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Great Culture.
Great Workplace.
     Lessons From America’s Best Companies




                White Paper
Does your organizational culture help your company achieve
its strategic business goals? Is your culture visible, understood
and leveraged to help your employees know what is expected
of them? Is your workspace a reflection of your culture? Does it
reinforce and support your culture and inspire your employees?

                                       Culture is a powerful strategic tool in business today. It is used to
                                       tell a company’s story, celebrate its successes, revere its history,
                                       attract employees, intrigue customers and provide a tangible
                                       connection to a company.

                                       At Kahler Slater, from our experience working with success-
                                       ful companies over time, we know how important culture is to
                                       overall business success, so we decided to seek out benchmark
                                       companies and study the ways they intentionally design work
                                       experiences and spaces that manifest their great cultures. We
                                       chose as our benchmarking group, the large, medium and small
                                       companies appearing on the Great Place to Work® Institute list.
                                       As an interdisciplinary design enterprise that creates transfor-
The Great Place to Work® (GPTW)
                                       mational experiences and environments for visionary clients
Institute list of 100 Best Com-
panies to Work For has been            throughout the world, we ourselves have appeared on the Great
published annually in Fortune          Place to Work® Institute list for Small- to Medium-sized compa-
magazine since 1998.                   nies since that lists inception, seven years ago. And, as design-
                                       ers of great workplace experiences for our clients, we were
Using the same GPTW Institute
                                       sure that our Best Companies to Work For in America (hereafter
criteria, a list of Small- to Medium
sized companies has been pub-          known as Best Companies) peers would have a lot to share on
lished in HR Magazine since 2005       the topic of culture in the workplace.
and in 2010 the list was posted
with Entrepreneur.com.                 This study is the second time we have reached out to our fellow
                                       Best Place to Work list members to discuss specific aspects of
                                       how the physical environment plays a role in supporting them in
                                       their quest to become and remain a Best Place to Work. Our first
                                       research report, “What Makes a Great Workplace?” measured
                                       how Best Companies achieved thirteen (13) attributes identified
                                       as important contributors to creating a great work environment
                                       (see Appendix). This time, however, we narrowed our focus
                                       significantly to study in more detail a 14th attribute that surfaced
                                       during our initial site visits - how the workplace expresses organi-
                                       zational culture.



                                                                                     Great Culture. Great Workplace.   2
Why this particular attribute? Over and over we have heard from
Best Companies that their strong and unique cultures really set
them apart from other companies. They believe their cultures
are a primary key to their success. From our work, we know
that physical environment in a workplace can strongly reinforce
a company’s culture messages. In this study, we wanted to
explore the role that the physical aspects of the workplace play
in intentionally communicating and reinforcing the culture at
these Best Companies.

WHY STUDY BEST PLACE TO WORK
FOR COMPANIES?
For more than 25 years, the Great Place to Work® Institute has
                    been leading a movement to identify and cel-
                    ebrate great companies for others to emulate.
                    Over the course of these years, the Institute
                    has not only measured companies against
                    their Trust Model©, it has also studied the
                    performance of these companies. The Insti-
                    tute’s process is unique from the dozens of
                    other business rankings because it measures
                    from an employee perspective through a com-
                    prehensive employee survey. The rigorous
                    employee survey and investigation procedures
                    used by the Great Place to Work® Institute
                    have revealed hundreds of enterprises of all
                    sizes that are proven to have created high-
                    performing workplaces. Year over year, these
                    companies outperform their competitors on
                    many business measurements such as: finan-
                    cial performance and less voluntary turnover,
                    and they enjoy other benefits such as: receiv-
                    ing more qualified job applications for open
                    positions, fostering greater innovation, creativ-
                    ity and risk taking, and receive the benefits
                    of higher productivity and profitability1. So,
                    given a track record of this competitive edge,
                    it stands to reason that these Best Companies
can offer lessons to the rest of business as to how culture plays
a role in their respective successes.

In addition, many companies in these lists rank high in what is
known as employee engagement, a field of inquiry that generally


                                              Great Culture. Great Workplace.   3
measures employees’ willingness to invest discretionary effort,
                        recommend their companies to their friends, increase their likeli-
                        hood of staying, etc. The correlation between employee engage-
                        ment and business performance has been repeatedly proven2.
                        The Corporate Leadership Council, for instance, has found that
                        engaged employees perform 20% better than non-engaged
                        employees and are 87% less likely to leave their companies3.
                        According to a study by the consulting firm, Development
                        Dimensions International, a company with 10,000 employees
                        can experience a $42 million benefit, simply by moving its work-
                        force from low to high engagement4.

                        We theorized that companies with these kinds of engaged
                        employees, particularly those with high trust environments as
                        measured by the Great Place to Work® Institute lists, are most
                        likely to be leveraging all of their physical attributes to tell the
                        story of their culture in compelling ways that are unique to them.
                        It is in this spirit that we pursued this investigation.


                        THE IMPORTANCE OF CULTURE
                        When you think of an outstanding corporate culture, the word
                        fun might be the first thing that comes to mind followed by well
                                                publicized images of Google or Zappos.
“If you do not manage culture, it               Fun aspects of corporate culture are front
                                                and center because they are, well, fun.
manages you, and you may not even               But corporate culture is about more than
                                                free food, workplace laundry facilities
be aware of the extent to which this            and worker benefits and amenities. In a
is happening.” Edgar Schein   5                 recent study by the American Manage-
                                                ment Association (AMA) “Cultivating
                        Effective Corporate Cultures- A Global Study of Challenges and
                        Strategies,” culture is defined as “the shared values and beliefs
                        that help individuals understand organizational functioning and
                        that provide them with guides for their behavior within the
                        organization.”6

                        A business’s culture entails many elements – those unwritten
                        rules of interacting with one another that help people under-
                        stand what’s important to the group and how to behave to
                        ensure their success in that organization. Culture is about values,




                                                                      Great Culture. Great Workplace.   4
how respect is expressed and to whom. Culture identifies a
                          company’s sources of inspiration and celebration. Culture tells us
                          something about the company’s relationship to the community at
                          large. Culture is about belonging.

                          Providing a sense of belonging is essential to creating a high-
                          performing company. Psychologist Abraham Maslow, while
                          researching motivation, ranked “social needs” in importance
                          above only physiological and safety needs. And he included the
                          experience of belonging as part of the “social needs” cat-
                          egory7. High-performing companies recognize that their success
                          depends on more than merely having a rock solid business plan
                          and set of mission-critical objectives that establish their pre-emi-
                          nence among their competitors. They must be able to attract and
                          keep the best available talent by providing that sense of belong-
                          ing. High-performing companies must be able to create and
                          sustain an environment in which employees can focus on their
                          work, learn from each other, stay inspired and freely innovate in a
                          spirit of collaboration with their co-workers.

                          Cultural anthropologist, Arna Banack, states, “The literature has
                          not done a good job of demonstrating culture’s impact on the
                          bottom line. A company’s largest fixed cost is salary and ben-
                                                efits, which is all about their employees and
“Part of being effective is living              organizational culture. Real estate averages
the brand. It is all connected: brand,          about 7% of costs, a small amount com-
                                                pared to HR costs. The opportunity is to use
space and culture.” Arna Banack        8
                                                that 7% as a strategic tool to help create the
                                                kind of culture you need to accomplish your
                          goals and make your largest fixed costs-people- more effective.
                          Part of being effective is living the brand. It is all connected:
                          brand, space and culture.”8

                          OUR METHODOLOGY
                          Our methodology utilized an on-line survey sent to a comprehen-
                          sive list of Best Companies from the large, medium and small
                          lists, followed by virtual and personal site visits. Our site visits to
                          a variety of Best Companies took us around the United States.
                          We looked at how these Best Companies use their workplaces
                          to reinforce the unique elements of their cultures to employees
                          and visitors.

                          In this study, we focused on the tangible artifacts and visible
                          manner that organizations communicate their cultures. Our hope


                                                                          Great Culture. Great Workplace.   5
was to learn how these organizations use specific artifacts and
                                       visible elements of culture such as buildings, interior spaces,
                                       and graphics to communicate and support their unique stories to
                                                                employees and visitors. These physical
We believe that demonstrating our company’s unique              artifacts of a workplace are often the
culture in our physical workplace gives us a competitive        most immediately visible examples of
advantage in...
                                                                how the company communicates and
                                                                reinforces the enterprise’s values to all
 98 %                                  Attracting new employees
                                                                its employees.
 98 %                                       Retaining employees
                                                                 We are grateful to all of our participants
                                                                 in this research, for it is their story we
 89 %                                     Securing new business
                                                                 hope to tell. Together, if these practices
                                                                 can inspire others, we have achieved
                                        our goal to help others see the value in intentionally leveraging
                                        the workplace as a vehicle to support, celebrate and manifest
                                        culture.


                                        SUMMARY OF FINDINGS
                                        Our search for connections between how organizations are lever-
                                        aging their physical workplaces to support and manifest their
                                        great cultures revealed some very compelling data and fascinat-
                                        ing examples of Best Place to Work companies that make their
                                        cultures come alive.

                                        We discovered that the Best Companies to Work that we
                                        surveyed and visited throughout the United States had found
                                        creative and inspiring ways to manifest their cultures.

                                        Using the framework of the Great Place to Work Institute’s Trust
                                        Model©, we could see that they each used their workplaces to
                                        instill pride, to build camaraderie and to support trust through
                                        respect, fairness and credibility.

                                        As we reviewed the survey results and traveled the country
                                        meeting our fellow Best Companies honorees, we learned how
                                        the physical experience one has in their workplaces syncs with
                                        their cultural visions. The workplace cultural expression is a valu-
                                        able source of energy, inspiration, community, excitement – as
                                        well as that crucial sense of belonging.




                                                                                      Great Culture. Great Workplace.   6
The companies we surveyed and visited represented a wide
variety of industry segments, styles, geographic regions, and
frankly, budgets for architecture, communications and interior
design. But regardless of the company, we found that four
characteristics are common among all of them:




                            A visible “spirit”
                             of the culture




             Visual
       communications
        that build pride,                        External and internal
      engage & recognize      Culture              brand alignment
          people and
       accomplishments



                            Dedicated spaces
                             to celebrate and
                            build camaraderie




The following provides an overview of each of these charac-
teristics and illustrates the best practices that we discovered
through our survey and site visits.


                                                            Great Culture. Great Workplace.   7
1. A visible “spirit” of the culture
How do you rate your physical environment for communicating Throughout the synthesis of our collected data,
your company culture and telling your organization’s story? it became clear that a company culture has a
                                                                 spirit that can be palpable and experienced.
 41   %
                                         Extremely impactful     That spirit comes through how a person experi-
                                                                 ences the organization on many levels - from
 41%                                          Very impactful     the people that greet them to what is visible
                                                                 on the walls or even what is experienced on
 13 %                                    Somewhat impactful      the path to the entry. The spirit of the culture
                                                                 is manifest through the intentional choices that
 4%                                         Slightly impactful   a company makes about everything from the
                                                                 office location, down to the details of furniture,
                                                                 artwork and signage.

                                              During our research, we found that many of the companies we
                                              studied know, even if intuitively, that communicating culture
                                              begins immediately –in some cases, well before visitors and em-
                                              ployees even enter the front door. The first impression is power-
                                              ful and should be consistent in feel and message throughout the
                                              workplace as people move beyond the entrance and throughout
                                              all the workplace environments.

                                              The genetic research company, Genentech, for instance, has
                                              even created the street name where its headquarters are located
                                              to celebrate the essence of what its people do: DNA Way. Hang-
                                              ing from the outside of the buildings, visible to passing cars, are
                                              gigantic banners featuring faces of people – patients who have
                                              benefited from Genentech’s research. No one can miss the mes-
                                              sage that is reinforced constantly: Genentech’s culture is proud
                                              of its world-class employees, whose work saves lives.

                                              Zappos, the online shoe retailer, expresses their open team
                                              spirit and non-hierarchical culture by assigning equal workspace
                                              to all - from the CEO to the call center reps. As an indication of
                                              their open door policy, they simply eliminated ALL doors.

                                              Clothing manufacturer, W.L. Gore, lives by the simple corporate
                                              objective, “Make money and have fun. They have many visible
                                                                                    ”
                                              indications of a commitment to fun with volleyball courts and
                                              outdoor picnic areas at almost every plant in the United States.
                                              Additionally, W.L.Gore makes a conscious cultural decision to
                                              maintain a smaller, more intimate community feel by limiting the


                                                                                            Great Culture. Great Workplace.   8
size of their facilities to only accommodate 150-200 associates -
                                       a number they feel allows all the associates to communicate and
                                       engage with each other. Both of these gestures are strong and
                                       visible ways that the workplace environment supports the spirit
                                       of their desired culture.

                                       At Ultimate Software, a Miami-based HR software company,
                                       the culture is energized and competitive -inspired largely by its
                                       gregarious CEO whose love of sports comes through. That com-
                                       petitive spirit is immediately visible to visitors, as a basketball
                                       court now occupies the primary space of what was originally a
                                       typical atrium lobby.

                                       The court was the result of a sales challenge wager between the
                                       CEO and staff. The challenge inspired employees to exceed what
                                       seemed to be a ridiculous, unreachable $100 million sales goal.
                                       Once the goal was met (and exceeded), the CEO stood by his
Ultimate Software lobby                word and converted the atrium into a basketball court. The court
                                       is a visual reminder of his commitment and truly embodies the
                                       spirit of the culture at Ultimate Software!

                                       At 4Imprint, a Wisconsin company that personalizes promo-
                                       tional items, a family spirit drives the culture. And so, while the
                                       physical space itself is relatively modest, there is no question
                                       that the company cares about its employees and their families.
                                       Framed pictures of kids’ artwork line the lunch room walls, which
                                       is also equipped with a computer game to entertain both staff
                                       and their children who often come to the office to wait for their
                                       parents. To celebrate Take Your Child to Work Day, 4Imprint has
                                       portraits taken of the visiting children. The photos are displayed in
                                       a collage, reminding all that this company supports families and
4Imprint Take Your Child To Work Day   knows how to celebrate its family culture.

                                       Dixon Schwabl, an advertising and marketing agency that was
                                       named number one Small Best Company to Work For in 2010,
                                       introduces visitors to their playful culture when visitors see the
                                       slide linking two floors in the office. They also once had a padded
                                       primal scream room for employees, showing the company’s sup-
                                       port for the challenges of their expressive and creative culture.

                                       At six-time Best Company, McMurry, a marketing and public
                                       relations firm in Phoenix, AZ, the employees drove the leadership
                                       to undertake a major renovation to alter the facilities to better
                                       express the culture of the firm. The resulting renovation created


                                                                                     Great Culture. Great Workplace.   9
a communal area for dining, bringing the feel of a campus union
                                          where members of the staff from all of their buildings come
                                          together to dine and celebrate, a lobby where the corporate
                                          values are projected and where a commissioned piece of art
                                          illustrates the company’s mission, core values and strategies.
                                          Engaging employees in decisions affecting their workplace in
                                          such a demonstated manner was a respectful gesture between
                                          employees and leadership that has paid dividends in employee
                                          commitment and loyalty.

                                          Other visible artifacts of culture at Hilcorp Energy Company in
                                          Texas are smaller in scale and equally meaningful expressions of
                                          culture. Their technical team rooms have a special light outside
McMurry dining area                       the doors that illuminate when the teams are actively brainstorm-
                                          ing innovative ideas, reinforcing their commitment to teamwork
                                          and a focus on innovation and new ideas.

                                          Conscious choices that make culture visible ensure that both visi-
                                          tors and employees understand the cultural norms and expected
                                          behaviors. “A good culture creates an environment in which each
                                          employee believes he or she is integral to the success of the
                                          organization and its goals. It also provides a blueprint for how to
                                          behave…”9 Whether the spirit is high energy and highly competi-
                                          tive, or playful and whimsical, we noticed that Best Companies
                                          make that spirit highly tangible in the office experience.




                                           2. External and internal brand alignment
                                           Successful companies recognize that, in most cases, there is
                                           an experience component to their brand – some kind of emo-
McMurry mission and core values artwork    tional engagement between their customers and their product
                                           or service. Ideally, that experience must somehow be expressed
                                           within the company’s internal culture and physical space. Hotels,
                                           for instance, have long recognized that their brands are expe-
                                           rienced differently by employees and visitors through a sharp
                                           delineation between the “front of the house” (the places that
                                           guests experience) and the “heart of the house” (the spaces be-
                                           hind the scenes that support staff activity). The delineation is not




                                                                                       Great Culture. Great Workplace. 10
as clear in corporate settings. However, many
The company’s culture and brand experience in the physical
environment is consistent with external marketing and            companies introduce their brand and culture
brand experiences.                                               on a company website or via advertising as a
                                                                 form of a “front of house” introduction.
 61%                                            Strongly agree

                                                                   Prior to visiting any of our selected compa-
 33 %                                                   Agree
                                                                   nies, our staff completed a review of the
                                                                   company website to understand the particular
 2%                                           Strongly disagree
                                                                   brand message sent externally, in order to
                                                                   understand and evaluate whether the physical
                                               workplace was in alignment with the external brand communica-
                                               tions. Obviously, the more similar those two expressions are, the
                                               more intact the cultural experience is for employees, potential
                                               employees, investors, or customers.

                                              JM Family Enterprises is a fairly literal example of external and
                                              internal brand alignment. A company with a long and intimate
                                              history with the Japanese automobile manufacturer Toyota, they
                                              decided to design the entire corporate campus with a respectful
                                              nod to a distinct Japanese culture. Gardens, architecture, arti-
                                              facts like shoji screens, even the gracious and respectful security
                                              personnel, send a message of alignment. The campus is unmis-
                                              takable as the headquarters for the most prominent owner of
                                              Toyota dealerships in the United States. (Of course, all the cars in
                                              the employee parking lot are Toyota models.)

JM Family Enterprises garden                  At Cascade Asset Management, a company that offers “envi-
                                              ronmentally responsible IT asset retirement” (in other words, it
                                              recycles computer parts and components), environmental aware-
                                              ness of every sort is emphasized. Not only is the headquarters
                                              building “green, there is also a display of the many things they
                                                               ”
                                              did while planning the building to make it environmentally sensi-
                                              tive. Inside the conference room, the table is made of sunflower
                                              seeds. There is a rain garden outside and the building is sur-
                                              rounded by walking trails.

                                              Employee nameplates are constructed (by new employees)
                                              out of recycled computer pieces, showing both commitment to
                                              the organization’s purpose and lots of individual creativity!
Cascade Asset Management employee nameplate
                                              However, when fun is the brand and product, fun must also
                                              be part of the internal culture as well. At Mattel, employees

                                                                                            Great Culture. Great Workplace. 11
are shuttled between buildings in a Hot Wheels van. Employees
                                                  are encouraged to collect Mattel toys (with Barbie playing a star-
                                                  ring role, of course) and display them as part of their workspace.

                                                  Likewise, at the online auction company, eBay, merchandise, the
                                                  very core of their business and brand, is celebrated. Each build-
                                                  ing is named after a category brand, such as Fashion or Home
                                                  and Garden. The conference rooms are decorated accordingly. In
                                                  the Fashion building, for instance, one conference room is deco-
                                                  rated with a feature wall filled with shoes purchased on eBay. In
                                                  one Home and Garden conference room, the wall displays pink
                                                  flamingos. The expectation is that eBay’s customers are likely
Mattel Hot Wheels van                             to find anything and everything they could possibly want online.
                                                  And so the emphasis on quirky collections of unexpected, liter-
                                                  ally off-the-wall merchandise, brings that brand experience home
                                                  to its employees every day.

                                                  Similarly, BuildaBear leverages their commitment to the com-
                                                  fort of a teddy bear by naming conference rooms after their
                                                  furry products. The connection to their retail product message is
                                                  consistent, using an internal creative team for communications
                                                  throughout their facility, and using retail fixtures for displays simi-
                                                  lar to stores. As a family focused culture, their “World Bearquar-
                                                  ters” is planned to accommodate the children and dogs typically
                                                  found visiting, lending to a fun and playful atmosphere consistent
                                                  with their culture and their product offerings.

                                                  By consistently expressing culture and brand messages, an
                                                  organization is building upon a trusting relationship with their
                                                  employees and customers. Internal and external brand alignment
                                                  will increasingly play a more important role in the future accord-
eBay pink flamingo conference room wall art and   ing to the AMA study, “Cultivating Effective Corporate Cultures,  ”
room signage                                      which stated, “Some observers would like the whole idea of a
                                                  “corporate culture” to go away, arguing that it is too vague and
                                                  amorphous. In a competitive global society, however, it will be
                                                  more rather than less, important. That’s because, in the highly
                                                  multicultural, technological mediated organizations of 2018, it will
                                                  be even more critical for far flung organizations to forge unique
                                                  identities for both customers and employees. This will be a part
                                                  of the “branding“ efforts that organizations embrace to maintain
                                                  and establish market share in an extremely competitive world. 10 ”




                                                                                                 Great Culture. Great Workplace. 12
3. Gathering spaces to celebrate and
                                                build camaraderie
                                                                      Celebrating and building camaraderie
   Does your organization utilize the workplace environment to        usually involves creating a sense of
   celebrate success?                                                 community inside the organization. And
                                                                      much like most successful communities,
    85 %                                                   Yes        people need space in which to gather and
                                                                      experience events as a group. Think of a
    9%                                                      No        town square or one of the grand plazas
                                                                      of any major European city. These places
                                                                      encourage connectivity and communal
                                             behaviors that enrich the experience of those in the place. And
                                             we found that Best Companies have created the corporate
                                             equivalent at a variety of scales and expense.

                                             Gathering spaces in Best Companies to Work For are considered
                                             highly important spaces; key strategic spaces to be cherished
                                             and protected. We found that gathering spaces at these compa-
                                             nies range from large rooms dedicated specifically to all-hands
                                             meetings, to indoor and outdoor adaptable spaces that are
                                             multi-functional. Recognizing that it seems to be human nature
                                             to gather around food, many companies are creating enlarged
                                             kitchen/dining areas where people will convene in more infor-
                                             mal situations. In many ways, Best Companies know the power
                                             of giving people the chance to gather – for fun, to celebrate, to
                                             remember, to honor, to collaborate, to relax. These can even be
                                             outdoor spaces, if one is lucky enough to have the right climate.

                                             The value of “transition space” shouldn’t be overlooked. While
                                             found space might not be large enough to hold a full all-hands
                                             meeting, a wider than normal circulation path adjacent to support
                                             service areas such as copy centers, mailboxes or cafés might
                                             double function as a gathering space with the use of mobile
                                             furniture. At Kahler Slater, our Kahler Kafé actually functions as
                                             the periodical library, mail distribution center, eating and meeting
                                             space as well as the treats table where birthday edibles are cen-
                                             tralized, intentionally designed to create opportunities for casual
                                             collisions. The most prominent feature is a large chalkboard wall
                                             where friendly challenges are posted and victorious celebrations
Kahler Slater Kafé                           are flaunted.




                                                                                          Great Culture. Great Workplace. 13
Many of the survey respondents indicated that they have dedi-
                                   cated spaces for communal eating and celebrating with the
                                   intentional purpose of social engineering cross-functional col-
                                   laboration. At Sage Products, a medical product manufacturer
                                   in Cary, Illinois, a large café with both indoor and outdoor seating
                                   provides an area where those in manufacturing join with those
                                   from the business offices to mingle over lunchtime – a respectful
                                   gesture to encourage building connections across the organiza-
                                   tion.

                                   Gathering spaces can be very modest yet no less important.
                                   At SnagAJob, a national online job search company their com-
Sage Products café                 munal meeting space is simply a large, unfinished storage space
                                   in their building with simple folding chairs and tables. Once a
                                   week, that room is transformed into a lively space for the entire
                                   headquarters team to meet, share information and to celebrate
                                   with “shout outs” where employees and leadership recognize
                                   outstanding performance and celebrate important business and
                                   personal milestones.

                                   Equally unpretentious is the meeting space at Badger Mining,
                                   a multi-year Top 5 Best Small Company. It is as a company with
                                   a true family feel – multiple generations of family members have
                                   worked there. One large, flexible room serves many functions for
                                   lunch, training, birthday parties and even for CPR classes.

SnagAJob all staff meeting space   Meeting spaces don’t have to be inside. At McWhinney, they
                                   have made excellent use of the fact they are adjacent to a nature
                                   preserve. And so, in addition to the meeting areas they have
                                   indoors, they have also set up grills and picnic tables outdoors,
                                   giving their employees a place to sit and meet in the fresh air.
                                   Similarly, outdoor patios offer cookout opportunities for employ-
                                   ees at Rackspace in Blacksburg, Virginia and at Northeast Delta
                                   Dental in New Hampshire - even in winter!

                                   The findings indicate that most of the Best Companies surveyed
                                   considered creating or repurposing space to celebrate and of-
                                   fer opportunities to build camaraderie among employees. They
                                   intentionally considered the benefits that come from creating a
                                   community “focal point” within their facilities where employees
McWhinney outdoor patio            can gather to relax, eat, share information and celebrate special
                                   events.




                                                                                Great Culture. Great Workplace. 14
4. Visual communications that build
                                                pride, engage and recognize people
                                                and accomplishments
In employee surveys or casual interactions, our employees        In the book, “The Ownership Quotient”
describe our offices or facility as a workplace they are proud    the authors argue that organizations with
to show their friends and family.                                “strong adaptive cultures” often have a
                                                                 competitive edge in the marketplace. In
 76 %                                           Strongly agree   their work, they indicate that by celebrat-
                                                                 ing and recognizing those who exemplify
 22%                                                    Agree    the organization’s values, its behaviors and
                                                                 its standards, an organization is investing
                                                                 in reinforcing its culture11. Not surprising to
                                             us, many of the subjects in their book also reside on the lists of
                                             companies acknowledged as Best Companies.

                                             A recent study by Blessing White indicated that the number one
                                             characteristic sought after by young professionals is to “work for
                                             a solid company with a strong mission, great culture and up-
                                             standing leadership who lives and breathes their organizational
                                             values”12
                                                    .

                                                                There are many ways that Best Companies
The GPTW® Institute defines pride as:                           have found to reinforce values, celebrate ac-
                                                                complishments, engage new employees and
• Pride in one’s personal job and                               recognize the contributions of their organiza-
   individual contributions                                     tions and their people. The passions and cre-
                                                                ativity of their employees (as individuals and as
• Pride in work produced by one’s                               team members) are an essential part of telling
                                                                the cultural story. Celebrating these accom-
   team or workgroup and                                        plishments, consequently, is key to inspiring
                                                                individuals to continue going above and beyond
• Pride in the company’s product                                the call.
   and community standing
                                                                 How does that translate into visual commu-
                                                                 nications, you may ask? The workplace offers
                                             opportunity to use visual communication in ways that strike
                                             an emotional cord around company values and draw attention
                                             to the spirit of the company. We believe that if you repeatedly
                                             experience the culture and the values in visible and tactile ways,
                                             you learn to appreciate their meaning. This does not imply that
                                             by posting values on the walls you can ensure a great culture.


                                                                                           Great Culture. Great Workplace. 15
However, the visual reminders can help to hold individuals ac-
                                     countable and act as reminders to reinforce the importance of
                                     consistent behaviors.

                                     The toy company, Mattel, features oversized graphics throughout
                                     the building that show children playing. One example includes a
                                     banner of two smiling children’s faces above the entranceway,
                                     flanking a sign that celebrates the fact that the company is one
                                     of the 100 Best Companies to Work For. The company’s values
                                     are playfully displayed throughout – emphasis on the word play –
                                     which factors into each of its values: Play to Grow; Play Together;
                                     Play With Passion; Play Fair. Photos of joyful children everywhere
Mattel core value banner             remind Mattel employees who they’re really working for and that
                                     it’s also culturally okay for them themselves to experience the joy
                                     of play as they go about their work.

                                     Whether a company invests in large scale super graphics as
                                     are seen in the eBay lobby, in the conference room naming at
                                     Kahler Slater or the use of simple posters stating the core val-
                                     ues at SnagAJob’s Richmond HQ, the efforts to reinforce values
                                     can have a lasting impact reminding tenured and new employees
                                     of what behavior is expected of them.

                                     At McWhinney, new employees are welcomed in a culturally ap-
                                     propriate way; a tree is planted in their honor on the company na-
                                     ture park, reinforcing their connection to the sustainability of the
                                     area as well as sending a message, “This is where you can put
SnagAJob core values posters         down roots and grow your future. Colorado’s magnificent scen-
                                                                        ”
                                     ery has prompted many of McWhinney’s employees to become
                                     avid, amateur nature photographers. And so McWhinney has set
                                     up a friendly competition for the most beautiful nature photos,
                                     which are then framed and hung where visitors and employees
                                     alike can admire them.

                                     Using visual communications to connect employees takes a
                                     personal twist at DAXKO, a software company and 2009 Best
                                     Company. They have a “Favorites Wall” where each team mem-
                                     ber is photographed holding a sign or object that tells passers by
                                     what their favorite thing is - be it a book, travel location, sports
                                     team, movie, etc. This wall provides an opportunity to make a
                                     personal connection between employees, while reinforcing their
                                     team focused culture.
Kahler Slater conference room sign




                                                                                   Great Culture. Great Workplace. 16
Managing first impressions is an important responsibility of com-
                                                  munications. At Root Learning, a business consulting practice
                                                  in Ohio uses a nature theme upon which many of their com-
                                                  munications are built. Their lobby features a tree where names
                                                  of all clients who visit the space are recorded and a celebratory
                                                  history display focuses on the growth of the organization and
                                                  the impact its growth has had on helping other companies grow.
                                                  The company logo, a large tree with substantial roots shown, is
                                                  a consistent reminder of the role this business consulting firm
                                                  plays in nurturing the lives of its employees and customers.

                                                  In Cleveland at the Sherwin Williams headquarters, the lobby
                                                  offers visitors a museum-like tour of the history of the company’s
                                                  innovations in paint. Somewhat formal in nature, the museum
                                                  setting offers a playful note of whimsy and community pride.
                                                  A specially painted model of an electric guitar (Cleveland is the
                                                  home of the Rock and Roll museum), featuring the famous “we
                                                  cover the world” Sherwin Williams logo as a can of paint spills
Sherwin Williams history museum                   down the neck of the guitar onto the globe, which makes up the
                                                  body of the instrument.

                                                  Formal displays to celebrate accomplishments abound at Best
                                                  Companies where formal and informal trophy cases, wall dis-
                                                  plays and banners offer visitors and employees a connection to
                                                  company and team performance. The main communications wall
                                                  at ENEGO, an engineering company, brings employees together
                                                  to learn about philanthropy opportunities, community events and
                                                  to celebrate business results.

                                                  Rackspace took the idea of building pride in accomplishments
                                                  to the extreme with one element of their workplace graphics.
                                                  They created the world’s largest word search puzzle of their
                                                  organization values and had it certified by the Guiness Book of
World’s largest word search puzzle at Rackspace   World Records. In addition to providing a large focal point in the
                                                  space, the employees are challenged to find and “claim” words
                                                  in the puzzle on their Intranet. Unique displays can also be found
                                                  at Zappos where a T-Shirt Hall of Fame celebrates important
                                                  milestones of achievement.

                                                  Communicating what is valued and using visual communications
                                                  to connect people are two important ways that Best Companies
                                                  build pride and reinforce culture — key cornerstones of success-
                                                  ful organizations. Using visual communications to capture the
                                                  minds and hearts of employees, to tell the story of an organiza-


                                                                                               Great Culture. Great Workplace. 17
tion and to reflect the company values were found to be suc-
                                         cessful strategies deployed by the company’s in our study.
                                         In particular, communicating the commitment to a larger commu-
                                         nity came through in both formal and informal ways. For Mattel,
                                         the ceiling space filled with banners at the entry to the campus
                                         cafeteria became the perfect place to connect employees to
                                         the mission of Mattel’s philanthropy to organization’s supporting
                                         children...a fitting connection to both their brand values and focus
                                         on play. The family focus at 4Imprint showed through as their
                                         philanthropy efforts were focused on a map showing support for
                                         an employee and her mom walking coast to coast to raise money
                                         for a charity.



Mattel philanthropy banners              FINAL THOUGHTS
                                         MANIFESTING CULTURE IN SPACE: THE OVERLOOKED
                                         CULTURAL ADVANTAGE
                                         Employee pride and corporate culture are both somewhat
                                         abstract concepts, so it’s understandable that many companies
                                         may overlook ways of manifesting their cultures in the physi-
                                         cal workplace. Company leaders may assume that to capture
                                         culture and express it in inspiring ways will be too expensive to
                                         even consider…or perhaps limiting in terms of timeliness and
                                         relevance. The concern might be that if you try to tell a story by
                                         using the physical environment, the oft-told story might grow
                                         tired quickly.

                                         When a company considers all the ways it builds and reinforces
                                         its culture, the physical expression of who they are and what
                                         they stand for is often overlooked. Consider for a moment the
                                         many ways that companies tell the world who they are and what
                                         they have to offer: websites, blogs, Facebook, press releases,
4Imprint charitable giving program map
                                         speeches, videos, etc. Even employee “handbooks” contribute
                                         to perpetuating a company’s carefully crafted brand personality
                                         and culture. These are the expected players in telling the com-
                                         pany’s story to the world and to its employees.

                                         But the often overlooked dimension to company storytelling – a
                                         third dimension, offers a way the company uses its physical
                                         attributes; the way space is allocated, the way it presents itself
                                         in its lobby, in the work areas, in the flow between departments
                                         and with the visual communication messages on the walls. All
                                         of these elements offer opportunities to manifest culture and



                                                                                      Great Culture. Great Workplace. 18
help organizations express their authenticity. And it is a proven
method to tell a story…Throughout all of history, great cultures
have used the physical environment to tell their stories. From
the caves of Lascaux and the Sistine Chapel, to the modern halls
of sports venues and family living rooms, our stories and our
cultures are on display for all to interpret and understand.

Although the workplace environment in the future may trans-
form even more into decentralized workplaces, the workplace
will remain a place for people to gather, to associate, collaborate
and to innovate. Within these environments are opportunities to
reinforce, manifest and celebrate the culture you have or help to
support the transformation into the culture you want.


CONCLUSION
In this study, we have found that best companies are leveraging
their work environments as strategic tools to reinforce, manifest
and celebrate their unique cultures.

Our study reinforces that when the physical attributes of a
company match its brand messages and culture, the company
stands to experience measurable advantages such as employee
attraction and retention, inspired and collaborative work teams,
pride in the organization that can translate into discretionary
effort and innovation that leads to a true competitive advantage.




                                              Great Culture. Great Workplace. 19
APPENDIX

What Makes a Great Workplace?: Learning From the Best
Place to Work Companies


Attributes of a well-designed workplace include environments that
allow:

01.      Individuals to perform distraction-free work

02.      Collaboration and impromptu interaction

03.      Undistracted teamwork and meetings

04.      Accommodation of personal work styles
         and workstation personalization

05.      Individual control of thermal comfort

06.      Access to daylight

07.      Control of glare

08.      Workspaces allocated by function

09.      Clear wayfinding

10.      Adjacencies that support work flow

11.      Accommodation of changing technology

12.      Ergonomic accommodation

13.      A professionally-maintained plant program

14.      Expression of organizational culture



 Full report available at http://www.kahlerslater.com/thought-
 leadership/what-makes-a-great-workplace/




                                                 Great Culture. Great Workplace. 20
REFERENCES
1    Robert Levering, Editor. Transforming Workplace Culture: Insights From
     the Great Place to Work® Institute’s First 25 Years. (San Paulo: Primavera
     Editorial, 2010), p225-261.
2    Hewitt Associates LLC. “What Makes a Company a Best Employer?”
     Point of View 2009, p1. <http://www.hewittassociates.com/
     MetaBasicCMAssetCache_/Assets/articles/2009/pov_Best_Employer_
     Position_Paper.pdf>
3     Coley Smith Consulting. “Employee Engagement: Useful Facts and
     Figures.” Thought Leadership article, <http://www.coleysmith.com/
     your_resources.php>
4    Richard S. Wellins, PhD, Paul Bernthal, PhD, Mark Phelps. “Employee
     Engagement: The Key to Realizing Competitive Advantage.” Development
     Dimensions International Monograph.2005, <http://www.ddiworld.com/
     pdf/ddi_employeeengagemant_mg.pdf>
5    Edgar H. Schein. Organizational Culture and Leadership. (San Francisco:
     Jossey Bass, 2004) p151-170.
6     “Cultivating Effective Corporate Cultures: A Global Study of Challenges
     and Strategies.” Current Trends and Future Possibilities 2008-2018 by
     the American Management Association and the Institute of Corporate
     Productivity, 2008, p.20.
7     <http//www.abraham-maslow.com/m_motivation/Hierarchy_of_Needs.
     asp.>
8    “Bringing Brands to Work: How the workplace can help build
     brand and culture.” ThreeSixty Magazine. November 2009, <http://
     www.360steelcase.com>
9    Cultivating Effective Corporate Cultures, p43.
10   Cultivating Effective Corporate Cultures, p36.
11   “10 Reasons to Design a Better Corporate Culture: Q&A with Jim
     Heskett and W. Earl Sasser, Authors of the Ownership Quotient.” Harvard
     Business School Working Knowledge. December 2008, <http://hbswk.
     hbs.edu/item/5917.html>
12   Amanda Veinott and Ann Jordan. “OMG! Y R There No Jobs?: Generation
     Y’s view of Today’s Job Market.” Blessing White enews. August 2010,
     <www.blessingwhite.com>




                                                      Great Culture. Great Workplace. 21
Great Culture.
Great Workplace.
Lessons From America’s Best Companies


For further information, please contact Kahler Slater
author, Barbara Armstrong, Principal at 414-272-2000
or barmstrong@kahlerslater.com.




111 West Wisconsin Avenue
Milwaukee, WI 53203

P 414-272-2000
www.kahlerslater.com


COPYRIGHT © 2011 KAHLER SLATER, INC. ALL RIGHTS RESERVED.

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White Paper: Great Culture. Great Workplace. Lessons from America’s Best Companies

  • 1. Great Culture. Great Workplace. Lessons From America’s Best Companies White Paper
  • 2. Does your organizational culture help your company achieve its strategic business goals? Is your culture visible, understood and leveraged to help your employees know what is expected of them? Is your workspace a reflection of your culture? Does it reinforce and support your culture and inspire your employees? Culture is a powerful strategic tool in business today. It is used to tell a company’s story, celebrate its successes, revere its history, attract employees, intrigue customers and provide a tangible connection to a company. At Kahler Slater, from our experience working with success- ful companies over time, we know how important culture is to overall business success, so we decided to seek out benchmark companies and study the ways they intentionally design work experiences and spaces that manifest their great cultures. We chose as our benchmarking group, the large, medium and small companies appearing on the Great Place to Work® Institute list. As an interdisciplinary design enterprise that creates transfor- The Great Place to Work® (GPTW) mational experiences and environments for visionary clients Institute list of 100 Best Com- panies to Work For has been throughout the world, we ourselves have appeared on the Great published annually in Fortune Place to Work® Institute list for Small- to Medium-sized compa- magazine since 1998. nies since that lists inception, seven years ago. And, as design- ers of great workplace experiences for our clients, we were Using the same GPTW Institute sure that our Best Companies to Work For in America (hereafter criteria, a list of Small- to Medium sized companies has been pub- known as Best Companies) peers would have a lot to share on lished in HR Magazine since 2005 the topic of culture in the workplace. and in 2010 the list was posted with Entrepreneur.com. This study is the second time we have reached out to our fellow Best Place to Work list members to discuss specific aspects of how the physical environment plays a role in supporting them in their quest to become and remain a Best Place to Work. Our first research report, “What Makes a Great Workplace?” measured how Best Companies achieved thirteen (13) attributes identified as important contributors to creating a great work environment (see Appendix). This time, however, we narrowed our focus significantly to study in more detail a 14th attribute that surfaced during our initial site visits - how the workplace expresses organi- zational culture. Great Culture. Great Workplace. 2
  • 3. Why this particular attribute? Over and over we have heard from Best Companies that their strong and unique cultures really set them apart from other companies. They believe their cultures are a primary key to their success. From our work, we know that physical environment in a workplace can strongly reinforce a company’s culture messages. In this study, we wanted to explore the role that the physical aspects of the workplace play in intentionally communicating and reinforcing the culture at these Best Companies. WHY STUDY BEST PLACE TO WORK FOR COMPANIES? For more than 25 years, the Great Place to Work® Institute has been leading a movement to identify and cel- ebrate great companies for others to emulate. Over the course of these years, the Institute has not only measured companies against their Trust Model©, it has also studied the performance of these companies. The Insti- tute’s process is unique from the dozens of other business rankings because it measures from an employee perspective through a com- prehensive employee survey. The rigorous employee survey and investigation procedures used by the Great Place to Work® Institute have revealed hundreds of enterprises of all sizes that are proven to have created high- performing workplaces. Year over year, these companies outperform their competitors on many business measurements such as: finan- cial performance and less voluntary turnover, and they enjoy other benefits such as: receiv- ing more qualified job applications for open positions, fostering greater innovation, creativ- ity and risk taking, and receive the benefits of higher productivity and profitability1. So, given a track record of this competitive edge, it stands to reason that these Best Companies can offer lessons to the rest of business as to how culture plays a role in their respective successes. In addition, many companies in these lists rank high in what is known as employee engagement, a field of inquiry that generally Great Culture. Great Workplace. 3
  • 4. measures employees’ willingness to invest discretionary effort, recommend their companies to their friends, increase their likeli- hood of staying, etc. The correlation between employee engage- ment and business performance has been repeatedly proven2. The Corporate Leadership Council, for instance, has found that engaged employees perform 20% better than non-engaged employees and are 87% less likely to leave their companies3. According to a study by the consulting firm, Development Dimensions International, a company with 10,000 employees can experience a $42 million benefit, simply by moving its work- force from low to high engagement4. We theorized that companies with these kinds of engaged employees, particularly those with high trust environments as measured by the Great Place to Work® Institute lists, are most likely to be leveraging all of their physical attributes to tell the story of their culture in compelling ways that are unique to them. It is in this spirit that we pursued this investigation. THE IMPORTANCE OF CULTURE When you think of an outstanding corporate culture, the word fun might be the first thing that comes to mind followed by well publicized images of Google or Zappos. “If you do not manage culture, it Fun aspects of corporate culture are front and center because they are, well, fun. manages you, and you may not even But corporate culture is about more than free food, workplace laundry facilities be aware of the extent to which this and worker benefits and amenities. In a is happening.” Edgar Schein 5 recent study by the American Manage- ment Association (AMA) “Cultivating Effective Corporate Cultures- A Global Study of Challenges and Strategies,” culture is defined as “the shared values and beliefs that help individuals understand organizational functioning and that provide them with guides for their behavior within the organization.”6 A business’s culture entails many elements – those unwritten rules of interacting with one another that help people under- stand what’s important to the group and how to behave to ensure their success in that organization. Culture is about values, Great Culture. Great Workplace. 4
  • 5. how respect is expressed and to whom. Culture identifies a company’s sources of inspiration and celebration. Culture tells us something about the company’s relationship to the community at large. Culture is about belonging. Providing a sense of belonging is essential to creating a high- performing company. Psychologist Abraham Maslow, while researching motivation, ranked “social needs” in importance above only physiological and safety needs. And he included the experience of belonging as part of the “social needs” cat- egory7. High-performing companies recognize that their success depends on more than merely having a rock solid business plan and set of mission-critical objectives that establish their pre-emi- nence among their competitors. They must be able to attract and keep the best available talent by providing that sense of belong- ing. High-performing companies must be able to create and sustain an environment in which employees can focus on their work, learn from each other, stay inspired and freely innovate in a spirit of collaboration with their co-workers. Cultural anthropologist, Arna Banack, states, “The literature has not done a good job of demonstrating culture’s impact on the bottom line. A company’s largest fixed cost is salary and ben- efits, which is all about their employees and “Part of being effective is living organizational culture. Real estate averages the brand. It is all connected: brand, about 7% of costs, a small amount com- pared to HR costs. The opportunity is to use space and culture.” Arna Banack 8 that 7% as a strategic tool to help create the kind of culture you need to accomplish your goals and make your largest fixed costs-people- more effective. Part of being effective is living the brand. It is all connected: brand, space and culture.”8 OUR METHODOLOGY Our methodology utilized an on-line survey sent to a comprehen- sive list of Best Companies from the large, medium and small lists, followed by virtual and personal site visits. Our site visits to a variety of Best Companies took us around the United States. We looked at how these Best Companies use their workplaces to reinforce the unique elements of their cultures to employees and visitors. In this study, we focused on the tangible artifacts and visible manner that organizations communicate their cultures. Our hope Great Culture. Great Workplace. 5
  • 6. was to learn how these organizations use specific artifacts and visible elements of culture such as buildings, interior spaces, and graphics to communicate and support their unique stories to employees and visitors. These physical We believe that demonstrating our company’s unique artifacts of a workplace are often the culture in our physical workplace gives us a competitive most immediately visible examples of advantage in... how the company communicates and reinforces the enterprise’s values to all 98 % Attracting new employees its employees. 98 % Retaining employees We are grateful to all of our participants in this research, for it is their story we 89 % Securing new business hope to tell. Together, if these practices can inspire others, we have achieved our goal to help others see the value in intentionally leveraging the workplace as a vehicle to support, celebrate and manifest culture. SUMMARY OF FINDINGS Our search for connections between how organizations are lever- aging their physical workplaces to support and manifest their great cultures revealed some very compelling data and fascinat- ing examples of Best Place to Work companies that make their cultures come alive. We discovered that the Best Companies to Work that we surveyed and visited throughout the United States had found creative and inspiring ways to manifest their cultures. Using the framework of the Great Place to Work Institute’s Trust Model©, we could see that they each used their workplaces to instill pride, to build camaraderie and to support trust through respect, fairness and credibility. As we reviewed the survey results and traveled the country meeting our fellow Best Companies honorees, we learned how the physical experience one has in their workplaces syncs with their cultural visions. The workplace cultural expression is a valu- able source of energy, inspiration, community, excitement – as well as that crucial sense of belonging. Great Culture. Great Workplace. 6
  • 7. The companies we surveyed and visited represented a wide variety of industry segments, styles, geographic regions, and frankly, budgets for architecture, communications and interior design. But regardless of the company, we found that four characteristics are common among all of them: A visible “spirit” of the culture Visual communications that build pride, External and internal engage & recognize Culture brand alignment people and accomplishments Dedicated spaces to celebrate and build camaraderie The following provides an overview of each of these charac- teristics and illustrates the best practices that we discovered through our survey and site visits. Great Culture. Great Workplace. 7
  • 8. 1. A visible “spirit” of the culture How do you rate your physical environment for communicating Throughout the synthesis of our collected data, your company culture and telling your organization’s story? it became clear that a company culture has a spirit that can be palpable and experienced. 41 % Extremely impactful That spirit comes through how a person experi- ences the organization on many levels - from 41% Very impactful the people that greet them to what is visible on the walls or even what is experienced on 13 % Somewhat impactful the path to the entry. The spirit of the culture is manifest through the intentional choices that 4% Slightly impactful a company makes about everything from the office location, down to the details of furniture, artwork and signage. During our research, we found that many of the companies we studied know, even if intuitively, that communicating culture begins immediately –in some cases, well before visitors and em- ployees even enter the front door. The first impression is power- ful and should be consistent in feel and message throughout the workplace as people move beyond the entrance and throughout all the workplace environments. The genetic research company, Genentech, for instance, has even created the street name where its headquarters are located to celebrate the essence of what its people do: DNA Way. Hang- ing from the outside of the buildings, visible to passing cars, are gigantic banners featuring faces of people – patients who have benefited from Genentech’s research. No one can miss the mes- sage that is reinforced constantly: Genentech’s culture is proud of its world-class employees, whose work saves lives. Zappos, the online shoe retailer, expresses their open team spirit and non-hierarchical culture by assigning equal workspace to all - from the CEO to the call center reps. As an indication of their open door policy, they simply eliminated ALL doors. Clothing manufacturer, W.L. Gore, lives by the simple corporate objective, “Make money and have fun. They have many visible ” indications of a commitment to fun with volleyball courts and outdoor picnic areas at almost every plant in the United States. Additionally, W.L.Gore makes a conscious cultural decision to maintain a smaller, more intimate community feel by limiting the Great Culture. Great Workplace. 8
  • 9. size of their facilities to only accommodate 150-200 associates - a number they feel allows all the associates to communicate and engage with each other. Both of these gestures are strong and visible ways that the workplace environment supports the spirit of their desired culture. At Ultimate Software, a Miami-based HR software company, the culture is energized and competitive -inspired largely by its gregarious CEO whose love of sports comes through. That com- petitive spirit is immediately visible to visitors, as a basketball court now occupies the primary space of what was originally a typical atrium lobby. The court was the result of a sales challenge wager between the CEO and staff. The challenge inspired employees to exceed what seemed to be a ridiculous, unreachable $100 million sales goal. Once the goal was met (and exceeded), the CEO stood by his Ultimate Software lobby word and converted the atrium into a basketball court. The court is a visual reminder of his commitment and truly embodies the spirit of the culture at Ultimate Software! At 4Imprint, a Wisconsin company that personalizes promo- tional items, a family spirit drives the culture. And so, while the physical space itself is relatively modest, there is no question that the company cares about its employees and their families. Framed pictures of kids’ artwork line the lunch room walls, which is also equipped with a computer game to entertain both staff and their children who often come to the office to wait for their parents. To celebrate Take Your Child to Work Day, 4Imprint has portraits taken of the visiting children. The photos are displayed in a collage, reminding all that this company supports families and 4Imprint Take Your Child To Work Day knows how to celebrate its family culture. Dixon Schwabl, an advertising and marketing agency that was named number one Small Best Company to Work For in 2010, introduces visitors to their playful culture when visitors see the slide linking two floors in the office. They also once had a padded primal scream room for employees, showing the company’s sup- port for the challenges of their expressive and creative culture. At six-time Best Company, McMurry, a marketing and public relations firm in Phoenix, AZ, the employees drove the leadership to undertake a major renovation to alter the facilities to better express the culture of the firm. The resulting renovation created Great Culture. Great Workplace. 9
  • 10. a communal area for dining, bringing the feel of a campus union where members of the staff from all of their buildings come together to dine and celebrate, a lobby where the corporate values are projected and where a commissioned piece of art illustrates the company’s mission, core values and strategies. Engaging employees in decisions affecting their workplace in such a demonstated manner was a respectful gesture between employees and leadership that has paid dividends in employee commitment and loyalty. Other visible artifacts of culture at Hilcorp Energy Company in Texas are smaller in scale and equally meaningful expressions of culture. Their technical team rooms have a special light outside McMurry dining area the doors that illuminate when the teams are actively brainstorm- ing innovative ideas, reinforcing their commitment to teamwork and a focus on innovation and new ideas. Conscious choices that make culture visible ensure that both visi- tors and employees understand the cultural norms and expected behaviors. “A good culture creates an environment in which each employee believes he or she is integral to the success of the organization and its goals. It also provides a blueprint for how to behave…”9 Whether the spirit is high energy and highly competi- tive, or playful and whimsical, we noticed that Best Companies make that spirit highly tangible in the office experience. 2. External and internal brand alignment Successful companies recognize that, in most cases, there is an experience component to their brand – some kind of emo- McMurry mission and core values artwork tional engagement between their customers and their product or service. Ideally, that experience must somehow be expressed within the company’s internal culture and physical space. Hotels, for instance, have long recognized that their brands are expe- rienced differently by employees and visitors through a sharp delineation between the “front of the house” (the places that guests experience) and the “heart of the house” (the spaces be- hind the scenes that support staff activity). The delineation is not Great Culture. Great Workplace. 10
  • 11. as clear in corporate settings. However, many The company’s culture and brand experience in the physical environment is consistent with external marketing and companies introduce their brand and culture brand experiences. on a company website or via advertising as a form of a “front of house” introduction. 61% Strongly agree Prior to visiting any of our selected compa- 33 % Agree nies, our staff completed a review of the company website to understand the particular 2% Strongly disagree brand message sent externally, in order to understand and evaluate whether the physical workplace was in alignment with the external brand communica- tions. Obviously, the more similar those two expressions are, the more intact the cultural experience is for employees, potential employees, investors, or customers. JM Family Enterprises is a fairly literal example of external and internal brand alignment. A company with a long and intimate history with the Japanese automobile manufacturer Toyota, they decided to design the entire corporate campus with a respectful nod to a distinct Japanese culture. Gardens, architecture, arti- facts like shoji screens, even the gracious and respectful security personnel, send a message of alignment. The campus is unmis- takable as the headquarters for the most prominent owner of Toyota dealerships in the United States. (Of course, all the cars in the employee parking lot are Toyota models.) JM Family Enterprises garden At Cascade Asset Management, a company that offers “envi- ronmentally responsible IT asset retirement” (in other words, it recycles computer parts and components), environmental aware- ness of every sort is emphasized. Not only is the headquarters building “green, there is also a display of the many things they ” did while planning the building to make it environmentally sensi- tive. Inside the conference room, the table is made of sunflower seeds. There is a rain garden outside and the building is sur- rounded by walking trails. Employee nameplates are constructed (by new employees) out of recycled computer pieces, showing both commitment to the organization’s purpose and lots of individual creativity! Cascade Asset Management employee nameplate However, when fun is the brand and product, fun must also be part of the internal culture as well. At Mattel, employees Great Culture. Great Workplace. 11
  • 12. are shuttled between buildings in a Hot Wheels van. Employees are encouraged to collect Mattel toys (with Barbie playing a star- ring role, of course) and display them as part of their workspace. Likewise, at the online auction company, eBay, merchandise, the very core of their business and brand, is celebrated. Each build- ing is named after a category brand, such as Fashion or Home and Garden. The conference rooms are decorated accordingly. In the Fashion building, for instance, one conference room is deco- rated with a feature wall filled with shoes purchased on eBay. In one Home and Garden conference room, the wall displays pink flamingos. The expectation is that eBay’s customers are likely Mattel Hot Wheels van to find anything and everything they could possibly want online. And so the emphasis on quirky collections of unexpected, liter- ally off-the-wall merchandise, brings that brand experience home to its employees every day. Similarly, BuildaBear leverages their commitment to the com- fort of a teddy bear by naming conference rooms after their furry products. The connection to their retail product message is consistent, using an internal creative team for communications throughout their facility, and using retail fixtures for displays simi- lar to stores. As a family focused culture, their “World Bearquar- ters” is planned to accommodate the children and dogs typically found visiting, lending to a fun and playful atmosphere consistent with their culture and their product offerings. By consistently expressing culture and brand messages, an organization is building upon a trusting relationship with their employees and customers. Internal and external brand alignment will increasingly play a more important role in the future accord- eBay pink flamingo conference room wall art and ing to the AMA study, “Cultivating Effective Corporate Cultures, ” room signage which stated, “Some observers would like the whole idea of a “corporate culture” to go away, arguing that it is too vague and amorphous. In a competitive global society, however, it will be more rather than less, important. That’s because, in the highly multicultural, technological mediated organizations of 2018, it will be even more critical for far flung organizations to forge unique identities for both customers and employees. This will be a part of the “branding“ efforts that organizations embrace to maintain and establish market share in an extremely competitive world. 10 ” Great Culture. Great Workplace. 12
  • 13. 3. Gathering spaces to celebrate and build camaraderie Celebrating and building camaraderie Does your organization utilize the workplace environment to usually involves creating a sense of celebrate success? community inside the organization. And much like most successful communities, 85 % Yes people need space in which to gather and experience events as a group. Think of a 9% No town square or one of the grand plazas of any major European city. These places encourage connectivity and communal behaviors that enrich the experience of those in the place. And we found that Best Companies have created the corporate equivalent at a variety of scales and expense. Gathering spaces in Best Companies to Work For are considered highly important spaces; key strategic spaces to be cherished and protected. We found that gathering spaces at these compa- nies range from large rooms dedicated specifically to all-hands meetings, to indoor and outdoor adaptable spaces that are multi-functional. Recognizing that it seems to be human nature to gather around food, many companies are creating enlarged kitchen/dining areas where people will convene in more infor- mal situations. In many ways, Best Companies know the power of giving people the chance to gather – for fun, to celebrate, to remember, to honor, to collaborate, to relax. These can even be outdoor spaces, if one is lucky enough to have the right climate. The value of “transition space” shouldn’t be overlooked. While found space might not be large enough to hold a full all-hands meeting, a wider than normal circulation path adjacent to support service areas such as copy centers, mailboxes or cafés might double function as a gathering space with the use of mobile furniture. At Kahler Slater, our Kahler Kafé actually functions as the periodical library, mail distribution center, eating and meeting space as well as the treats table where birthday edibles are cen- tralized, intentionally designed to create opportunities for casual collisions. The most prominent feature is a large chalkboard wall where friendly challenges are posted and victorious celebrations Kahler Slater Kafé are flaunted. Great Culture. Great Workplace. 13
  • 14. Many of the survey respondents indicated that they have dedi- cated spaces for communal eating and celebrating with the intentional purpose of social engineering cross-functional col- laboration. At Sage Products, a medical product manufacturer in Cary, Illinois, a large café with both indoor and outdoor seating provides an area where those in manufacturing join with those from the business offices to mingle over lunchtime – a respectful gesture to encourage building connections across the organiza- tion. Gathering spaces can be very modest yet no less important. At SnagAJob, a national online job search company their com- Sage Products café munal meeting space is simply a large, unfinished storage space in their building with simple folding chairs and tables. Once a week, that room is transformed into a lively space for the entire headquarters team to meet, share information and to celebrate with “shout outs” where employees and leadership recognize outstanding performance and celebrate important business and personal milestones. Equally unpretentious is the meeting space at Badger Mining, a multi-year Top 5 Best Small Company. It is as a company with a true family feel – multiple generations of family members have worked there. One large, flexible room serves many functions for lunch, training, birthday parties and even for CPR classes. SnagAJob all staff meeting space Meeting spaces don’t have to be inside. At McWhinney, they have made excellent use of the fact they are adjacent to a nature preserve. And so, in addition to the meeting areas they have indoors, they have also set up grills and picnic tables outdoors, giving their employees a place to sit and meet in the fresh air. Similarly, outdoor patios offer cookout opportunities for employ- ees at Rackspace in Blacksburg, Virginia and at Northeast Delta Dental in New Hampshire - even in winter! The findings indicate that most of the Best Companies surveyed considered creating or repurposing space to celebrate and of- fer opportunities to build camaraderie among employees. They intentionally considered the benefits that come from creating a community “focal point” within their facilities where employees McWhinney outdoor patio can gather to relax, eat, share information and celebrate special events. Great Culture. Great Workplace. 14
  • 15. 4. Visual communications that build pride, engage and recognize people and accomplishments In employee surveys or casual interactions, our employees In the book, “The Ownership Quotient” describe our offices or facility as a workplace they are proud the authors argue that organizations with to show their friends and family. “strong adaptive cultures” often have a competitive edge in the marketplace. In 76 % Strongly agree their work, they indicate that by celebrat- ing and recognizing those who exemplify 22% Agree the organization’s values, its behaviors and its standards, an organization is investing in reinforcing its culture11. Not surprising to us, many of the subjects in their book also reside on the lists of companies acknowledged as Best Companies. A recent study by Blessing White indicated that the number one characteristic sought after by young professionals is to “work for a solid company with a strong mission, great culture and up- standing leadership who lives and breathes their organizational values”12 . There are many ways that Best Companies The GPTW® Institute defines pride as: have found to reinforce values, celebrate ac- complishments, engage new employees and • Pride in one’s personal job and recognize the contributions of their organiza- individual contributions tions and their people. The passions and cre- ativity of their employees (as individuals and as • Pride in work produced by one’s team members) are an essential part of telling the cultural story. Celebrating these accom- team or workgroup and plishments, consequently, is key to inspiring individuals to continue going above and beyond • Pride in the company’s product the call. and community standing How does that translate into visual commu- nications, you may ask? The workplace offers opportunity to use visual communication in ways that strike an emotional cord around company values and draw attention to the spirit of the company. We believe that if you repeatedly experience the culture and the values in visible and tactile ways, you learn to appreciate their meaning. This does not imply that by posting values on the walls you can ensure a great culture. Great Culture. Great Workplace. 15
  • 16. However, the visual reminders can help to hold individuals ac- countable and act as reminders to reinforce the importance of consistent behaviors. The toy company, Mattel, features oversized graphics throughout the building that show children playing. One example includes a banner of two smiling children’s faces above the entranceway, flanking a sign that celebrates the fact that the company is one of the 100 Best Companies to Work For. The company’s values are playfully displayed throughout – emphasis on the word play – which factors into each of its values: Play to Grow; Play Together; Play With Passion; Play Fair. Photos of joyful children everywhere Mattel core value banner remind Mattel employees who they’re really working for and that it’s also culturally okay for them themselves to experience the joy of play as they go about their work. Whether a company invests in large scale super graphics as are seen in the eBay lobby, in the conference room naming at Kahler Slater or the use of simple posters stating the core val- ues at SnagAJob’s Richmond HQ, the efforts to reinforce values can have a lasting impact reminding tenured and new employees of what behavior is expected of them. At McWhinney, new employees are welcomed in a culturally ap- propriate way; a tree is planted in their honor on the company na- ture park, reinforcing their connection to the sustainability of the area as well as sending a message, “This is where you can put SnagAJob core values posters down roots and grow your future. Colorado’s magnificent scen- ” ery has prompted many of McWhinney’s employees to become avid, amateur nature photographers. And so McWhinney has set up a friendly competition for the most beautiful nature photos, which are then framed and hung where visitors and employees alike can admire them. Using visual communications to connect employees takes a personal twist at DAXKO, a software company and 2009 Best Company. They have a “Favorites Wall” where each team mem- ber is photographed holding a sign or object that tells passers by what their favorite thing is - be it a book, travel location, sports team, movie, etc. This wall provides an opportunity to make a personal connection between employees, while reinforcing their team focused culture. Kahler Slater conference room sign Great Culture. Great Workplace. 16
  • 17. Managing first impressions is an important responsibility of com- munications. At Root Learning, a business consulting practice in Ohio uses a nature theme upon which many of their com- munications are built. Their lobby features a tree where names of all clients who visit the space are recorded and a celebratory history display focuses on the growth of the organization and the impact its growth has had on helping other companies grow. The company logo, a large tree with substantial roots shown, is a consistent reminder of the role this business consulting firm plays in nurturing the lives of its employees and customers. In Cleveland at the Sherwin Williams headquarters, the lobby offers visitors a museum-like tour of the history of the company’s innovations in paint. Somewhat formal in nature, the museum setting offers a playful note of whimsy and community pride. A specially painted model of an electric guitar (Cleveland is the home of the Rock and Roll museum), featuring the famous “we cover the world” Sherwin Williams logo as a can of paint spills Sherwin Williams history museum down the neck of the guitar onto the globe, which makes up the body of the instrument. Formal displays to celebrate accomplishments abound at Best Companies where formal and informal trophy cases, wall dis- plays and banners offer visitors and employees a connection to company and team performance. The main communications wall at ENEGO, an engineering company, brings employees together to learn about philanthropy opportunities, community events and to celebrate business results. Rackspace took the idea of building pride in accomplishments to the extreme with one element of their workplace graphics. They created the world’s largest word search puzzle of their organization values and had it certified by the Guiness Book of World’s largest word search puzzle at Rackspace World Records. In addition to providing a large focal point in the space, the employees are challenged to find and “claim” words in the puzzle on their Intranet. Unique displays can also be found at Zappos where a T-Shirt Hall of Fame celebrates important milestones of achievement. Communicating what is valued and using visual communications to connect people are two important ways that Best Companies build pride and reinforce culture — key cornerstones of success- ful organizations. Using visual communications to capture the minds and hearts of employees, to tell the story of an organiza- Great Culture. Great Workplace. 17
  • 18. tion and to reflect the company values were found to be suc- cessful strategies deployed by the company’s in our study. In particular, communicating the commitment to a larger commu- nity came through in both formal and informal ways. For Mattel, the ceiling space filled with banners at the entry to the campus cafeteria became the perfect place to connect employees to the mission of Mattel’s philanthropy to organization’s supporting children...a fitting connection to both their brand values and focus on play. The family focus at 4Imprint showed through as their philanthropy efforts were focused on a map showing support for an employee and her mom walking coast to coast to raise money for a charity. Mattel philanthropy banners FINAL THOUGHTS MANIFESTING CULTURE IN SPACE: THE OVERLOOKED CULTURAL ADVANTAGE Employee pride and corporate culture are both somewhat abstract concepts, so it’s understandable that many companies may overlook ways of manifesting their cultures in the physi- cal workplace. Company leaders may assume that to capture culture and express it in inspiring ways will be too expensive to even consider…or perhaps limiting in terms of timeliness and relevance. The concern might be that if you try to tell a story by using the physical environment, the oft-told story might grow tired quickly. When a company considers all the ways it builds and reinforces its culture, the physical expression of who they are and what they stand for is often overlooked. Consider for a moment the many ways that companies tell the world who they are and what they have to offer: websites, blogs, Facebook, press releases, 4Imprint charitable giving program map speeches, videos, etc. Even employee “handbooks” contribute to perpetuating a company’s carefully crafted brand personality and culture. These are the expected players in telling the com- pany’s story to the world and to its employees. But the often overlooked dimension to company storytelling – a third dimension, offers a way the company uses its physical attributes; the way space is allocated, the way it presents itself in its lobby, in the work areas, in the flow between departments and with the visual communication messages on the walls. All of these elements offer opportunities to manifest culture and Great Culture. Great Workplace. 18
  • 19. help organizations express their authenticity. And it is a proven method to tell a story…Throughout all of history, great cultures have used the physical environment to tell their stories. From the caves of Lascaux and the Sistine Chapel, to the modern halls of sports venues and family living rooms, our stories and our cultures are on display for all to interpret and understand. Although the workplace environment in the future may trans- form even more into decentralized workplaces, the workplace will remain a place for people to gather, to associate, collaborate and to innovate. Within these environments are opportunities to reinforce, manifest and celebrate the culture you have or help to support the transformation into the culture you want. CONCLUSION In this study, we have found that best companies are leveraging their work environments as strategic tools to reinforce, manifest and celebrate their unique cultures. Our study reinforces that when the physical attributes of a company match its brand messages and culture, the company stands to experience measurable advantages such as employee attraction and retention, inspired and collaborative work teams, pride in the organization that can translate into discretionary effort and innovation that leads to a true competitive advantage. Great Culture. Great Workplace. 19
  • 20. APPENDIX What Makes a Great Workplace?: Learning From the Best Place to Work Companies Attributes of a well-designed workplace include environments that allow: 01. Individuals to perform distraction-free work 02. Collaboration and impromptu interaction 03. Undistracted teamwork and meetings 04. Accommodation of personal work styles and workstation personalization 05. Individual control of thermal comfort 06. Access to daylight 07. Control of glare 08. Workspaces allocated by function 09. Clear wayfinding 10. Adjacencies that support work flow 11. Accommodation of changing technology 12. Ergonomic accommodation 13. A professionally-maintained plant program 14. Expression of organizational culture Full report available at http://www.kahlerslater.com/thought- leadership/what-makes-a-great-workplace/ Great Culture. Great Workplace. 20
  • 21. REFERENCES 1 Robert Levering, Editor. Transforming Workplace Culture: Insights From the Great Place to Work® Institute’s First 25 Years. (San Paulo: Primavera Editorial, 2010), p225-261. 2 Hewitt Associates LLC. “What Makes a Company a Best Employer?” Point of View 2009, p1. <http://www.hewittassociates.com/ MetaBasicCMAssetCache_/Assets/articles/2009/pov_Best_Employer_ Position_Paper.pdf> 3 Coley Smith Consulting. “Employee Engagement: Useful Facts and Figures.” Thought Leadership article, <http://www.coleysmith.com/ your_resources.php> 4 Richard S. Wellins, PhD, Paul Bernthal, PhD, Mark Phelps. “Employee Engagement: The Key to Realizing Competitive Advantage.” Development Dimensions International Monograph.2005, <http://www.ddiworld.com/ pdf/ddi_employeeengagemant_mg.pdf> 5 Edgar H. Schein. Organizational Culture and Leadership. (San Francisco: Jossey Bass, 2004) p151-170. 6 “Cultivating Effective Corporate Cultures: A Global Study of Challenges and Strategies.” Current Trends and Future Possibilities 2008-2018 by the American Management Association and the Institute of Corporate Productivity, 2008, p.20. 7 <http//www.abraham-maslow.com/m_motivation/Hierarchy_of_Needs. asp.> 8 “Bringing Brands to Work: How the workplace can help build brand and culture.” ThreeSixty Magazine. November 2009, <http:// www.360steelcase.com> 9 Cultivating Effective Corporate Cultures, p43. 10 Cultivating Effective Corporate Cultures, p36. 11 “10 Reasons to Design a Better Corporate Culture: Q&A with Jim Heskett and W. Earl Sasser, Authors of the Ownership Quotient.” Harvard Business School Working Knowledge. December 2008, <http://hbswk. hbs.edu/item/5917.html> 12 Amanda Veinott and Ann Jordan. “OMG! Y R There No Jobs?: Generation Y’s view of Today’s Job Market.” Blessing White enews. August 2010, <www.blessingwhite.com> Great Culture. Great Workplace. 21
  • 22. Great Culture. Great Workplace. Lessons From America’s Best Companies For further information, please contact Kahler Slater author, Barbara Armstrong, Principal at 414-272-2000 or barmstrong@kahlerslater.com. 111 West Wisconsin Avenue Milwaukee, WI 53203 P 414-272-2000 www.kahlerslater.com COPYRIGHT © 2011 KAHLER SLATER, INC. ALL RIGHTS RESERVED.