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Culture: A Key Factor That Drives a Successful Organisation



We all understand the term “Culture” which we hear and practice since our childhood. Beliefs, preaches, chronicles, outlook, customs, principles, and values collectively form the culture which represents a particular religion, country, society, groups, and organizations making them different from others.

A well-established culture helps in achieving recognition, identity and a sense of security of sharing common values or beliefs which results into their well-being.


An organization’s core values, convictions, and perceptions structures the organization’s culture which cascades down to its people and is apparent in its office infrastructure, way of conduct of its people, hiring decision, client satisfaction, retention ratio, goals, working policies, communication structure, etc.

Defining and setting up a healthy culture in the workplace is equally important for organizations’ sustainability, brand image, collaboration, setting up of transformational relationship, shaping people in organization’s way with the intent of achieving the targeted goals and its people’s overall growth.

Why Companies should have a defined culture?

Let’s imagine, unfortunately you took a wrong route having no network connection and found that there are no signs and directions which guide you on reaching your destination- what happened then??

Likewise, work culture plays a vital role of setting up sound pillars of the company and provide directions, way to do the work, define the conduct of their people which aid in achieving the Company’s long term vision. People are the most crucial pillar in making the foundation of the organization.  They come up with the heavy baggage of their beliefs, customs, principles, values, and conditioning. Founders manage people with the help of a sound-culture which has its root spread throughout the organization.

Research takeaways:Companies with strong work cultures saw a 4x increase in revenue growth. (Forbes);

It can help improve your company’s overall performance by 20 to 30 percent, according to the Harvard Business Review;

Businesses with a strong learning culture enjoy employee engagement and retention rates around 30-50% higher than those that don’t (Robert Half);

58% of people have left a job, or would consider leaving, if the company’s culture was weakened by negative office politics.

How culture helps in enhancing the business?


Culture: A Key Factor That Drives a Successful Organisation

How to build the culture in the organization??

There are many aspects which define the organization’s culture:

  1. Which may be the tangible objects such as office space, work station, sitting arrangement, furniture, equipment etc.; and
  2. On the other hand intangible things such as norms, core values, rules, regulations, principles, level of communication which need to embed in the people of the organization.

Every organization needs to strategize its own culture keeping in view their mission, vision and core values which define the organization. You can’t borrow it from another organization.

If the Company’s core values are defined clearly and are practiced constantly that definitely helps in building a strong work culture.

Just defining core values and posting of the same on website, social media or walls of the workplace is not enough for building the culture. It can only fascinate the external forces but in the long run, it won’t work.

Culture: A Key Factor That Drives a Successful Organisation 

You may have your business growth plans and strategies. But, do you have a CULTURE PLAN for your organization?

Case study- How weak culture can ruin your business?

Problem statement: The most famous business failure in mobile industry which captured most of the headlines is NOKIA. Most of us perceived that, Nokia failed due to competition and they were not able to meet the market demand.Was this the actual reason behind NOKIA’s failure?

Analysis: A detailed study of Nokia’s rapid downfall concluded that  Nokia failed due to its toxic culture, here are some findings on the same:

a)      In Nokia’s R&D, the culture was such that they wanted to please the upper levels. They wanted to give them good news . . . not a reality check;

b)      Top managers wanted fast performance. Hence, they developed a culture of pressure;

c)      Decoupling interaction pattern between the top and middle level. Top level lacked technical competence that harmed Nokia’s innovation process which shows the culture of lack of collaboration and trust;

d)      Collaboration was lacking amongst team; middle managers had low external fear, they were overconfident in their own capabilities and top managers were afraid of the external environment and not meeting their quarterly targets; &

e)      Above all factors were responsible to generate “temporal myopia” which hampered Nokia’s innovation.

Findings: Organization’s long- term success depends on the culture which top- level/founders defined in the organization. The business strategy should align with the culture of the organization. The Organization’s failure to define and implement the positive culture in the organization would be responsible for its speedy failure in the future.   

Reference: Above problem statement is prepared by taking the reference from the detailed study done by Timo O. Vuori and Quy N. Huy.

Concluding thoughts: Constant practising is must for building a positive work culture in the organization.

People of the organization are receptive and follow the rules and regulations of an organization without any compulsions when they know the purpose of framing rules and regulations and see that these are equal for all people whether they belong to a higher level, founder level or subordinate level of the organization and are adhered by everyone. This will create a strong work culture in the organization and encourage people to take responsibilities for maintaining the culture.

Also read – 5 Reasons Why Your People Don’t Listen To You

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