What if you could boost your company’s productivity by 12%…just by making your employees happier?
An increasing number of studies show that a good work culture and happy work force boost productivity, revenue and customer satisfaction, so is it high time we focused on kindness and human value in business over cold-blooded quarterly profits?
Financial health plays a major part in running a successful business, but research reveals that directors who overlook the importance of fostering healthy relationships at work can quickly lead to company downfall. Think high staff turnover, public company shaming online and lasting damage to business reputation. But it’s not all doom and gloom. Bringing the right people onboard and improving your working environment are just two small steps you can take to make your workplace an altogether more positive place.
There’s certainly something to be said about the ‘power of kind’ in the workplace, with the idea backed up by research that shows bettering your company culture equates to a healthier bank balance, and happier workforce, too.
Here, we’ll seek to overturn the myth of the successful cold-blooded corporate, and suggest that fostering happiness in the workplace makes positive sense for everyone—employees, managers and customers, too.
The myth of the uber-successful ‘evil corporate’
Have you ever worked at a company where everyone was genuinely happy? Have you had a boss you really liked, who treated everyone with respect and compassion? If you have, you’re one of the lucky ones—many of us have pursued careers in the shadow of the idea that work isn’t all that fun, and that corporate hierarchy equates to doing as you’re told and getting on with it without question. You’re lucky to be paid a salary, right?
If this sounds familiar, you’ve been witness to the long-term trend of the cold—and sometimes ruthless—corporate, that has dominated the capitalist economy for most of the 20th and 21st centuries. Many of our best-known business figures fit into the archetype of the ‘cruel to be kind’ CEO. The likes of Donald Trump come to mind, making cut-throat business decisions and prioritising profit over employee wellbeing.
“I hated to give overtime [pay]. I hated it. I shouldn’t say this, but I’d get other people in. I wouldn’t pay. I hated it.” - Donald Trump
This myth of the successful ‘evil corporate’ pervades popular culture, but times and ideas are shifting. The 2000s saw the rise of the hippy founders of Silicon Valley, who deformalised work culture (although whether they made it kinder is up for dispute). More recently, the increasing esteem held by companies who enforce high ethical standards and practice business transparency have introduced even more progressive perspectives about what a work culture should be like. If a company preaches ethical standards to customers, it follows that they should practice what they preach internally as well (or risk being exposed for their hypocrisy. Here’s looking at you, BrewDog).
It seems that providing a happier working environment for employees is now a badge of honour for businesses, and can be a major marketing win when, say, a company successfully applies for B-Corp status.
We’ve already come a long way from the cold-blooded corporate as the only model of a successful business, but does being a happier company equate to better business results? Let’s take a look.
What is work culture, and why is a healthy work culture important?
First of all, let’s brush up on what a work culture actually is, and how a healthy (or unhealthy) work culture manifests in the workplace.
What is work culture?
Work culture is the personality of your company, the sum of shared values, behaviours and attitudes within the work place. Work culture is pervasive, extending from the way employees interact everyday to how your company values are perceived by an outsider, such as a customer or investor.
Lots of different elements interact to foster a good or bad work culture, such as working environment, company beliefs and leadership styles. It can be easy to tip the balance into an unhealthy or toxic work culture, so it’s important to consistently gauge the health of your company culture and identify where there might be room for improvement.
Why is a healthy work culture important?
While we can easily assess the financial health of a company with accounts and quarterly reports, it is often much more difficult to accurately measure the health of a work culture. Especially given that seemingly minor things, such as an individual employee’s behaviour or bad office lighting, can actually have a hugely detrimental impact on overall company culture.
While it can be tricky to pinpoint culture health in individual cases, there have been numerous studies conducted into aspects of work culture, which overwhelmingly point to a healthier culture and happier workforce equating to better business outcomes. For example, research by the University of Warwick showed that happier employees are 12% more productive, while companies with stronger cultures and considerate managers have been reported to enjoy 29% higher revenue per employee.
There is also growing evidence that prospective employees are extremely interested in whether a company’s culture is positive, with a 2022 survey of job seekers revealing 23% of respondents identified ‘company values and culture’ as a key factor in deciding whether to accept a job offer. And if the culture is ‘off’? Current and former employees are now much more likely to air grievances about toxic work cultures online, with a negative Glassdoor review or viral TikTok shaming video able to sink a company’s reputation faster than you can say ‘team lunch’.
Hopefully this has convinced you that a healthy work culture just makes good sense, in terms of productivity, revenue, employee retention and wider business reputation. If you agree that it’s a no-brainer, read on for 5 tips for improving work culture and employee interactions below.
5 tips to boost the health of your work culture
Whether your company culture is already thriving and you want to keep the trend moving upwards, or if you suspect your work culture could do with a little TLC, these 5 practical tips will set you on your way to boosting your work culture from within.
1. Focus on leadership
Take a top-down approach when it comes to improving work culture. Many famous toxic work culture examples, such as WeWork, SpaceX and BrewDog, can trace their negative work cultures up to the top of the tree, with the attitudes of leadership forming a framework by which the standards of behaviour are practiced more widely.
It can be awkward at best, even intimidating, to confront leadership issues head-on, but it’s absolutely essential in order to limit the damage caused by inappropriate behaviour at senior level or a CEO who has little respect for his workforce. Make a (legally compliant) plan and suggest a chat—you might find this is enough to nudge someone in a different direction.
2. Hire positive people
Surrounding yourself with positive people and attitudes seems almost an overly simple way to boost work culture health, but it really does work. You can use a sophisticated background check to see if the person you’re looking to hire uses positive language on their social media posts, or perhaps even brings their positive energy into other aspects of life, such as doing volunteer work or running community events.
These are the gems you want to bring into your business, with someone’s positivity proving infectious. Hire great people, with emotional intelligence and excellent soft skills, rather than focusing on bringing solely qualifications and credentials into your team.
3. Improve the work environment
The quality of someone’s immediate surroundings is all-important in terms of fostering employee wellbeing, and can have a monumental impact on work culture. If people like their working environment, positivity and productivity naturally follows, so consider swapping out harsh office lighting for soft, warm lamps and provide comfortable, stylish areas for employees to interact.
Consider bringing in an interior designer or architect to reconfigure your working environment to place the focus on creating a comforting, calming space, rather than a typical white-washed office. Coworking company EasyOffices also points to the benefits of introducing greenery into a working environment, with office plants reported to improve employee productivity by 15%.
4. Offer values, not perks
Pizza Fridays? Think again. Traditional ‘perks’ won’t cut the mustard any longer, with employees (quite rightly) expecting more from employers with regards to flexible hours, remote working, upskilling opportunities and a more cohesive work community.
It’s well worth considering what your company can offer on a value level to employees, rather than relying on ‘sticking plaster’ perks like free lunches or gym memberships. While these are nice to have, a healthier work culture from the inside-out brings the focus back to value-driven benefits. More family time and less overtime, mental wellbeing support, or a stronger sense of community at work are actually the more meaningful ‘perks’ that keep employees feeling invested and valued in your business, building loyalty and a stronger work culture for the long-term.
5. Open up your work culture
What is the biggest barrier to improving a flagging work culture? It’s very unlikely people are unable to see what is going on, such as discriminatory behaviour, but they may be afraid to speak out. Many toxic work cultures develop out of ignorance at leadership level. If you’re a CEO but you don’t know how people interact with each other at your company on a daily basis, how can you possibly assess whether the work culture is positive or otherwise?
Open up communication channels, and ensure that everyone knows that complaints or suggestions will be dealt with in strict confidence and with sensitivity. Frequent company training days, casual drop-in sessions with senior staff and letting your workforce know that nothing is taboo or off-limits will ensure that everything—even the ugly bits—will be addressed with openness and professionalism.
The power of kind people: How to find hidden gems
In this article we’ve put forward the argument that work cultures should be compassionate and driven by human value, rather than financial goals alone. Research shows that it’s better for employees, business profitability and business longevity, so why not make a start on improving the health of your own work culture right now?
With the right people on board, it’s simple to start cultivating a positive atmosphere in the workplace. Perhaps it’s time to shift your focus from employing someone with the right qualifications to someone with the right attitude.
With a YOONO report, you can see if an individual uses positive language and tone when they communicate with others, and whether they have a glowing track record with former employers. Once you know more about who they are as a person, you can really start to see the value they could bring to your business. Discover hidden gems by starting a YOONO search, and find your next star hire.