All about corporate culture and how to boost it with training

January 5, 2023

corporate culture

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Like a country’s culture, companies have certain behaviors, beliefs, habits, skills, and values that are shared among all their employees, shaping their corporate culture. This culture is the essence or personality of any organization. Although they may not have thought about it or may not be aware, all companies have a corporate culture.

In this article, we want to answer all your questions related to corporate culture, explain what it’s all about, why it’s important, how many types of corporate culture exist, and how to enhance your company’s culture. So, keep reading.

What is corporate culture in business?

Corporate culture is the set of beliefs, actions, habits, or behaviors a company has; in other words, it is the organization’s personality based on the vision, values, and practices shared by all its members.

All companies, regardless of size, have a corporate culture that is the essence of the organization and helps it stand out from the rest. While this culture is often established organically over time, each company can shape it through its objectives or vision.

Corporate culture reflects how the members of a company interact with each other and their clients and how they carry out their tasks. Understanding this phenomenon is simple when we think of corporate culture as something that is transmitted. At some point in their career, professionals have found similarities in dealing with customers, speaking with others, or interacting with everyday aspects of the job and their co-workers. Team members share work processes, respect for rules, and hierarchy, which gradually shape a company’s culture.

What are the critical elements of a company’s corporate culture?

Corporate culture is necessary for the long-term success of an organization. When we help guide our employees toward a positive and unique corporate culture, we can achieve better customer and employee loyalty and, consequently, an increase in productivity.

In its article “Six Components of a Great Corporate Culture”, the Harvard Business Review lays out five common characteristics of successful corporate cultures:

1. Vision

The vision statement is a fundamental part of a company’s corporate culture because it provides the organization with a purpose. It’s necessary to ask to build a company’s vision: “Where are we heading?” The answer to this question will give clients, suppliers, and employees a clear idea of the company’s culture.

2. Values

Together with the vision, a company’s values provide the guidelines for the necessary mentality and behaviors to achieve this vision. That is, values set the standard for how members of an organization should think and act. Most company values revolve around customer service, professionalism, and how employees are treated. Still, in some companies, the values are simple, like Google’s slogan: “Don’t be evil.”

3. Practices

Company values must be enshrined in its practices, so a company’s actions must align with its values. For example, suppose a company claims that the professional development of its employees is in its best interest. In that case, the company should be prepared to invest in training and offer a tangible growth plan.

4. People

People are essential to corporate culture because their actions, values, and behaviors define a company. Every organization can build a thriving corporate culture with people who share and embrace its vision and values.

5. Stories

In the creation of corporate culture, stories are of great value. The ability to highlight a company’s history, origins, and how it has survived until now – and turn it into a story – is key to building a company’s corporate culture.

Why is corporate culture important?

A company’s corporate culture is important because it motivates employees, attracts customers, and determines the processes and ways of working within a company. It also reflects what the members of the organization feel and think, and additionally:

  • It helps attract talent by projecting a solid company image, reducing turnover, and building employee loyalty.
  • It promotes autonomy in the team since managers do not have to constantly repeat the rules. A positive corporate culture lays these out implicitly, and employees incorporate them into their daily work.
  • It streamlines processes because each individual knows their role and how to act within the organization. This means fewer problems and inappropriate behaviors, reducing the time and effort required to resolve any issues.
  • It improves the work environment by preventing management or employee coexistence issues while increasing employee commitment and promoting teamwork.
  • It helps reinforce the brand image because, in a positive corporate culture, employees feel more valued and, in turn, offer better services to clients, which impacts the company’s productivity and customer loyalty.

 

CASE STUDY

Discover how we helped Grupo AKRON unlock its internal talent.

See case study

What is a strong corporate culture?

Collective

Corporate culture requires a group effort since a single employee cannot create a culture. An example is an employee who wants to give a customer a free product or service due to a complaint, but the company’s policies do not allow it. The way employees act as representatives of a brand is essential when it comes to showcasing a company’s culture.

Omnipresent

Corporate culture must be present in all areas of the company. For example, if this culture is focused on employee well-being, the company will likely provide training for professional growth and employee benefits. However, if the sales department is only focused on increasing profits—regardless of schedules, training, and work environment—then that company’s corporate culture is not truly focused on employee well-being.

Enduring

Corporate culture is reinforced over time, starting with the establishment of the company’s mission and values and then recruiting employees who support this mission and are attracted by its values, strengthening the corporate culture.

Implicit

When an employee accepts a position and becomes part of the team, this indicates they understand and accept the corporate culture. Companies do not need to explicitly ask employees to follow the corporate culture; it is implicit, as employees naturally learn from their supervisors and co-workers.

What are the 4 types of corporate culture?

Although a company’s corporate culture is unique and cannot be copied, it can be nurtured. There are different types of corporate culture, and some include:

1. Team-based culture

This corporate culture focuses on employees and building a team that shares the company’s beliefs and values. Companies with a team-based corporate culture generally look for employees who share these values and strive to keep them engaged by providing training, group activities, or simply listening to them.

2. Results-based culture

This type of corporate culture is results-oriented and fosters company members’ competitiveness. It is a culture that focuses on efficiently managing resources to obtain the best results, although it can sometimes cause stress.

3. Market-driven culture

This culture focuses on company growth and profitability. And since growth in the market is the main objective of companies with this type of corporate culture, every employee must contribute to the company’s success, although employee satisfaction is sometimes neglected.

4. Task-oriented culture

Companies with this type of culture usually have a specific professional who performs each task, which ensures that activities are performed well, and their full potential is harnessed. Employees focus on solving their jobs and are motivated because they can take action or express ideas.

 

CASE STUDY

How Clarel reshaped their company culture through 100% online training

See case study

How to build corporate culture?

Now that you know what corporate culture is, its characteristics, and why it is essential, it’s time to move from theory to practice. Some actions you can take to boost your company’s corporate culture include:

  • Find professionals who share the same values and ideas.
  • Motivate workers.
  • Encourage good communication.
  • Reinforce good relationships among co-workers.
  • Promote work-life balance.
  • Support professional growth.

 

Continuous training is a pillar of creating and maintaining an excellent corporate culture. From onboarding new employees to guiding them through their new job and work environment, to building loyalty, retaining them, and aligning them with your company’s vision, mission, and values. Do you want to give your team the training they need?

Discover isEazy Skills, a catalog of more than 250 soft skills and digital skills courses, featuring titles such as: “How to Transmit Business Vision,” “How to Be an Upright Professional at Work,” and “Identify Yourself and Commit to Your Company,” among many more.

Strengthen your company’s corporate culture with courses that improve teamwork, reinforce values, promote personal well-being, and enhance the daily performance of your staff. isEazy Skills offers a dynamic, interactive learning environment based on the learning-by-doing methodology. Request a demo and boost the development of your team!

Frequently asked questions about corporate culture

What is corporate culture, and why is it important?

Corporate culture is the set of values, beliefs, and practices that define a company’s identity. It plays a key role in employee motivation, productivity, and the organization’s overall reputation.

What are the main elements of a strong corporate culture?

It includes shared values and principles, a clear mission and vision, behavioral norms, aligned leadership, and a workplace environment that reinforces these aspects daily.

How can a company improve its corporate culture?

A company can strengthen its culture by ensuring clear communication, fostering positive leadership, promoting employee recognition, and aligning business actions with core values.

How does a strong corporate culture impact employees?

A well-defined corporate culture enhances job satisfaction, boosts engagement, improves talent retention, and fosters a positive, collaborative work environment.

How does corporate culture influence a company’s reputation?

Companies with a strong, authentic culture build trust among employees, customers, and business partners, enhancing their brand image and competitive edge.

What role does training play in developing corporate culture?

Training is essential for instilling key values and behaviors, ensuring all employees understand and embody the company’s culture in their daily work.

How can organizations measure the impact of corporate culture?

Through employee satisfaction surveys, retention rates, engagement levels, and the alignment between company values and everyday workplace behaviors.

Fernando González Zurita
Fernando González Zurita
User Acquisition Manager at isEazy

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