Building Culture

Feb 2

A culture primer for curious, action-oriented leaders

In this article, we explore the significance of building and nurturing a strong organizational culture. We’ll explore what organizational culture is, why it’s essential to intentionally cultivate it, when and how to build it, along with valuable resources to guide you on this transformative journey.

What’s in this knowledge article?

What is Culture?

Why Intentionally Build Your Culture?

When & How to Build Culture

How to Improve Your Alotten Score

Resources

What is Culture?

An organization’s culture is a unique blend of the values, beliefs, norms, and behaviors that define how employees interact with each other, clients, vendors, potential employees, and the communities in which they operate. Culture permeates every aspect of an organization, from its mission statement to its everyday practices.

Organizational cultures characterized by trust, psychological safety, and clear communication foster a sense of belonging among employees. When there is alignment between an organization’s values and their behaviors, it can enhance employees’ connection to each other and the organization. Cultures that positively impact employees’ wellbeing can increase their engagement and productivity. Conversely, organizational cultures characterized by miscommunication, blame, disrespect, or a lack of transparency can lead to high turnover, low morale, higher absenteeism, higher rates of theft or waste, and can pose significant legal and regulatory risks to an organization. Understanding and shaping your organization's culture is vital for its long-term success.

Why Intentionally Shape Culture?

Building culture is not a luxury but a strategic imperative. Culture is built every day through leaders’ and employees' actions and behaviors. By prioritizing and reinforcing the key behaviors and norms essential to your organization’s values, you can intentionally shape culture. If you don’t take action to proactively shape your culture, your culture will be created by default. Below are a few outcomes of a well-crafted culture.

Boost Employee Engagement. Engaged employees are more committed, productive, and creative. A well-defined culture that aligns with employees' values and aspirations can significantly boost their engagement levels.

Attract and Retain Top Talent. A clearly defined culture acts as a magnet for attracting top talent sharing your values. When potential employees see that your organization has a strong culture that aligns to their own, they are more likely to want to be a part of it. Moreover, once they are on board, employees tend to have a stay longer when they identify with the values of the organization.

Enhance Organizational Performance. A culture which emphasizes open communication and alignment ensures that everyone is on the same page, working toward common goals. For example, culture can influence whether people check in with each other before acting or whether they disregard the potential needs or plans of others. Culture can determine whether leaders take the time to gain buy-in and explore ramifications with teams before implementing changes, or if they make decisions in a vacuum. When cultural dynamics focus resources and talent, they can improve organizational performance and decision-making, leading to higher profitability. When there is an absence of strategic focus on alignment or it can undermine productivity and deflate the bottom line.

When & How to Build Culture

When to begin intentionally building Culture

Building culture should start from day one and continue as an ongoing effort.

Tips for Fostering an Intentional Culture

Define Core Values. Identify the core values [link to values below] that represent your organization's principles and beliefs. These should serve as the foundation for your culture.
Start Early. Culture-building begins during the recruitment process. Hire individuals who not only possess the necessary skills but also share your organization's values.
Lead by Example. Leadership plays a pivotal role in shaping culture, and how you behave brings culture to life. Leaders should embody the values they expect from their teams.
Communication. Regularly communicate your organization's culture through internal messaging, training, and storytelling. This helps reinforce the values and behaviors you want to promote.
Ask About the Culture. Create feedback mechanisms to understand how employees perceive the culture. This can include surveys, one-on-one discussions, group discussions during meetings, or suggestion boxes.
Celebrate Successes. Acknowledge and celebrate achievements and behaviors that exemplify your culture. This reinforces the behaviors and attitudes you want to permeate the organization. People need to know when they get it right!
Cultural Evolution. Be open to the evolution of culture over time. As your organization grows and changes, your culture may need to adapt.

How to Shape your Culture

The graphic below illustrates how shaping your culture may differ by maturity phase. Below the graphic, we provide step-by-step instructions for shaping your culture.

Building Culture: Step-by-step

Align on what matters. There are two important elements to great performance: clarity on what you do and how you do it. By aligning on the general what and how, you can provide a “cultural northstar” for employees.
Mission: This defines the organization’s reason for being. It lets everyone know what the organization sets out to do. Make sure that every employee understands and is aligned to the overarching mission so that when demands compete, it is clearer what to prioritize. The mission is the larger “what” every employee should be aiming to achieve in their roles.
Values: These are the behaviors and attitudes that everyone in the organization should embody to achieve the organization’s mission. Values direct how employees go about reaching their goals. It is critical to take time to collaboratively craft your values and communicate them to align everyone around behavioral expectations and priorities.
Learn how to Listen. Culture exists whether or not you are actively shaping it. Actively engaging with your workforce to understand cultural sentiment is crucial. Clarity on employee sentiment will help you identify the roadmap for addressing any culture derailers. There are many ways to listen:
Open-ended, real-time data collection: One-on-ones, roundtables, focus groups, exit interviews, and other meetings where employees openly share opinions can provide clues to employee experience and the actions and practices that your organization may be unintentionally rewarding or punishing.
Measure Engagement: At some point, it’s wise to implement an engagement or pulse survey to solicit feedback from every employee to a standard set of questions. Only by measuring engagement in a standard way can you understand how most employees feel and monitor whether the changes you are making are really improving employees’ experiences.
Leadership. Hire and develop leaders who exemplify the desired cultural values and practices and can guide others to follow suit. Great leadership is the reinforcing arm of your culture. Provide leadership training and mentorship programs to support new leaders.
Ownership. Encourage employees to take ownership of their work and their role in shaping the culture. Empower them to make decisions and contribute to the organization's success.
Trust. Foster a culture of trust by being transparent, keeping promises, and providing opportunities for open communication. Trust is the cornerstone of a positive culture.
Promote Teamwork. Promote collaboration and teamwork. Encourage employees to work together toward common goals, recognizing the value of diverse perspectives.
Nurture & Evolve. Culture is created by the people within it. As employees come and go and grow, your culture will be constantly subjected to new influences and opportunities. To protect the culture you’ve intentionally crafted, it is important to continuously nurture and reinforce your culture. Recognize and reward behaviors that align with your values, and address concerns promptly to maintain a healthy culture. Be open to cultural changes that occur and take time to refine your values and mission and digest employee feedback. This way, the ongoing transformation of your culture will always serve the wellbeing and success of your employees.