Company culture matters – but only if it’s done correctly

By Janice Chan | Sponsored
 
Janice Chan. Image: Supplied

Janice Chan, Director, Platform and Client Services at Amobee

Australia’s talent shortage is at an all-time high. Reports have shown that at least 9.5% of the Australian workforce changed employers or the business they operated in by February 2022 – an increase of 2% since the previous year and the highest annual rate since 2012. And ad land is no different.

Now you see them, now you don’t

According to the Media Federation of Australia (MFA), the churn rate in the industry increased to 34% in 2021 from 23.3% in 2020. Both agency (41%) and media (29%) staff have changed companies in the past year, nearly double the figure from the previous year.

While some workers have resigned to move on to greener pastures, some workers are choosing not to return at all, instead opting for non-traditional opportunities that meet their current needs – flexibility, professional development, more time with family or improved physical and mental health. 

The right offer under the right conditions

There may be a talent shortage, but there isn’t a people shortage. In Australia, workers still outnumber available jobs, but somehow job vacancies sit unfilled for months.

While some employers have taken a proactive approach of building their own recruitment pipelines or attracting new workforce entrants through specialised training, churn rates remain the same as traditional solutions to address today’s talent shortage are focused on attracting talent, not retaining them.

Going beyond compensation and benefits

Yearly pay rises, promotions and employee perks and benefits are common tactics used by most companies to keep workers. It can be effective, but unsustainable in the long run. While salaries remain a key factor, today’s top talents also have other drivers that keep them motivated.

Work-life balance is not a new concept, however, with work and life blurring closer together given current work-from-home conditions, employees are reassessing what they need from their next employers.

Great culture starts from the bottom up

Culture matters – but only if it’s done correctly. In the past, companies implemented culture from the top down. Upper management and HR develop a set of company values and every so often maybe provide free lunch or host a company-wide celebration. It’s not effective as gaps develop between the “desired” culture – what the company tries to be, and the “actual” culture – who the people of the company really are.

While culture building is an important step that business leaders should take to achieve great company culture, it’s everyone’s responsibility and in their best interest to cultivate it. By having an open and supportive environment that starts from the bottom up, a company’s culture eventually aligns with the company’s goals and the types of people it attracts and retains.

Everyone has a role to play

As leaders, we need to embody our company culture and communicate it well and often to employees and prospective new hires. We need to be able to demonstrate our values, regularly check in and offer support both professionally and personally, provide opportunities that keep team members motivated and show appreciation and recognition.

As individuals, it’s on us to get involved. We need to have open and constructive conversations with peers and managers to discuss how we want to grow, the challenges we have and the support we need to be most productive.

At Amobee, leaders create a safe environment and effective channels for team members to be open with their ideas and funnel up. Individuals add value to the company culture by actively participating in team days, career goals setting and review that allows for two-way conversations around career progression, as well as culture activities like bowling, go-karting, wellness week and volunteering days that create social inclusion and solidarity and impacts overall happiness, satisfaction and performance.

The peak of industry churn may have passed, but the ‘Great Resignation’ is far from over. According to a recent survey by Microsoft, 52% of Gen Z and Millennial workers, which make up over 70% of the media workforce, said they were still likely to consider changing employers this year. While the majority of these workers will fill some job vacancies in ad land, there’s no guarantee that they won’t make the same decision again in a couple of months.

Addressing the talent shortage is not just about recruiting good candidates, but also retaining them. By building and fostering great culture, companies can meet the ever-changing needs of the current and next-generation workforce.

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