Company culture has been intrinsically tied to the success of every business across the globe. But then, it has often been difficult to align company cultures with business objectives. This is because, for long, culture has been considered as abstract, subjective and insubstantial to be measured.
Basically, everything about company culture and the measurement of its effectiveness is handled by the company’s HR manager. To come up with a unified culture, HR managers do carry out surveys regarding employee satisfaction and culture quality. However, aside from these survey sheets passed across, HR managers need to leverage modern tools to create this crucial connection between employees and management, and in developing a strong/appropriate organizational culture.
The creation of company culture is to help establish a good and happy place of work for employers and employees, as well as to enhance productivity. To indicate how welcoming a working environment is, there are key metrics to be considered. Below are a few company culture metrics employers need to track in this digital age.
Employee internal transfers
In smart organizations, internal transfers and up-skilling are norms. They institute an organizational culture that allows the movement of employees within different divisions and between various functions. As the employees move, they share insights, experience and help transfer skills when possible. In such organizations, a vibrant, collaborative and thriving environment is created as well as leadership and professional growth. However, in a working environment where employees are trapped in certain roles, professional stagnancy and inactivity are noticed. These employees soon outgrow daily responsibilities and may seek new challenges elsewhere.
Employee turnover rates
Even in the most organized companies, employees leave from time to time. Hence preventing employee’s departure is not as important as the company’s reaction to these employees on their way out. When out-going employees are treated well, courtesy of excellent organizational culture, it builds the goodwill of the organization both within internal and external stakeholders. However, fact remains that appreciated and well-paid employees who enjoy their work and feel included don’t go on the job hunt. That being said, if the turnover rate of your organization is higher than 8%, then your HR has work to do.
Employee wellness policy
Employee’s general wellness indicates how they are being treated by the company. Hence, there is a need to develop a clearly-outlined wellness policy for your organization. An ecosystem of culture and productivity is hardly complete without a structured wellness policy. This workplace wellness policy should be aimed at work-life balance, covering the physical and mental health of employees. There should also be an allowance in the policy for participation in recreational activities that energize both body and mind of the employees.
When companies have excellent organizational culture, it gives employees love and respect for where they work. Hence, they can recommend friends, family, and skilled colleagues to the company when there’s an opening. An organizational total hire should have at least 25 percent of its employee referrals. This means that the company’s talented employees are helping to expand the company’s talent pool by helping to refer and choose skilled and recognizable applicants. This is beneficial to the organization. On the contrary, a bad organizational culture sees the company majorly posting and hiring unknowns.