A thriving company culture is known to influence employee retention and customer satisfaction. Almost every book on corporate management and organizational development emphasizes the significance of cultivating the right corporate values and culture. But how can you determine if your company's culture is thriving and your employees are content, or if it's failing and dragging the entire organization down? Check out our tips on how to assess your corporate culture.
According to research by Jobvite, a significant 88 percent of individuals view company culture as a key element in their job hunt. Today, people place growing importance on the work environment and the values upheld by their employers. When a company's culture is well-defined, employees tend to perform more effectively, leading to heightened productivity, reduced turnover, and enhanced customer satisfaction. In essence, company culture, which encompasses a unique blend of rules, norms, behaviors, and workplace-specific values, plays a great role. To gain a deeper understanding of company culture and the influential factors shaping it, don't miss our article.
We already understand the importance of the organizational atmosphere. But how can we determine whether it requires attention or is already finely tuned and simply needs ongoing care? There are multiple methods for measuring company culture. Ideally, it's best to utilize a combination of these methods rather than relying solely on one.
1. Employee Surveys
You can't go wrong with a regular employee survey. They provide data that can be tracked over time, making it easy to gauge improvements in specific areas. When opting for a survey, consider these basic recommendations:
- Allow anonymous responses for more honest feedback and a realistic assessment of the situation.
- Briefly inform employees about the key findings and the actions planned in response. It's important for employees to feel that the organization takes their concerns and ideas seriously; otherwise, they may lose interest in future surveys.
- Don't make the questionnaires too long and complicated. They are designed to offer a general overview and are more suitable for collecting quantitative data. Therefore, opt for closed yes/no questions or rating scales.
2. Focus Groups
When you require a deeper understanding of a specific issue or area, consider complementing the employee survey with a group discussion. For this, assemble a small group of employees (preferably representing different parts of the organization) and engage in a detailed conversation about the topic. Please bear in mind that this isn't an opportunity for advocating your own views. Instead, focus on asking open-ended questions, allowing employees to express themselves, and avoiding involvement in heated arguments and debates.
3. Exit Interviews and External Platforms
Make the most of the information you already have. If you're conducting exit interviews when employees leave, you're one step ahead. You'll quickly learn why people are leaving, what's missing, and what's not quite right for them. If exit interviews aren't your thing, you can always check out platforms like Atmoskop or Glassdoor to see what current and former employees have to say about your company.
4. Other Data from the HR Department
Data usually handled by the HR department can provide valuable insights into your company culture. Focus on information like turnover rates and how long your employees have been with your company. You can easily track this data in our HR system Giriton, for instance. Generally, an annual turnover rate of around 10 percent is considered normal. Trying to achieve zero turnover may not be the best approach in this case. New employees often bring fresh skills, ideas, and experiences that help keep your organization competitive.
5. External Tools
In the current market, there are plenty of tools available for measuring productivity, employee engagement, and the so-called eNPS. Employee Net Promoter Score (eNPS) is a rating system that measures employee engagement and the impact of various initiatives within the organization. Put simply, it assesses how employees view the organization and its various facets, such as training, rewards, and changes. Medium to large companies, especially those where direct interactions with all employees aren't always feasible, may find external tools from other providers quite beneficial.
Measuring company culture may seem complicated and overwhelming at first glance. That’s why many companies hesitate to dive in and often put off running surveys. Sometimes, they also fear facing immediate results, opting to make assumptions about their employees' feelings instead. However, a negative company culture can lead to lower productivity, more sick leaves, and a higher turnover rate. All of this adds up to significant costs for organizations every year, including recruiting, training, and repairing their reputation as an employer. So, why wait? Start measuring and potentially enhancing your company culture now. Your employees will be happier, leading to better performance and satisfied customers.
Do you manage a team and wish to streamline all their tasks and schedules? The Giriton HR and attendance system might be the perfect solution for you. Get in touch with us at +420 728 543 275 or email us at firstname.lastname@example.org.