Company culture is the work environment of a company and its employees. It encompasses the mission statement, values, ethics and goals established at all levels of an organization. A company must hire the right employees to ensure its success and the happiness of its employees. A bad fit in the work culture can result in a disastrous working environment and very unhappy employees. Employees who do not believe in a company’s vision and strive to fulfill the goals established by leadership, are more likely to create a negative company culture.

The Human Resources department of a company must strive to hire the right talent. They must also educate and encourage employees to fulfill the mission of the company.

There are several types of company culture. Variables that may impact the culture include: the age of the company, the design of the office space, the people, and practices. Companies established 100 years ago may have completely different environments than those established a couple years ago. They may have a more defined leadership structure, whereas newer companies may require a flatter hierarchy to permit for collaboration and idea sharing. Secondly, the design of a company’s office space may strongly impact the environment in the workplace. An open office space with few walls may permit for better collaboration and communication between employees. Lastly, the business practices of a company also strongly influence the work culture. Some companies strive in a more casual environment with few rules and policies. The employees in this type of environment likely perform well with more flexibility and less structure. Other companies can only perform with very strict work policies and rules.

Examples of different company cultures include team-based, traditional, and casual work environments. Each having its pros and cons. Overall, a company should strive to hire the right talent for its company’s culture as this will ensure the happiness and cohesiveness of its employees.