How Important is Company Culture?

“Company culture” is one of those fluffy terms that gets thrown around but very few people seem to understand why it is important and how it can impact a business.  The simple fact is that a company’s culture will determine how successful that company is.

A company culture is  the set of shared beliefs, truths, assumptions, and values that operate among a company’s employees. If your company has a healthy, adaptive culture; your organization will benefit as a result.  Research has suggested that companies in which employees feel aligned with their company’s goals, outperform their competitors– A few studies indicate that they outperform their competitors by at least 200%.  

There is a reason that James Heskett argues that “the only way to generate enduring profits is to begin by building the kind of workplace that attracts, focuses, and keeps talented employees.”

An important thing to remember is that even the smaller components of a larger company have distinct cultures. So, if you are looking for, practical ways to revitalize your sales team, you should look to that team’s culture to see if it needs to be reformed.

To determine if your company’s culture needs to be changed, you need to do one thing: listen. Listen to what your employees, partners, suppliers and customers are saying. In addition, you should read what is written about your company.

If you determine that your company’s culture needs to be changed, you can make several reforms that will impact the character of your company’s culture.  Let’s use the previous example and assume you are looking for practical ways to revitalize your sales team.  You find that the team’s culture is dysfunctional and is negatively impacting its performance.  To get your team to better align with the company’s goals, you should take steps to make your team feel as if their opinions are valued.

In addition, try not to micromanage them.  Treat them like competent peers and they will reward you with trust.  One way you can do this is by giving them employees flexible hours.  This shows that you trust them to manage themselves.  Tell the members of your sales team when things aren’t going well.  This will make them feel included in your business.

If you are looking for practical ways to revitalize your sales team or any other part  of your company, always start by looking to reform its culture.

Unsure of where to start?  Download this free resource: 6 Signs It’s Time to Adjust Your Business Mission

Image courtesy of opensourceway