Company culture plays a crucial role in determining your organisation's success, employee satisfaction, and overall performance.
But how can you truly understand what your culture is and whether it's helping or hindering your goals?
To effectively assess your company's culture, you need a systematic approach that combines observations, interviews, surveys, and data analysis. This is better than relying on gut feelings or surface-level impressions.
When I work with organisations to evaluate their culture, I often find leaders are surprised by the gap between what they think their culture is and what employees actually experience day-to-day. This disconnect highlights why a thorough assessment is essential.
By examining both visible elements (like office layout and communication patterns) and invisible aspects (such as unwritten rules and shared values), you can develop a comprehensive picture of your organisational reality.
The benefits of a proper culture assessment extend beyond simple awareness. Understanding your current culture creates the foundation for meaningful change, helps identify strengths to leverage, and pinpoints problematic areas that may be limiting innovation or driving away talent.
With this knowledge, you can make informed decisions about cultivating a workplace environment that truly supports your business objectives.
Key Takeaways
A comprehensive culture assessment reveals hidden patterns and unwritten rules that significantly impact organisational performance.
Effective evaluation combines multiple methods including surveys, interviews, and observation to capture both visible and invisible aspects of culture.
Culture assessment findings provide the essential foundation for targeted improvements that align workplace behaviours with strategic business goals.
Understanding the Concept of Company Culture
Company culture forms the backbone of any organisation's identity and operations. It shapes how employees interact, make decisions, and approach their work while significantly influencing organisational outcomes.
Definitions and Dimensions
Company culture, also known as organisational culture, refers to the shared values, beliefs, attitudes and practices that characterise an organisation. I view it as an essential framework that guides employee behaviour and decision-making processes.
Culture exists on multiple dimensions:
Visible elements: Office layout, dress code, communication styles
Stated values: Mission statements, company policies, public commitments
Underlying assumptions: Unwritten rules and deeply held beliefs
When assessing culture, I need to look beyond what companies claim and examine how they actually function. Cultural assessment requires understanding both formal policies and informal practices that shape daily workplace experiences.
Culture isn't static—it evolves as organisations grow and respond to internal and external changes.
Importance of Company Culture
A strong company culture serves as the glue that binds an organisation together. It provides employees with a sense of identity and belonging that extends beyond just completing tasks.
When I examine high-performing organisations, I consistently find that culture:
Guides decision-making when formal rules don't apply
Attracts like-minded talent who share the company's values
Enhances employee engagement by creating meaningful connections
Differentiates the organisation from competitors
Research suggests that culture can even become a strategic asset when properly aligned with business objectives.
I've observed that companies with intentional cultures typically navigate changes more smoothly and recover faster from setbacks.
Components of a Healthy Workplace Environment
A healthy workplace culture comprises several interconnected components that support both individual wellbeing and organisational success.
Key components include:
Component | Description | Impact |
Trust | Open communication, psychological safety | Increases innovation, problem-solving |
Purpose | Clear mission, meaningful work | Drives motivation, alignment |
Growth | Learning opportunities, career pathways | Improves retention, capability |
Recognition | Acknowledging contributions, celebrating success | Boosts morale, reinforces values |
The physical environment also matters. Office design, remote work policies, and work-life boundaries all reflect and shape culture.
I find that healthy cultures balance accountability with autonomy, giving employees clear expectations whilst empowering them to contribute their best work.
Impact of Culture on Performance and Retention
Company culture directly influences both organisational performance and employee retention in measurable ways. Studies show that strong, positive cultures correlate with improved business outcomes.
Performance benefits include:
Higher productivity through increased engagement
Greater innovation through psychological safety
Better customer service through aligned values
Improved adaptability during change
For retention, culture plays a crucial role. When employees feel connected to their organisation's values and community, they're less likely to leave. I've seen this repeatedly in turnover data.
Financial implications are significant too. The cost of replacing employees can reach 150% of their annual salary, making culture-driven retention a major economic consideration.
Ultimately, culture creates a virtuous cycle: positive environments attract top talent, who contribute to success, which further strengthens the culture.
Recognising the Hallmarks of Your Company's Culture
The culture of your organisation reveals itself through several key elements that shape daily interactions and long-term outcomes. These hallmarks provide insights into what your company truly values beyond what might be written in formal documents.
Company Values and Mission Statement
Your company's stated values and mission are fundamental indicators of its culture. I recommend examining these official documents carefully to identify what principles are emphasised.
Is innovation prioritised over stability? Is customer satisfaction placed above all else?
However, the true test comes in observing whether these written values match actual practices.
Many organisations proudly display their values on office walls, but the meaningful question is: Are these values actively reinforced through decisions and policies?
Look for consistency between what's proclaimed and what's rewarded.
For example, if your company claims to value work-life balance but consistently praises those who work weekends, there's a disconnect between stated and actual values.
Leadership and Communication Style
Leadership behaviour sets the cultural tone more powerfully than any handbook. I find that noting how managers interact with employees reveals volumes about company culture.
Do leaders practise open-door policies or remain isolated? Is feedback welcomed or discouraged?
Communication patterns are equally telling:
Top-down only: Indicates hierarchical culture
Multi-directional: Suggests collaborative environment
Transparent: Reflects trust and inclusivity
The frequency and formality of communications also matter.
Regular, informal check-ins often signal a people-focused culture, whilst minimal communication limited to formal reviews might indicate a more transactional approach.
Employee Behaviour and Workplace Dynamics
Daily interactions between colleagues offer perhaps the clearest window into your company's actual culture.
I suggest observing how teams collaborate and resolve conflicts. Do people freely share knowledge or hoard information as power?
The unwritten rules often reveal more than official policies:
Who gets promoted and why?
How are mistakes handled?
What behaviours earn respect?
Team celebrations and rituals also reflect cultural priorities.
Does your organisation acknowledge personal milestones or only business achievements? Are social connections encouraged or viewed as distractions?
Pay attention to how newcomers are treated.
The onboarding process and early experiences of new hires typically demonstrate whether inclusivity and development are genuine priorities or merely talking points.
Methods for Assessing Company Culture
Measuring company culture requires structured approaches that reveal both visible and hidden aspects of organisational behaviour. I've found several effective methods that provide insights into the shared values, beliefs and practices that shape workplace dynamics.
Surveys and Questionnaires
Employee surveys are one of the most efficient methods for assessing corporate culture.
I recommend using a mix of quantitative and qualitative questions to capture both measurable data and nuanced perspectives.
When designing culture surveys, I focus on key dimensions:
Values alignment: How well employee values match stated company values
Leadership effectiveness: Perceptions of management behaviour and communication
Workplace satisfaction: Overall contentment with working conditions
Psychological safety: Comfort in expressing opinions without fear
Anonymous surveys typically yield more honest responses.
I've found that regular pulse surveys (brief, frequent questionnaires) complement comprehensive annual assessments by tracking cultural shifts in real-time.
For optimal participation, I keep surveys concise (under 15 minutes to complete) and communicate how the results will be used to drive meaningful change.
Interviews and Focus Groups
I've discovered that focus groups reveal deeper cultural insights than surveys alone.
These facilitated discussions create spaces where employees can express thoughts about organisational practices that might not emerge in written formats.
When conducting culture-focused interviews, I use a semi-structured approach with open-ended questions:
"How would you describe our unwritten rules?"
"What behaviours get rewarded here?"
"What aspects of our culture help or hinder your work?"
I typically organise focus groups with 6-8 participants from diverse departments and hierarchical levels. This cross-section exposes varying cultural experiences within the organisation.
For sensitive topics, one-to-one interviews often yield more candid responses.
I ensure confidentiality to encourage honest feedback about leadership, team dynamics, and workplace challenges.
Exit interviews are particularly valuable as departing employees tend to be more forthright about cultural problems that influenced their decision to leave.
Performance Metrics and Turnover Rates
I examine performance data and turnover rates as quantitative indicators of cultural health. High-performing cultures typically show consistent metrics across teams rather than isolated pockets of success.
Key indicators I track include:
Metric | Cultural Significance |
Turnover rate | Reflects employee satisfaction and engagement |
Absenteeism | Indicates workplace wellbeing and stress levels |
Productivity | Shows alignment between processes and people |
Internal promotion rate | Demonstrates development opportunities |
I pay special attention to voluntary turnover patterns. When talented people leave specific departments at higher rates, it often signals localised cultural problems.
Comparing performance trends before and after organisational changes helps me assess cultural adaptability. Resilient cultures maintain performance through transitions, while fragile ones show dramatic fluctuations.
Applying the OCAI Framework
The Organisational Culture Assessment Instrument (OCAI) provides a structured method for evaluating culture based on the Competing Values Framework. I use this tool to categorise cultural orientations into four types:
Clan (collaborative, family-like)
Adhocracy (innovative, risk-taking)
Market (results-oriented, competitive)
Hierarchy (structured, procedure-driven)
The OCAI helps me measure both current and preferred cultural states through a questionnaire format. This reveals gaps between existing culture and desired future state.
I find the visual representation of results particularly useful for presenting to leadership teams. The framework's simplicity makes complex cultural concepts accessible without oversimplification.
When implementing the OCAI, I encourage participation across all organisational levels to ensure the assessment captures the full cultural landscape rather than just management perceptions.
Analysing Results and Identifying Patterns
Once you've gathered data about your company's culture, the next critical step is making sense of what you've discovered. The patterns within your findings will reveal important insights about your organisation's values and how they align with strategic objectives.
Interpreting Survey and Assessment Data
When reviewing survey results, I look for trends rather than focusing on isolated responses. I begin by categorising feedback into themes like communication effectiveness, alignment with core values, and workplace satisfaction.
Quantitative data provides valuable metrics, but I also examine qualitative responses for deeper understanding. Patterns of attributions from different stakeholder groups can reveal disconnects between leadership perception and employee experience.
I recommend creating a simple dashboard highlighting key findings:
Dimension | Score | Trend | Key Issues |
Communication | 6.8/10 | ↓ | Information silos |
Values Alignment | 7.2/10 | ↑ | Strong in customer service |
Employee Engagement | 6.5/10 | → | Mixed department results |
Visual representation makes complex data more accessible and helps identify priorities for improvement.
Benchmarks and Comparative Analysis
Comparing your results against relevant benchmarks provides crucial context. I consider both internal benchmarks (comparing departments or tracking changes over time) and external standards (industry averages or competitors).
Research on organisational cultures suggests that comparing your profile against multiple cases yields more meaningful insights than isolated self-assessment. This approach helps identify where your culture stands relative to others.
When examining results, I look for:
Strengths: Areas where your culture excels compared to benchmarks
Gaps: Dimensions falling below industry standards
Unique attributes: Cultural elements that differentiate your organisation
Understanding these comparisons helps prioritise which aspects of culture require immediate attention versus those that represent competitive advantages.
Feedback and Suggestions for Improvement
Effective cultural assessment doesn't end with analysis—it requires actionable recommendations. I develop targeted suggestions based on identified patterns, focusing on practical changes that support strategic objectives.
The most valuable feedback addresses specific behaviours rather than vague concepts. For example, instead of "improve communication," I might suggest "implement weekly cross-departmental briefings to reduce information silos."
I prioritise recommendations using a simple matrix:
High impact, low effort: Quick wins for immediate implementation
High impact, high effort: Strategic initiatives requiring significant resources
Low impact: Secondary considerations
Organisational culture change requires understanding different stakeholder perspectives. I ensure feedback incorporates voices from various levels and departments to create balanced, comprehensive improvement plans.
Creating Actionable Strategies for Improvement
Once you've assessed your company's culture, turning insights into practical strategies is essential for meaningful change. Strong improvement plans connect assessment data with specific actions that address cultural gaps while building on existing strengths.
From Assessment to Implementation
After gathering cultural assessment data, I recommend creating a prioritised action plan based on the most critical findings. Start by identifying 3-5 key areas where improvements would have the greatest impact on your organisation's performance.
Create SMART goals for each priority area:
Specific: Define exactly what needs to change
Measurable: Establish clear metrics
Achievable: Set realistic targets
Relevant: Link to business objectives
Time-bound: Create deadlines for implementation
Developing a high-performance culture requires translating assessment insights into concrete actions. I've found that successful implementation depends on assigning clear ownership for each initiative and creating accountability structures.
Form cross-functional teams responsible for driving specific changes. These teams should include influential employees from various departments who can champion cultural shifts within their areas.
Fostering Inclusion and Collaboration
Building an inclusive culture begins with examining your current team dynamics. Consider how decisions are made, whose voices are heard, and where collaboration could be strengthened.
Create opportunities for cross-departmental cooperation through shared projects, innovation teams, or collaborative workspaces. These initiatives break down silos and expose employees to diverse perspectives.
I recommend implementing these practical inclusion strategies:
Rotating leadership for team meetings to give everyone experience guiding discussions
Anonymous feedback channels where employees can safely share concerns
Inclusive recognition programmes that celebrate diverse contributions
Mentoring partnerships that connect employees across different backgrounds
Regular feedback sessions help gauge whether inclusion efforts are working. Ask team members if they feel valued and heard within your organisation.
Enhancing Communication and Decision-making
Effective communication forms the backbone of a healthy company culture. Start by mapping current communication flows to identify gaps or bottlenecks that need addressing.
Create clear decision-making frameworks that outline:
Who has authority to make which decisions
What input is needed before decisions are finalised
How decisions will be communicated to stakeholders
When and how decisions will be reviewed
I've seen remarkable improvements when companies adopt transparent communication practices.
Consider implementing regular town halls, executive Q&A sessions, or digital platforms where employees can ask questions anonymously.
Train managers on active listening and constructive feedback techniques. These skills significantly impact team morale and productivity while building trust throughout the organisation.
Monitoring Changes and Long-term Success
Sustainable cultural change requires consistent monitoring and adjustment. Establish key performance indicators (KPIs) that directly connect to your cultural goals.
I recommend creating a Culture Dashboard with metrics such as:
Employee engagement scores
Retention rates
Internal promotion percentages
Collaboration indices
Innovation metrics
Customer satisfaction ratings
Measure progress regularly through pulse surveys, focus groups, and one-on-one conversations. This creates an evidence-based approach to cultural development.
Celebrate small wins to maintain momentum. When teams see progress, they're more likely to sustain their efforts. Share success stories that highlight how cultural improvements have benefited individuals and the company.
Review your culture strategy quarterly to ensure it remains aligned with your business objectives. The most successful companies treat cultural development as an ongoing journey rather than a one-time initiative.
Addressing Challenges and Overcoming Resistance
Assessing company culture often reveals uncomfortable truths that may face pushback from various levels of the organisation. I've found that successful cultural assessment requires strategies to navigate resistance while maintaining focus on improvement.
Identifying Signs of a Toxic Work Culture
A toxic work culture manifests through observable patterns rather than isolated incidents. I recommend watching for high turnover rates, excessive gossip, and leaders who say one thing but do another.
When assessing culture, look for inconsistencies between stated values and actual behaviours. For example, if a company claims to value work-life balance but rewards those who work weekends, this signals misalignment.
Communication breakdowns and information hoarding often indicate toxicity. Track how feedback is received—defensiveness from leadership typically suggests deeper cultural issues.
Employee surveys can reveal toxicity, but only if they're anonymous and acted upon. I've seen organisations conduct surveys then ignore concerning results, which further damages trust and reinforces negative cultural elements.
Changing an Established Corporate Culture
Changing organisational culture requires both strategic patience and decisive action. I've learned that fostering a supportive environment starts with leadership modelling desired behaviours consistently.
Create a compelling case for change by connecting cultural shifts to business outcomes. When people understand why change matters, resistance diminishes. I recommend developing clear metrics to track cultural progress—what gets measured gets managed.
Small wins build momentum. Celebrate early adopters and showcase positive results from cultural initiatives. When introducing changes, I've found success in integrating innovation into everyday practices rather than treating it as a separate programme.
Involve employees from all levels in the change process. This builds ownership and reduces the perception of change being forced from above.
Managing Skepticism and Hierarchical Constraints
Hierarchical structures often present significant barriers to cultural assessment and change. To address this, I identify influential stakeholders at each level and secure their early buy-in.
Addressing resistance requires understanding its root causes—fear, habit, or legitimate concerns. I've found success in creating psychological safety where people can express doubts without judgment.
Use design thinking principles to overcome entrenched resistance. This approach centers on empathy and iterative solutions, helping to navigate complex organizational dynamics.
Be transparent about challenges and setbacks. Nothing undermines cultural change more than pretending everything is going perfectly when it isn't. I maintain integrity by acknowledging difficulties while remaining committed to progress.
Formal and informal influencers exist at every level—identify and engage them as culture champions. Their support can help overcome hierarchical constraints through peer influence rather than top-down mandates.
Measuring Progress and Maintaining Cultural Integrity
Assessing cultural health requires both quantitative metrics and qualitative insights. We need concrete measurements that track our progress while ensuring we don't compromise the core values that make our company unique.
Setting Culturally Aligned Key Performance Indicators
When measuring company culture, I've found that strategically appropriate KPIs must align with our core values. Rather than adopting generic metrics, we should develop indicators that specifically reflect our cultural priorities.
For example, if collaboration is a key value, measure cross-departmental projects or team-based innovations. If transparency matters, track information-sharing practices and employee awareness of company decisions.
Value-Based KPI Examples:
Innovation: Number of new ideas implemented quarterly
Integrity: Ethical decision-making compliance rates
Customer-focus: Customer satisfaction linked to cultural values
These metrics should be reviewed regularly to ensure they maintain their relevance to both business objectives and cultural goals. Remember that what we measure shapes behavior, so choose wisely.
Regular Pulse Surveys and Continual Feedback
Pulse surveys provide real-time insights into cultural health. Unlike annual reviews, these brief, frequent assessments catch issues early and show employees we value their input.
I recommend implementing short pulse surveys every 4-6 weeks focusing on specific cultural dimensions. Keep them under five minutes to complete with a mix of rating scales and open-ended questions.
Key pulse survey approaches include:
Rotating topics to prevent survey fatigue
Including both quantitative ratings and qualitative feedback
Sharing aggregated results transparently
The Organizational Culture Assessment Instrument (OCAI) can provide structured measurement of cultural dimensions over time. This framework helps track how employees perceive current culture versus preferred culture.
Employee Satisfaction and Performance Reviews
Employee satisfaction directly reflects cultural health.
When conducting performance reviews, I integrate cultural alignment discussions alongside traditional performance metrics.
This approach helps identify both cultural champions and risk areas.
Monitor satisfaction alongside turnover rates to spot concerning trends.
Key satisfaction indicators to track:
Turnover rates within specific teams or departments
Internal promotion rates versus external hiring
Engagement scores correlated with performance
By reviewing these metrics quarterly, we can spot cultural shifts before they become problematic.
When satisfaction declines in specific areas, targeted interventions can preserve cultural integrity while addressing concerns.
Remember that maintaining cultural integrity requires regular assessment.