People don’t leave their jobs, they leave the toxic work culture.’ How many times have we come across such statements, nodded our heads in agreement, and then scrolled down?
In today’s fast-paced and ever-evolving world, jobs have become much more than a 9 to 5 shift to earn a living. Millennials seek fulfilment from work, which goes over and above delivering a fat cheque at the end of the month. In a recently concluded study by Inc.com, 43% of employees said that they’re considering leaving their current jobs due to unsatisfactory work culture. No wonder companies are now investing heavily in creating a nurturing work environment for their employees.
But, What Defines Workplace Culture?
Culture is simply the character and personality of the workplace. It is what makes your organisation unique. The values, beliefs, ethics, traditions, behaviours, and attitude of your business come together, and depending on its nature, can make or break it.
Recently, ICICI Bank was in news for investing hugely in revamping its work culture. Not only are they discarding cabins and grades at their Bandra Kurla Complex, Mumbai, but they are also embracing automation and digitization in a big way.
But unlike what most people believe, culture needs to be developed and nurtured. Most companies make the mistake of letting it establish on its own and by the time they realize its effects, it’s already too late.
Workplace culture demands a clear vision and requires the different stakeholders – from the founders down to the junior staff – to work effectively towards building one. It is an index of employees’ happiness at the workplace. Culture creates a work environment that has the power to either strengthen or weaken employee engagement,
motivation and, most importantly, retention.
Culture Attracts Talent
Great culture wins over the best talent. It creates employees who are brand ambassadors. When you have a winning culture, employees can speak genuinely and convincingly about why your organisation is a great place to work. This naturally attracts people who are seeking exceptional workplaces that have a brand, mission, and values that resonate with them personally and that develop and invest in their talents.
Only a few decades ago, India’s BPO industry was known for its atrociously high attrition rate. Yet today, it is the startup wing of India Inc. which has a 50% to 80% of attrition. A recent trend reported by the Economic Times shows a huge jump of 15-20% in the attrition rate for technology companies. Even the ones that do stay on, suffer increasingly from low productivity which affects the company’s growth.
Culture Isn’t Built in a Day
Google has worked relentlessly to become one of the most coveted places to work. This didn’t happen in a day. From creating leisure time activities to working on addressing some pivotal employee issues like gender diversity, parental leaves to even providing food for all its employees, the search giant has taken great measures to ensure all
of its employee’s concerns are taken care of. Net result – Google has one of the lowest attrition rates in the industry and employees have seen a 27% increase in their workplace satisfaction, and 12% increase in productivity.
But that is Google. Not all companies have millions to invest in their employees. Hence, culture is usually at the bottom of any company’s priority list.
Culture Attracts More Than Talents
According to Gallup, culture wins by attracting the top 20% of candidates in the industry. Their analysis reflects what happens when companies select the top 20% of candidates based on a scientific assessment:
• 41% less absenteeism
• 59% less turnover
• 17% higher productivity
• 21% higher profitability
So interestingly, focusing on culture enables you to accelerate everything — sales, product, marketing, and thus growth. It safe to say that culture hits the bottom line of a company, which is quite visible by the fact that Fortune 100
Best Companies perform better at the Stock Market than the other prestigious lists.
Talent That Fits In Like a (Culture) Glove
As recruiters, we are constantly scouting job sites for the candidate with the right skill sets and the right attitude. We are obliged by our profession to look for skill sets that align with the required profile. However, the recruiting process also means to look at a potential candidate and understand whether s/he fits into our culture. The talent which fits into our (culture) glove outperforms, takes on challenges and establishes certain ownerships that catapult the company to success. The cost and repercussions of a bad hire can be huge.
Setting up an inclusive culture isn’t easy. It starts with an inclusive hiring process and goes beyond providing a foosball table at the corner of the office to let off some steam. Today, the company culture that you build is your brand, which is your legacy. So the next time, you are setting up priorities for your business, choose wisely and choose well. Hope this helped.