Creating a Positive Corporate Culture

Establishing a positive corporate culture is likely one of the most misunderstood business principles. Whether or not your business has attempted to create a 'culture', every company has one. Whether positive or negative, corporate culture is something that requires systematic effort over time.

Corporate culture is not something that can be defined. It's intangible: a state of mind, a feeling, a collective consciousness that is infused in a business and its employees. Ask 20 business owners to define their corporate culture, and you will get 20 different responses. Nevertheless, defining a company's corporate culture is not as important as the way a company works to establish it. Many businesses lose sight of the importance of a coherent and positive corporate culture, or they have limited knowledge about how to develop it. Many of these companies will concentrate on business disciplines that are directly connected to their profit margins and neglect the emotional health of their employees when, in fact, the two are closely related.

Key Ingredients to Creating a Positive Corporate Culture

A neglected or declining corporate culture does not come without warning signs. A business may notice changes in employee behavior, such as a lack of focus. Often employees will begin to take longer lunches or ask for additional compensation. It is these warning signs in particular that usually means that the employee is looking for validation that they are contributing to the company's mission.

Consider the following tips in the areas of recruitment, orientation, training, communication and recognition when working towards establishing or maintaining a positive corporate culture:

Recruitment

Creating a positive culture within an organization begins with an effective recruitment program. The manner in which a company recruits and chooses its employees is dependant on how it develops and maintains its company culture. Properly screening and evaluating candidates is a must. With the high cost of turnover, it is especially important to be sure you make the correct positioning choice for the employee. Use skilled interviewers to assess the candidate's skills and commitment, his ability to relate to others, to listen, to assume and/or delegate responsibility, and to be enthusiastic.

Orientation

After a company has chosen the correct candidate for a position, orientation of that individual becomes one of the most critical factors for a company. The key to a successful orientation is to be sure that the new employee has a "great" first day. In order for a new employee to feel comfortable and fit in with their new environment, it is imperative that they be introduced to key players and exposed to existing policies and procedures. In addition, allowing for periodic feedback during the early stage of employment is also essential.

Training

Significant time, sufficient energy and support should be given to everyone who enters a company. Any offered or required training programs should be motivational, as well as informative, whether in a classroom setting or on the job. Offering the option for additional training also illustrates to employees that the company cares about their professional growth.

Communication

Clear and consistent communication is one of the most important ingredients to a positive corporate culture. In addition, the most effective communication requires feedback and follow-up. Everyone should be encouraged to speak up, ask questions and seek clarification of issues to avoid misunderstandings. In a positive culture, everyone enjoys a sense of belonging and involvement.

The ability to delegate responsibility is yet another important form of communication and a great way to inform and involve other employees in a specific operation. Having an "open door" policy to review goals, problems and opportunities is a great way for a manager to communicate to their employees, developing an open and trusting relationship with them.

Recognition and Reward

Although this subject has been covered in previous articles, recognizing both positive and negative behavior, and achievement of various goals, are critical factors in establishing a positive corporate culture. Each employee should have a set of goals and objectives. In a positive corporate culture, praise, recognition and encouragement should be constant. Incentive programs, whether cash bonuses, trips or other rewards are always a good idea when recognizing an employee.

Conclusion

If your company's culture is not quite what you'd dreamed it would be, you have the ability to change it. Companies should make developing a positive corporate culture one of the top five goals for the business. Building the culture on clear vision, attainable goals, a genuine concern for the employees' professional growth, and an appreciation of their contributions to the success of the business will create a positive atmosphere and working environment. A corporate culture often happens by default instead of design. But companies that purposefully set up their culture are far more successful than companies that have a culture that exists by default.