Why You Shouldn’t Forget Corporate Culture

Over the years, there have been different definitions from different quarters for corporate culture. Each of these definitions captures the very essence of corporate culture, which is the vision, ethics, core values, behaviors, and the overall work environment of the organization.

Indeed, a company’s culture is what makes any organization unique. This culture, as embraced by the company’s founders, CEO, and employees, can have such a huge impact affecting employee engagement and retention as well as the way people view the company. In fact, what is considered the norms of an organization will dictate what is encouraged and what is discouraged, and indeed what is acceptable and the habits that are prohibited within the company.

Away from the dos and don’ts, an organization’s culture will encourage autonomy and excellent flexibility. Additionally, employees at all levels of the organization’s hierarchy will respond to changing demands and deliver excellent customer service.

Many companies have now taken to outlining a culture statement. This statement highlights the very core values of the company, giving everyone a look at the organization’s culture. Indeed, culture statements have become just as important as mission statements which outline the company’s mission.

Different Types of Corporate Culture

No two organizations are exactly alike. It’s, therefore, no surprise that no two company cultures are the same. While the industry in which an organization operates certainly plays a great role in defining its culture, even players in the same industry will more than likely not have the same culture.

With that said, it is worth noting that corporate culture is quite dynamic. As such, you can always change or redefine your organization’s culture at any time with the help of a qualified consultant. Here is a look at different types of organizational culture.

1. Team-First Corporate Culture

A company with this type of culture, also known as the comrade, considers whether new hires are a cultural fit before considering skill and experience. For such a company, employee engagement remains a top priority, which means providing opportunities for team members to provide feedback.

Above all, companies that have adopted this kind of culture realize that happy employees will commit to the company and produce results. The top of these results is happy customers, which is why it is a corporate culture most common among service-based companies. For instance, Zappos has been widely cited as a company that has fully embraced the team-first culture, encouraging team loyalty.

2. Elite Corporate Culture

For companies with elite culture, going beyond the traditional limits in a bid to change the world is the ultimate end game. In fact, such companies will hire new employees with all the makings of daring leaders. These new hires are confident and highly talented, in addition to possessing other great attributes.

Think of Google and other fast-growing innovators which are indeed successful companies. This is indeed a strong culture and requires that team members do more than just keep up. Moreover, it encourages everyone to always put their best foot forward, embrace creativity and drive the company towards being a trailblazer.

3. Horizontal Corporate Culture

This is also known as the free spirit culture. This type of culture is quite common among start-ups and seeks to create fluid and collaborative work environments. Roles, job descriptions, and categories are generally fluid among team members, where everyone is encouraged to pitch in.

In such a company, the CEO is directly involved in the daily operations. Also, the whole team looks at each other as peers. In addition, everyone gets to participate in the various aspects of the company in one way or the other. This is because, at the end of the day, titles do not really mean much in this culture. Conversations are encouraged, and anyone can come up with new ideas for new products.

4. The Conventional Corporate Culture

This type of culture is also widely referred to as the traditionalist culture. Defining this particular type of culture is established and clearly defined hierarchies. Also, these companies tend to have a dress code. Think of your local dealership, law firm, or bank.

In fact, when it comes to decision-making, companies that have adopted this culture tend to be very risk-aversive. Assumptions that these companies shy away from anything new could not be further from the truth. Actually, so many traditionalists are now embracing new communication technology such as Facebook and other social media platforms. This will help towards achieving better customer satisfaction.

5. The Progressive Corporate Culture

Popularly known as the nomad, this type of corporate culture is common to companies that are in transition. The transition may be due to mergers, buyouts, changes of management, or market changes. Whatever it may be, uncertainty is the defining point of this corporate culture.

This culture embraces each transition as an opportunity to redefine and clarify the company’s changing goals and address any concerns raised by employees concerning the shift. What’s more, communication is key to ensuring employee retention as it helps to manage expectations and discourages the kind of rumors that would encourage an exodus from the company.

Robert Quinn and Kim Cameron from the University of Michigan also outlined four types of organizational cultures.

Clan Culture: This culture takes on a family-like setting and atmosphere. The focus lies on nurturing through mentors and encouraging a sense of togetherness.

Adhocracy Culture: A culture defined by risk-taking and driving innovation as pillars of an entrepreneurial and dynamic approach.

Market Culture: Market culture is marked with competition and achievement. This means it is a highly results-oriented culture.

Hierarchy Culture: This culture is defined by its controls and structures, all put in place to ensure optimal efficiency and the stability of the organization.

Bottom Line

There are many dimensions to corporate culture, just as with national culture. It has an impact on employee morale, company stability, and customer satisfaction. When you are doing your job search, make it a priority to research the corporate culture of potential employers.  Additionally, understand the kind of culture and work environment in which you will thrive, and find an organization that can offer the same.