The nexus between corporate culture and business success

Corporate culture or organisation culture encompasses the shared norm, beliefs, ethical performance, values, corporate language, identity and behaviours observed in businesses, reflecting their core values and strategic directions. It is an identified way of doing business for a corporate organisation. In some cases, an organisation’s culture is articulated in its strategic plan, mission statement and vision statement. Corporate culture is not just part of an organisation, it shapes how teams work, interact, make decisions, and drive success. Corporate culture is the way of doing business that a business is used to and that is working for it. When Guaranty Trust Bank started business in February 1991, at The Plaza, Number 5, Adeyemo Alakija Street, Victoria Island, Lagos State, it had a sumptuous office which spelt out that the bank was meant for the elites of the society. To open an account in the beautiful branch, you needed a minimum of N50,000.00 at a time when some commercial banks were opening accounts with N5,000.00. This is the simplest way to express corporate culture!

The female wardrobe of a cabin crew and airport colleagues of British Airways offers the option of a dress, skirt, trouser suit, or in an airline first, a stylish jumpsuit. The male wardrobe has a sleek three-piece tailored smart suit with the option of slim or regular fit trousers. The British Airways logo is a reflection of British conservatism. The airline values the British traditions, state power and uses the national flag as its symbol. The logo and the corporate identity, including dressings and letterheads, therefore, use the main colours of the flag – red and blue. What differentiate an organisation from another in the same sector are not their different brands, but their organisation’s culture which includes how and where they render similar services. Corporate culture includes the belief of organisations in success and how they apply this belief.

A strong corporate culture can inspire business success in several ways.

Corporate cultures as key drivers of business success

1. Employee engagement: A positive corporate culture fosters employee engagement, motivation, and productivity. Due to the right positive corporate culture, employees in banks on N80,000 monthly salary may prefer to work in the bank instead of working in the civil service or as bus drivers on N120,000 monthly salary. Some employees claim they cherish organisations that support their career advancement more than their financial gain, while some employees consider factors like organisation prospects more than the financial benefits. Costco’s employee-first culture prioritizes fair wages, career growth, and work-life balance.

2. Innovation and risk-taking: A corporate culture that encourages innovation and calculated risk-taking can drive business growth and competitiveness. A company with a culture of highly motivating its workers will have highly motivated workers. “If you continuously pay your workers peanuts, you will end up having monkeys as workers”.

3. Customer focus: A customer-centric culture helps businesses understand and meet customer needs, leading to increased loyalty and satisfaction. A company that is always thinking about its customers from pre-sales to sales process and after sale services will have loyal and growing customers. Zappos, Starbucks, Achievers, Patagonia, The Body Shop, Google, Pixar, Costco, Workday and AirBnB are organisations often used as examples of customer-centric culture organisations.

4. Collaboration and teamwork: A culture that promotes collaboration and teamwork can facilitate knowledge sharing, improve decision-making, and enhance overall performance. Toyota’s corporate culture includes teamwork and collaboration. It embraces a combination of onsite, remote and hybrid work arrangements based on business needs, and also supports people with disabilities.

Benefits of a strong Corporate Culture

1. Improved employee retention: A positive corporate culture can reduce employee turnover and attract top talent. Strong corporate culture does not only retain employees, it drives productivity, encourages innovation, and reinforces the behaviours that contribute to organisational success.

2. Enhanced brand reputation: A strong corporate culture can contribute to a positive brand image and reputation.

3. Increased adaptability: A culture that encourages innovation and adaptability can help businesses respond to changing market conditions.

4. Better decision-making: A culture that promotes transparency, accountability, and collaboration can lead to more informed and effective decision-making.

Companies with strong Corporate Cultures

1. Google: Google is known for its innovative and collaborative culture. Google encourages employees to think creatively and take risks.

2. Amazon: Amazon’s customer-obsessed culture drives its focus on customer satisfaction and loyalty.

3. Salesforce: Salesforce Ohana culture fosters inclusivity, trust, and innovation while prioritizing employee well-being. Benefits offered by Salesforce include mental health resources, parental leave, and flexible work. Its 1-1-1 model supports philanthropy, and engagement thrives through resource groups, feedback, and transparency, making it a top choice for purpose-driven professionals. Salesforce created the 1-1-1 model which commits 1% of its equity, technology, and employees’ time to build a more equitable and sustainable world. It is also a founder and champion of “Pledge 1%”, a global movement to ensure giving back is part of companies of all sizes.

4. Zappos: Zappos’ positive and supportive culture has contributed to its success in customer service and employee satisfaction. Zappos believes in its way of doing business so much that it has created “Zappos Insights”, a group that evangelises Zappos’ culture worldwide.

Conclusion

A strong corporate culture can inspire business success by driving employee engagement, innovation, customer focus, and collaboration. By fostering a positive and supportive culture, businesses can improve employee retention, enhance their brand reputation, increase adaptability, and make better decisions. Employees are more likely to stay when they feel aligned with a company’s purpose and value. Great workplace culture thrives on diversity (cultural, age, sex and class), open communication, and consistent recognition of good works. Tailored cultures that match organisational goals and employee values drive success. The best corporate culture examples inspire corporations to think critically and thoughtfully about the way to value their stakeholders. 

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