Finding the right fit for your organisation takes time, experimentation and the willingness to accept what isn’t working.
Nowadays, for many people, a healthy, engaging and proactive company culture is as important as a good salary. In fact, some employees, particularly Gen Z and Millennials, are likely to prioritise organisational culture ahead of a better paycheque. So, companies who aim to attract and retain motivated people have to invest significant time and resources in wellbeing initiatives.
While many of the aspects of company culture can be regarded as standard or must-have elements, for example work-life balance and DEI engagement, the term is broad and not every organisation is going to benefit from using the same types of structures. So, what are the different styles of culture and how might they suit your organisation?
Adhocracy
Adhocracy culture is a system that focuses on innovation, wherein decision making is decentralised and employees are encouraged to respond to challenges with a wide degree of autonomy. A culture founded on adhocracy tends to build a workforce with strong critical-thinking and problem-solving abilities, as well as one in which employees can quickly develop confidence in themselves and each other.
By eliminating the bureaucratic barriers that often lead to time wasting, mixed signals and holdups, employees can respond quickly to change and take advantage of new opportunities. This however, may not suit a workforce that can not operate effectively in a fast-paced environment.
Hierarchical
As the name would suggest, hierarchical company culture is quite traditional in nature. But as the saying goes, if it isn’t broken, don’t fix it and this system wherein decision making, rules and processes are managed depending on rank, works for many organisations.
By following a structured, linear trajectory, employees always know to whom they must go to see or enact change and this simple system can be ideal for people who don’t like ambiguity or confusing processes.
In terms of the negative aspects, this style of organisational culture can be too rigid for people who appreciate diversity of thought and knowledge sharing. Additionally, because there is a chain of command, employees may feel that their ideas never truly reach the person or people they were intended for.
Clan
Clan or as it is sometimes known, collaborative culture, is another system that does exactly what it says on the tin. This is an organisational system that runs like a democracy, where decisions are reached based on collaboration and consensus. This can reduce the risks of internal conflict, burnout and stress among employees and can also encourage greater engagement.
This system is the antithesis to the hierarchical culture and is often accompanied by improved dynamics amongst employees and those in more senior positions. However, organisations may find that employees are less likely to take risks or take advantage of new opportunities for fear of disrupting the status quo.
Additionally, the ‘too many cooks’ in the kitchen setup may hinder productivity and create issues with workflow.
Market
Market-driven culture is highly competitive, results-oriented and extremely fast paced. This particular style is ideal for people who would forgo some of the employee experience aspects of culture, in favour of rapid career progression and personal development. This typically suits a workforce in which the main objective is to release a product or provide a service ahead of the competition.
The downsides include the obvious risk of serious burnout in response to a heavy workload and fast-paced environment. Also, while employees may thrive professionally and see their career advance in response to the speed at which they can meet objectives, failing to address personal needs, such as physical and mental health can have a detrimental impact on the individual and wider workforce.
Purpose
A company culture established on the basis of purpose is one in which employees align themselves with wider company goals and morals. This is more than a box-ticking exercise as employees will make decisions, big and small, based on these values. A good example of this is where companies which say they are diverse can show that their leadership is representative of a wide array of individuals from all walks of life.
Organisations which elect for a purpose-driven company culture also tend to engage in opportunities to give back to the communities in which they operate and to establish a company culture that prioritises fairness, equality and wellbeing.
It can be difficult to implement a purpose-focused company culture, as the metrics by which you gauge success and failure can lack accuracy. Also, when everyone in a company is working towards the same thing, in the exact same way, holding the same opinions, there can be a group-think mentality that curbs creative freedom and stifles critical thought.
At the end of the day, company culture has to be unique to the organisation and may even be a blend of all of the best systems morphed together, to make one new, original structure. So start experimenting, just be prepared to change as you go.
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