Executives often avoid having the necessary conversations because so much of the work culture is shaped by social norms and deeply ingrained in employees’ thinking. However, as examples of successful organizations demonstrate, this is a huge mistake. Although the phrase has become more popular since the pandemic and the Great Reshuffle shone a spotlight on employee well-being, work culture is not some vague, new-age concept that has caught on because of posters designed by socially aware Generation Z-ers.
Market leaders have long recognised the financial benefits of investing in their employees and creating an environment that encourages productivity and employee loyalty. Indeed, according to a 2009 article in The Guardian, while 84% of managers believed it was up to individuals to balance work and family responsibilities in 1998, this had dropped to 65% by 2004. According to a Deloitte study from 2015, employee engagement and culture issues were viewed as the top administrative challenges around the world. Even back then, 66% of HR respondents said they were updating their engagement and retention strategies. This deliberate attempt to shape the work culture has yielded results. In a PwC 2021 global survey of 3,200 leaders and employees, for example, 69% of senior business leaders attributed much of their success during the pandemic to organisational culture. Furthermore, nearly 70% said their culture gave them a competitive advantage. By focusing on effecting changes in this area, HR professionals can play a significant role in supporting an organisation’s business goals.
“Beyond remuneration and stability, employees want to work with organisations whose values align with theirs,” says Shreyas Desai, talent management lead, APJ, Veeam Software, adding that market leaders recognise this.
IBM’s culture, for example, is collectively driven by purpose, values, and behaviours. Indeed, the global multinational technology giant has been focused on purpose since its inception, which means for more than a century – with ethics, integrity, and respect for individuals at the heart of its programmes and policies.
Thirukkumaran (Thiru) Nagarajan, Vice President and Head of HR for IBM India/South Asia, offers more detail: “IBM offers employees the opportunity to solve some of the world’s biggest and most complex challenges. IBMers get to innovate and co-create with clients, driven by purpose, and be part of cutting-edge technologies as they get conceptualised, developed, and implemented across industries. They get the opportunity to work closely with some of the finest, most creative minds in the world. Besides, we focus heavily on DEI, and ensure a safe work environment that is centred around flexibility, empathy, and transparency.”
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The company also invests heavily in its employees. Employees are encouraged to participate in self-development learning programmes in technology, future skills, executive leadership, and professional development. “We have structured talent programmes and practices that prioritise skills and institutionalised transparent career development frameworks – and these are tied to employees’ career aspirations,” says Nagarajan, shedding light on some of the ways in which IBM’s policies have enabled thousands of employees across India and the world to have fulfilling careers.
Well-defined core values
Having clearly defined core values is integral when it comes to designing, developing, and implementing culture, says Manish Kotwani, senior vice president and global head – human resources and administration, at Course5 Intelligence.
He also says that while the senior management decides on the core values, the process can and should be made more open. Pointing to a recent merger of two entities within his organisation, he explains that the affected employees were asked to list core values that they wanted the emerging entity to focus on.
“We made a list of those values, no matter how abstract they seemed at the time, and based our action plans around them. When these employees saw that their inputs had been factored into our policies and reward mechanisms, their confidence in the organisation multiplied manifold. This was also evident in our ESAT (employee satisfaction) scores, which were measured by a third-party administrator,” he says.
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Invest in employees
Everyone wants a job that will allow her or him to move up the career ladder and maximise their potential, says Desai. He believes that the culture of organisations must include learning opportunities to help employees progress.
“This was obvious before the pandemic, but the shift in employee priorities that has occurred in recent years has increased the importance of learning and development programs.” Employees are keen to acquire skill sets that will provide job security, and identifying latent talent in employees and developing these skills to hire from within has tremendous benefits for organisations too. As employers, we must be cognizant of this,” Desai says. Extending on this idea, Kotwani points to the importance of leadership assuming mentorship roles. “Aside from using their time to guide employees, senior leadership must be willing to walk the talk, and model behaviours that they would like to see in their teams,” he says.
“We focus heavily on DEI, and ensure a safe work environment that is centred around flexibility, empathy, and transparency. Besides, we have structured talent programmes and practices that prioritise skills and institutionalised transparent career development frameworks—and these are tied to employees’ career aspirations.” – Thirukkumaran (Thiru) Nagarajan, Vice President and Head of HR for IBM India/South Asia
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Communicate rather than dictate
To cultivate feelings of belongingness and ownership in employees, management must communicate openly and frequently. “For instance, workplaces are currently abuzz with news about the impending recession. What no one is talking about is what organisations are doing to prepare employees for the recession – whether in terms of equipping them with new skills, new roles or even being open about the challenges the company is facing. The way in which organisations communicate has to change. “As with any change in organisations, it must be driven by leadership,” Kotwani shares.
The need for clear and effective communications cannot be overstated in an environment of mass layoffs, where nervous employees are shifting over from startups to established organizations. Reductions in force (RIFs), are, sometimes, unavoidable, but aside from treating impacted employees with respect and compassion, leaders must also consider the impact of layoffs on the morale of employees who continue at the organisation. Here, communication plays a huge role. Openness, honesty and the right tone and attitude of leaders make a huge difference in how these messages are communicated and received.
“We focus heavily on DEI, and ensure a safe work environment that is centred around flexibility, empathy, and transparency. Besides, we have structured talent programmes and practices that prioritise skills and institutionalised transparent career development frameworks—and these are tied to employees’ career aspirations.” – Thirukkumaran (Thiru) Nagarajan, Vice President and Head of HR for IBM India/South Asia
Purpose at work
Offering the example of the Tata Group, whose values and purpose are clearly spelt out on its website and include the pledge, “We will integrate environmental and social principles in our businesses, ensuring that what comes from the people goes back to the people many times over” – Kotwani highlights the importance of clearly communicating a larger purpose to develop a more engaged workforce.
“When employees see and believe that they are a part of something larger and can see the impact of their actions on the world around them, they’re more likely to approach their work with a greater sense of ownership. This sense of ownership translates into loyalty to the organisation and a deeper commitment towards their work,” he says. Thus, in addition to clearly articulating vision and mission statements, it is vital for those statements to be communicated to employees in such a way that they understand what drives the organisation.
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Rewards and recognition
A July 2021 study from BCG shows that reward and recognition programmes are the most important determinant of workforce engagement.
Interestingly, Deloitte found that, when it comes to rewards, cash isn’t king. According to its study, the most valued employee recognition strategy – across organisational levels, generations and genders – is the opportunity for growth. This is particularly true for millennials, as the Deloitte study showed. “It’s important to be accessible to your employees, so you can understand what drives them as well as the challenges they are facing. Then, you can frame your rewards and recognition programme accordingly,” says Desai.
Wipro Limited, a multinational corporation, is a shining example in this regard. A couple of years ago, the IT major revamped its recognition portal and introduced a digital learning portal. “Our firm belief is that we need to make fundamental shifts according to emerging realities, balancing organisational and employee considerations. These will yield long-term results and enable retention,” Saurabh Govil, CHRO, Wipro, told reporters at the time. The company re-imagined its R&R programme – factoring in peer-to-peer recognition and other features in line with Wipro’s values – with an intuitive app. “Our philosophy is to make the right decisions in the interest of employees and ensure that employees are rewarded for good work,” Govil said.
`When employees see and believe that they are a part of something larger and can see the impact of their actions on the world around them, they’re more likely to approach their work with a greater sense of ownership. . – Manish Kotwani, Sr VP and global head, human resources and administration, Course5 Intelligence
Cultural alignment in hiring
“Aside from skills, new recruits should also be assessed on how their values align with the organisation’s culture. Ensuring that the person is the right fit for the organisation will help bring out the best in the employee in terms of performance, too,” says Desai.
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Onboarding programmes that inform newcomers about the organisation’s values and culture from the get-go are a great way to ensure that employees appreciate the value the organisation places on this facet. It’s just as important, of course, to gather feedback from employees and analyse attrition data to see how engaged employees are with the organisation, and if and where the organisation’s culture needs to be tweaked.
It’s important to remember that employee dissatisfaction is just as important to an organisation as the products and services it sells. It’s no coincidence that companies that have a great work culture also happen to be the most successful.
