Larry Senn once said, “Culture is not an initiative. Culture is the enabler of all initiatives.”
Senn, a pioneer in the field of corporate culture, recognised that positive corporate morale could help to future-proof organisations, reducing friction and boosting collaboration.
Like Senn, middle and senior managers know that corporate culture can make or break an organisation. It can be the deciding factor in whether an employee is satisfied or completely disengaged.
The sobering reality is that 17% of Australian workers say they want better corporate culture*.
The good news is that 67% of these workers are confident they will get it from their jobs*.
In the modern workplace, improving culture starts with small, considered steps. However, it’s no longer just a job for HR - managers are uniquely positioned to lead this shift.
If you’ve ever felt responsible for team morale but powerless to change it, you’re not alone.
We know that many of today’s managers feel stuck between leadership’s vision and the frontline realities of building a lasting corporate culture.
If you want to know how to improve corporate culture, this article is for you.
Inciting cultural change won’t happen overnight, but rest assured, hard work can pay dividends.
As we’ll explore, some key strategies can help you influence culture (without feeling like you’re failing), setting your team on the path to high performance and high engagement.
Understanding culture
You might have been tasked with shaping workplace culture, but have you ever been given the blueprint?
According to Clinton Marks, Director at Robert Half, managers often feel unsure about how to improve corporate culture.
He says, “Middle managers are facing a real cultural dilemma. They’re facing pressure from above, disconnection from below and a general lack of time, clarity and support.”
“It’s an ongoing balancing act which sees them trying to meet the financial needs of the business, while cultivating a robust culture where people can thrive.”
“Shaping culture is a mammoth task, and managers don’t take this responsibility lightly. Many are genuinely fearful of being blamed for poor morale or team disengagement. They want to do everything they can to avoid looking incompetent or losing control,” says Clinton.
Before you look at how to improve corporate culture, it’s important to understand what it is and what it encompasses.
Contrary to popular belief, culture isn’t something that can be created in an off-site - it’s lived every day.
Your organisational culture comes down to the shared values, beliefs, behaviours and norms that shape how work gets done within your workplace. It influences everything from decision-making and communication styles to how your employees interact and solve problems.
So, if you thought you could curate the right culture with a few extra team-building activities, think again.
Ultimately, a robust corporate culture will align with the company’s mission and goals, creating a sense of purpose and belonging that drives engagement and performance.
Related: Corporate culture
Curious about culture success stories?
Look no further than Canva.
The Sydney-based design platform receives over 300,000 job applications a year, consistently ranking among Australia’s Best Workplaces.
Canva is winning the war on talent both nationally and internationally, which is helping to power its rapid global growth.
So, what’s the appeal?
Well, it lies in its compelling, vibrant and purpose-driven workplace culture.
From its inception, Canva has prioritised a values-led approach that encourages collaboration, creativity and inclusion. Let’s take a look at the key elements that shape this well-regarded culture:
Core values – From ‘be a good human’ to ‘empower others’, Canva’s six core values reflect the organisation’s emphasis on kindness, empathy and teamwork.
Employee wellbeing – Canva walks the talk when it comes to creating a safe and trusted place for creativity. Employees can enjoy generous benefits, including mental health days, flexible work arrangements and in-house chef-prepared meals.
Empowered autonomy – Innovation and flexibility are at the forefront. Teams are given the freedom to take ownership of projects while working in ways that suit them best.
Sustainability and impact – Operations are underscored by purpose, with commitments to sustainability and global education access.
Inclusive hiring and leadership – Canva is proactive in its initiatives, which seek to build diverse teams and ensure equitable access to business opportunities.
Clinton says, “Canva is the perfect example of employing a careful and considered approach to shaping corporate culture. Sure, it wouldn’t have been easy, but it’s certainly paid off. At just 12 years of age, Canva’s global performance and position as an ‘in-demand’ workplace is something to be applauded.”
How much should you be paying? Get the numbers you can count on with Robert Half’s 2025 Australia Salary Guide.
If you’re a manager trying to shape cultural change, the task may seem daunting (especially when you’re grappling with a lack of authority, mixed messages, limited resources and unclear expectations).
Clinton says it’s important to remember that cultural change is a continuous process of growth and adaptation.
He says, “While the task may seem overwhelming, be mindful that small changes can have big impacts. If you can commit to honouring five simple steps, you can be on your way to maximising the collective strength of your workforce.”
Let’s take a look at the five ways managers can influence culture:
1. Model the behaviours you want to see
If you want to know how to improve corporate culture, start by critically analysing yourself and other business leaders.
“Employees may feel disengaged if leaders within the business don’t walk their talk. Ultimately, it creates confusion around what is truly valued within the company,” says Clinton.
“If you want to address this problem, remember that authentic leadership builds trust. Teams will mirror your cues, so model the behaviour you want to see.”
Perhaps you’re looking for more adaptability, collaboration or accountability. Whatever traits you’re seeking, be sure to harness them in your day-to-day operations. Lead by example and demonstrate how you can channel them in decision making, communication and daily interactions.
Clinton says, “When your employees know that you don’t say one thing and do another, they feel more aligned and inspired. This builds emotional safety and trust, motivating your employees to contribute positively to the workplace culture.”
2. Create psychological safety in your team
Have you ever noticed that some employees seem more apprehensive about sharing ideas or admitting mistakes?
Clinton says it could stem from a fear of judgment or punishment.
He says, “This scenario can be problematic because it can become a breeding ground for issues, hampering innovation.”
Clinton says the solution is all about creating psychological safety for your team.
“People open up when they feel safe, so work towards building trust. Things like actively listening, encouraging diverse viewpoints and framing mistakes as learning opportunities are all winning tactics.”
“Don’t be afraid to admit when you don’t have all the answers – your team needs to see that you are human too. Regular one-on-one catch-ups also help to foster a sense of connection and camaraderie,” says Clinton.
To build trust, boost morale and encourage a culture of continuous improvement, your employees need to feel safe to be their authentic selves at work. Helping them feel heard, valued and empowered is an integral part of improving corporate culture (and your bottom line).
3. Give clear, respectful feedback (and ask for it too)
Brené Brown says, "Feedback is not just how we grow – it's how we connect."
This is particularly accurate in the quest for positive corporate culture, where avoiding tension and disengagement is crucial.
“Managers who fail to use honest, respectful feedback set themselves up for failure. The environment becomes problematic because performance issues go unaddressed, misunderstandings develop and skill-building stalls,” says Clinton.
“Feedback isn’t just for your employees. The most authentic leaders are just as happy to welcome feedback as they are to offer it (respectfully and constructively, of course). Your openness to receiving feedback is essential in modelling transparency and continuous improvement to your team.”
When clear and regular feedback flows both ways, employees feel supported and motivated to succeed.
With feedback systems in place, you can open the channels of respect and growth to create a more empowered and high-performing culture.
Unsure where to start?
Why not try the two constructive frameworks below:
1. SBI: Situation–Behaviour–Impact
The SBI model cite three key factors to deliver targeted, non-judgmental feedback:
Situation – Describe when and where the behaviour happened.
Behaviour – Describe exactly what the employee did.
Impact – Explain how their behaviour affected the team or the outcome.
Example: “During the sales meeting (situation), you didn’t come prepared with the required financial information (behaviour). The planning team were unable to conduct their forecasts, which means they have missed the deadline for submission (impact).”
2. Radical Candor
The Radical Candor approach seeks to balance empathy and directness to avoid overly blunt feedback.
It requires you to:
Care personally – by displaying genuine care for the person.
Challenge directly – by being transparent about what needs to change.
Example: “I can see how committed you are to the project, and I want to help you succeed. However, I’ve noticed that you don’t always come prepared with the required information. Let’s look at some ways to boost your organisational skills so that nothing is missed in future.”
“Both frameworks are great for building trust with your team over time. By delivering constructive feedback, you can reduce defensiveness and create space for authentic growth and accountability,” says Clinton.
Related: How can HR influence company culture?
4. Bridge the gap between executive vision and team reality
Have you ever felt as though executives just don’t get it?
We’ve all been there – when executive vision feels somewhat disconnected from the day-to-day realities on the ground.
It can be a major problem, especially when employees become confused, disengaged and resistant.
If you want to avoid misalignment and poor execution, try to:
Translate vague goals into actionable team behaviours.
Regularly communicate how team efforts connect to the bigger picture.
Listen to team feedback.
Share team insights with executives to help shape the strategy.
Clinton says, “Employees want to feel like a trusted conduit, not a forgotten link. They need their challenges and opportunities to be understood by the company’s leaders to feel respected. If they know that their work matters, they’re more likely to invest in the organisation’s success.”
5. Celebrate cultural wins
In business, it can be hard to remember that winning isn’t everything.
If you’re wondering how to improve corporate culture, don’t discount the power of recognising positive behaviours (as opposed to simply results).
“We can’t always smash budgets or outperform last year’s sales, but we can choose to look at how we’ve improved,” says Clinton.
“We might not win, but we can improve culturally. If teams start to feel that these improvements go unnoticed, it can seem like their efforts don’t matter. To keep the momentum going, be sure to acknowledge and celebrate the moments that reflect your desired culture. It could be everything from collaboration across teams to voicing new ideas.”
Remember, recognition reinforces a sense of progress and meaning. It’s critical in building pride and purpose to boost morale and cultural momentum.
Real talk: what’s holding you back?
Find your next hire
Knowing how to improve corporate culture starts with being real.
Clinton says you must get out of your own way when it comes to cultural improvement strategies.
He says, “Time and time again, I speak to managers who want a better corporate culture, but they always find a reason to stall. They’ll often say, ‘I don’t have time’ or ‘Leadership isn’t walking the talk’. There are a million excuses, but you just need to bite the bullet and move forward."
“In my experience, culture change doesn’t need permission — just consistency.”
In the world of modern business, culture is king. Employees aren’t just looking for an impactful company; they’re looking for an incomparable culture. If you’ve ever been tasked with curating corporate culture, rest assured, it’s not impossible, but it is essential.
Are you looking to recruit? Let Robert Half help you find the talent you need today.
If you’re seeking advice on any workplace issues within your business, our experienced team of management specialists can help.
* Source: The study is developed by Robert Half and was conducted online in November, 2024, by an independent research company of 500 hiring managers and 1,000 full-time office workers in finance, accounting, business support, and IT and technology. Respondents are drawn from a sample of SMEs, large private, publicly-listed and public sector organisations across Australia. This survey is part of the international workplace survey, a questionnaire about job trends, talent management and trends in the workplace.
Frequently Asked Questions (FAQs)
How do you create a positive corporate culture?
Ultimately, creating a positive corporate culture starts from the top.
When leaders and managers can model the behaviours they expect, while communicating with clarity and respect, they help to foster psychological safety among their employees.
Executive participation is also crucial. By connecting their vision to the day-to-day team realities, managers can build a workplace where individuals feel understood, valued and empowered to succeed.
How to fix poor company culture?
Fixing poor corporate culture is not impossible, but it is essential.
Focus on:
Modelling the behaviours you want to see.
Creating psychological safety in your team.
Giving clear, respectful feedback (and asking for it too).
Bridging the gap between executive vision and team reality.
Celebrating cultural wins.
What are the signs of bad corporate culture?
Tension
Disengagement
High turnover
Low morale
Poor collaboration
Fear-based management
What are the key elements of a positive corporate culture?
High engagement
High morale
Transparent communication
Positive collaboration
Active listening
Strong retention
How can leadership influence corporate culture?
While there are many strategies to shape corporate culture, leaders can be one of the most impactful proponents.
Leading by example is one of the most critical ways that leaders can drive high performance and high engagement.
How to improve a company's culture?
Model the behaviours you want to see.
Create psychological safety in your team.
Give clear, respectful feedback (and ask for it too).
Bridge the gap between executive vision and team reality.
Celebrate cultural wins.
