional relationships. Exposure to unhealthy people and places isn’t sustainable in the long term.
At first glance, the Great Resignation in 2021 served as a wake-up call to many businesses. According to the U.S. Bureau of Labor Statistics, over 47 million Americans voluntarily quit their jobs.
This isn’t laziness. Workers are switching things up out of necessity. They’re seeking professional situations where they can personally thrive- and professionally contribute at maximum potential.
But this statistic isn’t an anomaly. The numbers are consistent with the pre-pandemic trend. Since 2009, average monthly quit rates have been increasing by .1 percentage points each year. Employee attrition is a growing problem for companies. Employees have options. They haven’t joined the mafia. If they feel like things aren’t working out, they’re moving on.
Turnover is hard on any business. Tech startups are especially vulnerable because they’re already operating on razor-thin margins. When an employee leaves, a company loses traction. You can’t move forward when you have to circle back to rehire for a position previously filled. Training costs money and the inevitable learning curve costs time. Morale takes a hit when an absence is felt.
Employees are motivated to stick around when they’re working in a healthy culture. The benefits of a strong corporate culture are both intuitive and supported by social science.
These six elements identify a strong corporate culture.
1. The company’s mission is clearly defined and known to all.
Your mission is a simple statement: why does your company exist?
What’s implied- and just as important- is the opposite statement: what you’re not.
Employees need to be clear on the point, because your mission statement is non-negotiable.
Everyone wants to be a part of solving a problem greater than themselves. When the mission is compelling, and employees know how their work contributes to accomplishing it, it encourages ownership and commitment.
2. The leadership sets the tone for the company’s culture.
Culture starts at the top. It’s critical for the CEO to live out the core values and lead with integrity- her actions match her words.
The leaders determine whether the company will have a culture of trust by modeling support to all workers. They’ve got their team members’ backs. They stand up for them when things go wrong. Mistakes are seen as learning opportunities.
If the leaders are excited to come to work every day and they’re doing a job that you love, that’s going to trickle down and influence the employees. They keep perspective in the daily grind by having a business plan (this is what you’re doing) and vision (this is why you’re doing it.)
It’s impossible for employees to outpace the CEO’s vision- or overcome their burnout from the lack of a plan. It’s easier to follow a leader who believes in her mission, and practices what she preaches.
3. Strong cultures protect the work/life balance of all employees.
Gone are the days when workers gloried in their workaholic commitment to their company. Blurred boundaries have gone the way of the velour tracksuit. Work/life balance is a common-sense necessity.
On the work side, empower your employees to be productive. Frequently assess workloads. Are they overwhelmed, or bored? Do they have access to the training and information they need to do their job? Do they have opportunities for career advancement?
Address long-term growth by offering 401K/retirement plans and ongoing career training.
Minimize the stress of daily grind by providing convenience perks, such as a company issued laptop or DoorDash monthly credit.
On the life side, set the expectation that they can turn off their office notifications when they’re not at work. Offer paid time off- so they can unplug completely and return to work relaxed, reset, and refreshed.
4. Effective communication is practiced.
This is another element that starts with the CEO. Establish an open-door policy. Employees know that you’re available for their questions, concerns, and general feedback.
This is modeled in every interaction. Ask good questions and listen to their responses. Candor (openness and honesty,) empathy, and clarity establish open lines of communication.
Offer regular opportunities to offer anonymous feedback. If, for any reason, someone doesn’t feel comfortable speaking up, you can take steps to correct the problem.
Surveys are an easy way to take a pulse on morale. It’s possible for team members to unintentionally exclude others, or cast a shadow on safe space, merely because they’re not aware of how their actions are affecting someone else. These issues are easy- but critical- to address. Part of creating safe space is giving your employees the benefit of the doubt and creating positive learning opportunities when differences arise. Implement feedback!
5. Diversity/inclusion is a priority.
Diversity is more than hiring people from different backgrounds, on all levels of leadership.
It’s creating an inclusive culture that protects a safe space for everyone to be accepted, included, valued, and able to contribute. Team members are comfortable being themselves.
It’s more than merely feeling heard. It’s quantitative- each person’s unique perspective, skillset, and experiences equally contribute to business solutions.
They know that they’re making a difference.
When you hire diverse people for your organization, you’re adding value to your culture because diverse people from diverse backgrounds have amazing things to bring to the table.
It’s also good for business. Studies confirm that diverse workplaces increase profit because of awareness and understanding of a broader customer base. An inclusive culture is six times more likely to be innovative and twice as likely to meet or surpass financial goals.
6. Community is promoted.
Circling back to the middle school motivational speaker, everybody wants to work with people that they like. A strong culture is engaged, interactive, and collaborative.
Celebrate the strengths and talents of your team members. Articulate why their contributions are significant. Give credit where credit is due.
Teach healthy problem solving and conflict resolution skills. Each of us brings unconscious bias into a new relationship. We work through it by asking good questions- what do you need to thrive?
Businesses can do a lot to encourage social connections between employees- after-work get-togethers, office parties, groups based on common interests. The better you know someone, the easier it is to build camaraderie.
Your corporate culture is who you are and what you do. Creating a healthy culture requires effort, but the steps are straightforward. In a strong company culture, everyone thrives- personally and professionally.
