Regardless of what industry your business operates in, its company culture remains a crucial aspect of operations throughout the hierarchy ladder. From entry-level positions to CEOs, workplace culture transforms the way businesses perform in the market, especially during significant change or crisis.
Recent years proved that companies rely on an efficient company culture just as much as they depend on marketing techniques, sales strategies, and more. Rankings like Fortune’s “100 Best Companies to Work For” list are now industry-recognized predictors of which businesses will thrive in the future, and which ones could fall behind. It’s the same reason Google is now famous by both consumers and jobseekers for its unique approach to the topic, making it 2017’s company with the best corporate culture.
So, what does this mean for your company? Well, there’s more than enough evidence pointing to the fact that, if your company hopes to succeed, it needs a company culture that promotes growth. A startling 77% of adults now value a company’s mission and culture over salary — a clear indicator of what the future holds.
The age of COVID-19 placed a unique emphasis on the need for unity within workforces. As employers and employees alike struggle with the global crisis, companies with a strong people culture are more likely to thrive: Here’s why.
A Healthy People Culture Improves Preparation
It’s no secret that organization is the key to success. Buildings without a strong foundation are prone to collapse during earthquakes, and trees with weak roots can overturn during a windstorm — the same logic holds for your company culture.
Just as your company directs its focus towards acquiring loyal customers, the same attention must be spent fostering a passionate, talented, and prepared workforce. Kristine Kelly, Vice President of Workforce Strategy & Intelligence at Ceridian, called company culture a “constant; rapid change should not affect companies with a strong culture.”
In contrast, “an organization that has not invested, nurtured and nourished its culture will find it difficult.”
An Established People Culture Bolsters Reputation
There is a bounty of examples to back up Kelly’s statement in 2020, as COVID-19 effectively turned the market on its head and caused chaos throughout every industry. Retail giant VF Corporation — the owner of Vans, The North Face, Timberland, and more — is a sparkling example of how a strong people culture promotes success during a crisis.
As COVID-19 grew in impact, the company donated more than $10.3 million to COVID-19 relief efforts and made employee safety a top priority; employees in North American retail stores were even paid their usual salaries despite closures. While these decisions may seem like radical risks, it improved the company’s position. As of June 2020, VF Corporation is on track to recover from the pandemic with full force.
According to VF Corp. chairman Steve Rendle, the company also spoke with black and brown employees when tensions rose in the U.S. due to racial injustice. The effort was “to help [them] understand what [they] can do differently to improve their work experience, [and] how [VF] can give back to the communities that they live and work in.”
“Consumers are looking for and demanding that brands stand up and act, consistent with what they said they will do,” added Rendle. “And as they do that, you’re building much greater loyalty and long-term affinity.”
By following VF Corp.’s example and encouraging a company culture that values its employees, other businesses can simultaneously improve their relationship — and reputation — with consumers.
A Dedicated People Culture Encourages Innovation
COVID-19 proved companies must have the ability to change their entire approach at a moment’s notice. Large or small, businesses across all industries were forced to adapt to new health requirements and complete their operations remotely. While some workforces like VF Corporation were able to handle the switch remarkably, others were not so fortunate — nor as prepared.
As such, your company culture plays a crucial role in how well you can respond to times of significant change. According to Kelly, having a “culture where everyone feels a strong sense of belonging and acceptance as a unique individual” is the key to encouraging innovation. “This means listening and incorporating various perspectives and ideas to deliver a natural way of working and creating authentic connections among employees, customers, and vendors.”
Without employees who feel that their value is appreciated, your company will lose out on essential feedback, ideas, innovations, and suggestions an otherwise invigorated employee might provide – especially when you need it most.
Repaying Their Appreciation
From mild disruptions in the market to a global crisis like COVID-19, fostering a strong people culture is the best method to ensure your company is prepared for anything the future throws at it. By proving to employees how much you value their talent and time, you guarantee they make the same effort when repaying their appreciation.