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Leaders face balancing act between culture and the need for efficiency and agility

A new survey from Dayforce found 84 per cent of executives and 81 per cent of HR leaders report their company is actively engaged in improving culture, but less than half of workers agree.

The results are drawn from Dayforce’s 15th Annual Pulse of Talent report, which surveys the current state of organizational culture – and the differing perceptions among workers, managers, HR leaders, and executives – by polling 9,489 workers from around the world.

This year’s results show the investments many companies are making may not be moving the needle.

“For organizations, cultivating a strong culture is a constant balancing act between productivity and agility and creating a space where people can do their best work,” said Amy Cappellanti-Wolf, chief people officer, Dayforce, Inc. “Our research shows that organizations that invest in culture – specifically, aligning their benefits, initiatives, and technology with the needs of their people – will have an advantage when attracting and retaining top talent and building a high-performing workforce.”

With leaders under pressure to quantify the value of every dollar spent, it’s increasingly important that their investments in culture drive high performance.

For the first time, the Dayforce Pulse of Talent report included a Workplace Culture Index, grouping respondents into three categories: Culture Promoters, Culture Passives, and Culture Detractors. Respondents who were most positive about their company culture said there were three areas where their company excelled relative to those who were most negative about their company culture:

• Supporting productivity with the right technology: Culture Promoters were more than twice as likely as Culture Detractors to say they have the technology they need to do their jobs efficiently (85 per cent vs 39 per cent) and to believe that AI will have a positive impact on culture (67 per cent vs 31 per cent).
• Ensuring benefits provided are aligned with worker needs: Culture Promoters were almost four times more likely than Culture Detractors to say their company benefits are good at meeting their needs (82 per cent vs 21 per cent).
• Providing flexible work options: Culture Promoters were more likely than Culture Detractors to say they have flexibility in how (57 per cent vs 28 per cent), when (54 per cent vs 33 per cent), and where (54 per cent vs 30 per cent) they work. Culture Promoters (91 per cent) were three times more likely than Culture Detractors (29 per cent) to say their employer trusts its employees.

When it comes to AI, the survey found a sizable difference between the perceptions of leaders and their workforce. Surveyed executives were 44 per cent more likely than workers to say AI is used responsibly in their company, 48 per cent more likely to say they have a clear understanding of how it is or will be used, and 48 per cent more likely to say AI supports better decision-making. This gap in perception demonstrates organizations that are intentional about educating their people about the value, benefits, and use cases of AI may better foster meaningful communication and, in turn, support a stronger culture.

The bottom line is that when it comes to building a productive workforce, culture matters. Nearly seven in 10 respondents (69 per cent) said they have or would turn down an opportunity because the culture didn’t feel like the right fit. That number rises to 75 per cent for respondents under the age of 35.

At the same time, respondents indicated that by improving company culture, workers would feel more engaged (51 per cent), experience improved mental health and levels of burnout (47 per cent) and be motivated to work harder (46 per cent).

The Canadian perspective

Key findings from the survey of Canadians revealed:

• Three in five (59 per cent) said they are a flight risk (actively looking for a new job or open to new opportunities), down from 66 per cent in last year’s Pulse of Talent survey.
• Three-quarters (74 per cent) said they have or would turn down an opportunity because the culture didn’t feel like the right fit.
• Canadians reported improving culture can have outsized benefits, including feeling more engaged (53 per cent), improving mental health/burnout (54 per cent), and increasing motivation (46 per cent).
• About two in five (42 per cent) said AI is used responsibly at their company; 36 per cent said their company uses AI to make better decisions.
• Only half (51 per cent) said they feel proud of where they work.

The survey was conducted by Hanover Research from Sept. 4 to 20. It included 9,489 respondents aged 18+ who work at companies with at least 100 employees across Canada, Australia, Germany, Japan, Malaysia, New Zealand, Singapore, the United Kingdom, and the United States.