Why is improving corporate culture suddenly a topic that everyone is discussing? Much of the reason has to do with attracting and retaining good workers. At a time when good workers are at a premium, companies are scrambling to make sure their workplace is one that can bring in the best employees — and give them good reasons to stay.

According to a 2015 Gallup poll, less than one-third of employees in the U.S. consider themselves “engaged” at work. Just 32 percent of employees said they were engaged in their jobs, while 51 percent said they were not engaged and 17 percent said they were actively disengaged with their work. Similar numbers were found in 2014.

This is bad news for employers dealing with a tightening labor market. Non-engaged workers are not only less productive, they are more likely to leave, the Gallup survey noted. “These employees are not hostile or disruptive,” the analysis said. “They show up and kill time, doing the minimum required with little extra effort to go out of their way for customers. They are less vigilant, more likely to miss work and change jobs when new opportunities arise.”

So how do companies create more engaged workers? Improving a company's culture is seen by many as an essential step. Here are some tips for making your corporate culture more attractive to workers.

1. Emphasize communication and accountability

Experts in healthy corporate culture agree: Communication is absolutely essential to improving a company's culture.

“The number one challenge is communication,” says Ben Peterson, co-founder and CEO of BambooHR, an HR software company. “Employees need to know clearly where you're going and what your goals are.”

Paula Pryor is senior vice president of human resources at Walker & Dunlop, a real estate financing company that has been recognized for its good corporate culture practices. She said the company's leadership emphasizes transparency and communication with employees.

“Our CEO sends weekly email updates to employees,” Pryor says. “We do quarterly employee meetings where we talk though our earnings calls. Our CEO goes to another level, really giving employees information about the company to keep them ahead of the curve as to what we're trying to do as an organization.” By stressing communication and accountability, she adds, Walker & Dunlop helps employees feel invested in the company and its success.

Larry Johnson, a consultant and author of the book “Absolute Honesty: Building A Corporate Culture That Values Straight Talk And Rewards Integrity,” says employee surveys can be a good tool for finding out if workers think they have the resources to do their jobs well, or whether they feel their input is valued.

“It's like any relationship; it's a two-way street,” he says. “If you don't reciprocate, they give up and move on.” He adds that if companies ask a lot of employees, they have to give back in return. “Employees get more from the job than just a paycheck, and they expect more,” he says.

2. Give employees skin in the game

It may not be possible in every situation, but many companies known for good culture provide employees with some ownership in the business. Pryor notes that employees at Walker & Dunlop are given equity in the company. “They really are owners of the company and are invested in its success,” she says.

And compensation is not an insignificant part of the equation. Johnson says good wages and employee-owned stock are often associated with strong corporate culture. He points out that New Belgium Brewery compensates employees with shares of company stock.

And he says the grocery chain Costco is another example. “When I think of a healthy corporate culture, I think of companies like Costco,” he says. “People like working there because they're treated well. There's an overall sense of trust in management. And they pay well. You pay for labor, but you also pay for goodwill.”

Johnson adds that employees know when they're undervalued. “You don't have to run your company like a full democracy, where there's a vote on every decision,” he says. “But people should feel valued working there. They should feel like they're contributing and are recognized for it.”

3. Embrace social interaction

Pryor's company has also been lauded for its approach to team-building, which includes social gatherings and training opportunities. The company hosts an annual gala ball, but complements that event with training sessions over a three-day gathering that brings together employees from all over the country.

“It gives people an opportunity to come into town and do training, they can interface with people that they work with all the time by phone and by email. They get to meet them and see them and build a more personal relationship with them,” she says.

Walker & Dunlop also allows regional offices to budget for social activities such as happy hours, ice cream socials, sports events, and holiday parties. “It may seem small and trivial, but we've found that they've made a big difference. It gets people talking and it really fosters camaraderie and interactivity,” Pryor says.

4. Take the right first steps

Leadership buy-in from the very beginning is a crucial part of meaningful improvement in corporate culture. “You can't have a culture that's out of alignment with the intention of the founders, or the board,” says Peterson.

At the same time, companies are advised to look not only for qualified workers, but workers who fit the company culture. “We try really hard to hire the right people,” saysPryor. “A large part of culture is chemistry. Not every culture is for everyone. When someone is not a cultural fit, they can become toxic and their countercultural behavior and attitude can sabotage the culture and taint other employees.”

Gary Vaynerchuk, video blogger and founder of VaynerMedia, says being a good listener is one way to improve corporate culture—and he suggests companies should look for employees who have that skill. “Not only do you need to be a great listener, but you need to promote that standard within the company,” Vaynerchuk wrote in a blog post about corporate culture. “Hire for this skill and you will not be sorry, especially when looking for project managers.”

5. Treat it as a daily commitment

In a 2015 article for Inc.com, Peterson listed a number of things that employers can do to improve company culture. The article has practical tips such as saying “thank you,” and “sorry,” but he boils it down to a simple approach: work at improving your culture every day. “We're kind of pushed around by the waves of social media and hype and trends; we're all looking for easy answers,” Peterson said. “We want a quick and easy solution, but it's frankly really, really hard work, making incremental steps towards improvement.”

Pryor says her company has tried many new approaches and if something works, they keep it. “We pay close attention to what other companies that are known as great places to work are doing. It's an ongoing process,” she says, “and there's always more we can do.”

Instant Insights /

Better Culture = Better Engagement

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