Positive culture is a vital aspect of running a business–more than 50% of executives say corporate culture influences productivity, creativity, profitability, firm value, and growth rates. These corporate culture statistics outline how important culture is in attracting, retaining, and satisfying employees.
Corporate culture is formed from a company’s daily practices, traditions, beliefs, and programs. When your corporate culture isn’t being treated as a priority, it’s reflected in employee performance, productivity, and retention.
The following corporate culture statistics show why culture matters–and why you should focus on making your culture more robust by attracting and retaining top talent and making sure those highly-skilled employees stay invested in your company.
Corporate culture statistics you should be considering
- Ninety-two percent of CEOs report their organization is empathetic. However, only 50% of employees say their CEO is empathetic. This gap in perspective directly affects employee morale–81% of employees would be willing to work longer hours if they felt their employer was empathetic.
- Employees aren’t feeling properly engaged through recognition. Only one in three U.S. workers say they received recognition for their work within the past seven days. Employees who don’t feel recognized are twice as likely to say they’ll quit their job within the next year.
- Reputation matters–86% of potential employees would not apply or continue to work for a company that has a bad reputation with former employees or the public, and 65% would likely leave their job if they felt they were being portrayed negatively in news or social media due to poor business practices.
- The social environment in a workplace has an extremely large effect on employees. A whopping 58% of employees have left a job or would consider leaving one if they felt the culture was permeated by negative office politics.
- Only 46% of employees say they have a “great deal of trust” in their employers. Some of the top reasons for low trust are poor compensation, unequal opportunities for pay and promotion, lack of leadership and collaboration, and high employee turnover.
- Having a culture that attracts high-talent can lead to 33% higher revenue. Part of this comes from hiring talented managers, which leads to 27% higher revenue per employee.
- Sixty-one percent of workers say they’re burned out in their current job, and 31% report high levels of work stress. A separate study from Towers-Watson revealed more than half of employees that claim to be stressed report feeling disengaged in their work.
- In the U.S., 51% of employees report not being engaged, meaning they neither like nor dislike their job. The fact that the majority of the workforce is indifferent about their jobs is a big issue that affects businesses on several levels–statistics show that when employees are engaged, absenteeism is lowered by 41%, productivity boosts by 17%, and turnover lowers by 24%.
A business is more likely to succeed when its culture is focused on the way employees view the company as a whole. If any of these stats felt like they hit close to home for your business, then it’s time to look into how to improve your company culture, such as how to better recognize achievements and engage with your employees.
It’s important to remember that there isn’t any “one-size-fits-all” type of culture that results in every single employee being happy and productive. But paying attention to what is achievable in regards to improving your culture will pay off majorly for your employees and your business.