Organizational Culture Paired With HR Strategies
Last Updated September 11, 2019
Like societies, organizations have their own unique culture that influences people to perform in a certain manner, act in ways that fit the norm and to accept or reject particular behaviors that defy the standards. The culture influences what is considered normal, which behaviors are praised and what behaviors are considered off limits in daily operation.
Organizational culture is the overarching set of beliefs and values that drive employee behaviors while moving companies toward their goals – or against them if culture and policies aren’t in harmony. This set of beliefs can include written, shared directives, rules, mission statements and procedures that combine to affect how employees behave and perform. It can also include the unspoken and unwritten rules that influence employees to behave in certain ways.
Well-oiled organizational machines tend to have cultures and business strategies that align well to engage employees and guide them toward attaining organizational goals. Companies such as Apple and Google, for example, have business strategies that are driven by innovation. As a result, their cultures have been developed to reward and embrace employees who are creative, innovative and work to dream up new ideas, whether they succeed with winning creations or suffer constructive failures from time to time.
On the flip side, large retailers and others whose business strategies are focused on efficiency tend to have cultures that are built up to support performance, efficiency, the ability to fill specific roles and excel in doing so.
The key to success isn’t necessarily what type of culture a company has, but how well that culture supports and engages employees in working to meet expectations of the business strategy. In well-aligned scenarios, such as Apple and Walmart, the cultures and business strategies fit and work well together.
Today’s Changing Work Environment
The workplace itself has undergone dramatic changes over the past few decades. As transparency increases and access to portable healthcare benefits courtesy of the Affordable Health Care Act becomes available, it is becoming much easier for qualified workers to switch jobs and head for greener pastures.
Employees are seeking positions that not only offer appropriate financial compensation, but also environments that enable them to find strong cultural fits. They want missions they understand and can get behind, and places of employment that make them feel valued and important. In short, employees want to feel comfortable and happy at work and they want to feel engaged and fulfilled by the work they do. If one company doesn’t provide this, they may move on to one that does.
All of this makes gauging employee engagement critical for aligning strategies and effecting cultural shifts to promote success. The days of annual engagement surveys are fast coming to an end as more organizations realize they need real-time measures that help them keep their employees engaged, challenged, driven and rewarded on a holistic, routine basis. The idea is to create a workforce that’s married to the job and the mission, not just engaged.
An organization’s culture influences engagement and sets the very tone for the work environment. As more employees seek “fun,” “cool” and rewarding workplaces, cultures that resist change may be losing out on valuable hires. Financial institutions, for example, which are traditionally resistant to change, are reporting more and more that they are having difficulty recruiting because potential employees don’t view them as “cool” places to work. Organizations such as Google and Apple are redefining the appropriate workplace and what is “cool” by shifting norms to include innovative ideas, such as open workspaces, nap rooms and more perks designed to make employees feel creative, valued and comfortable as they work.
How Company Personality Plays a Role
Just like people, organizations have their own personalities, values and overarching attitudes. When the personality of the organization is understood, along with its culture, attracting and hiring employees who fit – and therefore may be more likely to be comfortable and excel in an organization – can become easier.
Employees who prosper tend to be those who feel comfortable and at home in their environments. Extroverts, for example, might embrace a corporation that only has open floor plans and regular after-hours gatherings. Introverts, on the other hand, might favor a more closed off environment where employee space is respected and some semblance of privacy is made available.
When there is a good fit between company personality and employee personality employees tend to have greater job satisfaction, a higher level of commitment to their job and their organization and a greater ability to identify with their company. That all adds up to higher performance levels and the likelihood for lower turnover rates.
Aligning HR Strategies and Culture
Creating a corporate culture that aligns well with business strategies and needs is an ongoing process. Even high performing companies have some strategies that are out of line with culture or have cultures that need gradual nudging in a new direction that better fits organizational need.
Aligning organizational culture and strategies starts with asking tough questions. Corporate leaders and HR staff must first agree what the culture is, determine if employees believe the culture aligns with what leadership says it is, and then look at policies and strategies in-depth to see if alignment is present or absent. If misalignment is found, plans should be put into place to close the gaps and help ensure that leadership’s definition of the culture is how it is truly perceived by employees.
Leaders are responsible for defining the direction of the organization and its vision. It’s their role to reinforce and model behaviors that drive the vision. HR’s role is to determine what employees think and to help leadership integrate business strategy with talent management and rewards programs to foster shifts that better enable companies to reach alignment while striving for attainment of performance goals.
When organizations have a clearly defined culture that supports business strategies, employees are better able to understand the mission and determine where they fit in the grand scheme of things. Those who fit within the culture and are equipped to support the mission tend to be happier, more productive and more committed to their jobs. The end result can be a well-oiled machine, such as that presented by highly successful companies like Google and Apple, where culture-fit employees are driven and feel satisfied and excited with the work they do.
