What is organizational culture and what is its significance?

 

figure1:organizational culture;source (Compliance Prime Team, 2019).

Culture comprises a people's customs, history, literature, and philosophy. Everything in a company is shaped by its culture. The operations of your business are characterized by formal and informal attitudes and behaviors. The workplace is made legal. A company's culture is shaped by its aims and aspirations, as well as its leadership and employee expectations, performance management, and employee participation (Wong, 2020). The company's culture influences its ability to provide consistency and direction, to lead decisions and actions, to motivate employees and to assist them in reaching their full potential.

 Qualities of great organizational culture

Every organization has its own unique culture, and it's vital to preserve the characteristics that give the company its identity (Wong, 2020). On the other hand, the cultures of firms that consistently achieve high levels of performance reflect some characteristics that you should seek to develop. According to (Harney, 2022), the five qualities of a positive workplace culture observed while working with businesses of all sizes are listed below,

1. Good Communication

Having open lines of communication is crucial to maintaining a productive atmosphere at work. There should be three guiding principles for any business communication: clarity, courtesy, and initiative.

2.Opportunities for Growth

Positive work environments provide clear advancement expectations, resources, and training. Creating on-the-job training programs and goals for promotions and raises can help.

3. Culture of Collaboration

When companies encourage their employees to work together, it helps build a sense of community in the workplace, which in turn increases productivity and morale.

4.Reward Systems

Gratitude boosts morale and encourages staff involvement. Employers should have a defined incentive system for employees who fulfill corporate goals.

5. Strong Purpose and Core Values

A purpose-driven culture begins with basic principles represented in long-term goals. The company's actions should reflect these principles. Core values provide employees a motivation to work and can improve the firm.

  Five steps to developing great organizational culture 

1. Evaluate the employees value

2. Develop the company’s mission

3.Monitor Effectiveness

4.HR must reinforce and oversee culture

5. Collaborate with Stakeholders

Why Organizational Culture is Important

An organization's culture is crucial since it is the overarching component that influences the success or failure of every other facet of performance (Tenney, 2021). People base their business decisions on a company's culture. Branding image, values, and mission statement must match applicant and client needs. Culture delivers more than just ongoing alignment to a profitable business.

1. Increase employee engagement

The term "employee engagement" refers to a person's level of dedication to, enthusiasm for, and identification with their place of employment (Heinz, 2021). Engaged employees are passionate, motivated, and connected to their work and company.

 2. Decreased turnover

People who feel appreciated at work are less likely to leave. Brands must build a winning organizational culture that supports their values and mission. Happy workers mean less turnover, which saves time and money. Strong cultures must be maintained and improved.

3. Elevated productivity

Providing employees with the resources and tools they need boosts productivity and performance. Organizational culture affects workplace structure to bring people with similar skills together. Those with similar backgrounds and skills may tackle firm projects faster.

4. Strong brand identity

Organizational culture reflects a company's image and reputation. Businesses with a strong brand identity attract more business and job applicants who embrace their objective.

6. Top performers

Companies that create community in the workplace are more likely to retain their top employees. Organizational culture produces a high-performance culture that strengthens employee work, resulting in a great employee experience.

8.Influences employee physical and mental health

Culture impacts employee wellness. Overall health covers physical and mental health. Encouraged workers are more likely to perform well. It's possible to work late and still achieve well. Most agree that weary, overworked, or stressed employees perform poorly.

 Conclusion

The success of an organization is dependent upon both its culture and its adaptability to change. Boost creativity, raise staff productivity, and enhance the overall efficacy of an organization's culture. When a company's organizational culture is robust, employees are more satisfied with their jobs. Employee empowerment and job happiness are crucial determinants of an organization's level of success. Any aspiring manager should focus their managerial efforts on fostering a strong corporate culture and implementing change.

References

Wong  , K. (2020) Organizational culture: Definition, importance, and development, Achievers. Available at: https://www.achievers.com/blog/organizational-culture-definition/ (Accessed: December 7, 2022).

Miller, R. (2021) What is organizational culture and why is it important? - Ideas, Ideas. Available at: https://www.wework.com/ideas/professional-development/creativity-culture/what-is-organizational-culture (Accessed: December 7, 2022).

Harney, R. (2022) 5 Characteristics of a Positive Workplace Culture, LBMC Family of Companies. Available at: https://www.lbmc.com/blog/characteristics-positive-workplace-culture/ (Accessed: December 8, 2022).

Tenney, M. (2021) Why Organizational Culture Is So Important (Top 10 Reasons) - Business Leadership Today, Business Leadership Today - The resource for leaders working to build and sustain world-class teams and organizations in today’s business environment. Available at: https://businessleadershiptoday.com/is-organizational-culture-important/ (Accessed: December 8, 2022).

Heinz, K. (2021) 4 Benefits of a Strong Organizational Culture, Built In. Available at: https://builtin.com/company-culture/why-is-organizational-culture-important (Accessed: December 8, 2022).

Compliance Prime Team, 2019. Why is Organizational Culture Important. [Online]
Available at: https://www.complianceprime.com/blog/2019/08/28/why-is-organizational-culture-important/
[Accessed 08 12 2022].