Imagine a garden: Just as plants require fertile soil, water, and sunlight to flourish, your workforce needs a nurturing, inclusive, and motivating corporate culture to reach their full potential.

According to a Deloitte study, 94% of executives and 88% of employees consider corporate culture important to business success and satisfaction within their roles. Furthermore, data from EY consultancy studies show that companies consistently working to build and enhance their corporate culture have seen profitability increase by up to 33%.

A strong organizational culture within a company helps maintain its direction, especially in a period where technology, society, and the economy are constantly changing. We've transitioned from traditional management to embracing the digital era, where AI and new technologies are the present, not the future.

What is Corporate Culture

Corporate or organizational culture is the set of values, beliefs, attitudes, and practices that are widespread and shared throughout an organization. It's like the DNA, influencing all interactions and decisions invisibly, as if it didn't exist.

Corporate culture is closely tied to how employees feel about their work, how they interact with each other, with clients, or other stakeholders. Let's say a company's culture, or "the way of being," is like a person's personality: it can be traditional or even innovative.

A prominent example of corporate culture's influence is Google. Google has not only been a pioneer in technological innovations but also in creating a work environment that promotes creativity and collaboration. With open workspaces, flexible work policies, and a focus on employee well-being, Google has set a standard for how a positive and dynamic culture can attract and retain top talent while driving business success.

Companies that invest in their culture are like dedicated gardeners who understand the value of fertile soil for long-term growth, not just of their crops but also of the environment in which they exist.

The Importance of Corporate Culture

Corporate culture is vital for several essential reasons, each contributing to building a resilient, innovative, and cohesive organization.

• Corporate culture is an incentive for employees' engagement with the company's mission: it increases productivity levels, boosts job satisfaction, and makes them less likely to seek other employment opportunities.

• It favors the attraction and retention of talent: candidates, especially younger generations, are looking not only for competitive salaries and attractive benefits but also for a work environment that aligns with their values and expectations.

• It is a critical component of the brand and is closely linked to the organization's reputation: returning to the example of Google, its corporate culture is reflected in its reputation as a company that values both its employees and its users. This is reinforced by initiatives like Google for Startups, which supports emerging entrepreneurs, and Google.org, its philanthropic arm, demonstrating its commitment to social and environmental causes. These actions, rooted in its corporate culture, strengthen its brand and attract customers and partners who share similar values.

Pillars of an Attractive Corporate Culture

• Core Organizational Values: Take Patagonia, the outdoor clothing and gear company, for example. One of its core values is a commitment to the environment. This value is reflected in its business practices, from sustainable product design to conservation initiatives.

• Vision and Mission: Tesla aims to "accelerate the world's transition to sustainable energy." This clear vision guides all the company's operations, from the development of electric vehicles to solar energy solutions.

• Practices and Policies: Google allows its employees to dedicate 20% of their time to personal projects that could benefit the company, a policy that has led to the creation of innovative products like Gmail.

• Work Environments: Pixar's office is designed to foster creativity and collaboration, with open spaces, play areas, and theme rooms that encourage interaction and the exchange of ideas.

• Communication: Salesforce uses an internal platform called Chatter to facilitate communication between employees from different departments, enabling them to share ideas and collaborate on projects efficiently.

• Leadership: Satya Nadella, CEO of Microsoft, is renowned for his focus on growth and a learning mindset, transforming Microsoft's culture into one that is more open, collaborative, and innovation-oriented.

• Recognition and Rewards: Zappos has a bonus program where employees can award their colleagues small bonuses for exceptional work, reinforcing a culture of mutual recognition and appreciation.

• Development and Learning: Amazon offers its employees the "Career Choice" program, which pre-pays 95% of tuition for training courses in high-demand fields, encouraging continuous learning.

The Evolution of Corporate Culture: From Traditional Management to the Digital Culture

Corporate culture has undergone a profound transformation from the work era of the "boomers" to meeting the demands and values of the millennial and Gen Z generations. This evolution reflects not only changes in technology and communication but also a readjustment in the priorities and expectations of employees and society at large.

The Boomer Era: Traditional Culture

During the boomer era, corporate culture was heavily influenced by rigid hierarchical structures, where respect for authority and loyalty to the company were paramount values.

Communication was predominantly top-down. Workspaces were formal, and protocols were strict, with little flexibility in terms of schedules or work styles. Business success was measured in terms of economic growth and market expansion, often without considering social or environmental impact.

The Digital Revolution and the Birth of the “Dot-Com Era”

The advent of the digital revolution and the explosion of "dot-com" businesses in the 1990s and early 2000s marked a turning point in corporate culture. Technology not only transformed business models but also began to reshape expectations and interactions within the workplace.

Speed and innovation became new core values, and adaptability and continuous learning became critical for business success. During this period, we can identify several pivotal developments in the evolution toward a more modern culture:

• Widespread adoption of the Internet and social media: This democratized information and facilitated two-way communication and collaborative work, eroding traditional hierarchical structures.

• The global financial crisis of 2008: Exposed the flaws in business models purely oriented towards economic profit and accelerated the demand for more ethical and sustainable business practices.

• The rise of entrepreneurship and startups: Introduced more agile and flat management models, promoting innovation and flexibility as pillars of corporate culture.

• The growing emphasis on work-life balance: Reflected a shift in workers' priorities, with an increasing focus on satisfaction and well-being in the workplace.

• The crisis of 2020: This period and all its developments led to the adoption of remote and hybrid work models, questioning and redefining the very concept of "office" and promoting greater digitization of business processes.

Corporate Culture in the Era of Millennials and Generation Z

In today's business world, corporate culture emphasizes values such as inclusion, diversity, sustainability, and social responsibility. Workspaces are more collaborative and flexible, with a strong focus on leveraging digital technologies to enhance communication and drive innovation. Younger generations prize transparency, purpose, and the social impact of their work, pushing companies towards adopting more ethical and sustainable practices.

This evolution reflects a deeper understanding that long-term business success relies not only on profitability but also on making a positive contribution to society and the well-being of employees. Modern corporate culture, grounded in innovation, integration, and respect for the individual, is crafted to attract and retain talent in an increasingly competitive and connected world.

Leadership and Corporate Culture

Leadership plays a crucial role in shaping and maintaining corporate culture. As the evolution of corporate culture has shifted from traditional models to more modern and digital approaches, the role of leaders has also had to adapt. Today's leaders are not only visionaries and strategists but also cultivators of culture and shapers of the organizational environment.

Leaders bear the unique responsibility of being the primary ambassadors of corporate culture. Through their actions, communication, and decisions, they set the standards that define the work environment. Leadership that practices transparency, values each employee's contribution, and commits to the well-being and professional development of their team instills these same values across the organization.

In the context of digital culture, leadership also entails integrating technologies that facilitate collaboration and innovation. Digital tools for communication and project management allow leaders to keep teams connected and productive, regardless of physical barriers. This is not only a reflection of the company's adaptability to technological trends but also promotes a culture of accessibility and inclusion.

Building a Corporate Culture

Crafting a strong and positive corporate culture is an intentional and ongoing process that requires commitment and consistency from all levels of the organization, especially its leadership.

Below, we offer some tips and general practices to embark on this journey towards creating a corporate culture that reflects the company's values and goals, fosters a positive environment, and enhances the overall performance of the organization:

• Define core values that serve as the pillars of the organization.

• Have a clear vision and mission that provides direction and a shared purpose for all company members.

• Promote these values and vision among your leaders; they should be aware of how their actions and decisions affect organizational culture.

• Encourage open communication that allows ideas and concerns to flow freely.

• Provide opportunities for continuous development and learning. This demonstrates a commitment to the personal and professional growth of your team.

• Make it a habit to recognize and reward achievements.

• Foster adaptability and resilience. This involves being open to new ideas, practices, and technologies.

The Future of Corporate Culture

The future of corporate culture will continue to follow trends influenced by technology, demographic changes, and evolving social expectations. For instance, two realities we are already experiencing this decade are distributed work teams (hybrid and remote) and the use of virtual spaces in the professional realm as an alternative to a physical office.

Corporate Culture in Distributed Work Teams

The adoption of remote and hybrid work models has accelerated the need for a corporate culture adapted to these new teams and generations that increasingly value transparency, flexible scheduling, and sustainability.

One solution adopted by companies that invest and work consistently in forging a strong corporate culture is the use of collaborative virtual offices. This approach offers a highly beneficial alternative for their work teams, even if they operate in a 100% in-person mode.