How to Improve Company Culture: Practical Strategies That Work

Company culture shapes how people feel, behave, and perform at work. It reflects the values, attitudes, and daily practices that define life inside your organization. In a world of hybrid work, high turnover, and shifting employee expectations, understanding how to enhance company culture is crucial for business success.

In this guide, we will explore meaningful and proven ways to improve company culture. Whether you are looking for ideas or events to improve company culture, or tips to improve company culture remotely, this article will give you practical directions.

Why Improving Company Culture Matters

Organizations with a strong culture outperform their competitors. According to Gallup, companies that prioritize culture experience 72% lower attrition, 29% higher profitability, and stronger employee loyalty. That is why many leaders are asking how to improve a company culture in ways that make a lasting difference.

A positive culture is linked to higher engagement, better collaboration, more innovation, and higher retention. These outcomes are especially critical as many teams now operate remotely or across multiple locations. Learning how to improve company culture in the workplace and remotely has never been more urgent.

A different way to think about culture is as this invisible operating system that’s governing literally thousands of important algorithms within a company.
— Charlie Sull, Demystifying Company Culture: Making It Measurable and Manageable

How Do You Improve Company Culture? Start with These Foundations

There is no single formula for how to improve a company culture. However, certain foundational elements are proven to work across industries. These include:

Define and Model Core Values

Start by identifying the values that define who you are as a company. Make sure they are communicated and lived by leaders at all levels. According to SHRM, companies that actively reinforce their values see greater alignment between leadership and employees.

Values should not sit in a presentation or a handbook. They need to show up in hiring decisions, performance conversations, and the way leaders handle challenges. When values are consistent and authentic, they create a shared language that connects employees across teams and roles.

Create Psychological Safety

One of the most important things to improve company culture is creating an environment where employees feel safe to speak up. A culture of psychological safety drives innovation and trust, especially in remote and hybrid settings.

People need to know they can raise concerns, admit mistakes, and share new ideas without fear of judgment or retaliation. Teams that feel safe are more likely to collaborate openly, take risks, and challenge the status quo. This kind of culture invites learning and adaptability, which are essential in multinational enterprise environments.

Support Inclusivity and Belonging

Diverse and inclusive workplaces foster stronger engagement. Harvard Business Review highlights that inclusive cultures are twice as likely to meet or exceed financial goals. Knowing how to improve company culture remotely also includes designing practices that give all employees equal access to connection, visibility, and support.

Belonging means more than representation. It means every employee feels valued, heard, and included in both formal and informal moments. When inclusivity is woven into leadership, language, and daily behaviors, it strengthens collaboration and collective pride.

Prioritize Recognition and Appreciation

One of the simplest, yet most powerful, ways to improve a company culture is to build a habit of appreciation. Recognition does not need to wait for performance reviews or annual awards. It can be as spontaneous as a quick thank you in a team meeting or a personalized note from a colleague.

When employees feel genuinely seen and valued, it lifts morale, builds connection, and reinforces the kind of behavior you want to see more of. Whether it comes from peers or managers, consistent appreciation helps weave a positive emotional thread into everyday work. Over time, this kind of recognition becomes part of the team’s rhythm and identity. A culture of appreciation helps people feel proud of their contributions and more connected to each other.

Turn Recognition into Results – Step-by-Step Guide

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Empower Managers as Culture Leaders

Managers are not just taskmasters or project owners. They are culture carriers. The tone they set, the behaviors they model, and the support they offer play a major role in shaping the team’s experience. When managers are equipped to lead with empathy, give meaningful feedback, and recognize contributions, they become powerful agents of cultural alignment.

HR can play a key role here by giving managers the training, tools, and autonomy they need to bring the company’s values to life through their leadership. Culture thrives when managers feel ownership and are trusted to lead authentically. Making culture part of their goals and check-ins reinforces that this is not a side task, but a core responsibility.

Improve Communication and Transparency

Strong cultures are built on trust, and trust is built on communication. Employees want to understand not just what is happening in the organization, but why. That means explaining decisions clearly, listening actively, and creating open lines of dialogue, whether in person, across locations, or remotely. Good communication is not about volume. It is about clarity and consistency. It is the everyday moments, such as a manager who makes space for team input, a leader who shares updates openly, or a company that welcomes honest feedback, that define how people feel about their work environment.

When communication is open, people are more likely to speak up, share ideas, and take initiative. Even during times of uncertainty, transparent leadership helps maintain morale and alignment.

Design for Flexibility and Wellbeing

A healthy culture respects the whole person. Flexibility is not just about work-from-home policies. It is about acknowledging that people have different rhythms, responsibilities, and ways of doing their best work. Supporting employee wellbeing means creating an environment where people feel they can take care of themselves without guilt or penalty. This could include flexible hours, wellness check-ins, mental health support, or simply a culture that respects boundaries.

When employees feel supported in both their professional and personal lives, they are more likely to stay engaged and committed. Organizations that build this into their culture see stronger long-term loyalty and a more resilient workforce. Employees are better able to perform when they are not stretched thin or forced to sacrifice balance.

Foster Growth and Development

Opportunities to grow not just in role, but in confidence, capability, and curiosity are fundamental to a thriving culture. This does not require a massive training budget. It could be a stretch assignment, a mentor who offers guidance, or a culture where asking questions is encouraged.

When companies create space for continuous learning, they signal that they are invested in their people’s future. Growth fuels purpose, and purpose strengthens culture. Employees are more likely to stay with organizations that help them evolve. Development also helps build internal talent pipelines and reduce reliance on external hiring.

Bringing people together, even virtually, is essential to building culture. Events are more than a break from routine. They are a way to reinforce what matters, create shared experiences, and help employees feel connected across roles and locations. Here are some events to improve company culture and make values feel real:

Virtual Coffee Chats and Team Lunches

Informal conversations foster human connection, especially in distributed teams. These moments allow colleagues to learn about each other beyond work, building trust and inclusion in a relaxed environment. Hosting regular sessions also signals that relationship building is a priority, not an afterthought.

Peer Learning Sessions – Lunch & Learn

These events promote knowledge sharing and mutual respect. When employees teach one another, it strengthens team capability and showcases hidden talents. It also builds confidence and helps create a culture of learning that goes beyond formal training.

Culture-Focused Town Halls and Values Workshops

Use these sessions to highlight stories, discuss behaviors, and bring values to life through real examples. Interactive formats such as breakout discussions or employee panels invite broader participation and engagement. When done well, these sessions create alignment and energize teams around shared goals.

Recognition Celebrations and Spotlight Awards

Celebrate milestones, individual wins, and team achievements in a way that reflects your culture. Whether it is through a shoutout wall, a monthly spotlight, or a virtual awards ceremony, recognition events show what the organization values. They also encourage peer-to-peer appreciation and boost morale across departments.

Cross-Functional Collaboration Challenges

Invite employees to solve a creative challenge or co-create something meaningful across teams. These types of events break down silos and encourage fresh thinking. They also help employees build relationships outside their usual circles, which can lead to better communication and innovation long term.

Events like these help deepen relationships and make values tangible. When thoughtfully designed, they become powerful tools for connection, alignment, and culture-building, not just moments of entertainment.

Celebrate More Than Achievements – Celebrate Belonging

Here is How

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How Can HR Improve Company Culture?

Human Resources plays a pivotal role in shaping company culture. HR is not only the steward of policies and processes, but also the guide that helps translate values into everyday behaviors. When HR operates as a strategic partner, it sets the tone for what the organization stands for and how people experience work. HR teams can improve company culture by:

Leading the Culture Definition Process With Input From Across the Organization

Culture is most powerful when it is co-created. HR can lead thoughtful listening exercises, focus groups, and workshops to ensure that core values reflect the lived experiences of employees, not just leadership aspirations. This approach builds buy-in and ensures that the culture feels authentic and inclusive across all levels.

Coaching Leaders and Managers on Inclusive Behaviors

HR plays a crucial role in developing leaders who model the culture. Through targeted coaching, training, and ongoing dialogue, HR can help managers recognize their impact and grow in emotional intelligence. When leaders consistently demonstrate inclusive behaviors, they create ripple effects across teams and departments.

Measuring Culture Through Pulse Surveys and Acting on the Insights

Surveys provide a regular pulse on how employees are feeling and where disconnects may exist. But the real impact comes when HR teams share the results transparently and follow up with action. Closing the feedback loop builds trust and signals that employee voices truly matter.

Championing Recognition and Employee Engagement Platforms

HR can help embed a culture of appreciation by promoting systems that make recognition easy, visible, and meaningful. Whether through technology or manager toolkits, HR can make recognition a daily habit. When employees feel acknowledged for their efforts, it strengthens motivation and belonging.

Reinforcing Values Through Onboarding, Development, and Everyday Communication

From day one, HR has the opportunity to communicate what matters most. Values should be woven into onboarding sessions, development programs, and ongoing internal messages so that they are not just learned but lived. Consistency in these touchpoints helps reinforce a culture that feels real and lasting.

When HR is a strategic partner, culture becomes a shared responsibility with a visible impact. It shifts from being an abstract concept to a lived experience that shapes how people work, collaborate, and grow.

Measuring Cultural Progress: Know What to Track

To understand whether your culture efforts are having the intended impact, it is essential to measure both qualitative and quantitative signals. Culture is not something you set once and forget. It evolves as people, priorities, and business needs shift. By tracking the right indicators, organizations can spot patterns, identify gaps, and make timely improvements. Look at:

Employee Engagement Survey Results

Engagement surveys offer a broad view of how employees feel about their work, leadership, and company direction. HR teams should analyze trends over time, not just one-time scores. Open-text responses are especially valuable for surfacing unspoken concerns or emerging cultural shifts.

Retention Rates and Internal Mobility

High turnover in certain teams or roles may signal cultural misalignment or disengagement. On the flip side, strong internal mobility shows that employees feel invested in and see a future within the organization. Measuring these trends helps HR understand whether culture is supporting long-term growth and employee satisfaction.

Participation in Recognition and Learning Programs

Strong engagement in recognition and development efforts indicates a culture that values contribution and growth. Low participation may suggest that programs are poorly communicated or not aligned with employee needs. Tracking who engages, how often, and why can provide insight into what is resonating and where support is needed.

Feedback From Interviews and Pulse Checks

Real-time feedback tools like pulse surveys and stay interviews give HR a chance to hear directly from employees in the moment. These conversations can uncover barriers to engagement or highlight strengths that are not always visible in metrics. When done consistently, they offer a rich, human lens on cultural progress.

Culture is not static. Measuring regularly allows you to adapt and improve over time. It turns culture from a vague concept into something observable, actionable, and tied to business success.

Final Thoughts

There are countless ideas to improve company culture, but the most important step is to begin. Whether you are wondering how to improve company culture at scale or how to improve company culture remotely for a distributed team, the answer lies in daily habits, leadership role modeling, and listening to your people.

Want to see how the right tools can transform your company culture?

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By applying these tips to improve company culture, you will foster a workplace where employees feel seen, heard, and valued, and that is what drives performance, loyalty, and growth.