How Corporate Culture Impacts Performance

How Corporate Culture Impacts Performance

"Corporate culture consists of shared beliefs and values established by the organization's leaders and then communicated and reinforced through various methods" (Vinita Gupta). Corporate culture has a major impact on employee morale and productivity. It is about having employees committed to the vision and the strategy of the organization.

Organizational Growth

"Corporate culture is very important for the company. It is about having employees committed to the vision and the strategy of the organization." (Maximillian Binti) Culture is central for a successful operation and to long-term effectiveness of the company. Every organization has its own unique culture or value set. "For instance, at Microsoft the culture is an embodiment of their six core values that include integrity and honesty; open and respectful; willing to take on big challenges; passion for customers; partners and technology; accountable for commitments and personal excellence and self-improvement" (Vinita Gupta).

The importance of corporate culture is growing as the result of several recent developments. Companies are encouraging teamwork and the formation of teams "as a strong culture is one in which they work together effectively, share the same values, and make decisions to meet the organization's primary goals and objectives" (Vinita Gupta).

Young Employees Unleash Innovation

"Leaders of organizations who desire innovation in their business cultures should ask for input in decision making and guide their staff members through creative thinking process to ensure followers are on the right track" (Erika Agin and Tracy Gibson). Especially for young employees, this corporate culture allowing them to be at all levels to take part in the decision making process. When leaders give followers the freedom to make decisions, they are enabling employees to experiment with ideas to challenge themselves with a new way of thinking. With the ability to add to the work process, young employees will begin interacting in a way that supports innovative ideas and influences the future of the business. "A culture that allows communication to flow openly and evenly across all levels and department will find that employees even in entry-level position have the tools necessary to foresee opportunities for better ideas" (Sorenson Jesper).

The Supervisor's Role in Driving Innovation

The actions and behaviors of mid-level managers are directly related to the creativity that an organization will produce. Mid-level managers can rise to the standards to inspire innovation and grow the next generation of innovative leaders. "When a supervisor focuses and employee in areas that are naturally motivating for