5 Rules to Build a Company Culture People Love

Having a strong company culture can be the difference between thriving and just surviving. Organizations that nurture positive, engaging cultures are more likely to attract and retain top talent, boost productivity, and build a loyal customer base. However, building a company culture that people genuinely love requires more than just surface-level changes like casual Fridays or free snacks.

To create a workplace where people are not only productive but also happy and invested in the company’s mission, you need to focus on a set of core principles that influence every facet of the employee experience. We'll take a look at the 5 most important rules to build a company culture that people love.

Rule 1) Define and Live Your Company Values

At the heart of any great company culture are clearly defined core values. These values provide employees with a sense of purpose, guide decision-making, and create a sense of unity within the company. Yet, many organizations make the mistake of treating their core values as nothing more than decorative words on a wall or in a handbook.

To truly build a culture that resonates with people, your core values must be deeply embedded into the daily operations and behaviors of the company. Here’s how to make this happen:

Define Clear and Authentic Values

Your company values should be reflective of the true nature of your business and the kind of workplace you aspire to build. They should not be generic statements like "work hard" or "value integrity," but rather a reflection of the unique identity of your company.

For example, if innovation is one of your core values, how do you support creative risk-taking? If teamwork is important, what specific practices and policies encourage collaboration? The values should be specific, actionable, and memorable.

Communicate Values Consistently

Your company’s values should be communicated regularly through various channels: in meetings, during onboarding, and even in performance reviews. Leaders should continuously refer to these values in their communication, and employees should understand how their work ties back to these principles.

For example, at Patagonia, one of their core values is “Build the best product, cause no unnecessary harm.” This value is deeply embedded in their operations, from how they source sustainable materials to their commitment to environmental activism. Employees are encouraged to uphold this value in everything they do, from product design to customer service, making it a central part of the company’s identity and culture.

Lead by Example

Leadership plays a pivotal role in embedding core values within the company culture. If leaders are not living by the company’s values, employees won’t feel obligated to follow them either. Leaders should demonstrate these values in both their decisions and their interactions with employees, ensuring that the company’s values are reflected from the top down.

In addition, employees should feel empowered to hold everyone, including management, accountable to these values. When employees see that values are prioritized, they are more likely to adopt and cherish them.

Rule 2) Encourage Open Communication and Transparency

An open and transparent communication culture helps employees feel valued, trusted, and empowered to share their ideas. It’s critical for creating trust and collaboration across departments and ensuring that everyone is on the same page, working toward common goals.

Promote Openness and Honesty

To build a culture that employees love, openness and honesty must be at the core of every interaction. People need to feel that they can speak their minds, voice concerns, and share ideas without fear of retribution. When employees feel psychologically safe, they are more likely to contribute new ideas, provide constructive feedback, and engage fully with their work.

Google, for example, is known for its open culture, where employees are encouraged to ask questions during company-wide meetings. This creates an environment of transparency and inclusion, reinforcing a positive company culture.

Establish Regular Feedback Loops

Creating mechanisms for regular feedback is another essential part of building a communicative and transparent culture. This can be accomplished through:

• 1-on-1 meetings: These give managers and employees the chance to discuss challenges, progress, and opportunities for development.
• Company surveys: Anonymous surveys can provide an outlet for employees to share honest feedback about their experience, team dynamics, and leadership.
• Performance reviews: Instead of annual performance reviews, consider implementing quarterly reviews to keep communication consistent and up-to-date.

Make Information Accessible

Transparency extends beyond interpersonal communication—it’s also about sharing the information employees need to succeed in their roles. Whether it’s financial updates, strategic direction, or changes in company policies, employees should be kept in the loop. By democratizing information and avoiding a culture of secrecy, you create a greater sense of trust and involvement.

This transparency is often associated with companies like Buffer, which shares everything from financials to employee salaries publicly. While that level of transparency might not be feasible for every company, the spirit behind it—trusting your employees with important information—is something that any organization can adopt.

Rule 3) Prioritize Employee Well-Being and Work-Life Balance

The line between work and personal life is increasingly blurred. Employees want a company culture that respects their personal well-being and allows them to maintain a healthy work-life balance. Without this focus, companies risk burnout, turnover, and a disengaged workforce.

Offer Flexibility

Flexibility is no longer a "nice-to-have"—it’s essential to creating a culture that people love. Whether it's flexible work hours, remote work opportunities, or a results-oriented work environment (ROWE), giving employees the flexibility to balance their personal and professional lives is crucial.

For example, companies like Spotify offer flexible holiday schedules, allowing employees to take time off according to their personal beliefs and needs. Others, like Salesforce, have implemented hybrid work models to offer employees the best of both worlds: the structure of office life and the freedom of remote work.

Encourage Regular Breaks and Time Off

Companies that value their employees' well-being should promote the importance of rest. This includes encouraging employees to take regular breaks throughout the day and using their vacation time. For instance, companies like HubSpot offer employees unlimited vacation days and emphasize trust and autonomy.

When employees feel they can recharge without guilt, they are more likely to return to work with renewed energy and focus.

Invest in Mental Health Support

Employee well-being extends beyond physical health. The mental health of your workforce should be a priority, too. Consider offering access to mental health resources such as counseling services, mental health days, or subscriptions to wellness apps like Calm or Headspace. Offering these benefits not only supports employees' well-being but also demonstrates that the company truly cares about their long-term success and happiness.

Companies like Microsoft have invested heavily in mental health support for employees, offering services like online therapy, mental health days, and wellness resources.

Rule 4) Cultivate a Sense of Belonging and Inclusion

A company culture that people love is one where they feel seen, heard, and valued. Inclusivity and belonging are key components of a strong company culture, where diverse perspectives are not only welcomed but celebrated.

Promote Diversity and Inclusion at All Levels

Diversity and inclusion should not be limited to hiring practices—it must be infused into the company’s DNA. To build a culture that promotes belonging, you must create a workplace where everyone feels they have a seat at the table, regardless of their background, race, gender, or sexual orientation.

This involves:

• Ensuring diverse representation at all levels of the company, from entry-level employees to leadership.
• Creating employee resource groups (ERGs) that provide support and advocacy for underrepresented communities within your organization.
• Establishing clear policies and programs aimed at promoting inclusion, such as unconscious bias training or inclusive leadership development.

Encourage Collaboration and Teamwork

Building a culture of belonging also means encouraging collaboration. Employees need to feel that they are part of a team, working toward a shared goal. Team-building activities, cross-functional projects, and collaboration platforms (like Slack or Microsoft Teams) can help break down silos and encourage employees to work together.

Companies like Airbnb emphasize teamwork by creating environments where collaboration is easy and encouraged. Their “One Airbnb” core value unifies employees and creates a sense of shared purpose, enhancing collaboration across departments.

Recognize and Celebrate Individual Contributions

People love being part of a culture where their contributions are recognized. Whether it’s through shout-outs during company meetings, employee of the month programs, or personalized thank-you notes, recognizing individual efforts builds morale and creates a positive culture.

Moreover, recognizing the diverse talents and backgrounds of your employees is an opportunity to celebrate what makes your company unique. A culture that celebrates individual differences will always attract top talent and create a greater sense of belonging.

Rule 5) Support Professional Development and Growth

Employees want to work for a company that invests in their long-term success. A culture of learning and development not only attracts ambitious talent but also keeps employees engaged, as they feel empowered to grow within the organization.

Offer Continuous Learning Opportunities

A company that prioritizes continuous learning sends a clear message to its employees: “We want to invest in your future.” Offering opportunities such as workshops, online courses, mentorship programs, or stipends for continued education helps employees grow their skills while staying motivated and engaged.

For instance, companies like LinkedIn offer employees extensive learning and development opportunities, including LinkedIn Learning, which provides employees with thousands of online courses to help them grow in their roles.

Create Clear Career Pathways

Professional growth is closely tied to career advancement. Employees are more likely to stay with a company when they know what their potential career trajectory looks like. Establish clear career pathways for different roles and offer regular career coaching or mentorship sessions to help employees navigate their growth.

At Netflix, there’s a strong focus on performance and growth. Employees are encouraged to take on challenging projects, and those who excel are given opportunities to advance quickly within the company.

Encourage Leadership Development

A culture that creates leadership at every level inspires employees to take ownership of their work and contribute more meaningfully to the company’s success. Leadership development programs can help nurture future leaders by giving them the tools, training, and confidence they need to grow into higher roles.

For example, Adobe’s “Leadership Circles” program empowers employees to develop leadership skills by providing mentorship, training, and peer-to-peer learning sessions.

Final Thoughts

Building a company culture that people love is not a one-time project—it’s an ongoing process that requires constant attention and improvement. By focusing on these 5 core rules—defining and living your values, encouraging open communication, prioritizing well-being, cultivating belonging, and supporting growth—you’ll create an environment where employees feel valued, motivated, and inspired to contribute to the company’s success.

Ultimately, a strong company culture is one that aligns with both the business's goals and the needs of its people. It creates a sense of pride, belonging, and shared purpose—leading to higher engagement, better performance, and long-term success.

Key Takeaways