Ever wondered what the most important part of building a successful startup is? Is it money, employees, skill, or resources? No, it is the culture.
What Is The Significance Of Culture In Business?
Culture as a common term is defined as “the beliefs, customs, arts, etc. of a particular society, group, place, or time”. This term is beautifully integrated with business. Culture for a startup means its work ethics. It is the way of thinking, behaving, or working.
Culture is of prime importance, a deciding factor, for the success of a startup. If you want to start a company, you can contact a startup company to develop an application with a separate section in it to motivate employees.
According to Investopedia, “Corporate culture refers to the beliefs and behaviors that determine how a company’s employees and management interact and handle outside business transactions”. It is considered as the greatest asset of a startup.
Why Do We Need To Have A Strong, Valuable Culture In Our Organizations?
To be precise, a strong, valuable culture drives the right customer as well as the right employee. It creates a positive and impactful work environment.
It helps an employee to deliver his best performance. Overall a strong, valuable culture has the capability to take a startup business in the right direction with maximum inputs.
According to a survey of 2015, “More than 1400 North American CEOs and CFOs revealed that 92 percent of the respondents believed that their firm’s corporate culture improves the overall value of a company”.
Reasons Why Culture Is Crucial
1. It Allows Employees To Be Themselves And Give Their Best Input
A good culture brings an organic relationship between a company and its employees. It allows the employees to freely share their opinions.Thoughtful communication and input go hand in hand. A company’s culture increases employee engagement significantly.
As per the employee engagement report of TINYpulse, “About 43 percent of the 25,000 employee respondents across 20 industries said that they would leave their companies for a marginal hike because of weak company culture”. A web development company can help you with executing your website-related ideas.
2. It Gains You Top Investors
Nowadays, an investor also evaluates the culture of the company before investing. They do not need financial answers anymore, a startup needs to prioritize the culture of the company.
According to the CEO of Zillow Group Spencer Rascoff, “The other day, two investors from a major shareholder of the Zillow Group visited our head office. Fresh off our Q1 earnings report, I was well-versed in our figures and prepared to answer their questions about our financial results, business metrics, product strategy, market size, and most recent wins and opportunities.They asked about none of that. For an hour, all these major investors wanted to talk about was leadership and culture.”
We can infer from this the importance of culture for a startup business. A good culture assures the growth of the company. An investor would prefer to invest in a growing company.
3. It Helps To Build A Community That People Likes
A good culture not only creates a productive work environment but also attracts new talent. Everybody wants to be part of a community with good values.If your company has good values, ethics, and environment, an employee would praise your company among their circle.
You must be familiar with the statement, “a good talent has a circle of good talents”. According to LinkedIn, “Companies can expand their talent pool by 10 times by recruiting through their employees’ networks”.
There are high chances that good talent will approach your company. A team of talented people will bring the best output.You need to have a culture that empowers the team and provides premium work experience.You can contact a mobile application development company to empower your team with the help of an application or website.
4. It Works As A Reflection Of The Values Of Founders
A company’s culture is directly connected with the values and principles of its founders. It gives a much-needed edge to the company in this highly competitive world. The values of the founder tell the world a lot about the company. If you have appealing principles with high values you will attract more customers.
It creates a positive connection in the customer’s brain which is a huge benefit for your company. Do you want an app for your company? You can reach out to a mobile application development service. Good culture helps a company to go through tough times.
The principle of the founder acts as a glue that connects the employees’ potential with the desire to work towards and tick off the company’s main goals.
5. It Attracts As Well As Retains Customers
One major importance of having a good culture is its ability to retain customers and convert prospects to leads.People will know your company for its great culture. The more people will be able to connect and identify with your company, the higher your company will rise.
Good culture helps to offer better customer service. Your employees can provide the best customer service only if they have invested their minds and souls in your company.It should be a collective goal and not a burden. This will help you to retain loyal customers.
6. It Works As A Powerful Motivator
Startups work from day one to cultivate a culture that inspires the team to deliver its best performance.If you stay true to your values the whole process becomes functional in the right direction.
A vibrant culture creates a positive vibe and excites employees to treat the company’s goals as their own. Mobile application development services help to build an app for a company.
Culture works as the foundation for the effective functioning of the company. It acts as a driving force for the whole setup. A startup should always align its culture with its mission. Good culture creates an environment that brings the best out of the employees’ as well as drives customers. This is the reason why culture is insanely important for a startup.