The term culture in the causal sense refers to shared beliefs within a group but is not limited to the sociological field. Culture can easily be defined in the business world and many large companies spend time and resources strictly defining ‘business culture’. Small and midsize businesses can realize significant positive impacts by establishing and promoting a progressive business culture such as:

Lower staff turnover, higher retention and reduced hiring / training costs

Increases in productivity and output

Better quality service for customer facing businesses

More individual development opportunities

In some ways, business culture is essentially the personality of the business and those attitudes and beliefs will influence employees and their performance. Business culture is an advanced management tool that can improve many facets of business but with any initiative, planning, strategizing and consistent execution are keys to successfully establishing and implementing a positive business culture. In the current economically challenging landscape for SMBs, adjusting and optimizing attitudes and beliefs can be an effective way to drive performance and results.

Where Does Culture Come From?

SMBs have some distinct advantages due to their size and can quickly pivot and adjust to get the business back on the right track. This carries over into business culture and with most things in business, it all starts at the top. Owners, managers and leadership plays a crucial role in defining and establishing the culture within the business. Actions and behaviors from the top level almost always resonate to the frontlines and are a powerful way to demonstrate beliefs and change attitudes. Tangible parts of culture building come in the form of:

Mission statements

Goal setting

Plans and agendas related to culture building

Communication elements that share and highlight the common message

Larger organizations spend time and resources establishing and promoting internal business culture and market those beliefs to vast amounts of faceless employees. On the other end of the spectrum, small and midsize businesses can achieve greater positive effects through consistent application of defined beliefs and an unwavering commitment from the top level.

Adjustments and Fine Tuning from the Inside

Ancient cultures may have taken thousands of years to establish themselves but small and midsize businesses do not have that kind of time and in most cases, need to affect change now. Defining the brand’s culture is the first step in establishing that valuable business personality. A sales oriented culture may be appropriate for commission based outfits while a culture of productivity and meeting metrics would work for production and distribution type organizations. Customer facing businesses would focus on a culture of customer service where priorities and beliefs reflect maximizing opportunities and elevating experiences. Using industry and goal related vocabulary and repetition can quickly bring workers on board with set beliefs and objectives. Emphasizing brand and business culture at meetings and during huddles will get the message across on a consistent basis. Check-ins with staff individually and in group settings can reveal important feedback related to culture building and indicate the ‘pulse’ of the business.

Effects of Optimizing Business Culture

SMBs that rely on frontline teams for day to day operations and revenue generation can see real positive results by establishing and promoting a strong business culture. Making even small adjustments to workplace culture can yield significant benefits to small and midsize businesses:

Decreases in hiring and training costs through increased worker retention

Decrease in early turnover and attrition

Elevated worker experiences that drives productivity and efficiency

Better customer service and more customer opportunities

More qualified and enthusiastic applicants and candidates when it come time to hire

Improved outward brand image

Business and workplace culture are important facets to any size business but for SMBs, the benefits of defining and establishing business culture are significant and can have positive impacts on profitability.

The Bottom Line

Culture, by definition, is a set of beliefs and attitudes within a collective group and is a powerful management tool for small and midsize businesses that can yield both positive and negative impacts..Organization leaders, such as owners, managers and veteran employees play key roles in establishing the personality of the business and defining the brand’s business culture. Consistent implementation can change team attitudes and beliefs, positively impacting the business in many areas. These benefits are felt far greater in small and midsize businesses, making business culture a highly valuable management asset. A positive and dynamic business culture is especially powerful during challenging economic times when external negative elements are much more prevalent. SMB owners and managers who understand the pulse of the business can be more effective in establishing a culture that elevates worker experience and builds a sense of ownership among the team, both of which can yield significant benefits to the business.