Enhance Business Performance by Improving Organizational Culture

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Have you read Built to Win: Designing a Customer-Centric Culture That Drives Value for Your Business yet? No worries, if you haven’t. But it’s a guidebook to designing a culture that puts people front and center in your business. Not only that but it’s also a guidebook to ensure that you fix the culture in order to fix your employee, customer, and business outcomes.

Yes! Fix the culture, fix the outcomes!

There is a lot of evidence out there to prove that statement. So, I thought I’d write a bit more about this important concept.

In today’s fast-paced business landscape, many organizations focus on quick wins and immediate outcomes. But real, sustainable success lies in something deeper, your company culture. “Fix the culture, fix the outcomes.” But what does that mean in practical terms?

In this article, I’ll explore how fostering the right culture creates lasting positive outcomes, from employee engagement and innovation to customer satisfaction and business growth.

What Is Company Culture?

As you know, culture is more than just values written on a wall. I like to define it as “values + behaviors.” It’s the sum of shared beliefs, attitudes, behaviors, and practices that shape how work gets done.

A healthy culture fosters an environment of trust, collaboration, and accountability, which directly impacts the organization’s ability to achieve its goals. When culture aligns with business objectives, employees feel empowered to contribute meaningfully, which in turn drives better outcomes.

How Culture Drives Outcomes

I’ve shared this diagram before. Lots to learn from following the linkages represented here. This image basically summarizes what happens when we get the culture right. As you can see, you get great outcomes. To get the culture right, you’ve first got to define it, and then you’ve got to socialize and operationalize the core values that are part of that definition. Creating that environment where leaders care and employees are supported and thrive leads to a great experience for employees.

Engaged Employees Are Productive Employees

Employee engagement is critical to company success. When people feel connected to their organization’s mission, they’re more motivated and committed. In contrast, a toxic or misaligned culture leads to disengaged employees, which results in lower productivity, higher absenteeism, and increased turnover. Companies with high employee engagement are 21% more profitable than those with low engagement.

Fixing the culture means creating an environment where employees feel valued, heard, and supported. When employees know their work matters, they go above and beyond to achieve the company’s objectives. This leads to better performance and a more resilient workforce.

Innovation Thrives in a Healthy, Positive Culture

Innovation is critical for long-term success, but it requires a culture that encourages risk-taking, creativity, and collaboration. In a healthy company culture, employees are not afraid to experiment and fail, because they know failure is part of the learning process. In contrast, a fear-based culture stifles creativity and discourages employees from proposing new ideas.

Companies like Google and Apple have famously fostered cultures that encourage experimentation and innovation. As a result, they continue to lead their industries in innovation, bringing game-changing products to market and maintaining a competitive edge.

Customer Experience Begins with Employee Experience

There is a direct link between a company’s culture and its customer experience. If employees are treated well and work in a positive environment, they are more likely to extend that same level of care and respect to customers. Conversely, employees who are stressed, disengaged, or unsupported are more likely to provide subpar service.

As customer expectations evolve, the need for companies to provide seamless, personalized experiences grows. This is only possible when employees feel empowered to make decisions and go the extra mile for customers. Fixing the culture sets the foundation for better customer outcomes because happy employees create happy customers.

Alignment with Core Values Creates Clarity

When both leaders and employees are aligned with organizational values, decision-making becomes more straightforward. Employees at every level understand what is important and why, which allows them to make decisions that align with the company’s goals. Clear, values-driven cultures reduce confusion, eliminate silos, and improve communication.

This alignment also helps companies navigate crises more effectively. During challenging times, a strong culture provides a sense of stability and shared purpose, enabling employees to pull together and respond with resilience.

How to Fix the Culture

It’s not just enough to say, “Fix the culture!” You’ve got to know how to do that. To that point, remember a couple of things:

  • You get the culture you design or the one that you allow.
  • Some would say that your culture is the behaviors you reward or punish. Behaviors must match words. Words, rewards, and consequences must be in alignment.
  • Culture is driven from the top. CEOs define and model it.
  • The core values and that definition must be socialized and operationalized.
  • And employees need to run with it. There must be a grassroots groundswell, i.e., employees embracing it, owning it, and ensuring that they all live and breathe it.

Where to begin?

Start with your Culture Plan. I’ve written several articles about Culture Plans, so I won’t go into detail here, but I will provide you with the links to those articles.

On to the next steps, which are included as part of your Culture Plan.

Assess the Current Culture

You can’t transform something you don’t understand. An important first step is understanding where the organization culture currently stands. This requires honest feedback from employees at all levels, gathered through surveys, focus groups, and one-on-one conversations. It’s important to identify both strengths and areas for improvement. See my article about culture audits for more details.

Define the Desired Culture

Once you’ve assessed the current state, the next step is to define what you want the culture to be. This should be aligned with the company’s mission, vision, and values. Leaders should articulate what behaviors and attitudes are expected, and these should be reinforced through policies, processes, practices, and communications. Socialize and operationalize!

Lead by Example

A culture transformation starts at the top. Leaders must model the behaviors they want to see throughout the organization. This means not only talking about values but living them in day-to-day actions. If employees see leaders embodying the desired culture, they are more likely to follow suit. And when they do, they should be recognized..

Empower Employees

Employees must feel they have a voice in shaping the culture. Encourage open communication and provide opportunities for employees to contribute ideas. Activate your culture ambassadors. Recognize and reward behaviors that align with the desired culture, and make it clear that every employee plays a role in building the culture.

Measure Progress

Culture change doesn’t happen overnight, so it’s important to measure progress along the way. Track key indicators like employee engagement, turnover rates, and customer satisfaction. Regularly revisit the culture to ensure it remains aligned with business goals.

The Bottom Line

Fixing the culture isn’t a quick fix, but it’s a necessary step for any organization seeking to improve its outcomes. Whether it’s increasing employee engagement, driving innovation, or enhancing customer satisfaction, the right culture sets the stage for long-term success. When organizations invest in their people and foster a positive work environment, the benefits ripple outward, impacting everything from employee morale to customer loyalty and business growth.

So remember: fix the culture, and you’ll fix the outcomes.

Just like your lawn, your culture is going to grow whether you are conscious of it or not. The question I ask people is, “Would you rather have weeds or a garden? Because it’s up to you.” ~ Brian Rollo

Related: How to Solve the Most Pressing Employee Experience Challenges