Company culture is the basic ingredient for running a successful business. It’s also the key to driving strong employee engagement, retention, and performance. But there’s more to organizational culture than setting up a workout room or organizing team-building activities. It’s about cultivating and promoting transparency in the workplace, recognizing and rewarding contributions, and much more.
These company culture statistics demonstrate just how big of an impact culture can have on the workplace. By using the raw data as a guide, you can set up the groundwork for increasing your company’s productivity and profitability.
Top 10 Company Culture Statistics and Facts
Good company culture helped nearly 70% of organizations adapt better to the pandemic.
A staggering 89% of highly engaged employees claim the culture in their organization is positive.
50% of employees believe an organization’s approach to their performance defines company culture.
A whopping 86% of job seekers say culture is somewhat or very important.
Companies with good corporate culture report 4X higher revenues.
Disengaged employees cost companies 18% of their annual salary.
87% of business leaders believe that creating the right workplace model is key to their success.
29% of US executives believe employees should be in the office at least three days a week to help build a strong company culture.
94% of managers agree that a positive workplace culture creates resilient teams.
55% of businesses claim their organization is very transparent.
Company Culture Stats
35% of workers claim the culture at their organization has changed dramatically over the past two years.
Despite the fact that the pandemic brought about some unique challenges, according to 42% of employees, the culture in their workplace has changed for the better. The percentage of employees who believe it has changed for the worse is the lowest at 23.
(Quantum Workplace)
Good company culture helped nearly 70% of organizations adapt better to the pandemic.
In addition, 69% of senior leaders believe that their organization was successful thanks to strong company culture during COVID. Moreover, the majority see culture as a competitive advantage, while two-thirds said it was the tool that helped change initiatives happen.
Company culture importance is further emphasized by the fact that 67% of workers believe it takes precedence over strategy or operations.
(PwC)
A staggering 89% of highly engaged employees say the culture in their organization is positive.
In contrast, only 29% of disengaged employees claim the same. Research also shows that 87% of highly engaged employees believe their workplace has a very strong culture, as opposed to 39% of disengaged employees.
When it comes to retention and the overall influence of corporate culture on organizational performance, statistics reveal that 59% of disengaged employees would consider switching jobs for one with a better culture. Only 23% of highly engaged employees would do the same.
In fact, 32% of disengaged employees stated their company’s culture positively impacts their work and behavior, as opposed to 86% of highly engaged employees.
(Quantum Workplace)
84% of employees who claim their company’s culture is positive are also more likely to be engaged.
Employees who believe their organization’s culture is positive are nearly four times more likely to be engaged.
The newest statistics on company culture indicate that 54% of highly engaged employees feel the culture in their workplace has improved, while 35% believe it hasn’t changed. On the other end of the spectrum are the 10% who claim their organization’s culture has declined.
In addition, 45% of disengaged employees feel company culture has worsened, and 33% say it has remained the same. Data further reveals that only 22% of these employees claim there’s been an improvement in the field.
(Quantum Workplace)
50% of employees believe an organization’s approach to their performance defines company culture.
According to the latest organizational culture statistics, 54% see the company’s mission and values as the key aspect that shapes their experience as employees.
In addition, 53% believe recognition and celebrations set the standard for organizational culture, while 48% feel this way about policies and procedures. Teamwork, benefits, and perks are each valued by 46% of employees.
On the bottom of the list are rituals and norms (37%), onboarding and training (33%), and the physical workspace (28%) as defining aspects of workplace culture.
(Quantum Workplace)
A whopping 86% of job seekers say culture is somewhat or very important.
When it comes to the importance of company culture, statistics reveal it’s among the top three factors that influence a candidate’s decision on whether or not they should accept a job offer. In fact, at 29%, company values and culture are the third most influential factor.
Compensation remains at the top with 38%, while a company’s location, including facilities, accessibility and convenience, rank second with 34%.
(Jobvite)
With 79%, Facebook is the most popular social site for learning about company culture and employer brands.
Believe it or not, LinkedIn, which is the quintessential platform for networking, is the second choice, with only 54% of job seekers claiming they go there to learn whether the employer they’re targeting has great or poor company culture.
Instagram ranks third as the go-to site for 52% of job seekers, while Twitter ranks fourth with 49%. YouTube is a point of reference for 39%, while 20% go to Snapchat, and 17% rely on TikTok.
In comparison, only 37% of job seekers go visit employers’ job boards or review sites to get a sense of their company culture. 33% search the employer’s social media sites, while 32% look up information or watch videos on the employer’s website.
(Jobvite)
Corporate Culture Statistics
Companies with good corporate culture report 4X higher revenues.
Companies that encourage leadership initiative and demonstrate appreciation for their employees, customers, and owners report an average revenue increase of up to 682%. Data also shows that over a longer period of time, 11 years to be exact, companies that did not have a thriving culture reported only a 166% increase in revenue.
In addition, the average increase in net income for companies with performance-enhancing cultures is a staggering 756%. On the other hand, companies that do not nourish culture reported a net-income growth of only 1%.
(Forbes)
66% of C-suite and board members say company culture is important to performance.
Statistics about company culture further reveal that the above number has increased significantly since 2013, when it stood at 53%. In 2018, only 61% of corporate leaders believed that culture was more important to performance than the organization’s strategy or operating model.
Moreover, the number of references to ‘culture’ business publications has grown dramatically in the period between 2019 and 2021, which shows that leaders are not only realizing culture brings strategy, operations, and purpose to life, but they’re actively discussing these aspects.
(PwC)
Companies with strong culture are 89% more likely to report high customer satisfaction.
Similarly, organizations that have a distinctive culture are 80% more likely to enjoy higher employee satisfaction rates and 48% more likely to report revenue increases. In addition to strong business outcomes, a total of 88% of respondents said that company culture is what enables successful initiative change to happen.
(PwC)
Disengaged employees cost their companies 18% of their annual salary.
This translates to roughly $60 million a year for companies with 10,000 employees at an average salary of $50,000. Statistics about corporate culture and productivity show that highly engaged employees are 17% more productive.
Results from a different survey reveal that employees who are not happy with their employer’s culture are 24% more likely to quit. Therefore, it’s no surprise that nearly 40% of Americans say they wish to work for a company with similar personal interests and passions.
(Gallup, Slack)
A total of 87% of business leaders believe that creating the right workplace model is key to their success.
However, the latest statistics on corporate culture reveal less than a quarter, or just 24%, of business leaders feel their organization is prepared to keep pace with this trend.
On the other hand, 6% of organizations say they are happy with their workplace strategy and do not intend to change it.
In the meantime, the vast majority of organizations (78%) are working hard on creating a workplace where their employees can prosper by feeling empowered to redesign the entire work process.
(Deloitte)
Around 95% of executives claim cultural factors and organizational alignment are the keys to a successful merger.
Failure rate statistics about mergers due to company culture incompatibility go as high as 80%. In fact, between 50% and 75% of all post-merger integrations do not meet the initial objectives simply because the cultures of the two companies are incompatible.
The above data only confirms that culture clashes within an M&A setting are not only tricky but may prove disastrous for both parties.
(McKinsey, Financier Worldwide)
29% of US executives believe employees should be in the office at least three days a week to help build a strong company culture.
Company culture data related to remote work indicates that the majority of US executives feel attendance is important to maintaining a strong company culture. 21% agree that it’s important for the workplace culture that employees are in the office Mondays through Fridays, and 18% say four days a week is enough.
Another 15% of executives believe this can be managed with two days per week. Only 6% of US executives agree that employees need to be in the office about one to three days per month, while 5% believe this should extend to just one day a week.
(Statista)
94% of managers agree that a positive workplace culture creates resilient teams.
Positive work environment statistics further reveal that a staggering 97% of executives agree that their actions directly impact workplace culture, while companies with toxic workplaces lost an incredible $223 billion over the past five years.
But data also shows that maintaining a strong corporate culture can lead to employee burnout. Moreover, 71% of managers who spend at least 21 hours working on culture are more likely to leave work feeling exhausted. In fact, no matter whether the people manager spends one or twenty hours working on culture, the percentage of those feeling exhausted hovers at 50.
(SHRM)
55% of businesses claim their organization is very transparent.
However, only 18% of employees agree with this statement.
In the case of openness and transparent company culture, statistics reveal that 80% of employees want the details on how decisions are made in the organization to be shared with them. In addition, a whopping 87% want their future employer to be more transparent.
And since communication is the key to transparency, it is important to note that 74% of employees wish to be able to send real-time messages at work, and 76% hope to have more communication tools available in the future.
(Slack)
The Summary
Whether you’re aiming to improve your team so you can maximize profitability or productivity, the company culture statistics above demonstrate that culture is no longer an option, but a must. Culture is what kept a lot of companies afloat and willing to take initiative and adapt during the unique settings imposed by the pandemic only. This only reaffirms its position as the foundation of a healthy business.
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