5 Factors that Affect Company Culture [Complete Guide]

Company culture affects all parts of an organization. It can push a company forward to success and it can also pull it downward to its demise. It’s the organization’s “way of life” and can either be positive, neutral or negative.

There are 5 factors that affect company culture. If you believe your organization needs some improvement with its work culture, it’s important to first know these 5 factors for you to better understand and implement strategies to improve company culture. 

Neutral and negative company cultures are never enough to bring an organization to the highest levels of success. It takes having a positive company culture to be among the top of your industry.

In fact, top companies strive to sustain having a positive company culture. Large companies like Google and Microsoft invest a lot to keep their employees satisfied, engaged and committed. All these contribute to achieving and sustaining a positive company culture.

These are the 5 factors that affect company culture:

  1. Leadership
  2. Nature of Business
  3. Company Values, Policies and Work Ambiance
  4. Employee Benefits
  5. Recruitment and Selection


Leaders can make or break an organization. Even with shaping company culture, they are a major determinant. According to Forbes, “leaders are the key to shaping company culture”. While this is true, a lot of companies fail to identify good leaders.

According to Inc., just 10% of people are natural leaders. Some companies appoint leadership to employees who are excellent or are the best at their jobs. The problem with this is that being the best at work doesn’t mean being excellent at leadership.

As a result, a shocking 82% of managers are not good with leading people. This is according to Gallup. Moreover, the lack of good leadership is costing U.S. companies $550 billion each year. 

It’s important to point this out as with poor leadership, a positive company culture can be almost impossible to attain. Worse, poor leadership can transform a good company culture into an inferior one. 

To avoid this, when promoting employees to leadership positions, value potential over performance. A leadership position requires more than just excellence but also emotional intelligence.

Leaders shape company culture through their decisions and actions. By being understanding and supportive of the workforce, leaders can empower the employees to become more productive, engaged and committed. Leaders also help improve employee retention

A positive company culture is developed when these ideal habits are formed. If leaders are toxic towards the employees, the workers can become less productive and lose interest in work. Habits are what sets culture. 

Nature of Business

The nature of the organization impacts company culture through its purpose, market and operations. If the company has objectives beyond the scope of its business such as helping with promoting environmental awareness, employees can become more engaged and feel more significant with the work that they do. 

If the organization creates a meaningful change through its services and products, it can have a positive effect with how they feel about their work. 

Company Values, Policies and Work Ambiance

The values of the company extends toward its workers. After all, the employees have to abide by the principles and rules of the organization. As values such as being truthful, honest, kind and generous to others become habits, they become part of the company culture. 

Employee Benefits

Employee benefits affect company culture depending on the type of perks that are being offered to the workers. Employee benefits that promote financial security helps employees become less stressed with their finances.

In turn, they can be more focused and better perform at work. If employees are offered perks to improve work-life balance such as reduced or flexible working schedules, they can become more engaged as having a good work-life balance can help them become more satisfied with their work. 

Different perks provide different benefits in relation to company culture. Most improve productivity and engagement. Moreover, worker benefits also help with employee retention

Recruitment and Selection

Trying to build a positive company culture begins with hiring the right people. Just one wrong hire can create a significant negative impact on the workplace environment. With recruitment, remember that no hire is better than a bad hire.

Each employee has their own style of working, attitude and other traits that can be in conflict with the rest of the workers. If the new hire turns out to be a toxic employee, productivity and engagement of the other employees can decline. 

Here are statistics about bad hires collected by Hire Hive:

  • 80% of turnover is because of a bad hire.
  • 60% of bad hires will negatively affect the performance of other employees.
  • 39% of businesses report lowered productivity because of a bad hire. 

According to the U.S. Department of Labor, the cost of a bad hire can reach up to 30% of the employee’s earnings during the first year. Moreover, according to the Undercover Recruiter, bad hires are costing companies $240,000 each year. 

By knowing these 5 factors that affect company culture, you can become more aware of what you have to improve and work on. Remember that company culture is a result of habits developed in the workplace. 

Build a positive company culture by striving to implement strategies to boost employee engagement, productivity and commitment through also having good leadership, strong values and competitive employee benefits. 


Best Strategies in Dealing with Workplace Stress [Complete Guide]

No matter the nature, work can cause stress. Being stressed can lead to having a drop in productivity and also impacts health. If not addressed, long-term stress can even cause severe health issues and even death. 

Having work-related stress is a common theme in most people’s lives. In fact, according to The American Institute of Stress, 83% of employees in the United States suffer from work-related stress. Dealing with workplace stress is still a daunting challenge to a lot of people. 

Workplace stress is a silent killer of health. But this is not because the symptoms of stress just shows on the physical level. In fact, it impacts all functions of the human body. Symptoms of stress can be categorized into four types:

  1. Physical Symptoms
  2. Cognitive Symptoms
  3. Emotional Symptoms
  4. Behavioral Symptoms

Moreover, it’s important to know how to deal with stress before it spirals out of control. Long-term effects of stress includes:

  • Cardiovascular diseases such as stroke, high blood pressure and abnormal heart rhythms
  • Mental health problems such as depression
  • Gastrointestinal problems
  • Sexual dysfunction
  • Menstrual problems
  • Skin and hair problems
  • Apathy, lost of interest in work
  • Social withdrawal

An overload of work-related stress can result in high absenteeism rates, productivity plummeting, low employee retention and poor employee engagement. If you believe your workforce is suffering from burnout or other types of work-related stress, it’s important that you implement strategies to help reduce the weight on their shoulders and also educate them on how to better deal with stress.

By doing so, you can reverse the negative effects of stress and achieve ideal business results. Here are the best strategies in dealing with workplace stress:

Educate the Workforce

While you could just remind and tell your workers to “deal with your work stress before it gets out of control”, they can appreciate the thought but might be ineffective with taking action because it tells no specific instruction.

It’s like telling a child, “don’t cross the road” but the child still does it anyway because the child doesn’t know what “road” is. By educating your employees about stress, they can know what the signs of stress are, different types of stress and effective ways on how to deal with them. 

You can do this by holding a lecture or seminar about work stress. You can also educate them just by talking to your employees on how to manage stress. Through this, you also gain your employees’ trust and commitment by showing them that you value their well-being and respect them as people and not just as workers. 

Offer a Flexible Work Environment

Having a flexible work environment helps improve the work-life balance of your employees. By promoting work-life balance, you help reduce stress as having a good-work life balance improves job satisfaction and employee happiness.

When your workforce is fulfilled both in their personal and professional life, they can also become more engaged at work. They have better resilience to stress and they have more time to cope and deal with what’s troubling them. 

By having a flexible work schedule, employees can also have more time to care for themselves and their family. They can be healthier as they can have more time to rest, exercise and more other things besides working too much.

Here are the other benefits of having a flexible work environment:

  1. Increased productivity
  2. Increased creativity
  3. Improved well-being
  4. Improved employee retention
  5. Better work-life balance
  6. Competitive recruitment
  7. Reduced cost

In the U.S., it is harder to have work-life balance. In fact, out of the 38 countries part of the Organization for Economic Cooperation and Development (OECD), the United States comes in at number 30 for work-life balance.

By having a flexible work environment, you also lessen the chances of employees getting burnt out. According to Harvard Business Review, workplace burnout costs an estimated $125 to $190 billion each year in healthcare spending in the US.

Foster a Positive Company Culture

One of the main reasons why workers stay or leave their jobs is because of company culture. Company culture has a strong link to employee stress. If employees work in a toxic environment, chances are, they can be more stressed.

They can have conflicts with their co-workers, supervisors or it could be that they don’t have the proper tools and equipment to do their job well. Part of creating a positive company culture is providing proper tools and equipment to make it easier for the employees to do their work. 

A good example of this are companies making use of automated payroll systems for the payroll to be done much easier. As doing the payroll can take a lot of time and is mentally demanding, making use of one of the 6 best payroll software solutions in 2020 doesn’t just help reduce work-related stress but also improves productivity and employee engagement.


If you believe that much of your workforce is suffering from workplace stress, implement these strategies to give them support. If you want your organization to succeed, you need to value your employees.

As what J. Willord Marriott said, “take good care of your employees, and they’ll take good care of your customers, and the customers will come back”.

The Importance of Employee Engagement [Updated 2020]

Employee engagement is a factor that affects much of an employee’s overall performance. It’s a principle that some companies take for granted and as a result, they experience more problems with their workers and their output.

Employee engagement is significant as it helps form the work culture of your employees. High engagement produces positive work culture and low engagement produces negative work culture.

This also means that employee engagement affects company revenue and that having a disengaged workforce can be detrimental to an organization. You might be surprised to find out how harmful it can be to not do something about a disengaged workforce.

Here are but some of the consequences of disengaged employees:

Disengagement is costing companies billions each year. According to Gallup, actively disengaged employees in the United States are costing companies $500 billion each year due to loss in productivity.
In a study conducted by the Queens School of Business and Gallup, they found out that disengaged employees make 60% more mistakes, 49% more accidents and they have 37% higher absenteeism rate.
According to Forbes, “disengagement is contagious.”

Without strategies to improve employee engagement, you can be losing not just more revenue but also your talented employees little by little. Here’s what you need to know about the importance of employee engagement.

Employee Engagement Boosts Productivity

Productivity sails the company to success. But with the fierce competition in the world of business, average productivity is not enough. Average productivity creates average results. It takes high-level productivity to achieve high-levels of success.

Companies with high employee engagement outperform those with low engagement and this has been proven by studies and statistics. In fact, according to Business2Community, organizations with high employee engagement outperform those with low employee engagement by 202%.

The reason why engaged employees are able to do more is because they are more committed towards achieving the goals of their company. They understand their role and they feel important knowing they contribute towards the growth and success of their company.

Moreover, according to Gallup, a highly engaged workforce shows 21% greater profitability. Companies that value employee engagement, conduct employee surveys and provide benefits to improve results experience this boost in revenue.

This has been the secret formula top performing companies have been using. If you believe you need to improve the productivity of your employees, make employee engagement part of your company’s central strategy.

Higher Employee Retention

Employee engagement has a lot to do with retention. If employees are not fulfilled at their jobs, they don’t have a strong reason to say. At times, even a pay raise is not sufficient to keep employees.

While employees do work to make a living, money is not the top factor in keeping them. Other factors that have to do with employee engagement such as having a positive company culture and right employee benefits matter more to the workers.

According to EBN, employee exits cost as much as 33% of the worker’s annual salary. Moreover, replacing employees who left their jobs is not easy as well. According to Deloitte, it can take up to 70 days to recruit production workers and up to 94 days for people with specialized knowledge such as engineers and doctors.

According to Recruit Loop, workers who are highly engaged are 87% less likely to leave their organization than employees who are unhappy. You can implement different strategies to boost employee engagement such as recognizing employee efforts and promoting work-life balance.

Healthier and Happier Employees

The quality of an organization can be determined by the quality of its employees. Studies have shown that companies with healthier and happier employees aren’t just more productive but also help reduce expenses such as healthcare costs.

Here are more other benefits of healthier and happier employees:
According to a study conducted by Brigham Young University, absenteeism is reduced by 27% in employees who exercise regularly and have a good diets
According to BYU, workers who eat healthier food are 25% more likely to have better performance.
Better teamwork
Fewer workplace accidents
Better corporate image

Organizations that are highly-engaged practice employee recognition and discourage peer pressure. They value feedback and implement changes to improve employee satisfaction. With improving employee engagement, the leader plays a key role.

Leaders help shape a positive company culture through empowerment and setting a good example. It’s important to be respectful of everyone in the workplace and not micromanage the workers.

Striving to achieve a highly-engaged workforce is also setting up to have healthier and happier employees. Here are some ways on how you can improve employee engagement in your organization:

Be authentic
Recognize employee efforts
Ask feedback
Be empathetic
Offer the right employee benefits
Promote work-life balance

By striving to achieve an engaged workforce, you get to keep your best employees. You also boost employee morale in the workplace. Moreover, you earn the trust, loyalty and commitment of the workforce.

As what Simon Sinek said, “when people are financially invested, they want a return. When people are emotionally invested, they want to contribute.”

The Importance of Work-life Balance [Case Study]

Work-life balance has since been in the mainstream and we are fortunate to live in a time where the importance of work-life balance is being given more attention and value. But, just what is work-life balance?

According to SkillsYouNeed, “work-life balance is a term used for the idea that you need time for both work and other aspects of life, whether those are family-related or personal interests.”

It is having both achievement and enjoyment in life. We spend a lot of our time at work. In fact, according to Gettysburg, one-third of our lives will be spent at working. The issue here is, are you satisfied with how you are spending that one-third of your life?

Here are the facts:

  • 85% of employees are dissatisfied with their workplace. – Ipsos
  • Just 15% of employees are engaged at their jobs. – Gallup
  • 40% of employees reported that their company is aware that they are looking for new jobs – Addison Group
  • More than 80% of workers are looking for a new job or are open to having a new one. – Ajilon

Most people are neither engaged nor satisfied with their current job. Satisfaction at work is linked to work-life balance. In fact, according to iEduNote, one of the causes of job dissatisfaction is the lack of work-life balance.

Before the warning signs of employees about to quit arise, strive to improve the work-life balance of your workers. With poor work-life balance, the overall performance of a company can be much lower than those with engaged employees. 

It’s no longer enough to just provide retirement plans even from excellent companies like Fidelity 401k and other employee benefits that most companies are offering. You need to step up and also offer work-life balance to the table. 

Here’s what you need to know about the importance of work-life balance:

The Benefits of Work-life Balance to Employees

It’s not hard to see the kind of worker one can be if the employer promotes and practices work-life balance. If you are fulfilled in both your professional and personal life, the overall quality of your life improves.

As a result, you are happier, more motivated, have more energy to take action and you can also become more creative. That’s just the start. For the employees, these are the benefits of work-life balance.

  • Increased productivity
  • Happier and less stressed workforce
  • Lowers medical cost and absenteeism
  • Improved employee health and well-being
  • Increased employee loyalty and commitment
  • Engaged workforce
  • More positive perception of you as an employer
  • Reduces recruitment cost

When employees work too much and become overwhelmed, their productivity can plummet. This is because burn-out and stress can make it harder for an individual to have clear thinking. 

Moreover, if most of the thoughts that are in their mind are work-related, work can begin to cause depression. A study by the Corporate Executive Board has found that workers who believe that they have good work-life balance are 21% more productive than those who don’t. 

As mentioned earlier, having a good work-life balance improves employee engagement. Here are results from a study conducted by Gallup:

  1. 41% reduction in absenteeism.
  2. 24% lower turnover.
  3. 28% reduction in inventory loss and 40% reduction in quality defects.
  4. 70% decrease in accidents.
  5. 10% higher customer scores.
  6. 20% increase in sales.
  7. 17% higher productivity.
  8. 21% higher profitability.

The Benefits of Work-life Balance to the Employer

A workplace that promotes work-life balance impacts both the employees and the employer. For the employer, work-life balance can help you with: 

  • Better teamwork, communication and coordination
  • Improved morale
  • Increased commitment and engagement levels
  • Better adaptability to changes in market
  • Positive company reputation
  • Competitive recruitment

As you may have noticed, promoting work-life balance is a good strategy to boost employee morale, improve employee retention and to create a positive company culture. Having a workforce that’s more committed and more motivated makes it easier for you as the employer to achieve game-changing results.

Ways to Promote Work-life Balance

Now that you’ve understood the importance of work-life balance, here are different methods to promoting it: 

  1. Lead by Example
  2. Embrace flexible work scheduling
  3. Welcome a remote workforce
  4. Telecommuting

Those are but some of the most effective strategies in implementing work-life balance. Always remember that as an employer and a leader, you play a huge role in the implementation of work-life balance.

A lot of companies promote work-life balance but not all do the practice. Lead by example and once the employees see you valuing work-life balance, they’ll begin to do the same. Make it clear to them that practicing good work-life balance is the right thing to do.

Know that empowerment of leaders shape company culture. You can also educate the workforce by conducting seminars about work-life balance. 

Encouraging your employees to have a healthy balance between work and personal life will show them that you don’t just value them for their work contribution. Encouraging them to have a good work-life balance also shows that you value them and respect them as individuals. 

Implement what you’ve learned in this article for you and your employees to experience the benefits of having good work-life balance. Begin to plan your strategy today. 

The Workplace Gender Gap and How We Can Close It [Complete Guide]

Issues regarding gender gap are nothing new. It is a problem that has been occurring not just in the United States but also Worldwide. Despite the increase in awareness and various discussions about the issue, there is still a lot to do in order to close this gap.

According to a study conducted by McKinsey & Company, companies and organizations in America have not made much progress in addressing the issue regarding gender gaps in the workplace. 

Results from the study showed that women working in corporate firms do not lack the needed education or skill set for the job. However, the main reason why they are unable to hold higher positions is because of the gender. 

In addition to this, women often have to give more proof of their competence to be considered for a job of higher standing compared to men. Women of color are the ones who often experience these types of situations.

Gender Gaps In The Workplace

According to Excite, the gender gap is a type of discrimination that is more focused on one’s gender. This results in people being in a disadvantageous position due to their gender. May it be job positions, promotions, income or workload, these are all factors that come with this issue.

Interesting statistics from Skillcrush showed that women make up 47% of the American corporate workforce. Despite the number of female workers, CEOs who are women make up just 5% of the total CEO count. 

This shows the struggle of women to keep a job with a high position while facing gender inequality at their workplaces. Women suffer from discrimination and this can be observed in the form of job positions and even in their salary.

Here are some insightful statistics from Built In which might help in increasing more awareness to this issue:

  • 23% of women are often assumed to being incompetent at work.
  • 15% of the female workforce population receive lesser support as compared to men in the workplace.
  • 7% of women are denied job promotions or rejected from the jobs they applied for.

Gender gap issues are due to society being tied down by old habits. According to Workable, most of the C-suite jobs like manufacturing and technology were handled by men before. It became a norm that men are the usual applicants for these types of jobs.

Since then, there has always been a bias against women. Women have become stereotyped as the ones who stay at home to take care of the family and do the house chores. This is why a lot of people think that women are unable to hold positions that have greater responsibilities.

Obstacles Women Face At Work

With so little activities done to fix the impending issue on gender gaps in the workplace, women still have a hard time in their workplaces. According to As You Know, these are the leading issues that encourage workplace gender gaps.

  1. Salary Differences
  2. Sexual Harassment
  3. Denied Job Promotions

Salary Differences


It is a well-known fact that women no longer fall behind in terms of education. According to Status of Women Data, there are a lot of women who have various degrees in different fields of professions. 

Statistics from the Institute for Women’s Policy’s research show that for every dollar men earn from their jobs, women just earn 49 cents.  This goes to show the lack of fairness in wages and salaries between men and women despite education not being the problem. 


Sexual Harassment


Sexual harassment is a common problem the occurs all around the world. This issue is not only limited to corporate firms and organizations, sexual harassment can happen anywhere. However, in the workplace, it can be considered gender inequality.

Although this problem is more prevalent for women than men, men still can be victims of this serious issue. This is according to the National Partnership. Sexual harassment can have negative impacts on their work productivity, performance, employee engagement and women would even quit their jobs because of sexual harassment. 

According to an online survey from Stop Street Harassment, 81% of women have experienced sexual assault in their lifetime. This is not a problem that can be overlooked. Since it affects the mental health of the people victimized by such acts.


Denied Job Promotions


Women can be viewed as less capable in a workplace setting. This is one of the reasons why women don’t get promoted to higher-ranking job positions.

Since most leaders believe that men are more capable of doing the more difficult tasks, women are often not given the chance to become leaders even though experience has shown us that women do make great leaders. According to an article on CNN, women always have to work harder to get promotions.

In order to prove their capabilities in handling complex tasks, women have to present more proof to validate their education and skills. Thus, despite working the same number of years in experience, women still tend to lose to men in terms of job promotions.

How To Close The Gap

Closing the gender gap isn’t as simple as it sounds. According to Ellevate, despite numerous studies conducted on the benefits of diversity, a lot of companies still struggle to create change.

Here are some of the ways to close the gender gap that is experienced in your company.


Salary Transparency


Despite having the Equal Pay Act of 1963, wherein men and women are entitled to have equal amounts of salaries, there are still a lot of women earning a lot less than men. This is according to CNBC.

In order to fix this dilemma, companies have to be transparent about their salaries and wages. This is to make sure that their employees are aware of how much they are getting paid for doing this much work on an average 8-hour shift every day.

Build Diverse Core Values

Having core values that not only cater to male employees but also females can also be helpful in building a culture that is centered on gender equality. According to Corporate Wellness Magazine, having diversity in the company’s core values has a lot of benefits.

One of which is the elimination of gender stereotypes within the workplace. This can help eradicate the belief that women can’t do things that men can do. Such an outdated belief needs to be erased from a company in order to promote a healthier work environment.

Improve Company Culture

According to Business News Daily, companies should invest in building cultures that helps their employees feel a sense of belongingness in the workplace. With belongingness and acceptance as the main focus, this will help implement gender equality.

With this in mind, it will be easier to deal with the negative behaviors of other employees. Since leaders will be able to point out people who don’t embrace the company culture and follow the company’s rules.

Create a positive company culture that also embraces women in leadership. Current leaders play a huge role in this as empowerment of leaders help shape company culture. Women make great workers and leaders. 

Women are an indispensable part of the workforce and as such, women should be treated with equal respect. With equal treatment between male and female workers, you’ll also have better chances with keeping top employees as everyone has equal opportunities for career advancement. 

Closing the gender gap requires the cooperation of everyone to bring about full awareness on the matter. Practice and share our guide so more may know about the workplace gender gap and how we can close it. As what Frieda Pinto said, “gender equality is a human fight, not a female fight.”

4 Best Ways to Improve Employee Engagement [Complete Guide]

Employee engagement is a crucial factor for the success of an organization. It involves a lot of elements such as employee productivity, retention, performance and even impact company culture.

While having an engaged workforce is ideal, it can be a challenge to improve employee engagement. There can be hindrances for the development of employee engagement but with the right strategies, it can be achieved.

We’ve done the research for you and compiled the best ways to improve employee engagement. Here are the strategies you can follow for your organization to reach its next level:

Choose the Right Leaders

Leaders are paramount as they affect the direction of where the company’s heading, it’s culture and the morale of the workforce. Excellent leaders have high emotional intelligence. 

They have the skills and knowledge to influence people.

For leadership, don’t choose those who perform the best at their job. While excellence is a requirement, that is just an entry-level trait for leadership. Potential matters more as a leader’s job is to be good with handling people and not just be great at doing general business operations.

With the right leader, employee engagement can be achieved through empathy, recognition and motivation. This is also how empowerment of leaders shape company culture

Leadership Training

The success and failure of an organization depends on its leaders. While more and more companies have been giving more value to leadership, companies are still facing a leadership gap. These statistics from Team Sylverster shows how critical the gap is:

  • 77% of companies reported they are experiencing a gap in leadership.
  • 10,000 baby boomers are retiring each day. They bring along with them valuable leadership skills and know-how in doing the business operations.
  • 64% of Millennials reported that their leadership skills are not being improved.
  • 83% of organizations believe that it’s important to develop leadership in all levels.
  • Just 5% of them implemented leadership training and developments in all levels.

Promoting the value of good leadership and acting upon it are two different things. Moreover, while leaders have the influence and authority to improve employee engagement, leadership training can be a catalyst for employee engagement.

Even when you have an excellent leader, if the workforce is disengaged and has low morale, it can be daunting for the leader to create some changes. With leadership training, everyone can be instilled with the knowledge and skills on how to be more self-empowered and become more productive and engaged at work.

Leadership training also helps current leaders to further develop their abilities. This ensures a consistent competence in leadership.

Be Empathetic and Give Recognition

There are a lot of studies that have shown the strong link between empathy and recognition to employee engagement. Here are the statistics:

  1. According to Recruit Loop, engaged employees are 87% more likely to stay at their company.
  2. 93% of workers mentioned that they are more likely to stay if their employer is empathetic. – Businessolver
  3. 70% of employees reported that their motivation and morale would increase in a significant manner if their leaders would thank them more. – Reward Gateway

When employees are appreciated, they can become engaged and an engaged workforce is 21% more profitable. This is according to Gallup. Here are steps on how you can become more empathetic to your employees:

  • Call employees by their names.
  • Compliment them for their excellent work.
  • Understand their circumstances.
  • Show them your support.
  • Listen to listen, not listen to react.

Being empathetic to your employees is also another way on how to create a positive company culture. It’s a way to improve employee retention and it motivates them to become more committed to their work. 

It’s also one of the best steps to boost employee morale in the workplace. If workers know their employer has their back, they will give their trust and become more engaged.

Offer Ideal Employee Benefits

Offering the right employee benefits is one of the best strategies in keeping your best employees. But more than to give you a competitive edge in recruitment and in keeping your employees, it also helps improve employee engagement. 

Employee benefits help improve employee satisfaction, happiness and overall health. All of these help contribute to better employee engagement. 

Employee benefits can enable workers to have more flexible options at work or to even make work more fun for them. Moreover, it also helps them with financial security and it can help boost their loyalty.

Some employers even help their workers to refinance student loans. Here are statistics about employee benefits:

  1. 78% of employees would prefer to stay with their employers because of the benefits that they offered. – WTW
  2. Over 60% of employees are willing to accept a job with lower pay as long as the job offers greater employee benefits.

A good sign of an organization having good employee engagement is when their workers want to stay not just because of the salary but also because of the benefits and culture of the company.

If you believe your organization needs to improve its strategy in employee engagement, try the strategies we’ve shared with you in this article. Top companies make use of these strategies and they’ve proven that the methods work.

Improved employee engagement can be a game changer for your organization. Strive to put into action these 4 best ways to improve employee engagement to increase revenue, customer ratings and happiness at work. 


How to Create A Positive Company Culture [Complete Guide]

Having a positive company culture is an important aspect in running an organization. It affects employee engagement, productivity, morale, satisfaction and much more. It’s ensuring employees have a good life at work and as a result, it also improves retention.

While it’s known that having a positive company culture is ideal, there are still a lot of organizations that take the significance of work culture for granted. Moreover, the lack of knowing how to create a positive company culture is also an issue.

There are a lot of benefits with having a positive company culture. Having a good work culture improves:

  • Employee productivity
  • Retention
  • Morale
  • Performance
  • Loyalty
  • Mental health
  • Physical health
  • Happiness
  • Engagement
  • Satisfaction

A company benefits from an engaged workforce as improved productivity means better chances of greater revenue. Moreover, having a positive company culture also lets an organization be more appealing to job seekers. 

It’s a win-win situation for both the employer and the employees. This is why it’s important to know how to create a positive company culture and act upon it. It’s what separates the top companies from the rest.

Here’s how to create a positive company culture:

Hire the Right People

With building up a good company culture, begin with hiring the right people. Know that attitude is more important than talent. This is because skills can be taught but attitude is harder to develop. 

According to The Daily Reader, “research has shown that your attitude is the most important factor in determining how well you do in life.” Moreover, attitudes and energies are contagious. Surround yourself with negative people and in time, you can find yourself becoming like the people you associate with.

On the other hand, surround yourself with positive people and it can be easier for an individual to also be positive. What this means is that even a single toxic person can affect the morale of the workplace.

This doesn’t mean that talent should be neglected. This just means that skillset and attitude should go hand in hand.Hire candidates whom you believe can fit in the culture you are trying to build. 

See their potential by testing their soft skills. Don’t make the mistake of making a bad hire. According to Forbes, no hire is better than a bad hire. Toxic employees can sabotage the fruition of a good company culture. 

They can cause tension, conflict and low workforce morale. Here are the impacts of a bad hire according to Entrepreneur:

  1. Decreased productivity
  2. Cultural imbalance
  3. Damaged reputation
  4. Negative financial impact

According to The Undercover Recruiter, bad hires cost $240,000 in expenses related to hiring, compensation and retention. Be selective with whom you let in your organization. Otherwise, you risk experiencing the consequences of a bad hire.

Be More Empathetic

An empathetic leader is an integral element in forming a positive company culture. With an empathetic leader, employees are more motivated and engaged at their work. 

Empathy is the biggest single leadership skill needed in today’s world. This is according to studies conducted by the Development Dimensions International. Richard Wellins, the senior vice president of DDI, had this to say:

“Being able to listen and respond with empathy is overwhelmingly the one interaction skill that outshines all other skills.” Moreover, empathetic leaders are able to foster a spirit of teamwork and they also help improve employee loyalty and thus, also retention.

According to Dianne Crampton of Gonzaga University, “empathy is a universal team value that promotes high commitment and cooperation in the workplace.” A study by Business Solver showed that 92% of employees would want to stay at their jobs if their employer showed empathy.

You can show empathy by being more understanding and helpful to your employees. This can also include offering employee benefits for their financial security and physical wellness. You can also do this by talking to your employees on a more personal level.

Talk to them about their family, goals and even their hardships in life. If they have problems with how to refinance student loans or whatever issue it may be, give them good advice. Being empathetic is about being able to see and understand from the perspective of others. 

It is the leader who should initiate the forming of work culture. If positivity fails at leadership, it will be almost impossible to create a positive company culture. 

Positive Communication and Recognition

Communication can both create and solve problems. It just depends on how a person delivers and perceives the message. With how to create a positive positive company culture, positive communication is another requirement.

This is not about random unproductive chats in the office. Positive communication is about delivering a message, even if it’s a negative one, in a positive manner. This can be nurtured through coaching of the leader or through training and seminars about positive communication.

One reason for positive communication is to empower and motivate others. A good example of this is through recognizing employee efforts. Here are some ways on how you can recognize employees according to gethppy:

  1. Give shout-outs
  2. Offer fun projects for professional and personal development opportunities
  3. Take them to lunch
  4. Distribute non-cash rewards
  5. Loosen the reins
  6. Throw a competition, party or potluck
  7. Encourage peer-to-peer recognition
  8. Say thank you 

With recognition, it goes without saying that you have to be genuine with your acts. Otherwise, you can have problems gaining the trust of your employees. Here are the benefits of recognizing employee efforts:

  • Improves employee retention
  • Improves employee engagement
  • Improves trust
  • Employees become more motivated
  • Improves employee loyalty
  • Improves employee satisfaction
  • Improves employee happiness

All in all, positive communication and employee recognition helps pave the way in creating a positive company culture. 

Don’t take the importance of having a positive company culture for granted. It’s a game-changing scenario and offers a myriad of benefits both for the employer and the employees. 

Follow the steps we’ve provided and you’re well on your way in creating a positive company culture. 

Why Women Make Great Leaders [Case Study]

While leadership shouldn’t be dependent on gender, most leadership titles are filled by men. While there is no issue about this matter, studies have shown how and why there’s just a handful of women leaders compared to men.

Even though men have been dominating leadership positions, a lot of studies have proven how women make great leaders. We even have and had female CEOs with massive achievements and success to prove this.

We’ll get to these studies later on. For now, out of the fortune 500 companies, how many of them do you think are led by women? 100? 50? 80? Take a guess.

Last year, we hit a new record high. According to CNBC, In 2019, there were 33 women CEOs out of the fortune 500 companies. In 2018, there were just 24 and 2017 used to hold the highest record with 32 female CEOs.

Male leaders far outweigh female leaders. However, in terms of leadership skills, this doesn’t seem to be the case. In fact, women even possess traits that can enable them to become better leaders.

Why Are There Too Few Female Leaders?

Just 28% of American CEOs are women. This is according to Scientific American. There are a couple of reasons as to how and why this is. There has been an extensive study that analyzed papers on leadership emergence published between 1957 and 2017.

With the study, students or co-workers were asked to select group leaders or rate each other based on how they’ve led a group. Group participation and one distinct characteristic, assertiveness, have also been measured.

The results showed that men were often chosen to become leaders than women. However, when groups interacted for more than 20 minutes, data has shown that men and women were equally chosen or rated as leaders.

The study has shown that one of the reasons why men tend to become leaders is their assertive personalities. Because they speak up more, they were chosen to become leaders more than women.

However, when groups interacted for over 20 minutes, this is no longer the case. Because everyone became better acquainted, participants relied less on gender stereotypes.

Moreover, a study by Krisztina Timko published on the Munich Personal RePEc Archive showed that men and women are equally effective leaders. Here’s the conclusion of her study:

  • In gender-not-revealed, women requested more often “risky high effort levels” than men and they succeed with this method.
  • In gender-revealed, men and women have the same likelihood of requesting highest effort and they both are equally effective leaders.
  • In both gender-not revealed and gender-revealed, men and women are followed to the same extent. However, there is discrimination in gender-revealed where women were given harsher evaluations for given team performance.

What Makes Women Great Leaders?

While men are more assertive than women, women also possess traits that allow them to become great leaders. Emily He, CMO at DoubleDutch, had this to say,

“In contrast to men, who tend to be career-centric and want to maximize their financial return from work, women view work more holistically, as a component of their overall life plan.”

“Therefore, they’re more likely to approach their careers in a self-reflective way and value factors such as meaning, purpose, connection with co-workers and work-life integration.”

Here are the personality traits of women that make them great leaders:

  1. They are empathetic
  2. They value work-life balance
  3. They are nurturing

These traits are just among others.

They Are Empathetic

Studies have shown that women are more empathetic than men. A longitudinal study even showed that as people age, the gap of emotional empathy also grows. Empathy is a key ingredient in leadership.

In fact, a study conducted by Businessolver found that 92% of employees would want to stay longer at their jobs if their leader would be more empathetic.

They Value Work-life balance

Women value work-life balance and this allows them to be more open to sensitive questions and personal requests. Women are caring and might even teach their young employees how to be more responsible with their finances and relationships.

Having the nature of caring mothers, if topics like student debt come across, they might even help by sharing knowledge such as the student loan payoff calculator. Being able to wear many hats, they can balance their career, household duties, and other things.

Being flexible allows them to be more focused on solutions for everything to be accomplished. According to Amy Killoran, creative manager of I Love Travel, women are more proactive in becoming mentors.

Leadership is also about producing more leaders. With women who are more proactive in becoming mentors, having employees with leadership qualities will be less of a problem. Being a mentor also helps with leadership continuity.

They Are Nurturing

Having the nature of mothers, women are nurturing. They allow team members to grow and develop their own strengths and skills. This is vital in an organization as having better employees can mean better sales and performance.

Bottom line is, women make great leaders and are just as excellent as men. They possess a lot of positive attributes that help them become natural leaders. Next time you encounter a female leader, don’t depend on gender stereotypes.

We hope we are able to make you see why women make great leaders. If you have female friends wanting to become leaders in their organizations, share this article with them. Let’s help more women become leaders of industries.

Warning Signs of Employees About to Quit [And Why It Matters]

There are a lot of things that you need to look out for to keep your organization running. One of them is ensuring your employees stay. Just focusing on revenue but not on your employees will cause you to suffer huge consequences.

The worst of all is that your organization can close down because of having low employee retention. If you know the warning signs of employees about to quit, you can prevent them from leaving.

Moreover, if you are experiencing some problems with employee turnover, you need to learn more about keeping your employees and boosting the morale of your workforce. Otherwise, your employees will be disengaged and their commitment to your organization will be low.

Everything starts with leadership. This is because leaders affect morale and commitment of the employees. According to Randstad US, one of the main reasons why employees leave their jobs is because of bad managers.

Randstad mentioned how 60% of workers leave because of leaders being terrible at leading. Knowing common reasons why employees leave their jobs is crucial if you want to know how to improve employee retention

When employees are about to quit, there can be changes with their behaviors or actions. It’s important to pay attention to these warning signs so you can take action if the situation can be helped.

Here are 3 warning signs of employees about to quit:

Poor Performance

One of the reasons why employees leave their job is when they are disengaged. When employees are disengaged, their performance suffers. According to Gallup and Queens School of Business, disengaged employees create 60% more errors, 49% more accidents and have 37% higher absenteeism. 

Even when they are wanting to quit, disengaged employees that are in your organization is costing you. According to Harvard Business Review, disengaged employees are costing companies $450 to $550 billion a year.

If an employee was performing well before and it changed, decide to have a talk with the employee. Ask the employee if what is wrong and help them if you can. Employee satisfaction is an issue not being addressed by a lot of organizations. 

According to the Conference Board’s survey, just 51% of employees feel satisfied with their jobs. This means that half of the workforce population are experiencing dissatisfaction with their work. 

If employees know they can trust their employers, their satisfaction can improve. This also improves their chances of staying. One way on how you can do this right away is by recognizing their efforts or by thanking them.

According to a study conducted by Cicero Group, 50% of employees said that being thanked by their employers will improve their relationship and trust with them. 

Has Conflict With Other Employees

Having a conflict with other employees can be frustrating. It takes out the joy out of working and causes one more stress. Moreover, employee conflict creates a negative company culture.

According to a study by Elizabeth Medina of Columbia University, companies with a bad company culture have a turnover rate of 48.4%. In other words, having a negative company culture increases the chance of employees leaving.

If employee conflict exists in your organization, there can be employees about to quit because of it. It is important that you address any employee conflict because whether employees leave due to the conflict or not, they are creating damage to your company.

Here are the results from a Harvard Business Review poll in relation to employee conflict: 

  • 48% reduced their work effort on purpose.
  • 47% reduced their time spent at work on purpose.
  • 38% reduced the quality of their work on purpose.
  • 80% lost work time because of thinking about the conflict.
  • 63% wasted work time because of avoiding the offender.
  • 66% reported that their performance got worse.
  • 78% reported that their commitment to the organization declined.
  • 12% stated that they quit their job because of being treated in an uncivil manner.
  • 25% admitted that they took their frustrations out on the clients.

Strive to resolve any employee conflict that is present in your organization. Help out employees about to quit and strive to foster teamwork mentality for your workers. 

There is a Lack of Recognition

Money is not the main reason why employees stay or leave their jobs. In fact, a lot of other things are valued by employees more than money. Studies have found that employees value recognition more than salary. 

According to Gallup, one of the main reasons why workers quit their jobs is because of the lack of recognition. Can you guess just how much employees are not being recognized for their efforts?

According to a poll by Gallup, 65% of workers said their efforts were not being recognized by their employers. This goes to show just how important leaders are when it comes to employee recognition which is linked to employee retention.

We’ve written an article about how empowerment of leaders shape company culture. In the article, we’ve mentioned that half of all U.S. employees are considering a new job. This was from a study conducted by Gallup.

Another shocking statistic is that a whopping 70% of employees leave their jobs because of lack of appreciation. This is according to the O.C. Tanner Learning Group. Recognition and appreciation means a lot to employees, give it to them.

It costs you nothing to give but it can cause you a lot of trouble if you don’t give them enough or if you don’t give them recognition at all. Keeping employees has become harder because of the fierce competition to both attract and keep employees.

Large companies have been offering generous employee benefits because it’s one of the most effective strategies in keeping employees. Rite Aid is one of the fortune 500 companies and is the third largest drugstore chain in the United States.

Rite Aid employee benefits include having a health plan, dental insurance, maternity support program, disability plan, leadership program, coaching and mentorship, daycare flexible spending account, tuition reimbursement and more. 

Their benefits help the employees with their professional and personal growth. This helps employees remain challenged, motivated and committed to the company. 

Another fortune 500 company that offers excellent employee benefits is Carmax, the largest used car retailer in the U.S. Part of Carmax employee benefits is having medical plan, dental insurance, employee assistance program, life-insurance, paid time-off, parental leave, company stock purchase, student loan refinancing, tuition assistance, adoption assistance and more.

You don’t have to offer too much employee benefits that it will hurt your organization more than it will help. However, looking at their employing benefits can help you get ideas of what  benefits you can offer your workers.

This way, signs of employees about to quit will become less of a problem. Being able to read the warning signs is good. However, knowing how to better motivate, inspire and create a more engaged workforce is better. 

Again, here are the 3 warning signs of employees about to quit. If you notice them, do something to help out the employees if they have problems for them to stay:

  1. Poor performance
  2. Has conflict with other employees
  3. There is a lack of recognition

According to Richard Branson, “a business has to be involving, it has to be fun, and it has to exercise your creative instincts.” This principle also applies with keeping your employees. If there are warning signs of employees about to quit, know what to do and take action right away. 

How to Improve Employee Retention [And Why It Matters]

The quality of leadership, culture and values of a company can be determined by its employee retention. Top companies have excellent employee retention because of how they manage, value and treat their employees.

Having good employee retention is rewarding. On the other hand, having low employee retention is detrimental and can be enough to cause the downfall of your organization. 

To give you an idea, a study conducted by Employee Benefit News showed that the average cost for an employee exit is 33% of their annual income. Moreover, if your workforce is not engaged, they are less productive and their performance can be average to poor.

By improving employee retention, you also improve:

  • Company Culture
  • Employee Productivity
  • Employee Performance
  • Customer Experience
  • Sales

Employee retention is the result of good company management. Here are a few steps for you to improve employee retention.

Create a Positive Company Culture

Company culture is everything. Employees value culture and benefits over money. In fact, according to Hays, 47% or nearly half of employees consider culture their main reason when looking for a new job.

More than improving employee retention, there are more other benefits for having a good company culture. With a positive and strong company culture, employees are more motivated to work harder and better.

There are a lot of ways on how you can develop a good company culture. Here are a few that you can do right away.

  1. Greet your employees
  2. Calling employees by their name
  3. Giving compliments
  4. Showing appreciation
  5. Being accountable
  6. Becoming solution-oriented and not focusing on problems
  7. Complimenting excellent work of others publicly
  8. Listening to employees’ input

Being empathetic and a good role-model sets the beginning of building a positive company culture. Another benefit of having a good company culture is strengthening the engagement of workers.

If workers are engaged, your organization can become 21% more profitable. This is according to a research conducted by Gallup. Another study from Gallup also showed that engaged companies have a 59% reduction in turnover rates.

With an excellent company culture, you not only improve employee retention but you are also getting higher revenue. 

Hire the Right Employees

An employee exit or replacing an employee has a high price tag. This is even more true if the employee is highly-trained. According to PeopleKeep, the cost of replacing an executive-level employee can be more than double their annual income.

Hiring the right employees can help out with retaining or improving employee retention because bad or toxic employees can affect company culture. Bad hires can affect other employees in a negative manner that can cause them to become less productive.

On the other hand, having the right employees for the job with personalities that fit into the culture can be beneficial. With hiring, remember that no hire is better than a bad hire. Research has shown that rude employees have a significant effect on their coworkers.

Here are statistics about the influence of toxic or bad employees among other employees according to Harvard Business Review:

  • 63% lost work time avoiding the offender.
  • 66% stated that their performance declined.
  • 78% mentioned that their commitment to the organization declined.
  • 12% said the reason why they left their job was because of uncivil treatment.
  • 25% admitted they took their frustration out on customers.

As you can see, bad hires and bad employees can cast away other workers and even clients. To improve employee retention requires weeding out employees with a troublesome attitude.

Provide Competitive Employee Benefits

Employee benefits is one of the most critical elements in keeping workers. In fact, one of the main reasons why a lot of companies offer generous and competitive employee benefits is to keep and attract valuable employees. 

According to studies, employees even value benefits more than they do money. A study by the American Institute of CPA showed that a whopping 80% of employees would rather keep their jobs with employee benefits than to accept a job opportunity with higher pay but with no benefits. 

Another study from Willis Towers Watson concluded that 78% of employees said they choose to stay at their jobs because of the employee benefits. According to Zenefits, 60% of employees are even willing to accept a lower paying job that has better benefits.

Offering competitive employee benefits also shows that your company cares for its employees. Good employee benefits is linked to employee satisfaction, productivity, engagement and higher employee retention.

It also improves morale and helps build a good company culture. Offering good employee benefits is so significant that an organization may become irrelevant if it lacks employee benefits. 

If you want to improve employee retention through benefits, it doesn’t mean that it requires a gargantuan budget. There are a lot of options that don’t even require financial costs. 

To give you some examples, this could be having reduced hours, flexible working schedule programs, working remote and more others.

Employee retention matters because the workers are the reason having businesses are possible. If your business runs low on and keeps on losing employees, the business can become a failure. 

To take care of your business, you have to take care of your employees. The measure of how you value your employees is through their retention. Again, for you to improve employee retention, just remember to:

  1. Create a positive company culture
  2. Hire the right employees
  3. Provide competitive employee benefits

Valuing your employees is how you take care of a business. Implement what we shared and you are sure to improve employee retention. As what Zig Ziglar said, “you don’t build a business, you build people and then people build the business.”