ali khan
Ali Khan
Published On
March 26, 2024
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Good Company vs Bad Company Culture [with Examples]

Although it usually isn't explicitly stated in a document, company culture affects everything an organization does. Workplaces with good culture have trust, cooperation, safety, support for taking risks, and equity. Good company culture can benefit both employees and businesses.

For employees, it could mean:

More employee engagement 
Less turnover 
Less employee disengagement 
More positive employee relationships with management 
More positive employee relationships with coworkers 
Less burnout 

For business, it could mean:

More employee retention 
More sales and referrals 
More positive public relations  
Better customer satisfaction  
Less legal problems
More employee engagement 

Employees who feel engaged in their work are typically more productive, have higher job satisfaction and commitment, are more likely to stay with a company, and have higher job performance. 

More employee retention! People who feel valued in their workplace are more likely to stay with an organization.

A good company culture encourages employees to be more productive, which leads to employees feeling less burnt out and more engaged in their work, which leads to higher job satisfaction and a greater sense of personal attachment to the organization. 

More sales and referrals because if good company culture leads to better customer satisfaction and productivity, it can lead to increased sales and a better reputation.

If employees feel appreciated and well-treated by a business, they are more likely to want to refer others to that business. 

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More positive public relations, when an organization has a strong workplace culture where people feel valued and appreciated, it is less likely to run into any public relations problems that can get the lousy business press or negative social media stories that can hurt its reputation.

Good public relations are essential whether hiring people or seeking new customers.

Better customer satisfaction supposes your company culture is positive and encourages the best behavior from your employees in all areas where customers have contact with them.

In that case, you will likely have very satisfied customers who will be more likely to return or even become repeat customers.

With exemplary customer service every time someone interacts with your business on the phone or in person and clear instructions on how customers can order products or services online, you should see an increase in sales. 

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Benefits of good company culture

When your company culture is good, and you have a solid moral code instilled from the top down, there is less likely to be any internal misbehavior that leads to lawsuits for discrimination or retaliation when those internal policies come under scrutiny.

Keeping documentation of everything, from hiring new employees to firing current ones, can help you avoid legal issues.

As long as all documentation is accurate, all parties involved should be happy with the outcome.

The main goal for any company should be happy customers who will return for repeat business and good word-of-mouth advertising through social media or word-of-mouth recommendations.

With an open door policy at all times so that anyone within the company can have their voice heard without fear of reprisal, you should have an open environment where innovation can thrive, potentially leading to improvements in your products and services that could bring in new customers even while your existing customers are coming back for repeat purchases.

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The difference between good and bad company cultures

Defining the characteristics of good company culture is the first step toward creating a great one.

But what about bad company culture?

What’s the difference between good and bad company cultures?

It’s easy to say that good company culture is one where employees are happy. And that might be true, but a few other essential elements set apart a good company culture from a bad one.

The ideal company culture

  • Collaborative: A company culture based on collaboration will see employees working together for mutual benefit.
  • Flexible: A workplace that allows its employees to work from home when needed or to work remotely for a limited time will help improve work-life balance.
  • Supportive: Whether your team is working on projects or throwing parties together, your office should feel like a home where you can relax and enjoy yourself. A great company culture combines all these elements to create a place where employees are motivated to work.

But what makes a bad company culture? And why should you be trying to avoid them?

Here are some of the most common signs that demonstrate a terrible company culture.

  • Bad communication between employees and management.
  • Inadequate communication can spell disaster for any organization and its culture.
  • Higher turnover rates among employees.

If people don’t want to work for your organization, your culture isn’t working as it should.

Your turnover rate might be low, but it’s still likely higher than it should be if your employees don’t feel motivated enough to do their best at work.

Low employee performance at work. If your employee performance suffers, there might be something wrong with your company culture.

Your employees might feel unappreciated or unvalued by management, which can turn them into unhappy employees who aren’t invested in their work anymore.  

Poor employee retention. If you have trouble keeping your best employees on the team, there must be something wrong with your company culture.

Remember: a good employee retention rate is key to improving productivity, team performance, and overall profit!

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How can you create a good company culture?

Everything is impacted by the company culture, including the most important aspects like new employees turnover. New hires do observe and spot a lot of factors related to your company culture.

Yet, just 12% of executives feel that their companies are encouraging the proper culture and employee well being, even though 94% of executives and 88% of employees agree that it can make or break a company. 

Positive workplace cultures promote transparency so that every team member knows where they stand and how the company is progressing.

What can you do to create a solid company culture? What are some excellent company culture examples you can learn from?

Would a ping pong table help in this matter? Understanding what a healthy company culture looks like is key to making your own.

You may show your current style this way, then adjust and enhance it.

Describing the company culture

The company's values, practices, and traditions are reflected in the corporate culture. This is often referred to as company organizational culture.

Additionally, it can be observed from how the management, staff, and clients engage with one another.

It is not set in stone and clear to all employees, unlike a company's vision or mission.

Instead, it grows organically from each staff member and how they engage with each other.

Every time you go to work, you see and experience it, from little things like clothing standards to big stuff like how individuals perform and reach critical decisions.

Creating a positive, healthy, and engaging company culture is the purpose of company culture improvements.

Here are some details to keep in mind if you're wondering what that looks like. This will result you in happy employees.

People that work together in your company with the same beliefs and objectives perform better and get along better.

You can see that teamwork is vital to 75% of employees by looking at the results of collaborative brainstorming sessions. In order to cultivate an innovative culture, companies must instill the belief that all new ideas are valuable.

Use rewards to show what you value in your company. For rewards you can go an extra mile and use a conference room. A positive company culture ensures no good deed goes unappreciated.

Therefore, you can provide credit for everyday accomplishments and high achievers who add value to the organization.

For example, recognize someone marking their work anniversary at your next meeting. Or take it a bit further and reward constructive feedback.

This will result in your team member personal values and personal development improvement and their everyday life at work will be easier. Team member values are important!

Positive feedback motivates your workers to perform better. So pat that person on the back the next time you observe them finish a task earlier or better than expected.

Show them that you value their contribution and appreciate it when they go the extra mile.

The conversation in positive company culture should always be open. It’s a prominent characteristic of a strong culture. Encourage your staff to offer innovative ideas and don’t shoot them down quickly or rudely.

Always keep the team well informed, and engage with them honestly. This way will be easier to get the new employees on board.

As per the new hires there is always a way to make them feel welcome on the workplace by your team who was there before them and will guide them through everything.

The era of neon lighting and grey paint jobs is over; today's workers want a contemporary, laid-back and innovative workplace.

As a result, employers must adopt new tools and add fun perks like a foosball table in the break room (why not?). 

Your company culture and any accompanying incentives also will be the decisive factor for new candidates because your success depends on new hires who excel in a competitive field. This is why employee well being is important.

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Top 4 Good Companies Culture Examples

Looking up to some big companies with a positive working culture is always a good idea. Most of them focus on professional and personal well being. Below we have listed some known companies for their excellent company culture and employee engagement which you can take as an example for your future office politics.


A list of businesses with a good company culture almost seems incomplete without including Google.

Google has been known for its culture for years and offers many of the perks and benefits startups are now known for.

Free meals, company outings and events, cash bonuses, gyms, a dog-friendly atmosphere, remote workers and other extras are offered.

In addition, Google employees are well-known for being driven, top talent, open communication and among the finest.

Maintaining a consistent work environment culture across the company's various departments and between Google's headquarters and satellite offices has proven challenging as the company has grown and the organization has spread out.

In addition, a company's culture changes more as it grows to accommodate additional workers and needs more management oversight.

Although Google continues to receive excellent reviews for compensation, benefits, and career advancement, some employees have noted growing pains, particularly the stress brought on by a cutthroat business environment.

If your culture doesn't support a healthy work-life balance, hiring and expecting the best of your staff can quickly become a stressor.


A company that goes above and beyond to give employees challenging projects and provides them the confidence and support to assist them in overcoming those problems is Adobe.

Adobe's culture rejects micromanagement, favoring the trust they put on the team to perform their best work when given broad freedoms. 

Adobe products are synonymous with creativity, and the creators of those products can only be entirely free to innovate when micromanagement is avoided.

For instance, Adobe doesn't rate employees since they believe it harms teamwork and innovation.

Instead, managers take on the coach role, allowing staff members to define objectives and decide how leaders will evaluate them.

Additionally, stock options are given to employees to be aware of their investment and potential rewards for the company's success.

Finally, the open workplace culture at Adobe includes ongoing training and a climate that encourages taking risks without concern for repercussions.


Are you looking for a modern-day business culture example? One of the top online shop builders in the world, Shopify has a robust set of core values and a positive corporate culture.

For any nice deed, no matter how minor, they even have an internal praising mechanism called UNICORN to provide props. 

Unfortunately, not every business can develop a solution that will enable them to establish a positive corporate culture quickly, but it doesn't mean you shouldn't.

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Twitter staff members are always gushing about their workplace environment. Rooftop meetings, amiable coworkers, and a team-oriented workplace. Of course, at the San Francisco headquarters, Twitter employees may also have yoga courses and limitless vacation as is expected of the tech giant.

But what distinguishes Twitter?

Employees rave about how much they enjoy working with other intelligent people.  They gush about working at a company that is making a difference in the world, and it seems like nobody quits until the job is finished.

11 Examples Of Bad Company Culture

You can either use your culture to your advantage or your disadvantage. Being vigilant and working to improve bad company culture is the key—however, it's hard to tell if the company culture is terrible without taking an honest look. Everyday life feels very difficult when being a part in a bad company culture examples. Furthermore, sometimes what feels wrong for you is the ideal culture for someone else. Therefore, we will give you some insights into what a toxic or lousy company culture might look like.

  • You don't have a set of guiding regulations
  • There are a lot of office rumors
  • Toxic approach to competition
  • Frequently, workers are absent or tardy
  • Employees frequently stay late at work or skip lunch.
  • Choosing employees based on specific cultural criteria
  • No DEI policy
  • Avoid having remote workers
  • No employee training programs
  • Offensive employee criticism
  • You avoid conference room meetings

Companies with solid cultures benefit

Workplace engagement and organizational culture have become increasingly important to many organizations and employees.

This article intends to increase awareness and encourage organizations to create a culture of respect and growth rather than just paying lip service to it, which is all too easy to do.

Employees who feel welcome, included, and valued in an organization have a good work culture. Employees like to work in an environment where they can thrive instead of looking over their shoulders. 


1. How can small businesses with limited resources implement these examples of good company culture?

Small businesses can adapt good company culture practices to their scale by focusing on core values, open communication, and recognizing employee achievements with resources they have.

2. How do companies measure the impact of their culture on business outcomes like productivity and innovation?

The impact of company culture on business outcomes can be measured through employee engagement surveys, turnover rates, and performance metrics.

3. Are there specific challenges in maintaining a positive company culture as a business scales up?

As businesses grow, maintaining a positive culture may involve challenges like ensuring the core values are understood and embraced by all employees, which requires clear communication and leadership commitment.

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More Articles From Ali Khan

Ali is a co-founder of Wrenly known for his innovative thinking and exceptional drive to create value for every Wrenly customer. His dedication, mentorship, and leadership skills have not only shaped various careers but have also made him an invaluable asset to the Wrenly team.

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