What are The 4 Types of Company Culture?

Building a strong company culture is important if you want to move your business forward. Getting it wrong can be a very expensive mistake. And many businesses have realized this after having trouble keeping employees, getting them to work hard, and keeping them interested.4 types of company culture.

So, focusing on your people might be a high priority for you, but how can you even think about developing your company’s culture if you have no idea where your business stands right now?

In the 1980s, a tool for evaluating company culture called the Competing Values Framework came up with four types of design company culture. In this blog post, I’ll talk about each of these and look at their most important features, as well as the pros and cons of each.

What is Corporate Culture?

The term “corporate culture” is all over the place, it’s used everywhere. But that doesn’t mean that it’s easy to define or that the definition is right. In general, it describes the atmosphere of an organization as a whole.

Inc. magazine gave a common definition of corporate culture: “Corporate culture is the shared values, attitudes, standards, and beliefs that make up an organization’s members and define what the organization is.” Corporate culture comes from an organization’s goals, strategies, structure, and ways of dealing with workers, customers, investors, and the larger community.

Why is it Important?

Every business has its own plan for how it wants to do well. Then, the company’s leaders and founders come up with a set of goals for getting there. The skills and abilities of each worker add to the mix. The best kinds of corporate culture are made up of these parts. These parts show how the company will do business and treat its customers. In an ideal situation, the company culture brings employees together and helps everyone move forward so that the company can reach its goals.

Why Is Organizational Culture Important?

Strong company culture will bring in the right people for the job and keep them interested in their work. A Glassdoor study found that 77 percent of adults would look into the company’s culture before applying for a job. 56 percent say that an organization’s culture is more important than its pay. This could be a big deal.

Creating a winning organizational culture takes a lot of time and work. Your culture must accurately reflect your values and fit with your overall mission. Even though it’s a big job, don’t give up. Your hard work will pay off in the long run. Let’s look at the four main types of organizational cultures.

Four Types of Organizational Culture

We’re going to dive into the four types of organizational culture that business leaders should know about.

Clan Culture

Clan culture is more common in older organizations than in digital ones. Because these businesses are often run by families, there is often a focus on helping employees grow through personal relationships or mentoring programs. All of this is done, of course, to make it feel like a real big family.

Hierarchical Culture

A culture with a clear chain of command and a traditional business structure is called a hierarchy culture. There are several levels of management between the executives and the employees. This kind of business has a set way of doing things, which could include things like a dress code and set work hours. Stability and dependability are important to the company.

Market Culture

Market culture is made for businesses that know how to use technology and want to grow. So, this culture is very focused on results, values competition within the company, and rewards winners. So, this is a culture in which everyone is expected to bring their “A-game.” Those who consistently do well get big financial rewards or chances to move up in their jobs.

Adhocracy Culture

Innovation and taking risks are at the center of adhocracy culture. It is thought that a lot of successful startups have this kind of corporate culture. It makes the workplace more like a business, where employees are encouraged to try new things and take risks. In an adhocracy culture, ideas that would be too different for a more traditional workplace are encouraged and worked on.

These businesses have ambitious plans and goals. They are always looking for the “next big thing,” so they have to be ready to take risks.

Conclusion

No longer are superficial things used to describe the culture of a company. People care most about a company’s values, how caring and skilled its leaders are, and how clear it is how to move up. Many of our organizational culture examples do all of these things very well. So, do you want to find out what your company’s culture is like or are you thinking about polling your employees about a new culture statement? So, you’re in the right place.

SurveyLegend has a lot of beautiful survey templates that you can use to ask your employees questions or take polls. They’re safe, quick to react, and always make an impression. Want your employees to do something? Check out our blog post on 6 Great Reasons to Take a Survey!

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