The case of recruiting for cultural fit is a strong one. Research shows that culture fit is important when recruiting new employees and often contributes to employee satisfaction, performance and length of time they stay with an organization.
Organizational culture is dictated by the values, behaviours, beliefs and norms that permeate the group. Culture is expressed through the words and behaviours of each employee. Company or department leadership sets the overall tone.[1] Fitting in culturally is agreeing to a collective custom, a set of shared values, goals and practices that characterize an organization. It is equally and sometimes even more relevant than having the skills and experience to do the job. It has been said that one bad egg spoils the bunch and in fact this is often the case.[2]
There are a number of studies that show the level of congruence between an organisation’s culture and its new employees’ value preferences, i.e. culture fit, is a predictor of turnover and job satisfaction.[3],[4]
When the corporate culture allows employees to work in sync toward a shared vision with similar values, goals, and chemistry, there is a greater sense of loyalty and commitment. Employees who know the corporate culture understand what the company is all about and have a sense that they belong. Employees who do not fit in or buy into the corporate culture can be disruptive, unproductive and negatively impact the contributions of those who do fit. Organizations that take the time to build from within and make key outside hires with a focus on culture, diversity, and effective team leadership will be ready to move more quickly and effectively into becoming a formidable and profitable competitor. The bottom line of a business is its people.[5]
Extract from DDI Australia:
A recent DDI Australia survey of 223 hiring managers found that 90 per cent believe that recruiting for culture fit is important. However, only 36 per cent always assess for culture fit.
Fit is typically defined in two distinct ways: job fit and organization fit.
Job fit refers to the degree to which the candidate’s skills and experience are relevant to the job and the degree to which the candidate finds the role’s activities and responsibilities satisfying. Organisational fit refers to the candidate’s compatibility with the organisation’s values and mode of operation. While organisation fit covers a range of organisational attributes the most common and frequently cited element centres on the congruence between individual and organisational values. This is often referred to as culture fit.
Research and practice increasingly point to organisational fit and particularly culture fit as a key differentiator in the selection process. Research shows that individuals selected on the basis of culture fit will contribute faster, perform better and stay longer.
Provided someone fits into the organisation, and demonstrates the propensity to grow and develop, their knowledge and skills will change and grow over time. Values and motivations on the other hand are almost impossible to change. They are hard wired. To put it simply, cultural fit cannot be developed.
Consider the following facts:
1. Assessing for cultural fit helps increase employee satisfaction, which leads to better performance and productivity and a longer tenure.
2. Forty-five per cent of hiring managers in the DDI survey attributed poor recruitment decisions to cultural issues.
3. Getting it right the first time ensures business continuity.
4. Getting it right the first time also avoids the considerable costs associated with recruitment.
5. Poor hires impact negatively on staff morale, performance and productivity.
Job seekers
It is also important for job seekers to appreciate the culture of an organization before accepting a job.
Every company is different. Be sure you find the right place for you. It is up to the job seeker to determine whether a particular employer is aligned with their core values and beliefs as well. Working at a company with values inconsistent with yours is stressful, unrewarding, even depressing at times.1
[3] O’Reilly, C., Chatman, J., & Caldwell, D. 1991, People and Organizational Culture: A Profile Comparison Approach to Assessing Person-Organization Fit, Academy of Management Journal, Vol. 34, No. 3, pp. 487 - 516.
[4] Vandenberghe, C. 1999, Organizational Culture, Person-Culture Fit, and Turnover, Journal of Organizational Behavior, Vol. 20, No. 2, pp. 175-187.
[5] Love, D. www.stantonchase.com
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