Company culture is considered by many business theorists as one of the most important determinants of success or failure within an organization. Company culture has a significant impact on how employees behave within the organization and is responsible for setting the right tone for employee performance and dedication.
Since they are in charge of recruiting, hiring, training and firing company employees, the HR department, and the HR manager in specific, are generally responsible for setting the company culture and dictating a path for it to follow. The actions of the HR manager can either have a positive or a negative impact on the organization.
In this article we look at some of the ways through which HR managers influence company culture. The content below will help organizations measure the impact and take preemptive measures accordingly.
Pay/Compensation
The pay and compensation structure in most organizations is developed by the HR department and is a key determinant of culture within the organization. A poorly designed pay structure can have a significant impact on the motivation and morale of the workers as they don’t feel appreciated for the work they put in. This can become a major talking point if the pay provided by your HR department is less than the industry average.
On the other hand, you can promote a positive company culture and high professionals from the industry by offering a better pay structure.
Training and Development
HR managers are often responsible for setting training and development schedules in coordination with immediate department supervisors and managers. Organizations that have frequent training sessions where employees’ soft and hard skills are developed tend to have a positive culture of cooperation and coordination. External training can be conducted through seminars, sponsored workshops and even self-development sessions such as online degree programs.
Leadership Programs
While financial growth does motivate employees, it is often the thought of progression in the hierarchy and the increase in the level of responsibilities for the future that attract them the most.
The HR team is often the key stakeholder when it comes to determining whether leaders should be groomed within the organization or others from outside the firm should be allowed to come in. In any case, the HR team should ensure that they follow a strategic route and allow employees the opportunity to grow and progress on the job. This motivates them and sets a positive company culture where employees are allowed to grow and move forward.
We at JS Benefits Group have worked with a number of clients from different industries to study the impact of HR managers on the workplace culture. You can get in touch with JS Benefits Group to discuss and devise a strategy.