A Gartner report reveals that by 2024, organizational culture will climb into the top five priorities for global HR leaders.
According to the survey, which gathered responses from 500 HR leaders in 40 countries, 41% of these professionals indicated that employees' connection to organizational culture is compromised by remote work; yet 47% said they do not know how to adjust course, while 60% expressed uncertainty about the impact that new technologies, such as artificial intelligence and automation, will have on talent.
Talking about organizational culture is not talking about abstract concepts. It is to focus on the personality of an organization, on its shared values, on the way its employees interact, make decisions and resolve conflicts. Just as in human DNA, a small change in culture can have a huge impact on business results. A strong, positive culture can be a driver of growth, innovation and motivation. Like Patagonia, a company that integrates sustainability into its organizational culture and whose philosophy is based on the idea that it is possible to be profitable and, at the same time, do good for the planet.
In contrast, a toxic culture can corrode from within, demotivating teams, reducing productivity and increasing turnover. Uber, in its early years, faced a highly criticized organizational culture marked by aggressive internal competition. The pressure to obtain results at any cost led to an environment in which many employees felt demotivated and stressed. This culminated in a sexual harassment scandal that resulted in the resignation of its CEO, Travis Kalanick, and a complete overhaul of the corporate culture.
A recent study by Bumeran found that 83% of working people experienced boreoutsyndrome , characterized by a lack of motivation or extreme boredom at work. With 86%, Argentina is the country in the region with the highest percentage of specialists who detect personnel with boreout. It is followed by Chile with 83%; Ecuador and Peru with 81%; and Panama with 78%.
The indifference experienced in some companies is striking: according to the study, 55% of the specialists do not implement any measures once they detect it; 10% work together with the talents to identify personalized solutions that can improve their work situation; and only 9% offer emotional support.
Imagine a company as a garden. For a garden to flourish, it needs certain essential elements: fertile soil, water, sunlight and constant care. Similarly, a healthy organizational culture requires a set of key elements. These include shared values that guide daily decisions, clear and open communication, recognition systems that reward effort and commitment, development opportunities that allow employees to grow personally and professionally, and, of course, leadership that inspires trust.
Leaders set the strategic direction of organizations, shape their environment and define behavioral expectations. The way leaders act, communicate and make decisions sends a clear message about the values that are important in the organization. If leadership is transparent, accessible and consistent with the values it preaches, the culture flourishes. But if leaders are inconsistent, their behavior creates dissonance and confusion, which quickly erodes trust and affects performance.
Leaders who understand the power of culture are better equipped to guide their organizations to long-term success. Culture is the beating heart of every company, the DNA that defines its ability to grow, innovate and adapt in an increasingly complex environment.
By Jorge Gatto, partner and COO of Olivia.