What is organizational culture? According to Entrepreneur, company culture is the personality of an organization from the employee perspective, which includes the company’s mission, expectations and work atmosphere. I like that definition a lot. Especially the idea that the culture is defined from the employee perspective. As a business owner, you can spend considerable time and money in pursuit of an improved culture, but if the employees don’t see it, feel it and believe it, there will be little or no return on your investment.
The challenge to hire and retain top talent is on the rise, companies need to understand what matters most to professionals. As a recruiter, you’ve heard the term “culture fit” a lot (to say the least). It’s a term that’s been thrown around for years and the majority of companies put a big emphasis on assessing if a candidate is a cultural fit before making an offer.
Hiring based on culture and values increases retention immensely. But it’s not just about what’s right for the company, it’s also about what’s best for the candidate. If you bring them in for their expertise, knowing that they possibly aren’t the best culture fit, that isn’t fair to them either.
And according to Pat Wadors, LinkedIn’s Head of HR, the term is “dangerous.” Why? Because assessing for culture fit can often lead to a “hire like me” mentality. There may be great people who are walking examples of the culture an organization is trying to emulate, but hiring people from a cookie-cutter, culture-boasting mold can lead to other problems.
In today’s tight labor market, what does it take to stand out as an employer, to attract and retain top talent? Most leaders agree that quality talent is essential to growth and success, yet they often believe compensation is the key to attracting and retaining them.
Organization Culture is widely believed to be one of the key drivers of employee recruitment, engagement, retention and performance. So what can companies do to foster a culture that makes people want to work for them – and more importantly, stay?
Invest in Employees
Committing to your employees’ wellbeing goes a long way. When it comes to retention, one of the top factors keeping professionals at their company for more than five years is having strong workplace benefits (44%). Think PTO, parental leave and health insurance. On top of that are more intangible areas that matter to employees – professionals say they are proudest to work at companies that promote work-life balance and flexibility (51%), foster a culture where they can be themselves (47%) and have a positive impact on society (46%).
While people generally love the idea of perks like free food and game rooms, our research shows this is actually one of the least enticing factors for keeping professionals at their current companies (19%). Instead, people would much rather see their company focusing in on benefits like learning and development programs, philanthropic opportunities and more.
Values define your company at its core, and are among the most important aspects for attracting and retaining great employees. 71% of professionals say they would be willing to take a pay cut to work for a company that has a mission they believe in and shared values. Additionally, nearly 2 in 5 (39%) professionals would leave their current job if their employer were to ask them to do something they have an ethical or moral conflict with.
Appeal to today’s professionals by establishing a clear set of values, communicating them during the hiring process and onboarding, and ensuring your business practices bring those values to life.
Create a Culture of Belonging
Belonging is what allows employees to feel like they can be their authentic selves without fear of different treatment or punishment — and it has a major impact on performance and retention. In fact, according to LinkedIn’s internal Employee Voice Survey (EVS), 82% of our employees feel that they belong at LinkedIn, are comfortable being themselves, and that someone they work closely with cares about them as a person. That’s a rise of one point since our last survey six months ago, and eight points above the tech benchmark, according to Glint. Nearly half (47%) of professionals who are proud of the company they work for say it’s because their company has a positive culture where they can be themselves.
Cultivating an environment where all employees feel like they belong is the secret weapon for retention. The number one factor keeping today’s professionals at their jobs for more than five years is having coworkers they enjoy working with and who they can be themselves around.
Recognition & Appreciation
Organization’s need to care for employees who in turn care for the organization. Former CEO of General Electric Jack Welch stated, “The top 20% must be loved, nurtured and rewarded in the soul and wallet because they are the ones who make magic happen.” Recognizing employees is a key to showing the employee that the organization does in fact care. It is said that nearly 80% of employees who quit their jobs do so mainly because of a lack of recognition and appreciation for their efforts. One of Sir Richard Branson’s most famous quotes says, “Clients do not come first. Employees come first. If you take care of your employees, they will take care of your clients.”
Professionals today prioritize a sense of belonging, supportive leadership and social impact in their day-to-day work lives. The companies that attract and retain top talent are those fostering a positive workplace culture where these factors are at the forefront. #Reference– Forbes, blog.linkedin.com/ Nina McQueen