Business Trends

Company Culture Issues: How Can They Be Fixed?

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The world is constantly changing, thanks to the immense impact of globalization and technology. Companies can now find the most suitable profiles from a pool of candidates worldwide, attracting qualified people very quickly.  

However, qualifications are not the only thing businesses should take into consideration during the recruitment process. Apart from work experience and an extensive resume, companies should prioritize candidates whose values and priorities already align with those of the company. Through this, they will develop a sense of belonging and strengthen company culture.

Organizational culture can be observed from different angles. You can see it in the core values of a company and how its leaders act, as well as how they communicate with the people they work with and their clientele. It underpins everything. That’s why, if a company hasn’t firmly established its culture, the consequences can be grave. After all, corporate culture is like a stain on a white shirt: it’s easily noticeable! It affects how others perceive the company, and it can say much more about a business than any product or service that they may offer.

Here are five common organizational cultural problems faced by companies in 2021:

Poor leadership

Great leaders ensure that everyone is both supported to do their best work and motivated to achieve the company’s goals. However, this labor can be difficult when a leader is unsure about what to do or how to do it. Team members end up feeling confused about what’s expected of them and unsure of what results they should be bringing to the table. This leads to insecurities that reinforce a cycle of disrespect and weak management.

Inefficient communication

When communication channels only flow in one direction (usually from top to bottom) and the messages are conflicting or inconclusive, it can justify mistrust and cynicism among workers. In the long run, this can lead to resentment and even poor performance from employees. They may feel discouraged from approaching a supervisor with ideas or problems, which can prevent companies from harnessing the full potential of their team.

Hostile work environment

A company is considered to have a hostile work environment when a boss or coworker makes the workplace feel unsafe or unpleasant. If an office has a bullying problem, for example, this would be considered a failure of company culture.

Employees have the right to feel comfortable at work, so repercussions for ignoring issues like these are serious. People can even make a legal claim if they feel that they’re being treated in a discriminatory manner. This can have a huge impact on employee relations and brand image.

High turnover

We all need to experience validation and progression in our careers. If people can’t find satisfaction or growth in the job they’re doing, they will naturally try to find it elsewhere. Companies frequently lose their top talent this way.

The fact that a company can’t retain their staff says a lot about their fractured values and cultural problems. It gives an impression of untrustworthiness and instability that may even lead to a rupture in customer relationships.

After all, when companies are constantly involved in recruitment and training processes, are they able to simultaneously maintain high standards of customer service?

Overall unhappiness

All the above issues can result in low morale, with employees reluctant to talk about their feelings because bosses have shown themselves to be unresponsive. When employees believe that nothing will change even if they do speak out, it seems futile to share their suggestions and observations.

How can an employee thrive professionally if their company doesn’t pay attention to their concerns? This is how a “closed doors” attitude can result in a lack of motivation and employees operating on autopilot.

How can companies fix these issues?

Clearly, a lack of positive organizational culture can lead a company to a total disaster from the inside out. To avoid this situation, companies must proactively develop a common culture. It is crucial to build together, a new way of working that serves the needs of employees at all levels. Companies can work towards this using a range of strategies:

Focus groups: It may be beneficial to hire a third-party consultant or specialist who can talk to everyone involved, listing all the cultural issues that they uncover. An outsider can offer new perspectives that make visible those persistent cultural problems that have gone unnoticed.

Accountability: A commitment to honesty and accountability can illuminate areas where a lack of good management has resulted in structural damage. For progress to be made, management must acknowledge their responsibility for the company’s lack of guidance.

Envisioning and implementing: Having found the pain points of the business, it’s time to focus on the positive and determine what the new values of the company will be. Company values are important not only when dealing with clients but also when managing employees. This consistency leads to loyalty and a stronger brand image. There must be a sincere commitment to keeping the company’s core values intact. If these standards are applied selectively or not promoted by management, employees will soon lose faith in their superiors.

Clear communication: Companies must discard the “closed doors” policies that cause organizational strife. Rather than relying on top-down directives and one-way presentations, they should open mutually empowering channels of communication. The more employees feel their ideas are being heard, the more they will come up with solutions to improve the company’s image and operations. In this way, changing company culture can unlock employees’ potential.

Having implemented these measures, employees will have clear expectations, feel confident to contribute to their company, and see that loyalty to their employer is rewarded. Strengthening company culture is a wise business decision for so many reasons! When everyone in the organization feels empowered fulfil their potential, a business can enjoy real success and growth.

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