Can Culture Win A Recession?

It’s no secret that the global financial future is in question for the foreseeable future. Companies across all industries are doing their due diligence to shore up spending, transition to different financial plans, and reassess how they can better sell to their customers. The reality is that although these changes and conservative financial plans may help you hit your bottom line in the short term, they will never help your company get back in gear once the recession is over. So what is the secret to surviving through a recession while keeping your team intact?

In short? Culture.?

The Damages Of Cutting Too Deep

We know that just having a winning culture won’t recession-proof your company. No company is exempt from the stresses of the global market, and taking the proper precautions to ensure that you don’t hemorrhage in times of struggle is extremely important. But the most important thing to any company is not to lose sight of its DNA. Your teams, your sellers, and your management all make up crucial parts of what makes your company the place people know and love.?

The best way to negate losses in times of financial stress is by assessing your strategy, especially within your sales teams. If your sales teams are selling to a vertical or a market impacted by the threat of a recession and are participating in budget and hiring freezes, then your sales team will likely struggle. Now is the time to get creative; how does your product help, even in times of economic uncertainty? How can you adjust messaging to better align with current market concerns and how does your product/service mitigate those concerns? For current clients, reach out proactively to check in and see how your services can support their business goals during this period of uncertainty.

Culture = Revenue

Most of us have had that one nightmare job where our bosses micromanaged us, our strengths were buried under a mountain of stress, and we worked tons of overtime hours for little to no reward. Think about how that environment affected your work, your motivation, and your loyalty to that company. For most of us, when a company looks at us as expendable, the feeling is mutual.?

Having a winning culture doesn’t just inspire your team to push themselves every day; it keeps your top talent in place for years to come. It shares your vision across every level of your company, builds trust in everyone from your newest hires to your founders, and makes people want to work for you. Times have changed, and with such a large percentage of the workforce working remotely or in different offices, the definition of culture has shifted with it.

Modern culture and benefits give your employees autonomy, one of the biggest sources of motivation, and allow them to set their own path to being their best selves. Essentially, by putting faith in your employees and supporting them properly, you are building a path to future financial success. On average, companies with excellent culture were 1.5x more likely to report average revenue growth of over 15% for the last three years. That’s because happy employees are 56% more productive, 50% less likely to leave their jobs, and take 75% fewer sick days. Culture isn’t just nice to have, it is essential to building a great company with staying power.?

So how can you build a winning company culture during a recession? There is no one-size-fits-all solution for culture, so assessing your company’s needs, resources, and requirements is extremely important. For any other culture questions, check out our full culture guide here.?