How to Create a Corporate Culture

Corporate culture is a defining measure of organizational behavior. It has been linked to competitive strategy and brand awareness. It is also directly related to recruiting and retention efforts. The mission statement and core corporate values of any organization provide the foundation for corporate governance. This article will show you how to create a defined corporate culture in 6 steps.

Difficulty: Moderate

Instructions

Creating Corporate Culture

1. Define your core values and link them to your mission statement. Your mission statement should include all internal stakeholders of your organization, not just senior management. Understanding what you want the company to be in 10 to 20 years and how you want it to get there will help in this determination. While your core values will remain the same, the direction of your organization may change and your mission must adapt to this change.

2. Start a marketing campaign. This can include contests or seminars which allow employees to learn more about the mission and vision of the organization. Employees should be encouraged to contribute to this vision. If senior management dictates the culture, you will have buy-in, but it will be limited. Allowing your employees to develop interdepartmental mission statements aligned to this vision will foster a bottom-up mentality and help to disseminate the culture throughout the organization faster.

3. Share your vision with external stakeholders. Investors and creditors can help define your culture by providing perspective and contrast. Don't be afraid to make inquiries on your culture by asking potential recruits or even customers their opinion of your corporate culture compared to other organizations. Is it in line with expectations?

4. Define your goals through your mission and connect your mission to your goals. These must be defined and measurable. Use key performance indicators (KPI's) as a way to shape the common language of your organization. Hold employees accountable to these goals and make sure they are reported with accuracy and regularity to the entire organization.

5. Reward employees. Recognition is key to defining corporate culture. The way a company rewards its employees speaks to its values and sincerity in achieving corporate goals. Happy employees are more productive employees, so put a system in place which rewards those who achieve corporate objectives. Rewards do not need to be monetary. Recognition comes in many forms.

6. Develop an organizational behavior survey. Ask employees to fill out a short survey once a year. Once you do, be sure to report on the findings and show a clear effort to improve upon lower-scoring areas. Employees will take the survey seriously if they know it will produce change. The results of the survey should be used as a tool to refine and adapt the mission of the organization.

Tips & Warnings

• A corporate culture that is not created will create itself.

References

• MSNBC: How Corporate Culture Makes Shareholders Rich
• ScienceCareers: Corporate Culture in Current Times --- Seeking the Right Fit
• Harvard Business School: Ten Reasons to Design a Better Corporate Culture.