The word ‘culture’ has become synonymous with exceptional business performance.
It’s easy to say that building the right culture is something that we should all strive for, but sometimes we pass over the really critical impact that an improved culture can have on building revenue for your organisation.
There is no doubt that building a rich, recognizable culture can have a significant positive impact on your business’ brand as well as customer and employee loyalty.
Let’s look at the benefits in pure ‘dollars and sense’ terms from a revenue perspective.
According to research by Human Synergistics, staff operating in a positive culture are likely to be 76% more motivated. Motivation is one of the key drivers of workplace innovation.
Researcher Rajesh Candy from the University of Minnesota is adamant that a positive corporate culture is the leading driver of innovation. His research validates what many culture company advocates have been proclaiming for years: if a positive culture includes the empowerment of individuals to contribute meaningfully to their tasks, then they are more likely to seek better and more efficient ways of performing their tasks. Employee innovation can lead to greater efficiencies and even whole new concepts and product lines.
Common Values and Common Goals
When you are clear about what is driving your business and the goals that you want to achieve, that sense of purpose permeates throughout the business and becomes embedded in the culture. A common clear sense of direction and purpose makes it easy for new and existing employees to jump on board and strive to achieve.
Better Retention Rates
Having an organisation with high retention rates is a great pointer to having a strong culture. Not only do great retention rates reduce the costs of attracting, recruiting and training new staff they also allow you to leverage your already engaged employee base to advocate for your business and to drive sales and service to ever higher standards.
Stronger Adherence to Checks and Balances
While it is easy to emphasize the warm and fuzzy aspects of good culture like employee happiness and better teamwork, a strong culture facilitates a greater commitment to doing things the right way. The checks and balances that you have in your quality production, service delivery and financial management are much more likely to be rigorously adhered to when employees are committed to achieving goals. This stronger sense of accountability should, over time, see improved quality of performance across the organisation – resulting in greater customer loyalty and more sales.
The Long-Term Investment
A commitment to building a positive culture is effectively an investment in the long-term future of the business. A better culture helps build a stronger brand and greater customer loyalty. That loyalty becomes embedded so that customers become repeat long-term customers who become advocates for your business. Increased customer loyalty results in more sales while customers recommending your business to others will in the long term deliver more customers who are going to be exposed to the same great culture that you’ve been working so hard to build.
Positive Culture is a Brand Positive
From a sales point of view, perception can be just about everything. Once your brand is tarnished, it takes a lot of time, effort and money to restore it. There are numerous examples of a company’s image being trashed inevitably by poor cultural practices.
On the other hand, when customers perceive that a business has a good culture – they want to do business with the people that represent that brand.
A good culture builds a positive brand image and that positive image can be used as a marketing advantage.
Building a positive culture is crucial to the long-term success of your business. If you are looking for ways to improve or enhance your organisation’s culture, get in touch with ChandlerWoods today and discover how we can help.