Empowering Employees in Defining Company Culture: A Comprehensive Guide

Organizational culture is a pivotal element that shapes the identity, behavior, and success of any company. As leaders recognize the significance of their personal values and design decisions, they lay the foundation for an emerging company culture that directly influences the products and services they offer. This article explores how companies can empower their employees to actively participate in defining company culture, ensuring a psychologically safe environment, building effective listening tools, and ensuring their contributions are valued.

Introduction to Company Culture

Organizational culture is a collective set of values, beliefs, and norms that defines how a company behaves and operates. Leaders and employees alike play crucial roles in shaping and maintaining this culture. Through their daily interactions, employees build a shared understanding of what is valued and expected within the organization. While renowned figures like Deming and Lou Gerstner have emphasized the importance of culture, Ed Schein's keen observations and documentation have further highlighted its influence.

The Role of Leaders in Shaping Culture

Leaders are pivotal in designing company culture through their values, beliefs, and design decisions. These choices set the tone for how the organization operates and what it stands for. The VABES (Values, Beliefs, Assumptions, Values, and Expectations) of leaders and the people they hire collectively determine the emerging culture. Shaping an existing culture, especially a significant one, requires level three thinking, which involves deep consideration and reflection on the values and beliefs.

Empowering Employees in Defining Culture

One of the most effective ways to ensure that employees are actively involved in shaping the company culture is by giving them a voice that matters. This involves creating a psychologically safe environment where they feel comfortable speaking up, building the right tools to listen to their feedback, and ensuring their insights are valued. This process can be broken down into three steps: creating a safe environment to speak up, building “listening” tools and resources, and ensuring that employees feel heard.

Create a Psychologically Safe Environment

The first step is to create a psychologically safe environment where employees feel safe and comfortable sharing their feedback. This means that they should not fear judgment, retribution, or negative consequences for presenting their views. Leaders must lead by example, demonstrating an open and inclusive attitude towards feedback. A psychologically safe environment encourages employees to voice their concerns, ideas, and suggestions without fear of repercussions. This fosters a culture of trust and openness.

Build “Listening” Tools and Resources

The next step is to build tools and resources that capture and analyze employee feedback. Surveys are a common method for collecting feedback on the company culture. Annual or semi-annual surveys can provide valuable insights into how employees perceive and experience company culture. These surveys can help identify areas of strength and improvement, allowing leaders to take necessary actions. Additionally, there are other tools and methods, such as focus groups, interviews, and suggestion boxes, that can be used to gather employee input.

We Heard You!

The final step is to ensure that employees feel heard and that their input is used productively. This involves providing regular updates and feedback on the actions taken based on the feedback received. By communicating that their voices have been heard and their input is valued, leaders can maintain engagement and motivation. Regular meetings and updates can help create a sense of accountability and transparency, ensuring that the feedback loop is effective.

A Real-World Example: The SF Fed’s Inclusion Alliance

An inspiring example of empowering employees to define company culture is the SF Fed’s Inclusion Alliance. This initiative was launched to create a more inclusive culture within the organization. The project aimed to involve employees in defining what inclusion means for SF Fed and developing strategies to drive change. To participate, employees were encouraged to submit their thoughts and ideas through a simple application process. The organization received a high number of applications, demonstrating the employees' enthusiasm for involvement.

After a blind review process, 20 employees were selected to form the Inclusion Alliance. This diverse group included employees from all office locations and business areas. The alliance began with a series of learning sessions, where they engaged with experts on topics such as unconscious bias, the effects of exclusion, and inclusive leadership. These sessions provided a foundation for defining inclusion within the organization and identifying priorities for change.

The Inclusion Alliance then focused on three key goals:

A. Enabling more employee connections – fostering relationships and collaboration among employees. B. Creating a safe forum for authentic conversations – providing a platform for open and honest discussions. C. Ensuring that all employees’ voices are heard and valued – making sure every employee feels their contribution is important.

This case study highlights the tangible benefits of involving employees in defining company culture. By giving them a voice and actively listening to their feedback, the SF Fed was able to create a more inclusive environment that benefits both employees and the organization as a whole.

Conclusion

Empowering employees to actively participate in defining company culture is essential for fostering a positive, inclusive, and effective workplace. By creating a psychologically safe environment, building effective tools for listening, and ensuring that their contributions are valued, leaders can significantly influence the culture of their organization. Companies that prioritize employee engagement and feedback are well-positioned to thrive in a rapidly changing business landscape.