HR Glossary
Company culture

Company culture

Updated on:
August 23, 2022


Lorem ipsum dolor sit amet, consectetur adipiscing elit. Suspendisse varius enim in eros elementum tristique. Duis cursus, mi quis viverra ornare, eros dolor interdum nulla, ut commodo diam libero vitae erat. Aenean faucibus nibh et justo cursus id rutrum lorem imperdiet. Nunc ut sem vitae risus tristique posuere.

green check mark symbol
Fact Checked

Content is reviewed to provide accurate, clear, and reliable information. Learn about our editorial process

Table of Content

What is Company culture? 

Company culture is the shared values, goals, and policies of an organization. 

Culture sets expectations for behavior, and an organization’s culture helps employees understand their role within the organization, understand the needs of customers, and make decisions that line up with the company’s goals.

Employees develop and follow a company’s culture by communicating with one another and working together toward common goals.

In range an organization’s values, employees first evaluate whether the values they agree with and the ones with which they disagree are realistic and achievable. Employees determine whether their core values fit with the mission and vision of the company. Once employees are clear about their values and goals, they can begin working together

Why is company culture necessary? 

A company's culture is the personality of the organization. It's what makes the company unique and is the sum of its values, traditions, beliefs, interactions, behaviors, and attitudes. Company culture is important because it's the foundation that the company is built on and guides everything the company does.

Company culture shapes the way employees interact with each other and with customers, and it affects the way decisions are made. 

Strong company culture can be a competitive advantage, and it can help attract and retain employees. 

Negative company culture can damage the company's reputation and make it difficult to attract and retain employees.