Assessing Your Current Workplace Culture
The Importance of a Clear Understanding of Culture
Many SME owners assume they know their company culture because they built the business from the ground up. However, culture is not what leadership believes it to be—it is what employees experience daily. If there is a disconnect between stated values and actual behaviours, performance, engagement, and business success suffer.
Common signs that workplace culture has not been properly assessed include -
Employees express uncertainty about company values or expectations
High staff turnover or disengagement, despite competitive pay
Resistance to change, innovation, or new processes
Inconsistent service standards, impacting customer experience
Leadership assumptions about culture differ from employee reality
Without a structured approach to assessing culture, SMEs risk losing talent, diminishing productivity, and creating misalignment between leadership and employees.
The Solution – Conducting a Workplace Culture Assessment
Assessing workplace culture is the first step toward improving it. SME owners must take an objective, data-driven approach to understand how culture is perceived and experienced at all levels of the business.
A strong culture assessment includes -
Employee Surveys – Anonymous feedback on workplace values, leadership effectiveness, and team dynamics.
Observation of Daily Behaviours – How employees interact, solve problems, and respond to challenges.
Leadership Self-Assessment – Comparing leadership intentions with employee experiences.
Customer and Supplier Feedback – External perspectives on cultural impact.
Review of HR Data – Analysing turnover rates, absenteeism, and performance trends.
A realistic, well-informed view of workplace culture allows SMEs to identify gaps, reinforce strengths, and implement meaningful improvements.
The Impact on the Business and the Owner
When culture is accurately assessed, SME owners gain clarity about what is working and what needs to change.
Business Benefits -
Higher employee engagement – Staff feel valued when their feedback shapes workplace culture.
Stronger leadership alignment – Owners and managers make informed, culture-driven decisions.
Improved performance and efficiency – A well-understood culture removes friction and enhances productivity.
Increased customer satisfaction – Culture-driven service ensures consistent, high-quality experiences.
For the business owner, understanding culture reduces blind spots, improves decision-making, and builds a stronger foundation for long-term success.
Key Reasons to Assess Workplace Culture
Identifies Strengths and Weaknesses – Provides a clear view of cultural gaps and areas of improvement.
Prevents Leadership Blind Spots – Ensures leadership perceptions align with employee reality.
Boosts Employee Retention – Employees stay longer when they feel heard and valued.
Strengthens Organisational Resilience – A well-understood culture adapts better to change and business growth.
Supports Better Hiring and Training – Culture assessments help attract and develop employees who align with company values.
HR Best Practice
Culture assessments should be structured, ongoing, and action-driven.
Use Anonymous Employee Surveys – Staff are more honest when responses are confidential.
Conduct Exit Interviews – Departing employees provide valuable insight into cultural strengths and weaknesses.
Create Focus Groups – Small group discussions allow employees to share insights on workplace culture.
Benchmark Against Industry Standards – Compare culture data with SMEs of similar size or industry.
Regularly Review and Act on Findings – Culture assessments are useless without follow-through.
Psychological Perspective
A culture that feels supportive and inclusive enhances employee motivation, well-being, and productivity. When employees see no link between stated company values and their daily experiences, they disengage and may leave.
Research shows that employees in organisations with strong cultural alignment experience -
Higher job satisfaction and lower stress levels
Increased motivation and commitment
Greater willingness to contribute ideas and innovation
Conversely, when employees feel ignored or disconnected from company culture, they are more likely to withdraw, underperform, or leave.
Practical Tips
Measure Employee Sentiment Regularly – Use quarterly pulse surveys to track cultural trends.
Engage in Open Conversations – Hold informal chats with employees to gauge workplace morale.
Look for Unwritten Cultural Norms – Identify and address behaviours that contradict stated values.
Check for Leadership Consistency – Ensure managers and owners model company culture daily.
Use Cultural Data to Guide Strategy – Let assessment results shape leadership training, recruitment, and workplace policies.
The Long-Term Benefits of Regular Culture Assessments
When workplace culture is assessed, understood, and improved, SMEs experience sustained growth, better employee retention, and a stronger market position.
Higher employee satisfaction and lower turnover
More engaged and self-sufficient teams
A culture that adapts to industry shifts and business growth
Greater consistency in customer experience
A well-defined identity that attracts top talent and investment
Red Flags – Signs Culture is Not Being Properly Assessed
Leadership assumes culture is positive without actual employee feedback.
Employees struggle to describe company values or mission.
Workplace conflicts, silos, or disengagement are ignored.
Culture is only discussed during crises or major business changes.
No formal system exists for measuring or improving culture.
Ignoring workplace culture does not make problems disappear—it allows them to grow unnoticed until they damage business performance.
Golden Nugget - "Culture is not what you say it is—it’s what your employees experience every day. If you don’t assess it, you can’t improve it."