The Role of Organization Culture in an Organization

“Our assets walk out of the door each evening. We have to make sure that they come back the next morning,” – a famous quote by N.R. Narayana Murthy.

Every organization is dependent on its top performers for year-on-year growth. But what happens when the brightest stars of your organization leave?

Many times, the reasons to change are the monetary benefits, perks, and business exposure. You can handle those situations, at-least temporarily. But what if the reason to change is the organization’s culture?

76% of employees believe that a well-defined business strategy helps cultivate a positive work culture. 

88% of employees believe a strong company culture is key to business success.

There are numerous definitions of an organization culture however the basic idea it refers to is a group of values, beliefs, and behaviors that are created and maintained by the organization’s leaders and carried forth by the employees which differentiate one organization from another.

So the next time you hear anyone say – “that’s the way we do things around here”, “the rituals of our company”, “the company climate”, “the reward system”, “our basic values”, “we believe” and so on, they’re referring to their organizational culture.

role-of-an-organization-culture-and-employee-experience

Organization Culture is perceived differently by enterprises. There are businesses that realize its significance and spend proportionately to either improve or sustain a positive culture while there are others who have ignored it altogether.

Although it is difficult to statistically show the impact of organizational culture, it is believed that employees from corporations with a strong organization culture experience a sense of belonging, engagement, and commitment towards their organization which is indeed critical for success. The key role of work culture are enlisted below:

  • Organizational culture goes a long way in creating the brand image of the organization. The work culture gives an identity to the organization. In other words, an organization is known for its culture.
  • Culture shapes the way employees interact with their workplace. A healthy culture encourages employees to stay motivated and loyal to management. Additionally, the work culture promotes healthy relationships amongst the employees. It also goes a long way in promoting healthy competition in the workplace. It is the culture of the workplace that actually motivates the employees to perform.
  • The organization culture helps build an emotional attachment to the enterprise. The culture cultivates a sense of belonging and commitment towards the corporation and develops a sense of unity in the workplace.
  • Every organization must have set guidelines for the employees to work accordingly. The culture of an organization represents certain predefined policies that guide the employees and give them a sense of direction at the workplace. Every individual is clear about his roles and responsibilities in the organization and know-how to accomplish the tasks ahead of the deadlines. Additionally, such policies help mold positive habits into individuals which makes them successful professionals. It is the culture of the organization which extracts the best out of each team member.

Now we all know that employee retention is a key concern for organizations. Unlike previously, it is time-consuming, costly, and often the individuals who leave take proprietary knowledge that is impossible to replace. Hence management is realizing the importance of holding on to their existing people.

But how probable do you think it is to convince your employees to not make the switch? Now every employment proposition consists of some mixture of tangibles such as pay and benefits, and intangibles such as relationships with colleagues, work-life balance, and trust in management. Thus, when the current position is not meeting employee’s needs, an opportunity to join another organization crops up.

So, to answer the question, if the reason to change is tangible – it may not be a huge task to retain the talent. However, if it’s the latter – the management does have a task at hand. Because organizational culture cannot change instantaneously. Nonetheless, organizational culture influences all the aspects mentioned above. Organizations rewarding their employees on high performance instill a sense of satisfaction and achievement within the individuals.

Vishal Sikka, the CEO of Infosys, gifted iPhone 6s to 3,000 top-performing employees. What’s more, the CEO also wrote an accompanying mail to the employees, addressing them as friends. Such a gesture undoubtedly has a positive influence on the workforce. Moreover, balancing life and work is increasingly important for employees nowadays in deciding whether to stick with an employer.

In a healthy organizational culture, managers provide ways to maintain that balance, including flexible schedules, on-site amenities and work-from-home options. Additionally, work cultures where company-wide goals percolate to employees of all levels, where employees are encouraged to work in collaboration and where all are given opportunities for training, new learning, growth, and promotion also have positive impacts on retention.

Embee firmly believes in the significance of organizational culture when it comes to engaging and retaining valuable employees. It is one of the important components that our CEOs, CTOs and other leaders employ to sustain performance, build emotional connect, and maintain a competitive advantage. We consider it a fundamental business strategy. Organization Culture does play a crucial role in organizations – it is a valuable asset and a key driver for employees.

Embee provides a wide range of solutions to enable seamless and cost-effective digital transformation for businesses. With 500K+ active seats on Office 365 and the experience of 120k+ virtual machines deployed and managed – Embee is your partner that can help you transition effortlessly. Connect with a team of certified experts to accelerate growth, design a future-ready strategy, increase savings, and amp up productivity. Bring out the best in your workforce cost-effectively with VirtuaPlace.

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