What is your company’s strategy for retaining great employees? At the top of the list is typically compensation and fringe benefits, next in your retention toolbox should be defining and maintaining your company culture. Here are four reasons why company culture plays a vital role in retaining great employees.

Defining Your Company Culture

Employee retention starts with first being able to clearly define what the company culture is. What are the aligned values, beliefs, behaviors and experiences that make up the organization’s environment?

Defining company cultures usually happens in one of two ways. It is either decisively defined, nurtured and protected from the startup phase of the company or, as found more often, it comes about gradually as the result of experiences, beliefs and behaviors of the team. Either of these two ways is a valid way to define your company’s culture.

1. Company Culture Defines Strategies

Strategy drives employee focus and direction. Strategy is intentful and defines the rules and desired outcomes for the business. When strategy and culture are weaved together, culture establishes how we engage in activities that drive the strategies. It provides guidance to employees of what is and is not acceptable business practices when working towards a shared goal.

2. Company Culture Influences Decision Making

Decision making can be an ambiguous task if the company does not clearly communicate their company values to the team. This leaves managers with a feeling of uncertainty when faced with employee, customer and job-related decisions. By communicating the company’s values, employees can independently succeed in their roles, when making value-based decisions.

3. Company Culture Establishes Behavioral Expectations

Assuming employees know ‘right vs. wrong’ is a set up for frustration and failure. A diverse workforce with a variety of ages, experiences, cultural and economic backgrounds needs a fixed set of behavioral expectations based on your company’s culture. Examples of where to set behavioral expectations are: How to behave in a meeting, when traveling, and when interacting with fellow team members, clients and vendors. By defining behavior expectations, your employees understand their rules of engagement and expectations.

4. Company Culture Steers Recruiting and Hiring Decisions

In a competitive job market for top talent, it is easy to focus exclusively on a candidate’s experience and job-related skills. It is tempting to fast-track candidates that interview well and fit perfectly with the position we are trying to fill. But, by not factoring in whether the candidate is a cultural fit, we overlook an important component of why employees stay or go. You can accomplish this by asking a few key questions, like:

  • How would you describe the culture of your previous workplace? How well do you believe you fit in?
  • What’s most important to you about an ideal workplace environment?

Hiring and Retaining Great Talent

Hiring based on culture and values increases retention immensely. But it’s not just about what’s right for the company, it’s also about what’s best for the candidate. When you partner with the Jarvi Group, we not only know your company culture, we know what is important to our candidates as well. Contact the professional staffing experts at the Jarvi Group today!

Jarvi Group

© Jarvi Group

1350 Scribner Ave NW
Grand Rapids, MI 49504


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