Human Capital Management Blog

Strategies for HCM Professionals

Why happy workers are key

employee cultureAlthough “corporate culture” has become somewhat of a buzz term recently, employers shouldn’t mistake it for a temporary fad. A company’s culture influences virtually all aspects of the business and plays a pivotal role in the success of the organization.

Not only does it have the power to greatly affect the engagement and job satisfaction levels of existing employees, it can make a major difference in how successful the organization is at attracting – and keeping – new talent. Perhaps most importantly, though, is how it can influence the happiness of staff members.

Why happy workers are key
Making sure workers are happy may not seem like it should be at the top of employers’ list of responsibilities and concerns, but it should be. According to research collected by TheSquareFoot and posted by Recruiter, organizations that have employees who are happy outperform their rivals by 20 percent. And this trend is even more evident when you hone in on specific areas of businesses. For example, the source also revealed that if salespeople are happy, they tend to make nearly 40 percent more sales than those who aren’t.

Last year, professors at the University of Warwick conducted a study that showed a direct correlation between happiness and productivity, with happy employees experiencing a 12 percent surge in production levels compared to the 10 percent drop in unhappy workers. In addition, the research findings indicated that, contrary to what many have previously assumed, monetary compensation is not the only way for employers to motivate or please staff members.

Considering how closely tied the happiness and productivity levels of employees are, it makes sense for employers to be concerned about how their workers feel at work and identify what they could be doing to make it a more positive experience. And this is where a strong company culture comes in.

What kind of corporate culture pleases employees?
There are many factors that contribute to a great corporate culture, but according to an infographic from TheSquareFoot, employers and HCM professionals should focus on two categories: the physical setting and social/professional relationships.

The environment of the office has a heavy influence on corporate culture and that 50 percent of workers feel that having strong relationships with their colleagues makes them feel happier at work. This is why it’s a good idea for employers to consider the floor plan and whether or not it’s helping to facilitate better communication or more collaboration. Open-space layouts can lead to more interactions and socializing, which can not only help improve workplace relationships but can also enhance camaraderie. Plus, the source also pointed out, designating places for co-workers to socialize or work together can make it easier to share ideas, which can fuel creativity!

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