Why create a company culture?
WHY CREATE A COMPANY CULTURE ?
Company culture is the set of behaviours, values (e.g. commitment, mutual aid, benevolence, respect, etc.), traditions, symbols and norms specific to each company. These are all things that characterise the company and make it unique. It is the way it works and what distinguishes it from its competitors.
While the main aim is to bring all employees together around a common project, this organisational culture offers many other benefits.
Why should you identify and cultivate your company culture?
To attract talent
Generations Y (born between 1980 and 1995) and Z (born after 1995) are increasingly looking for meaning at work and professional fulfilment. These profiles want to be able to fulfil themselves in their company and to evolve in a structure where it is good to work.
Moreover, to attract talent, it is no longer enough to rely solely on remuneration or benefits in kind. The company's internal values and practices have become essential selection criteria for job seekers.
The company culture can have a strong influence on the recruitment of candidates, who may prefer one company to another because the management methods or the work atmosphere are more to their liking. Recruiters who have understood this well no longer hesitate to present their values in their job offers or during job interviews in order to enhance the position. It is also important to state them clearly on the career site, the LinkedIn page or the company's website. In short, company culture can be a real plus in building a positive and effective employer brand and winning the war for talent.
To retain your employees and make them ambassadors of your employer brand
Company culture is not only about attracting potential candidates, but also about keeping and retaining talent by making them want to stay. Moreover, if this culture is effective, then employees, proud to carry the company's values, can become true ambassadors of the employer brand. As guarantors of their company's image, they communicate around them about this structure and can therefore play a major role in the recruitment of new talent.
"Company culture is not only about attracting potential candidates, but also about keeping and retaining talent by making them want to stay."
Furthermore, it should not be forgotten that today a company's values and practices can easily be verified online, notably on Indeed or Glassdoor where current and former employees can evaluate their employers. The Great Place to Work institute rewards companies where it is good to work, and the company culture has a prominent place in its evaluation criteria. Hays Luxembourg was awarded first place in the Great Place to Work 2020 ranking. It is clear that the well-being and opinion of employees can seriously influence the future of a company.
To improve internal coherence
One of the main objectives of company culture is to unite around common values and to strengthen group cohesion within the company. The aim is for each employee to adopt this set of common rules and practices in cohesion with his or her colleagues.
"One of the main objectives of company culture is to unite around common values and to strengthen group cohesion within the company."
Moreover, thanks to its unifying qualities, company culture has the capacity to limit internal conflicts. This management method also makes it possible to create better involvement of staff in their work, to facilitate interaction with the outside world and to protect against possible external threats (e.g. from competitors).
To increase the company's performance
Quality of life at work (QWL) and company performance are closely linked. According to a 2017 Hays France survey about motivation at work, 56% of the workers who said they were demotivated stated that the atmosphere at work was the primary factor responsible for their demotivation. The consequences of a bad atmosphere at work can be serious: lower performance, higher absenteeism and turnover rates and a damaged brand image.
On the other hand, this study highlights the fact that "a motivated employee is an effective employee". Furthermore, it is interesting to note that 71% of P&MS would be willing to accept a lower-paid job offer if the company combined their three motivational levers, namely interesting tasks, the possibility to evolve within the company and a good working atmosphere.
At a time when the new generations are looking for meaning in their work, company culture can be a valuable managerial tool for creating a real spirit of cohesion and commitment in teams. Gathered around a common way of thinking and a collective interest, employees feel a real sense of belonging and want to participate more in the economic success of their company. A good company culture is therefore a real gain for the performance and productivity of the whole company.